According to the report titled “Trade in services for development: Fostering sustainable growth and economic diversification” co-published by World Bank (WB) and World Trade Organisation (WTO) India has doubled its share of global commercial services exports to 4.4% in 2022 from 2% in 2005.
i.The report also stated that China has also doubled its share of global commercial services exports from 2005 to 2022, from 3% to 5.4%.
ii.The report was launched by the WTO Director-General, Dr Ngozi Okonjo-Iweala, and the World Bank President, Ajay Banga, at an online event on 3rd July 2023.
Highlights:
i.China, Hong Kong, Singapore, and India are top exporters and importers of services, driving the trade performance of developing economies.
ii.In India, South Africa and Türkiye, over 10% of services sector jobs are directly linked to cross-border exports.
iii.Services value-added accounted for 51% of India’s total exports in 2018, reflecting reforms to attract foreign direct investment (FDI).
iv.Global commercial services exports almost tripled from 2005 to 2022, fueled by Information and Communications Technologies (ICT) advancements.
- Asia, Latin America, and the Caribbean, and the Middle East saw increased shares in commercial services imports, while Africa, Europe, and North America declined.
v.Digitally delivered services exports reached $3.82 trillion in 2022, representing 54% of total global services exports.
Key Points:
i.The export of computer-related services has significantly contributed to India’s economic growth.
ii.The IT (Information Technology) industry in India has been the leading generator of well-paid jobs over the past decade.
- In India, 34% of the IT workforce is women.
- Female workforce participation in the BPO (Business Process Outsourcing) industry is much higher than the national average i.e. 21%.
iii.India and the Philippines have become global leaders in computer services and BPO. However, they need to upskill and reskill their workforces and invest in the development of their domestic services sectors, particularly in terms of Research & Development (R&D).
India: A Popular Destination for Medical Travel
India has emerged as a favored medical travel hub, attracting approximately 3.5 million foreign patients between 2009 and 2019.
- These patients come from developed countries like the United Kingdom (UK) and the United States of America (USA), as well as developing countries such as Bangladesh, Nepal, and Sri Lanka, for affordable yet high-quality treatment options.
Recent Related News:
i.According to the World Bank (WB) report “Striving for Clean Air: Air Pollution and Public Health in South Asia,” concentrations of fine particulate matter (PM) like soot and small dust (PM 2.5) in some of South Asia’s most densely populated and underdeveloped areas are up to 20 times higher than the World Health Organization (WHO) threshold of 5 micrograms per cubic metre (μg/mʒ).
ii.According to the “Global Trade Outlook and Statistics” report released by the World Trade Organization (WTO) the merchandise trade volume is expected to grow by 1.7% in 2023, up from October 2022 estimate of 1.0%.
About World Bank (WB) Group:
President– Ajay Banga
Financial Arms– 5: the International Bank for Reconstruction and Development (IBRD), the International Development Association (IDA), the International Finance Corporation (IFC), the Multilateral Investment Guarantee Agency (MIGA) and the International Centre for Settlement of Investment Disputes (ICSID)
Headquarters– Washington, DC, United States of America(USA)
About World Trade Organization (WTO):
Director-General– Okonjo-Iweala
Headquarters– Geneva, Switzerland
