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WT/COMTD/SE/M/45  
 
14 November  2023 
(23-7674) Page: 1/19 
Committee on Trade and Development  
Forty -Fifth Dedicated Session    
 
  
NOTE ON THE MEETING OF 19 OCTOBER  2023 
Chairman: H.E. Dr. José R. Sánchez -Fung (Dominican Republic)  
A. ADOPTION OF THE AGENDA  ................................ ................................ ....................  1 
B. INTEGRATING SMALL ECONOMIES INTO THE POST COVID -19 ECONOMY: 
EFFECTS OF THE PANDEMIC, CHALLENGES AND OPPORTUNITIES  ................................ .... 1 
- OPPORTUNITIES AND CHALLENGES FOR SMALL ECONOMIES IN T HE POST 
COVID -19 RECOVERY PHASE  ................................ ................................ ............................  1 
I. Presentation by the Commonwealth Secretariat  ................................ .............................  2 
II.  Presentation by the South Centre  ................................ ................................ .................  3 
III. Presentation by the United Nations Conference on Trade and Development  .......................  5 
IV. Presentation by the World Bank  ................................ ................................ ...................  6 
V. Presentations by Ecuador, El Salvador and Sri Lanka – members of the Group of 
Small, Vulnerable Economies  ................................ ................................ ................................  7 
C. OTHER BUSINESS  ................................ ................................ ................................ .. 19 
 
A. ADOPTION OF THE AGENDA  
1.   The draft agenda for the 45th Dedicated Session on Small Economies of the Committee on 
Trade and Development (CTD), as contained in Airgram WTO/AIR/COMTD/SE/1 7/Rev. 1 of 
9 October  2023, was adopted .  
2.   The Chairman  said that he wished to draw Members' attention to another meeting of the CTD's 
Dedicated Session on Small Economies which w ould be held in just over two weeks – on 
6 November  2023. The draft agenda for this meeting, which was circulated in Airgram 
WTO/AIR /COMTD/SE/18, notably reflect ed a proposal for a Ministerial Decision at the Thirteenth 
WTO Ministerial Conference ( MC13 ) on the Work Programme on Small Economies . This proposal 
would  be circulated shortly by Guatemala, on behalf of the Group  of Small, Vul nerable Economies 
(SVEs) . In addition – and in line with past practice in the run -up to a Ministerial Conference – the 
Dedicated Session w ould consider its draft report to the General Council, with a view to adopting the 
report.  Member s were therefore ente ring a very busy period for the Dedicated Session – and for the 
CTD more generally, whose work w ould also be addressed at the Senior Officials Meeting on 23 and 
24 October  2023. There was only a short period of time between the present  meeting and the next 
meeting of the Dedicated Session on 6 November. Taking into account the heavy workload of the 
CTD Secretariat team during this period, he noted that it m ight not be possible for the minutes of 
the present  meeting to be circulated befo re the next meeting of the Dedicated Session.  
B. INTEGRATING SMALL ECONOMIES INTO THE POST COVID -19 ECONOMY : EFFECTS 
OF THE PANDEMIC, CHALLENGES AND OPPORTUNITIES  
- OPPORTUNITIES AND CHALLENGES FOR SMALL ECONOMIES IN THE POST 
COVID -19 RECOVERY PHASE  
3.   The Chairman  said that , at the Twelfth WTO Ministerial Conference ( MC12 ) in June 2022, a 
Ministerial Decision was taken on the Work Programme on Small Economies. This Ministerial Decision WT/COMTD/SE/M/45  
 
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  could be found in documents WT/MIN(22)/25 and WT/L/1136. The Decision con tained, inter alia , a 
reaffirmation of Ministers' commitment to the Work Programme on Small Economies. Note was taken 
of all the work conducted to date, and the CTD was instructed to continue its work in the Dedicated 
Session on Small Economies under the o verall responsibility of the General Council. The Dedicated 
Session was to continue monitoring the progress of the small economy proposals in WTO bodies and 
in negotiating groups with the aim of providing responses, as soon as possible, to the trade -relate d 
issues identified for the fuller integration of small, vul nerable economies ( SVEs) into the multilateral 
trading system  (MTS) . In terms of future work, instructions were given for the Dedicated Session to 
work on the topic of "integrating small economies  into the post COVID -19 economy: effects of the 
pandemic, challenges and opportunities.  A background note on this topic was prepared by the 
Secretariat in February 2023  and was circulated in document WT/COMTD/SE/W/45. The background 
note was presented at t he last meeting of the Dedicated Session, on 30 March 2023, and formed 
the basis for the discussions that took place among Members. His predecessor  in the Chair , 
Ambassador Canabady of Mauritius, noted as part of her closing remarks that, moving forward, 
Members were agreeable to have experience -sharing presentations and to hear from relevant 
agencies.   
4.   He went on to recall that, after the meeting in March, he had  informally explored with 
delegations – including the members of the SVE Group – how to take the discussions forward in 
concrete terms in the Dedicated Session. Following these informal interactions with delegations, he 
had sent a communication to all Memb ers on 3 July 2023 , proposing that a formal meeting of the 
Dedicated Session be held after the summer break to focus on the challenges and opportunities for 
small economies in the post COVID -19 recovery phase. For this meeting, he had indicated that 
experi ence-sharing presentations would be made by a number of members of the SVE Group. 
