Report (2024) of the committee on trade and development

1  introduction

1.1.  This report covers the work of the Committee on Trade and Development (CTD) in 2024. An overview is provided of the work of the CTD's Regular Session, the Dedicated Session on the Monitoring Mechanism on Special and Differential Treatment (S&D), the Dedicated Sessions on Regional Trade Agreements (RTAs), Preferential Trade Arrangements (PTAs) and Small Economies, the CTD's work on Aid for Trade, and the work of the Sub‑Committee on Least Developed Countries (LDCs).^[1]

2  regular session

2.1.  The CTD held four formal meetings in 2024, on 11 April (123^rd Session), 16 July (124^th Session), 14 November (125^th Session) and 15 November (126^th Session). The minutes of 123^rd and 124^th sessions are contained in documents _WT/COMTD/M/123 and _WT/COMTD/M/124, respectively. The minutes of 125^th and 126^th sessions will be issued in due course with the following symbols _WT/COMTD/M/125 and _WT/COMTD/M/126. The 123^rd Session was chaired by Ambassador José R. Sánchez-Fung (Dominican Republic). During the meeting, Ambassador Ram Prasad Subedi (Nepal) was elected Chairperson of the CTD for 2024, and subsequently chaired the 124^th, 125^th and 126^th Sessions.

2.2.  Concerning observer status in the CTD, Members agreed to continue to invite a number of intergovernmental organizations on an ad hoc meeting-by-meeting basis. A full list of intergovernmental organizations with observer status in the Committee is contained in document _WT/COMTD/W/22/Rev.8. The CTD continues to have outstanding requests for observer status from the League of Arab States, the Organization of the Petroleum Exporting Countries (OPEC), the Gulf Organization for Industrial Consulting (GOIC), the Organisation Internationale de la Francophonie, the Common Fund for Commodities (CFC), the Organization of Arab Petroleum Exporting Countries (OAPEC) and the Groupe de la Banque Africaine de Développement. A further request for observer status was submitted by the Universal Postal Union (UPU) in document _RD/COMTD/12. However, Members were not in a position to decide on the request that was discussed at the 123^rd Session.

2.3.  This section is structured along the following topics that were addressed in the Regular Session of the CTD in 2024:

·_              Participation of developing economies in the global trading system;

·_              Policy space for industrial development;

·_              Trade and development work pursuant to the Eighth Ministerial Conference;

·_              Ministerial Declaration from the Twelfth Ministerial Conference on the WTO response to the COVID-19 pandemic and preparedness for future pandemics;

·_              Work Programme on Electronic Commerce;

·_              Notifications under the Enabling Clause: Gulf Cooperation Council (GCC) notification of Customs Union;

·_              Review of steps taken to provide duty-free and quota-free market access to least developed countries;

·_              Technical cooperation and training;

·_              30 years of WTO: How has the development dimension progressed?;

·_              Reinvigorating discussions on the relationship between trade and the transfer of environmentally sound technologies to developing countries to address climate change;

·_              Crop Diversification and Resiliency;

·_              Report of the 58^th Session of the Joint Advisory Group of the International Trade Centre;

·_              First focused session on Landlocked Developing Countries;

2.4.  At the 123^rd Session, the Chairperson informed Members of a communication from the United States, titled "Practical integration of inclusivity in trade and investment policy: sharing experiences from APEC and the San Francisco Principles", contained in document _WT/COMTD/W/288.

2.5.  In addition to the topics listed above, which were addressed in the Regular Session of the CTD, the Chairperson held several informal consultations in 2024. Two small group consultations were held on 25 April and 10 June, with a view to exploring opportunities for more efficient and focused discussions on various topics of interest and relevance to the work of the CTD. A report on the small group consultations was provided at the 124^th Session of the CTD, reflecting the possible added value of holding informal thematic sessions under the aegis of the CTD. Regarding the streamlining of the agenda, it was noted that the items concerning the MC12 Ministerial Declaration on the WTO response to the COVID‑19 pandemic and preparedness for future pandemics, and the item concerning the Work Programme on Electronic Commerce had not been provisionally maintained on the agenda of the CTD, as no submissions had been made by Members. It was further noted that those items could be put back on the agenda if any Member so requests, or if any submissions are made in that regard.

