ANNUAL REPORT OF THE COMMITTEE ON TRADE IN FINANCIAL SERVICES
TO THE COUNCIL FOR TRADE IN SERVICES (2025)

Since its previous Annual Report to the Council for Trade in Services^[1], the Committee on Trade in Financial Services has held four formal meetings, on 5 December 2024, 12 March, 11 June and 10 October 2025.^[2]

During the period covered by this Report, the Committee addressed the following matters.[3]

1  Facilitating Digital payments systems and remittance services

1.1.  In the context of paragraph 18 of the MC13 Declaration, which called upon Members "to reinvigorate work on trade in services," the Committee discussed in December 2024 proposals by China, India and the Philippines. The communication from China on enhancing electronic payments facilitation[4], which had already been presented in October 2024, built on a room document on facilitating international visitors' payment in China that had been circulated in July 2024.[5] The communication suggested that these two documents should be read as complementary. In its presentation, China proposed that the Committee hold experience-sharing sessions on the facilitation of electronic payments, and that the Secretariat prepare a background note on recent developments in this area, including bilateral, regional and international initiatives. One Member objected to the latter.

1.2.  The Committee also discussed a proposal by the Philippines to hold an informal experience-sharing thematic session on facilitating the interoperability of electronic payment systems.[6] The proposal was seen as complementing the communication by China. The Committee also continued discussing the communication by India on the cost of remittances circulated in March 2024.[7] Connecting it to the two previous proposals by China and the Philippines and following on from previous discussions on remittances services, India suggested an information-sharing session on remittance services. Members acknowledged the importance of discussing the issues raised by all these proposals within the mandate and competencies of the WTO, with many of them advocating to focus on (financial services) trade‑related aspects and to complement, and not duplicate, work done by other international organizations or initiatives. Members agreed to further investigate the organization of proposed experience-sharing sessions.

1.3.  In March 2025, Members discussed a communication presented by China, India, Pakistan and the Philippines to organize information-sharing sessions on facilitating digital payment systems and cost-effective remittances. The document focused on the common or closely related issues contained in the three proposals presented in December 2024, linking the discussion to the issue of crisis preparedness and economic resilience as encouraged in paragraph 21 of the Abu Dhabi Ministerial Declaration.[8] Many Members indicated their interest in the various topics suggested and the development dimension, with some urging to move forward on the organisation in the following months to fulfil the MC13 mandate, while other Members expressed concerns.

1.4.  Discussions continued at the June 2025 meeting. Acceptance of the draft agenda by the Committee was reached through written procedure on 20 June 2025, based on a new communication by China and the Philippines.[9] The agenda thus endorsed by Members served as the basis for the organization of the informal thematic session held on 29 and 30 September.[10]

1.5.  Members exchanged views on potential follow-up work during the CTFS meeting of October 2025. They noted the relevance of the topic, and the timeliness and success of the session. They highlighted the richness of information shared and the value of hearing from experts, including policy makers, international organisations, and the private sector. Although some Members welcomed more time for reflection, possible follow-ups mentioned included holding further thematic sessions to deepen discussions on topics of particular interest, including on the role that the GATS could play, the importance of data flows and privacy for digital payments, transparent international standards and technical specifications, good regulatory practices, public-private partnerships, and the barriers to market access.

2  Costs of Cross-border remittances

2.1.  In June 2025, the Committee addressed a communication by Morocco on the reduction of the costs of cross-border remittances.[11] Members recognized the importance of continuing discussions on this important topic, with some indicating that those needed to be framed within the WTO's competencies and avoid duplication with the work of other organizations. There were questions from other Members about the proposal's relationship to other work undertaken in the CTFS the previous years[12], and how it related to the possible work that the Committee might be taking forward in relation to the October 2025 thematic session. A Member asked for clarifications on some of the work streams suggested, notably on data collection and technical assistance, as well as what was meant by a "structured dialogue", reminding the Committee that it had adopted the practice of organising thematic sessions.

2.2.  In October 2025, the Committee continued discussing the communication on the reduction of the costs of cross‑border remittances, originally submitted by Morocco and since co-sponsored by the African Group.[13] Morocco indicated that it was preparing a draft Ministerial Declaration for the 14^th Ministerial Conference (MC14). Many Members repeated their support to the proposal, while others considered its inclusion in MC14 premature. They sought greater clarity on the role of the CTFS within the GATS mandate, the feasibility of leveraging existing work, such as efforts to improve transparency related to regulations, and the need to avoid duplicating efforts already undertaken by other organizations. Some Members felt it was necessary first to reflect on recent discussions on facilitating digital payment systems and remittance services and what had been discussed in March 2024 during the thematic seminar on remittance costs.

3  Crisis preparedness

3.1.  The Committee addressed paragraph 21 of the MC13 Ministerial Declaration on the encouragement "to continue Member-driven work, aimed at supporting resilience and disaster preparedness" at its meetings in December 2024 and 12 March 2025, under the agenda item "Follow‑up to MC13 outcomes." In that regard, Pakistan indicated on 5 December that the discussions on electronic payments and related interoperability, as well as on remittances, could capture the essence of paragraph 21. This was also supported by other Members. In March 2025, Pakistan indicated that it had worked with other Members to incorporate discussions on aspects of short-term crisis and challenges within the proposal for a CTFS thematic session on electronic payments, interoperability, and the cost of remittances. The item was consequently removed from the agenda on the understanding that interested Members remained able to reinsert it in the agenda if they so wished.

4  WTO Reform - Functioning of the Committee on Trade in Financial Services

4.1.  In the context of the WTO reform, the Committee decided at the beginning of February 2025, by written procedure, on the permanent implementation of the use of the eAgenda and the closing of the agenda 15 days prior to the formal meeting.

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