Invitations would also be extended to a number of international organizations with observer status 
in the CTD to present their findings on the matter and give information on the support they c ould 
provide to small economies.  This was therefore the background to the present  meeting. The agenda 
for the meeting had  benefited from inputs and suggestions that he had  received from some 
Members.  Presentations would be made by four in ternational organizations: the Commonwealth 
Secretariat, the South Centre, the United Nations Conference on Trade and Development (UNCTAD) 
and the World Bank. He also thank ed Guatemala – the SVE Group Coordinator – for the coordinating 
role in identifying the three members of the SVE Group that w ould make presentations : Ecuador, 
El Salvador and Sri Lanka. Finally, he noted that, a lthough the Secretariat background note had 
already been introduced and discussed at the last meeting in March, it remain ed on th e agenda as 
a reference. If Members wish ed to have another in -depth discussion on the background note, this 
could be arranged for a future meeting.  
 I. Presentation by  the Commonwealth Secretariat  
5.   The representative of the Commonwealth Secretariat  said that 21 of the 33 members of the 
SVE Group were Commonwealth countries. The Comm onwealth Secretariat therefore had a keen 
interest in trade and development issues relating to small economies. He believed that the 
background note by the WTO  Secretariat  was comprehensive in provid ing factual evidence on the 
impact of the COVID -19 pandemic and geopolitical tensions on the trade of small economies , as well 
as the opportunities available  to these countries in the post -pandemic era. The pandemic had struck 
in an already existing context of vulnerability  for small economies. A more comprehensive  and 
proactive  stance was required in order to address existing structural vulnerabilities and create 
resilience. The heavy dependence of SVEs on trade meant that these countries were highly exposed 
to external shocks , as evidenced by the COVID -19 pandemic and  geopolitical tensions. During this 
period, some SVEs like Fiji, Samoa, Tonga and Vanuatu h ad simultaneously experienced natural 
hazards, which had worsened their situation. However, he was of the view that g reater participation 
in global trade and further integration into the MTS could actually help these countries to recover 
and build resilien ce. One issue that had not worked in favour of the SVES was the issue of identity. 
At the Doha Ministerial Conference  in 20 01, Minister s had highlighted the need to note create a 
subcategory of WTO Members . Although discussion had subsequently taken place on identifying a 
number of characteristics to identify SVEs, consensus had not been reached. Some Members had 
felt that these criteria applied to other countries as well. Efforts had been made to include a definition 
of an SVE in the draft Agriculture and Non-Agricultural Market Access (NAMA) modalities, but these 
modalities were not adopted. In this context, it had  become a challenge to provide favourable 
treatment to SVEs. The definitional issue persisted to the present day. He noted in this regard that, 
for the purposes of the background note by the Secretariat , SVEs were  simply identified as the 
members of the SVE Group.  WT/COMTD/SE/M/45  
 
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  6.   He went on to say that developing a WTO SVE Trade Vulnerability Index might help in 
tightening the WTO definition of an SVE , whic h would have several advantages. For example, it 
would h elp to identify  those  countries  whose  share  of trade  did not go beyond  the agreed  thresholds  
of participation  in international  trade , thus removing  the element  of one size fits all. It would help 
in decision -making  based  on transparent  information  that justifie d which  countries  benefit ted from 
the status  of being  small and vulnerable.  In addition, it would help in assessing and monitoring 
whether the targeted countries were benefitin g from the concessions granted and if they were 
moving out of the SVE category. Finally, it could be used to assess the severity of a situation and 
determine an appropriate course of action.  In the meantime, there was a need to examin e the 
possibilities of  using flexibilities in some WTO Agreements to support the design and implementation 
of trade -related measures for small economies' recovery from the COVID -19 crisis and for building 
resilience to future global cris es. Most of these flexibilities had already been identified . He pointed 
as an example to the research  on natural disasters and trade that was undertaken a few years ago .1 
It was important to explore the possibilit y of using these flexibilities to achieve greater policy 
coherence with disaster risk reduction measures and climate change adaptation measures, which 
were some of the issues that made it difficult for SVEs to continue with trade -led growth . He went 
on to say that addressing the developmental issues raised at the D oha Ministerial Conference could 
be helpful in alleviating concerns about pandemic recovery and building resilience in SVEs. Examining 
various avenues was also critical in terms of how best to use trade to support post -pandemic 
recovery and build resistanc e. For example, special and differential treatment ( S&D) in the Fisheries 
Subsidies Agreement could be helpful. Members could also look at agriculture reform in terms of the 
relationship with sustainability and the food crisis. The MTS needed to  consider w ays of forging 
pathways for mutual trade and sustainable development , while identifying trade opportunities to 
facilitate recovery and foster resilience building.  