2.6.  The Chairperson also held open-ended informal consultations on 3 October 2024. A report from those consultations was provided at the 126^th Session of the CTD on 15 November 2024. The Chairperson recalled that a report on the role of the CTD as focal point had been prepared by the Secretariat. The report, contained in document _JOB/COMTD/12, was introduced during the informal consultations on 3 October. The Chairperson noted that a Secretariat report on the main takeaways of the Ninth Global Review of Aid for Trade had also been presented on 3 October and was followed by a discussion among Members present at the meeting. The Chairperson further reflected that discussions had continued on the possibility to hold informal thematic sessions in the CTD, noting that several suggestions for topics had been made. The informal consultations had also addressed the longstanding agenda-item concerning the Gulf Cooperation Council (GCC) Customs Union notification under the Enabling Clause.

2.7.  Regarding the facilitation of the Regular Sessions of the CTD, the e-Agenda was introduced on a trial basis at the 124^th Session and saw continued use at the 126^th Session.

2.1 Participation of developing countries in the global trading system

2.8.  At the 123^rd Session of the CTD, the Secretariat presented its updated report on the participation of developing economies in the global trading system, contained in document _WT/COMTD/W/289.[2] The Secretariat noted that developing economies' trade in merchandise products as well as in commercial services had recovered from the pandemic-related drop. The share of developing economies in global merchandise exports increased to almost 47% in 2022, while their share of global commercial services exports accounted for 33% in that same year. There were several challenges and opportunities for developing economies' participation in international trade. One such challenge was the dependence on commodity exports for several developing economies. It was noted that investments in infrastructure, skills, and appropriate regulatory frameworks would be necessary in order to seize the full potential of digitally delivered trade.

2.2  Policy space for industrial development

2.9.  The 123^rd Session of the CTD saw the continued consideration of the communication from the African Group entitled "Policy Space for Industrial Development – A Case for Rebalancing Trade Rules to Promote Industrialisation and to Address Emerging Challenges Such as Climate Change, Concentration of Production and Digital Industrialisation", first discussed at the 120^th Session and contained in document (_WT/COMTD/W/270). Structured along three sub-items, discussions also continued on several other communications from the African Group, including the communication entitled "A case for rebalancing the Agreement on Subsidies and Countervailing Measures (ASCM) – Policy space to promote industrialisation in developing counties," contained in document _WT/COMTD/W/274; several communications on the role of transfer of technology in resilience building, contained in documents _WT/COMTD/W/277, _WT/COMTD/W/278, _WT/COMTD/W/279, _WT/COMTD/W/280, _WT/COMTD/W/281, _WT/COMTD/W/282; and a communication entitled "A case for rebalancing the Agreement on Trade-related Investment Measures (TRIMs) – Policy space to promote industrialisation and structural transformation in developing countries," contained in document _WT/COMTD/W/284.

2.10.  At the 124^th Session of the CTD, the Committee considered a communication from the African Group entitled "Policy space for industrial development – advancing WTO committee work to support structural transformation and industrial development in developing countries", contained in document _WT/COMTD/W/291.

2.3  Trade and development work pursuant to the Eighth Ministerial Conference

2.11.  At the Eighth WTO Ministerial Conference (MC8), Ministers reaffirmed the positive link between trade and development and called for focused work in the CTD. Ministers called on Members to fully operationalize the mandate of the CTD as a focal point for development work. Two communications containing proposals for work under the MC8 mandate had previously been discussed in the CTD and were again considered at its 123^rd Session. The communication from Barbados, Belize, China, Cuba, Ecuador, India and the African Group, contained in document _WT/COMTD/W/208, inter alia, proposes for the CTD to report on development-related activities and development issues raised in other WTO bodies. The communication from China, Cuba, Ecuador, India and the African Group, contained in document _WT/COMTD/W/192, inter alia, proposes for the CTD to make a recommendation for parties to a regional trade agreement (RTA) to submit their notification and information requirements jointly.

2.12.  As the Chairperson had proposed to continue informal consultations on this item with a view to exploring possible ways forward, the item was not substantively discussed during the 124^th and 126^th Sessions of the CTD. However, the item was maintained on the agenda.

