Shedding new light on the evolving regulatory framework for digital services trade

Abstract

Trade is an essential vehicle to enable digital transformation, which relies heavily on access to digital networks and equipment, seamless transfer of data across borders, and movement of skilled workers and knowledge. Policies that aim to increase connectivity, to ease trade restrictions on information and communication technology (ICT) goods, and to lower barriers on digitally enabled services contribute to strengthening the pillars upon which digital trade operates. In an effort to improve regional and global evidence on policies affecting digital trade, the UN Economic Commission for Latin America and the Caribbean (ECLAC), the UN Economic and Social Commission for Asia and the Pacific (ESCAP), and the UN Economic Commission for Africa (ECA) have worked with the OECD between 2020 and 2022 to expand the coverage of the STRI and Digital STRI tools to shed new light on the current state of global and regional regulatory landscapes that affect digital services trade. This brief provides a summary of the key findings and insights across the three regions covered. The first section introduces the meaning of digital trade and its growing economic importance, followed by an analysis of recent developments on digital trade across the three regions. The subsequent sections describe the STRI tools and present the findings, trends, and preliminary associations between regulatory policies and trade performance.