7.   He believed that the Work Programme on Small Economies provided a good platform for SVEs 
to continue tabling proposals  on issues of interest to them. This could help them in using trade as a 
mitigating tool to address their vulnerabilities. SVEs needed to consider identifying S&D and 
flexibilities that could be provided in the context of the Work Programme on Small Economies. He 
was also of the opinion that other WTO Members needed to reflect on their trade policies and 
practices and consider how best to help SVEs . Support needed  to be targeted to  trade project s that 
would enhance the economic and trade resilience of SVEs. In this regard, he highlighted the 
importance of Aid for Trade. He noted that  Aid for Trade could be targeted to strengthen trade -
related measures in support of post -pandemic recovery and resilience building. Priority areas 
included building robust trade -related infrastructure for greater resilience, especially in the event of 
disasters and other shocks such as the COVID -19 pandemic that affected the movement of goods.  
Enhancing productive capacities was another  important issue . UNCTAD 's work in this area could be 
tapped into. A third priority area was d igitalization , which had also been highlighted in the 
background note by the Secretariat. Turning to the trade -related  support provided by the 
Commonwealth Secretariat to SVEs, he said that research , technical assistance and capacity building 
projects  were handled by the S mall States Office in Geneva , as well as in London. The 
Commonwealth Secretariat collabora ted with se veral other international organizations, including the 
International Trade Centre (ITC), UN CTAD and the WTO.  In addition, several pan -Commonwealth 
program mes had been developed, including the Connectivity Agenda, Blue Charter, Sustainable 
Energy Transition Agenda and Climate Finance Hub, which helped support SVEs. Other resources 
that had been developed included the Fintech Toolkit and the Universal Vulnerability Index. In 
closing, he stressed once again the need for a more comprehensive  and proactive  approac h to deal 
with the pre-existing and structural vulnerabilities that ma de it difficult for SVEs to use trade as a 
basis for recovery and resilience building.  
 II.  Presentation by the South Centre  
8.   The representative of the South Centre  indicated  she wished to start her presentation by 
addressing the notion of mainstreaming the Sustainable Development Goals ( SDGs ) into the work 
of the WTO. She believed that it was important for WTO Members to take into account the trade -
related SDGs in their discussions and negotiations. She noted  that the U nited Nations (UN)  Secretary 
General's recent report on progress towards the SDGs  had found that many of the Goals were 
moderately to severely of f track.  There was a clear backsliding in progress towards achieving the 
SDGs . One observation  when looking at the data collected under the indicator framework of the 
 
1 Information on this work can be found at : 
https://www.wto.org/english/tratop_e/devel_e/a4t_e/researchnaturdisaster_e.htm . WT/COMTD/SE/M/45  
 
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  United Nations to monitor and track SDGs  was that certain regions had been removed, and t he 
remaining regions were limited to small island developing states ( SIDS) and least developed 
countries ( LDCs). One of the practical recommendation s for the SVEs in the WTO could be to ask 
the Secretariat to compile trade -related SDGs and track the progre ss according to the dataset 
presented by the UN's analytical framework.  The South Centre was using available data , including 
on SIDS , to consider whether countries  were on target, how they had performed since 2015, and 
where progress had been made. However , no data was available for a range of trade -related SDGs  
– including  those concerning  fisheries subsidies, and adopting and implementing investment 
promotion regimes, which were topics discussed at the WTO. If there were to be a push to align 
WTO rules and negotiations with the SDGs, then Members would need to take a closer look at the 
trade -related SDGs to ensure coherence and compatibility.  
9.   She believed that the Secretariat background note was comprehensive. One of the key issues 
identified in th e report was the strong exposure of SVEs to financial shocks and economic instability. 
In this regard, s he saw merit in  the SVEs looking favourably at the G90 proposals being discussed 
in the Special Session of the CTD ( CTD SS). She indicated in particular that the G90 had been calling 
for a review of Article XVIII of the General Agreement on Tariffs and Trade (GATT). Sect ion B of 
GATT Article XVIII dealt with balance of payments issues, while Sections A and C dealt with issues 
relating to  infant industr ies. These  proposals addressed some of the difficulties  that SVEs were facing 
and would continue to face if there were no flexibilities  provided in existing WTO rules. The South 
Centre was willing  to give support on these issues if needed.  Another issue raised in the Secretariat 
background note related to the challenges  SVEs faced  with respect to digitally delivered services 
exports , and in particular with higher value -added services. In this regard, she believed that there 
was merit to continue and deepen discussions under the Work Programme on E -commerce  to explore  
why SVEs and other developing countries faced these challenges. Some developed countries could  
also face similar  challenges. She also pointed out that there was a lack of data with respect to cross -
border transmissions, and that it would be important to start looking at the se flows, bearing in mind 
that cross -border flows, data localization  and source code matters  were key issues under digital 
trade negotiations across international trade agreements. On the issue of fisheries subsidies, she 
said that there was an understanding of  the limited diversification and heavy reliance on certain key 
sectors  in some developing countries, including SVEs. This pointed to the structural constraints 
facing several countries. She gave the example of Mauritania , which had one o f the richest fish 
waters in Africa but very little in terms o f a fish industr y. Sardines and other fish species that were 
fished in Mauritania were processed in other countries , which provided substantial subsidies. The 
Fisheries Subsidies Agreement did not impose subsid y reductions on large subsidizers. These large 
subsidizers would continue to reap substantial benefits, which consequently gave very little 
opportunities to the local industry in Mauritania to develop. This was a n important issue that affec ted 
several developing countries, LDCs and SVEs in the fisheries subsidies negotiations. The South 
Centre was quite active in helping these Members formulate textual proposals and articulate their 
interests in the negotiations.  
