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The GATS and regional approaches to services trade and investment liberalisation

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  • Ayoki, Milton

Abstract

This paper examines the approaches to liberalization of trade in services adopted within existing regional agreements (RTAs) as compared to prevailing GATS’ commitments. Using examples from Africa, Latin America, and Asia (of total of over 30 RTAs), it explores how the difficult issues associated with services trade and investment liberalisation are tackled in the RTA-type arrangement and how much further access is granted under RTAs. The results show that in all market access areas, RTAs generally offer superior value added over GATS. In nearly all the modes of supply and sectors, RTA commitments tend to go significantly beyond GATS offers in terms of improved and new bindings (although improvements in mode 4 remains modest in scope across all RTAs). Most RTAs, however, are at the same pace with GATS in securing the rule-making interface between domestic regulation and trade in services and with regard to special treatment for less developed members. RTA commitments tend to lag behind GATS on safeguard mechanism, and disciplines on subsidies.

Suggested Citation

  • Ayoki, Milton, 2015. "The GATS and regional approaches to services trade and investment liberalisation," MPRA Paper 91118, University Library of Munich, Germany, revised Dec 2016.
    • Handle: RePEc:pra:mprapa:91118
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    File URL: https://mpra.ub.uni-muenchen.de/91118/1/MPRA_paper_91118.pdf
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    References listed on IDEAS

    as
    1. Roy, Martin & Marchetti, Juan & Lim, Hoe, 2006. "Services liberalization in the new generation of Preferential Trade Agreements (PTAs): How much further than the GATS?," WTO Staff Working Papers ERSD-2006-07, World Trade Organization (WTO), Economic Research and Statistics Division.
    2. Crawford, Jo-Ann & Fiorentino, Roberto V., 2005. "The changing landscape of regional trade agreements," WTO Discussion Papers 8, World Trade Organization (WTO), Economic Research and Statistics Division.
    3. Felix Eschenbach & Bernard Hoekman, 2006. "Services Policy Reform and Economic Growth in Transition Economies," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 142(4), pages 746-764, December.
    4. Eschenbach, Felix & Hoekman, Bernard, 2005. "Services policy reform and economic growth in transition economies, 1990-2004," Policy Research Working Paper Series 3663, The World Bank.
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    Cited by:

    1. Ayoki, Milton, 2019. "Are the Gulf States poised to become Uganda’s No. 1 trading partners? Emerging trends and imperatives," MPRA Paper 93646, University Library of Munich, Germany.

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    More about this item

    Keywords

    GATS; regional approaches; RTAs; trade in services; trade and investment liberalisation; developing countries; Africa;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F15 - International Economics - - Trade - - - Economic Integration

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