2.4  Ministerial Declaration from the Twelfth Ministerial Conference on the WTO response to the COVID-19 pandemic and preparedness for future pandemics

2.13.  At the 119^th Session of the CTD held on 17 November 2022, the Committee agreed that the item concerning the Ministerial Declaration from the Twelfth Ministerial Conference (MC12) on the WTO response to the COVID-19 pandemic and preparedness for future pandemics, contained in documents _WT/MIN(22)/31 and _WT/L/1142, would remain on the CTD's agenda until the end of 2024. In past CTD meetings, Members had shared information on the impact of the COVID-19 pandemic on their trade and economies, and suggestions were made on the possible work that could be done by the CTD in the context of this Ministerial Declaration. In the recent Ministerial Declaration agreed at MC13, relevant WTO bodies were encouraged to continue their work, based on Members' submissions, to review and build on lessons learned and challenges experienced during the COVID‑19 pandemic, and to build effective solutions in case of future pandemics in an expeditious manner. The Chairperson encouraged Members to continue to engage and to consider submitting written proposals on work that the CTD could do on this matter.

2.14.  Since no proposals had been submitted, the item did not feature on the agenda of the CTD's 124^th and 126^th Sessions. The Chairperson recalled that the items could always be put back on the agenda if any Member so requests, or if any submissions are made in that regard.

2.5  Work Programme on Electronic Commerce

2.15.  A Ministerial Decision was taken at MC13 on the WTO's Work Programme on Electronic Commerce (WPEC), contained in document _WT/MIN(24)/38. With this Decision, Ministers agreed, inter alia, to continue to re-invigorate the work under the Work Programme, with particular focus on its development dimension. At its 123^rd Session, the CTD continued discussions on the communication from the African Group titled "Reinvigorating the work under the 1998 Work Programme on Electronic Commerce: A development approach to the Work Programme on E‑Commerce" (_WT/COMTD/W/283).

2.16.  Since no proposals had been submitted, the item did not feature on the CTD's 124^th and 126^th Sessions. The Chairperson recalled that the items could always be put back on the agenda if any Member so requests, or if any submissions are made in that regard.

2.6  Notifications under the Enabling Clause: Gulf Cooperation Council (GCC) notification of Customs Union

2.17.  Following previous discussions on this item in the CTD since 2010, the 123^rd Session of the CTD saw the continued consideration of the communication from China, Egypt and India entitled "Notifications under the Enabling Clause: Gulf Cooperation Council (GCC) notification of Customs Union", contained in document _WT/COMTD/W/175. The Chairperson had proposed to continue informal consultations on this item with a view to exploring possible ways forward. The item was maintained on the agenda of the CTD.

2.7  Review of steps taken to provide duty-free and quota-free market access to least developed countries

2.18.  Following the Sixth WTO Ministerial Conference (MC6) in Hong Kong in 2005, this item has been regularly appearing on the CTD's agenda. Delegations had provided information on steps taken to provide duty-free and quota-free (DFQF) market access to LDCs. At the 123^rd Session of the CTD, several Members reiterated their disappointment that no annual reports had been prepared by the Secretariat since 2016. At the 124^th Session of the CTD, the Chairperson noted that he would hold informal consultations on the matter, with a view to finding a way forward. At the 126^th Session, the Committee conducted its annual DFQF review for 2024.

2.8  Technical cooperation and training

2.19.  At the 124^th Session of the CTD, the Institute for Training and Technical Cooperation (ITTC) presented its WTO Technical Assistance Annual Report 2023, contained in document _WT/COMTD/W/290. A complete list of results by indicator was included in Annex I to the report, aligned with the logical framework that was adopted by Members as part of the Biennial Technical Assistance and Training (TA) Plan, contained in document _WT/COMTD/W/273. All details concerning the annual financial reporting was included in Annex II. The CTD took note of the report, which reflected a success rate of 79% of targets fully or partially met in 2023 and represented the best overall result recorded in the last five years.

2.20.  Regarding efforts to improve inclusion of TA activities, the proportion of LDC participation, including in e-learning, increased significantly in 2023. Women participation in 2023 was recorded at 48% after the record year in 2022 when it reached 51%. Regarding geographical coverage, participation increased in all regions in 2023, and national and regional TA activities were conducted in 70 Members and observer governments. The share of face-to-face activities and virtual activities delivered in partnership with other institutions was the highest ever recorded in 2023, totalling 115 activities.