10.   She indicated that she wished to share an idea in relation to what was happening in the area 
of trade and environment. She noted that a number of SVEs had joined the Trade and Environmental 
Sustainability Structured Discussions (TESSD). Following from on -going  discussions in this forum, 
there was an increased impetus to pursue negotiations and discussions on environmental goods and 
services. However, w hen look ing at the composition of the economies of SVEs, one could question 
whether these economies would reall y have major offensive interests in trading environmental goods 
and services at the moment. A suggestion by the South Centre was to focus on a multilateral trade 
and environment cooperation framework in the WTO, rather than on purely mercantilist interests  
associated with environmental goods and services. The South Centre was proposing to look at certain 
elements  in relation to the integration of trade -related SDGs into this cooperation framework. This 
would contribute to the enhancement of knowledge sharin g and capacity building, and to narrowing 
the gaps and promote greater policy alignment. Among other things, the issue of non-tariff measures 
(NTMs ) could be addressed; transparency and accountability in the extraction and trading of raw 
materials could be  enhanced; productive capacity would be fostered; food sovereignty and 
agricultural issues could be addressed; supply chain transparency would improve; and the 
capabilities of developing countries  – includin g SVEs and LDCs – would  be strengthened . These we re 
the few ideas that she wished to share at the present meeting. In closing, she said that the South 
Centre had a unique status in terms of its convening power to bring together developing countries  
and help build developing country coalitions. It was alw ays willing to support SVEs to advance their 
agendas.  WT/COMTD/SE/M/45  
 
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   III. Presentation by  the United Nations Conference on Trade and Development  
11.   The representative of UNCTAD  said that the crisis caused by the COVID -19 pandemic was 
unique. It was not only a health crisis but  was also a  social crisis , an economic crisis  and a food 
security crisis. In addition , unlike most crises, it was not triggered by events  in the financial s ystem. 
Furthermore,  the impacts of the crisis were likely to be permanent  in many respects . Because the 
crisis was unique, it was necessary to go beyond normal prescriptions in terms of finding  long-term 
and durable solution s to the problems that countries  were facing. He added that the socioeconomic 
impact of th e crisis had been asymmetric , as small economies were disproportionately  affected . One 
reason was because they had less resources and less capacity to respond to shocks. Another reason 
was that they depended on very highly exposed sectors  like commodities  and tourism. In 2020, 
output in small economies declined by about 8.7% , compared to an average growth of 3% in the 
period 2015 to 2019. The cost of the crisis therefore amounted to about 12 percentage points in 
terms of growth in just one year. Th is was much larger than the contraction of 6 percentage points 
experienced by the  global economy as a whole. Small economies' merchandise exports  fell by 11% 
and services exports by 47%. The debt service ratio rose from an average of about 6.4% in the 
period 2015 to 2019 to 7.3 5% in 2021. The crisis also had consequences for income dis tribution in 
small economies , as the s hare of top 10%  in income rose from 0.48 in 2019 to 0.50 in 2021 . 
12.   Turning to the challenges  faced by small economies , he said that one obvious challenge was 
how to diversify production and exports to reduce vulnerability to external shocks. Most small 
economies were heavily dependent on either tourism or commodity exports. Commodity exports 
tended to have very volatil e terms of trade. Although  commodity export s could lead to high growth , 
the sustainability of that growth was difficult , as commodities tended to have a very low-income  
elasticity of demand. The opportunities for export market expansion with commodity exports  were 
low. Diversification was therefore needed in order to have sustained growth over a long period . 
Another challenge was related to  external debt. Due to a number of factors, s mall economies were 
highly indebted. One reason was a heavy import dependen ce, which cau sed large trade deficits. 
Small economies also tended to face high debt service costs , as their risk premium tended to be 
high compared to other economies.  Furthermore, due to the cost of adaptation to climate change, 
small economies were borrowing quite a  lot. A significant amount of expenditure had also t aken 
place in responding to the COVID -19 crisis, which had increased debt levels. A third challenge faced 
by small economies was how to harness the benefits of the digital economy. He explained that 
digitalization was becoming increasingly important, both in terms of e -commerce and in terms of 
the functioning of the labour market. Small economies generally had weak digital infrastructure. 
There was also the issue of a lack of digital inclusion in some smal l economies. He went on to say 
that one of the policy challenges faced by small economies was how to strike the right balance 
between addressing short -term consequences and the longer -term consequences. The short -term 
consequences could be summarized in terms of declining economic growth. The long -term 
consequences could be looked at in terms of declines in human c apital formation and  in productive 
capacity. In many  countries, it was also difficult to prioritize between protect ing jobs or protect ing 
income. If the focus was on protecting jobs , economic recovery in the short run would be easier . 
However , this also  prevented the structural changes that were necessary in an economy to have a 
long-term recovery. Income protection made recovery difficult in the short run  but facilitated long 
term recovery through structural change . 
