The World Trade Organization’s World Trade Report 2024 highlights the significant impact of trade in reducing income inequality among economies since the WTO’s formation 30 years ago. The report was officially presented in Geneva, Switzerland, during the 2024 WTO Public Forum.
This annual publication aims to enhance understanding of trade trends, policy issues, and the multilateral trading system. The 2024 edition delves into the intricate connections between trade and inclusiveness within and across economies. It emphasizes the need for trade policies to be supported by effective domestic strategies to ensure that the benefits of trade are more widely shared.
WTO Director-General Dr. Ngozi Okonjo-Iweala noted that a key insight from the report is its confirmation of trade’s vital role in alleviating poverty and fostering shared prosperity. This counters the prevailing narrative suggesting that trade and institutions like the WTO have exacerbated inequality for poorer countries.
Dr. Okonjo-Iweala also stressed that there is considerable room for improvement in making trade and the WTO more beneficial for those who have been left behind during three decades of globalization. The report analyzes how international trade has advanced the global economy’s inclusiveness, presenting data that illustrates a strong correlation between increased trade participation and reduced income disparities.
Furthermore, the report examines various obstacles that prevent individuals, businesses, and economies from fully engaging with and adapting to international trade. These challenges include high trade costs that hinder access to foreign markets, issues related to mobility and information, skill mismatches, and limited access to financing, which often bar people from capitalizing on new opportunities.