2.21.  Regarding the status of the Global Trust Fund (GTF), the report showed that contributions continued to decline. The regular budget envelope remained stable in 2023, while voluntary contributions in the same year were at their lowest level in 25 years, with 3 million CHF received from six donors. Earmarked voluntary contributions exceeded un-earmarked voluntary contributions for the second consecutive year. At the 126^th Session of the CTD, the ITTC provided an update on the status of the GTF and reported on progress on the implementation of the TA Plan.

2.9  30 years of WTO: How has the development dimension progressed?

2.22.  At the 124^th Session of the CTD, the Committee considered a communication from India entitled "30 years of WTO: How has the development dimension progressed? – A way forward", contained in document _WT/COMTD/W/292.

2.10  The relationship between trade and the transfer of environmentally sound technologies to developing countries to address climate change

2.23.  At the 124^th Session of the CTD, the Committee considered a communication from India entitled "Reinvigorating discussions on the relationship between trade and the transfer of environmentally sound technologies to developing countries to address climate change", contained in document _JOB/COMTD/10.[3]

2.11  Crop Diversification and Resiliency

2.24.  At the 126^th Session of the CTD, the Committee considered a communication from the United States entitled "Crop Diversification and Resiliency: Feed the World and Grow Exports. Heritage Crops and Localized Innovation", contained in document _WT/COMTD/W/293.

2.12  Report of the 58^th Session of the Joint Advisory Group of the International Trade Centre

2.25.  The Joint Advisory Group (JAG) of the International Trade Centre (ITC) held its 58^th Session on 25 June 2024. The report of that meeting is contained in document ITC/AG(LVIII)/296. The Chairperson of the JAG, Ambassador Hend Abdalrahman Al-Muftah (Qatar), presented the report at the 126^th Session of the CTD. The Committee took note of the report and forwarded it to the General Council for adoption.

2.13  First focused session on Landlocked Developing Countries

2.26.  The 125^th Session constituted the first focused session on Landlocked Developing Countries (LLDCs). This responds to the mandate received from the Thirteenth WTO Ministerial Conference (MC13) to assess the trade-related challenges for the fuller integration of LLDCs into the multilateral trading system, contained in document _WT/MIN(24)/DEC. At the 125^th Session, Botswana, as coordinator of the Informal Group of Landlocked Developing Countries (LLDCs), provided an update on the current trade-related situation of LLDCs. Members were also briefed by the UN Office of the High Representative for the Least Developed Countries, Landlocked Developing Countries, and Small Island Developing States (UN-OHRLLS) on the expected outcomes of the upcoming Third UN Conference on Landlocked Developing Countries (LLDC3), scheduled from 9 to 13 December 2024 in Botswana.[4] An informal discussion entitled "Strengthening Trade Infrastructure in LLDCs" was also held during the focused session.

3  dedicated session on the monitoring mechanism on special and differential treatment

3.1.  The Dedicated Session on the Monitoring Mechanism on Special and Differential Treatment (S&D) held two formal meetings in 2024, on 16 July (20^th Dedicated Session) and 15 November (21^st Dedicated Session). Both Sessions were chaired by Ambassador Ram Prasad Subedi (Nepal). The minutes of those meetings are contained in documents _WT/COMTD/MMSDT/M/20 and _WT/COMTD/MMSDT/M/21^[5], respectively. At the 20^th Dedicated Session, the Chairperson noted that, in line with the Ministerial Decision establishing the Monitoring Mechanism (_WT/MIN(13)/45‑WT/L/920) in 2013, the Mechanism was to act as a focal point within the WTO to analyse and review the implementation of S&D provisions. The Chairperson noted that the monitoring of S&D provisions was to be undertaken on the basis of written inputs or submissions made by Members, as well as on the basis of reports from other WTO bodies to which submissions by Members could also be made. It was further noted that no written submissions had been made under the Monitoring Mechanism. Reference was also made to paragraph 12 of the Decision establishing the Monitoring Mechanism, which states that "The Mechanism shall be reviewed three years after its first formal meeting, and thereafter as necessary, taking into account its functioning and evolving circumstances". It was recalled that delegations had different perspectives on the review exercise. Regarding the frequency of meetings per year, Members expressed different views whether the number of formal meetings of the Dedicated Session could be reduced to one meeting per year, as was suggested by the Chairperson, and pending any written submissions. The Chairperson added that he would continue his informal consultations to explore a way forward in operationalising the Monitoring Mechanism. Discussions on those issues continued at the 21^st Dedicated Session. The Chairperson urged Members to come to a common understanding on how to move forward on this issue.