13.   With regard to  opportunities for small e conomies, he said that the crisis  had raised awareness 
of the need to reduce dependence on food imports. As an example, he said that the government in 
Trinidad and Tobago had  made significant investments in the agricultur al sector, which had led to a 
shift in local food production. Changes in consumer behaviour  had also been observed , which had 
result ed in a reduction of food waste  and more consumption of local products. Another opportunity 
concerned transform ing the travel industry , for example by making tourism more sustainable  
through harness ing the potential of areas such as eco-tourism, health tourism  and wildlife tourism.  
Increasing attention was also being paid to enhanc ing productive capacities and accelerat ing 
economic diversification . He expla ined that enhancing productive capacities was not only about 
creating new capacities , but was also about making better use of existing capacities . Leapfrogging 
into the digital age was a further opportunity provided by the crisis. In this context, he highl ighted 
the need to enhance digital infrastructure , to promote digital education and training , and to support 
startups and the growth of firms in the technology sector. He added that the crisis had also served 
as a strong catalyst for climate action. Severa l lessons had been learned, including the need for 
green and inclusive recoveries.  WT/COMTD/SE/M/45  
 
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  14.   In terms of policy options, he said that c ountries had to strike the right balance between 
addressing the short -term and long -term consequences of the crisis. Policymakers needed to resist 
the temptation to focus on short term recovery while ignoring long term issues. An effective 
post-pandemic recovery also required revisiting development strategies  for small economies.  This 
included reducing dependence on tourism and extractive industries, developing knowledge -based 
industries , and better exploit ing the potential of the blue economy.  In addition, small economies 
needed to  build better linkages  between local farmers, fishers and the tourism industry . He gave the 
example  of Vanuatu , where it had been found that hotels were import ing food that was already 
produced in the country. This was because there were no strong linkages between the agricultural 
sector and the tourism industry. To change the situation, the government needed to increase support 
for meeting quality standards . The hotels would then have confidence that the quality of the products 
from local farmers was as good as the ones being imported. It was also necessary to invest in co ld 
storage and transportation i nfrastructure. Finally, he pointed to the need for the international 
community to provide better access to concessional finance for SVEs.  Turning to the support that 
UNCTAD was providing to small economies, and in particular to SID S, he said that support was 
available to build resilience to shocks. This was done through research and training on diversification, 
developing and measuring productive capacities, and enhancing connectivity and reducing transport 
costs.  He highlighted in p articular the Product ive Capacity Index that UNCTAD had developed. A 
second area where UNCTAD was providing support was in terms of harnessing digital identity.  In 
this regard, he said that UNCTAD had recently organized an online course on data protection,  
governance and risks . Finally , he said that UNCTAD was facilitating dialogue on development 
strategies for SIDS. An expert meeting on this subject was organized in October 2022. A  report on 
development strategies for SIDS  had been published jointly with t he Commonwealth  Secretariat . 
UNCTAD had also just released a publication on aligning economic development and water policies 
in SIDS.  
 IV. Presentation by the World Bank  
15.   The representative of the World Bank  indicated that her presentation would deal with 
overlapping crises and multiple challenges in small states. She said that the World Bank's definition 
of a small state was any country with a population of less than 1.5 million. This included 40 countries 
around the world. Of these 40  countries , 35 were emerging market and developing economies 
(EMDEs). Her presentation would focus on the se 35 EMDEs.  In 2020, a ggregate GDP in these 
countries fell by nearly 12%. This was by far the largest decline relative to o ther global recessions 
in the past 40 years. Small states also experienced a far deeper recession than other emerging 
markets , where output fell by only 1.5% in 2020. One key reason for the severe downturn and 
prolonged recovery in small states was the imp act of the pandemic on tourism. As fears about 
traveling took hold and international travel was restricted, global tourist arrivals plummeted. For 
small states , where tourism revenue averaged close to 20% of GDP or more , this collapse of tourism 
activity led to severe economic loss es. It would be three years before  tourism arrivals recovered to 
approximately where they were prior to the pandemic. The shock of the pandemic was followed by 
two further shocks. As the global economy reopened after the worst par t of the pandemic, inflation 
surged . Prices jumped higher again due to the effects of Russia's invasion of Ukraine on commodity 
prices. The median inflation in small states jumped from about 1% prior to the pandemic to about 
8% in mid -2022. Inflation in th ese countries continued to be  well above the long -term average.  
Small states were very open economies and imported much of what they consumed . They were  
exposed not only to increase s in prices of goods , but were also disproportionately affected by the 
rise in shipping costs. Food and fuel imports together averaged about one -sixth of GDP in small 
states, substantially more than in other EMDEs. When the war in Ukraine occurred and led to steep 
rises in food and energy prices, these items  disproportionately increased price s in small states. Even 
as inflation eroded purchasing power in these countries, the rise in inflation globally g ave way to  the 
next global shock , which was related to the abrupt tightening in financing conditions.  
16.   The rise in borrowing costs was magnified by the fact that debt loads grew substantially in the 
lead-up to the pandemic over a long period. In the decade between 2012 and 2022, the share of 
small states with government debt above 70% of GDP rose from about one -third to nearly one -half. 