4  dedicated session on REGIONAL trade agreements

4.1.  The Dedicated Session on Regional Trade Agreements (RTAs) held three meetings in 2024, on 11 April (22^nd Dedicated Session), 16 July (23^rd Dedicated Session) and 15 November (24^th Dedicated Session). The minutes of those meeting are contained in documents _WT/COMTD/RTA/M/22, _WT/COMTD/RTA/M/23 and _WT/COMTD/RTA/M/24[6], respectively.

4.2.  At its 22^nd Dedicated Session, chaired by Ambassador José R. Sánchez-Fung (Dominican Republic), the Committee took note of a communication entitled "Notifications to the WTO of instruments concluded under the 1980 Treaty of Montevideo in 2022", submitted by Uruguay on behalf of the member countries of the Latin American Integration Association (LAIA). The communication, which includes an overview of 44 notifications submitted to the WTO, is contained in document _WT/COMTD/RTA/W/18. The Committee also took note of the Chairperson's report on the status of the preparation of factual presentations of RTAs, contained in document _WT/COMTD/RTA/W/19. The consideration of the Comprehensive Economic Partnership Agreement between India and the United Arab Emirates was postponed for consideration at the 23^rd Session, due to the additional time required by the Parties to respond to the questions raised by Members.

4.3.  The 23^rd and 24^th Sessions were chaired by Ambassador Ram Prasad Subedi (Nepal). At its 23^rd Dedicated Session, the Committee took note of the Chairperson's report on the status of the preparation of factual presentations of RTAs, contained in document _WT/COMTD/RTA/W/20. The Committee further considered the goods aspects of the Comprehensive Economic Partnership Agreement between India and the United Arab Emirates (_WT/COMTD/RTA24/N1, _WT/COMTD/RTA24/1, _WT/COMTD/RTA24/2), and took note of the interventions made.[7] At its 24^th Dedicated Session, the Committee took note of the Chairperson's report on the status of the preparation of factual presentations of RTAs, contained in document _WT/COMTD/RTA/W/21. The Committee further considered the goods aspects of the Economic Complementarity Agreement between Mexico and Cuba (_WT/COMTD/RTA6/N1, _WT/COMTD/RTA6/1), and took note of the interventions made.[8]

5  Dedicated Session on preferential trade arrangements

5.1.  The Dedicated Session on Preferential Trade Arrangements (PTAs) held three meetings in 2024, on 11 April (14^th Dedicated Session), 16 July (15^th Dedicated Session) and 15 November (16^th Dedicated Session). The minutes of those meeting are contained in documents _WT/COMTD/PTA/M/14, _WT/COMTD/PTA/M/15 and _WT/COMTD/RTA/M/16[9], respectively.

5.2.  At its 14^th Dedicated Session, chaired by Ambassador José R. Sánchez-Fung (Dominican Republic), the Committee took note of the Chairperson's report on the status of the preparation of factual presentations of PTAs, contained in document _WT/COMTD/PTA/W/12.

5.3.  The 15^th and 16^th Dedicated Sessions were chaired by Ambassador Ram Prasad Subedi (Nepal). At its 15^th Dedicated Session, the Committee took note of a notification submitted by Canada concerning its Generalized System of Preferences (GSP) Scheme, contained in document _WT/COMTD/N/15/Add.4. The Committee also took note of the Chairperson's report on the status of the preparation of factual presentations of PTAs, contained in document _WT/COMTD/PTA/W/13. At its 16^th Dedicated Session, the Committee took note of the Chairperson's report on the status of the preparation of factual presentations of PTAs, contained in document _WT/COMTD/PTA/W/14.

6  dedicated session on small economies

6.1.  The Dedicated Session on Small Economies held one meeting on 16 July 2024 (47^th Dedicated Session), which was chaired by Ambassador Ram Prasad Subedi (Nepal). The minutes of the meeting are contained in document _WT/COMTD/SE/M/47. During the meeting, Guatemala, on behalf of the SVE Group, presented the communication _WT/COMTD/SE/W/48, which proposed outlines for the three reports within the Work Programme on Small Economies that were mandated at MC13 (_WT/L/1188; _WT/MIN(24)/33). The Committee took note of the communication and agreed to task the Secretariat with preparing those reports, starting with the first topic on e-commerce and digital ecosystems.

6.2.  An informal thematic session titled "Green Supply Chains for Development: The Case of Small Economies" took place in the afternoon of the 16 July 2024. Presentations were made by experts from the WTO, FAO, ITC and UN Trade and Development (UNCTAD), with opening remarks by Guatemala and Barbados. The slides of the presentations of that session were circulated in room document _RD/COMTD/SE/1. A summary of the session was prepared by Guatemala on behalf of the SVE Group, which has been circulated in document _WT/COMTD/SE/W/49.

7  AID FOR TRADE

7.1.  The CTD held two formal Sessions on Aid for Trade on 1 February (60^th Session) and 30 April (61^st Session). The 60^th Session was chaired by Ambassador José R. Sánchez-Fung (Dominican  Republic) and the 61^st Session was chaired by Ambassador Ram Prasad Subedi (Nepal). The minutes of the meetings are contained in documents _WT/COMTD/AFT/M/60 and _WT/COMTD/AFT/M/61, respectively.

7.2.  During the formal Sessions, Members reviewed the implementation of work activities within the framework of the 2023-24 Work Programme on "Partnerships for Food Security, Digital Connectivity and Mainstreaming Trade", contained in document _WT/COMTD/AFT/W/95, and provided updates on their Aid for Trade activities. Updates were also provided by several international organisations regarding their Aid for Trade work. At the 61^st Session, the Secretariat elaborated on the preparations for the Ninth Global Review of Aid for Trade. Back-to-back with the 61^st Session, a thematic workshop on the 2024 Aid for Trade monitoring and evaluation (M&E) exercise was held on 29 April 2024.

7.3.  The Ninth Global Review of Aid for Trade took place from 26 to 28 June 2024. The Global Review comprised more than 60 sessions and was structured along three key themes: food security, digital connectivity, and trade mainstreaming. It also saw the launch of the joint OECD-WTO flagship report "Aid for Trade at a Glance". The main takeaways of the Ninth Global Review of Aid for Trade were shared with Members on 3 October 2024.

7.4.  An informal Session on Aid for Trade was held on 13 November 2024. During that session, the OECD provided a presentation on the Aid for Trade methodology. Members considered a note titled "Aid for Trade in a changing global context".[10]

8  sub-committee on least developed countries

8.1.  Three formal meetings of the Sub-Committee on Least Developed Countries (hereafter the Sub-Committee) were held in 2024, on 25 March (98^th Session), 11 July (99^th Session) and 11 November (100^th Session). The minutes of those meetings are contained in documents _WT/COMTD/LDC/M/98, _WT/COMTD/LDC/M/99 and _WT/COMTD/LDC/M/100^[11], respectively. The meetings were chaired by Ambassador Ib Petersen (Denmark), who was elected in February as the new Chairperson of the Sub-Committee. The delegation of Djibouti acted as the LDC Coordinator throughout the year.

8.2.  The Sub-Committee considered the following subjects: (i) LDCs' trade trends; (ii) UNCTAD's 2023 The Least Developed Countries Report: Crisis-Resilient Development Finance; and (iii) supporting LDCs' trade capacity in services. Under the aegis of the Sub-Committee, two informal experience-sharing sessions on LDC graduation (25 March) and addressing supply-side constraints to boost LDC services trade (11 July) were held in 2024. The 100^th Session of the Sub-Committee took stock of the progress made at the WTO in supporting LDCs' greater participation in world trade, and explored efforts made by development partners to build trade capacity in LDCs.

8.1  LDCs' trade trends

8.3.  At the 98^th Session, a video was presented to highlight LDCs' performance in goods and services trade.[12] The annual note prepared by the Secretariat and contained in document _WT/COMTD/LDC/W/71 highlighted that LDCs' share in world exports of goods and commercial services had increased from 0.95% in 2021 to 1.02% in 2022. The report highlighted a high concentration of LDCs' merchandise exports among a few exporters, sectors, and markets, with 85% of LDCs' exports going to ten destinations.