The World Bank and International Monetary Fund ( IMF) debt sustainability assessments for small 
states in recent years indicated that 17 countries were at high risk of debt distress or already in debt 
distress. As of early 2023, one in five EMDEs  had bond spreads above 10  percentage  points. Many 
EMDEs  were essentially priced out of debt markets. In terms of current account deficits, s mall states 
were already in a worse position than EMDEs prior to the pandemic. They had an average cur rent 
account deficit of about 5%, which widened to about 8% during the pandemic as exports were WT/COMTD/SE/M/45  
 
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  compressed.  The World Bank's forecast for growth in small states as of June 2023 was about 3.7% 
for 2023 and 3.4% for 2024. Although these rates of growth were a little higher than the 20 -year 
average before the pandemic, the recovery from the pandemic had been slow in small states relative 
to other EMDEs. Small states were projected to regain their 2019 level of output only in 2023, while 
other EMDEs had already reached this level in 2021, one year after the worst economic impact of 
the pandemic. Moreover, for small states, the economic challenges associated with the pandemic 
followed a long period of sluggish growth. Small stat es in the  Latin American and  Caribbean  region 
lost ground relative to advanced economies in terms of per capita GDP over time. Small states in 
East Asia and the Pacific had made no progress in income convergence over the past 20 years.  
17.   With regard to poli cy priorities, she said that policymakers in small states would need to 
address several macro -fiscal challenges in the near to medium term. They would also need to take 
action to offset human capital losses during the pandemic. The employment losses experi enced were 
not unique to these countries, but they risk ed leaving long -term damage. Whe n people lost their 
jobs completely or shifted into the informal sector, there was a high risk of skills erosion and reduced 
productivity with an ultimate impact on redu cing lifetime earnings for workers. In addition, 
policymakers would need to work to offset the education losses incurred through the extended period 
of school closures. These losses  were likely to weigh on human capital in the long term, particularly 
in terms of limiting potential growth.  She went on to say that o ne of the biggest vulnerabilities small 
states faced was  related to climate change and natural disasters. As a group, these countries 
experienced about 14 natural disasters per year on average in t he 15 years through 2021, compared 
to about 8 disasters in the 15 years through 1990. These events  had caused damages and losses 
equivalent to about 4.8% of GDP per year on average since 1990 , which was a much larger amount 
than what had been experienced b y other EMDEs. In some cases, these disasters left losses and 
damages worth multiples of GDP. Buffering the impacts of climate change and natural disasters 
would  require substantial additional investment. It was estimated that b uilding resilience to climat e 
change and putting countries on track to reduce emissions by 70% compared to the current levels 
by 2050 would require an additional investment of between 1% to 5% of GDP annually through 
2030. One area where small states had good potential was on renewab le energy development. Small 
states had made less progress than other EMDEs with regard to developing renewable energy 
sources. Only 10% of energy consumed was from renewable sources in the median small state, 
compared to about 20% in other EMDEs. Shifting from fossil fuel -based energy to renewables could 
not only help small states ad here to national development plans and  create a more sustainable 
future, but would also provide an important buffer against  the price volatility that these countries 
experienced in terms of imports of oil and gas.  
18.   Small states also grappled with economic c oncentration in both production and exports, which  
contribut ed to high volatility in growth rates. The limited size of domestic markets made it difficult 
to generate the economies of scale that were possible in larger economies. During the decade  leading 
up to the pandemic, small states  made very  little progress in diversification. This was therefore an  
area where there was  a lot of potential for movement , including with regard to diversification within 
a sector. Another area that could be prioritized throu gh policy was digital connectivity. Distance was 
a barrier to trade integration in most remote small states, especially in the Pacific, and digitalization 
could help overcome this barrier in a variety of ways.  Turning to  the World Bank's support to small 
states, she said that most financing to these countries was provided through the International 
Development Association (IDA). Flows to small states  had increased steadily over the past five fiscal 
years to USD 4.7 billion in th e most recent fiscal year endi ng in June  2023. The World Bank's 
priorities for small states included enhancing development finance, fostering private investment and 
diversification, developing innovative disaster and climate financing mechanisms  – including a Crisis 
Response Window accessible for response to disasters , as well as  a Catastrophe Drawdown Option 
to provide liquidity immediately after a disaster – and strengthening government capacity.  