8.4.  While welcoming the information contained in the note by the Secretariat, Members highlighted that LDCs' share in world exports remained marginal. Some Members underlined the support provided to LDCs through various preference programmes, as well as trade-related technical assistance and capacity building initiatives provided to them.

8.2  UNCTAD's 2023 The Least Developed Countries Report: Crisis-Resilient Development Finance

8.5.  At the 98^th Session, UN Trade and Development (UNCTAD) presented the main findings of the 2023 The Least Developed Countries Report: Crisis-Resilient Development Finance. The report highlighted the financing needs and difficulties faced by LDCs in recovering from multiple shocks, including the COVID-19 pandemic, geopolitical tensions and the climate crisis. The report introduced principles on development and climate finance for LDCs, and emphasized the need for long-term financing to LDCs focused on publicly sourced financing, including Official Development Assistance (ODA).

8.6.  The LDCs underscored the effects of climate change induced impacts, and noted the decrease in funding made available to LDCs through the Enhanced Integrated Framework (EIF) experienced in recent years. LDCs' dependency on exports of raw materials and ODA to finance development needs was also highlighted. It was noted that such dependency increased LDCs' vulnerability to external shocks. Members underscored the development challenges faced by LDCs, including increased debt spending. Some Members highlighted their bilateral support and the assistance provided to LDCs in various areas.

8.3  LDC Graduation

8.7.  At the 98^th Session, the Sub-Committee held a thematic discussion focused on graduation from the LDC category. The Session benefited from the perspectives of LDCs on the path to graduation, graduated LDCs, and development partners. Ambassadors from Angola, Cambodia, Nepal, Samoa and Vanuatu participated in the Session. Representatives from Australia and the United States Agency for International Development (USAID) also shared their perspectives. The Session examined the challenges and opportunities associated with graduation from the LDC category, as well as the efforts undertaken by some LDCs on the path to graduation. The Session also provided an opportunity to explore the support and technical assistance provided by development partners to graduating LDCs.

8.8.  At the Thirteenth Ministerial Conference (MC13), Members adopted a Decision on WTO Smooth Transition Support Measures in Favour of Countries Graduated from the LDC Category (_WT/MIN(24)/34). The Decision, inter alia, instructed the Sub-Committee to continue discussions on the remaining provisions listed in Annex 2 of the LDC graduation proposal contained in document _WT/GC/W/807/Rev.2, with a view to making recommendations to the General Council, if any, by December 2024. On 13 May 2024, the LDC Group submitted a communication contained in document _WT/COMTD/LDC/W/72 with a list of proposed thematic informal sessions to be held in the Sub‑Committee. Thereafter, the Sub-Committee held three informal sessions to examine substantive provisions contained in the communication on the following dates: 21 May, 12 July, and 18 September. Additional sessions may be held to consider proposals to be tabled by the LDC Group.

8.4  LDCs' trade capacity in services – Addressing supply-side constraints to boost LDCs' services trade

8.9.  At the 99^th Session, representatives from the United Nations Economic and Social Commission for Asia and the Pacific (UN ESCAP), the United Nations Economic Commission for Africa (UN ECA), and the International Trade Centre (ITC) provided insights on their efforts to support LDCs enhance their services trade capacity. Support to LDCs included efforts to improve their negotiating capacity, enhance regulatory frameworks, and facilitate digital trade integration. Several technical assistance and capacity building programmes in the area of services trade were also underscored. The challenges associated with LDCs' services trade capacity were also highlighted.

8.10.  At the 99^th Session, the Sub-Committee held a thematic informal session focused on ways to address supply-side constraints to boost LDCs' services trade. The Session benefited from the participation of private sector representatives from Cambodia and Mauritania, as well as representatives from the World Bank, the International Growth Centre, and the Association of Professional Societies in East Africa. The Session explored opportunities for LDCs in the area of services trade, as well as ongoing initiatives to enhance regional integration in Africa. Members underscored the challenges associated with LDCs' productive capacities in services trade, including those related to infrastructure and human capital.

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