 V. Presentations by E cuador, El Salvador and Sri Lanka  – members of the Group 
of Small, Vulnerable Economies2 
19.   The representative of Ecuador  indicated that her region h ad great potential for trade in goods 
and services, particularly in relation to natural resources. Countries of the region were major 
producers of sustainable and organic foodstuffs. However, the region face d many challenges, 
including inequality, economic sustainability and stability, access to technology financing, technical 
 
2 These presentations as reflected in the minutes  are based on the speaking notes provided to the 
Secretariat by the delegations of Ecuador, El Salvador and Sri Lanka.  WT/COMTD/SE/M/45  
 
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  assistance, capacity building, and investment in infrastructure and logist ics. According to data from 
the United Natio ns Economic Commission for Latin America and the Car ibbean ( ECLAC ), the value 
of regional goods exports grew by an estimated 20% in 2022, fuelled by a 14% price increase and 
6% expansion in the volume of goods ex ported. Meanwhile, trade in services in the region recovered 
significantly, growing by 45% in the first half of 2022 compared to the same period in 2021. This 
was due primarily to renewed tourism activity. In terms of main post -pandemic opportunities and 
challenges, she pointed firstly to inflation. The current global economic conditions were exerting 
inflationary pressures on consumer products, particularly food, leading to restrictions both in terms 
of demand and supply of products available to be traded globally. The shortage of foreign investment 
and sources of international financing were slowing down post -COVID -19 pandemic recovery very 
significantly. The pandemic posed a serious challenge for the Ecuadorian business community, with 
both an increase in  prices of capital goods and imported inputs and a reduction in global demand 
that affected national export flows. In response to this shock, the Ecuadorian Government 
implemented a proposal for reform of 667 tariff lines  – particularly for commodities, in puts and 
capital goods – in order to improve living standards for the people of Ecuador and bolster the 
country's agricultural and industrial competitiveness.  Preferential trade access was also needed, 
especially to markets in closest proximity, in order t o increase logistical efficiency and broaden the 
client base. In agricultural supply chains, it was important to address drivers of international trade 
facilitation, such as modernization of health procedures and reduced tariff barriers. When it c ame to 
recovery in international demand for Ecuadorian products as well as promotion of foreign 
investment, Ecuador ha d been working intensively to seek new generation and conventional trade 
agreements as a means of fostering sustainable development and inclusive e conomic growth. 
Agreements ha d been successfully concluded with three of the country's major trading partners : 
Costa Rica, China and the Republic of Korea.  
20.   Logistics costs for exporting goods from Ecuador were estimated to have increased by 25% 
since the p andemic as a result of a shortage of maritime transport quotas, fuel prices and the 
suspension of certain routes. In view of the high export volumes involved, the agro -industrial sector 
was among those most affected. The challenge was to transform and adap t operations in order to 
optimize resources and cut costs and/or to focus exports on customers in countries closer to Ecuador. 
Local capacity  needed  be developed and the geographical net needed to  be cast less widely. To 
address these challenges, Ecuador, as President pro tempore of the Andean Community during the 
period 2021 -2022, spearheaded Decision 894 at Andean level. The Decision enable d member 
countries to disregard transport and related cos ts when calculating the taxable base for the levying 
of tariffs, with a view to providing relief to traders, producers and consumers in the Andean 
Community member countries.  The pandemic made Ecuador reali ze the importance of closing the 
digital divide th rough a sustained push for public policy -making to update regulatory frameworks 
and make them attractive for telecommunications investment. The country pinpointed the need for 
improvements in workflow digitalization and automation in order to bring about s upply chain 
efficiency. Examples include d connection to markets (e -commerce), identification of supply and 
producers (digital registers), and streamlined official services for foreign trade operations 
(ECUAPASS platform). Improvements were also needed in l ogistics infrastructure (technological 
transformation). Efforts were made to develop regulatory frameworks allowing for the development 
of e-commerce at the regional and multilateral levels. Work undertaken in the Andean Community 
and the Latin American In tegration Association (LAIA) ha d led to public policy instruments aimed at 
digital transformation, infrastructure and connectivity, digital talent, the digital economy and new 
technologies for sustainable development, for which comprehensive financing proj ects were 
required. During 2022, investment in telecommunications infrastructure in Ecuador amounted to 
USD 900 million. This was provided by the private sector under state supervision. In addition, 
between December  2022 and February  2023, legislation such  as the Law on Fintech and the Law on 
Digital and Audio -visual  Transformation was adopted . This facilitat ed the arrival of international firms 
and new digital services, with broadband internet made available to citizens in even the most rural 
and remote ar eas of the country.  
21.   In the wake of the pandemic, more stringent health measures ha d been put in place, while 
there was a greater consumer focus on sustainability. There was a need to transform food systems 
and supply chains so that they were able to meet p ublic health requirements, with emphasis on 
safety guarantees. They need ed to be adaptable and sustainable, while at the same time rapid and 
flexible enough to allow just -in-time supply. Such systems needed to  be traceable and certifiable. 
However, there was a number of challenges in this area . These includ ed: (i) the existence of 
stringent environmental standards that pose d a significant risk to the global commodities market , 
since they c ould lead to complications at the start of the chain that were not re warded by the WT/COMTD/SE/M/45  
 
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  customer/consumer. If thi s was  not taken into account, the end effect could  be the opposite of what 
was intended; (ii) the need to promote gradual processes, as the circumstances of each country and 
each sector were different; (iii) the recog nition of shared value throughout the chain, as the 
implementation cost to the producer was not recogni zed and the consumer was not willing to pay 
more; (iv) the compliance with international environmental, labour, sanitary and phytosanitary 
regulations for export, and compliance with commitments under international conventions; and 
(v) the integration into global and regional value chains for clusters/sectors of production, fostering 
diversification of Ecuador's exports into higher value -added products. Ways needed to  be found to 
cooperate in order to narrow the divide between countries and generate public policy for trade 
facilitation. Ecuador ha d therefore declared facilitation of international trade and the promotion and 
attraction of inves tment as a priority public policy area, with a view to promoting competitiveness, 
good regulatory practices and the simplification, efficiency and transparency of administrative 
processes. This policy ha d been implemented via various work streams, includin g a National 
Competitiveness Agenda to support a green transition and social inclusion, encompassing aspects 
such as the creation of a "quality school"; programmes for the development and promotion of small 
and medium -sized enterprises  (SMEs) , the establis hment of productive round tables and a National 
Quality Plan. Ecuador was also implementing the Más Pymes para el Mundo  (More SMEs for the 
World) strategy. This brought  together a suite of tools to link Ecuadorian SMEs to local and 
international markets, a s well as to channels for financing and investment and to innovation and 
digitalization support. Systemic work by the various stakeholders within the ecosystem underpin ned 
the strategy, together with efforts to foster human talent.  
22.   Local supply capacity also needed to be strengthened. The pandemic brought to light the 
agro-industrial sector's dependence on the international supply chain, particularly for the provision 
of fertilizers, containers, packaging, and other agricultural and food -processing inputs. The country 
had set itself the challenge of bolstering local production of food and inputs and promoting the 
transition towards production systems that were less dependent on imports and their concomitant 
impact on cost structure. To address this challenge , a dialogue need ed to be engaged with countries 
of the region in order to analy ze possible actions that could be undertaken within integration 
organizations in a facilitating role. In the case of fertilizers, Ecuador , as a member of the Andean 
Community,  was involved in analyses of fertilizer supply  – the aim being to reach out to potential 
suppliers with a view to possible grouped purchasing.  In addition, t rade in services need ed to be 
fostered. Tourism was a key to many countries' post -pandemic economic recovery and strategies  
and therefore need ed to be developed and promote d. An example of a tourism project developed 
and implemented in the country was the digital nomad visa, which enable d foreign travellers who 
worked remotely to do so from Ecuador for up to two years while they discover ed the country, 
thereby injecting resources into the national economy as they travel led around. Furthermore, in 
order to offer a solution to the various interconnected problems laid bare during the pandemic su ch 
as climate change, depletion of basic resources and poverty, there was a need to bring about a 
transition towards sustainable, efficient and highly productive models. As of 2022, the total number 
of sustainability -related funds worldwide stood at 7,012,  18% more than in 2021. Europe le d the 
way in terms of the number of sustainable funds, followed by the United States  and China. These 
represent ed a major source of resources for projects in this sector, with a variety of instruments 
traded on the market s uch as sustainable bond markets, green bonds and social bonds . Carbon 
markets, where financial instruments were traded on the basis of the reduction or avoidance of 
greenhouse gas emissions , were also important .  
23.   Ecuador was committed to bringing about thi s transition and to that end was developing 
initiatives such as the Circular Economy White Paper and the National Sustainable Bioeconomy 
Strategy, a turning point in enhanced public policy in the field of bio  economics. These initiatives 
include d an assess ment of the current state of play in Ecuador's bioeconomy; an identification of 
opportunities, goals, strategic objectives, strategic actions and relevant stakeholders; and a 10-Year 
Agenda to turn the bioeconomy into an enabler of national development. In  addition, the law 
establishing the redeemable tax on non -returnable plastic bottles (August  2023) allow ed 25,000 
Ecuadorian recyclers to continue charging USD  0.02 for every plastic bottle recovered. The Ecuador 
Carbono Cero  (Zero -carbon Ecuador) programm e and its National Greenhouse Gas (GHG) Emissions 
Offset Scheme  include d technical guidelines and criteria for GHG emissions offsetting through 
voluntary measures and actions (mitigation initiatives), with a view to reducing emissions and/or 
removing GHG e missions. Domestic or international proponents of private, community -based or joint 
initiatives were thereby encouraged towards a transition based on a public technical standard.   WT/COMTD/SE/M/45  
 
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  24.   The region also offered great potential for renewable energy generation such as solar and 
wind power, and with it a possible boost to exports of clean technology and energy. The main 
constraints in this area include d: (i) the highly limited fiscal space as tax revenues of govern ments  
in the region  were structurally low, limiting the availability of resources to finance the region's 
development agenda, including the green transition; (ii) the major skills limitations that were a 
significant hindrance to investment in green economy  industries; and (iii) the shortage of qualified 
personnel in green industries. It was essential to develop new educational programmes to build the 
skills necessary to overcome this shortage. Actions to be taken include d: (i) the search for financing 
for sustainable projects in the region; (ii) investment for technology transfer; (iii) access to capital; 
(iv) investment for the development of sustainable infrastructure such as renewable energy and 
clean transport, which could  strengthen the region's positio n as a provider of green services and 
technologies; and ( v) international cooperation to address global challenges related to sustainable 
investment and climate change. Countries could  seek alliances and agreements that encourage d 
sustainable investment. E cuador was a trusted partner of, among others, the World Bank Group, the 
European Union, German International Cooperation, the World Economic Forum and the 
Italo-Ecuadorian Fun d for Sustainable Development. However, it continue d to seek international 
coope ration in order to further develop programmes and projects in this field.  A further challenge 
for the post -pandemic recovery was the limited fiscal space, as well as the financing needed to meet 
the budgetary costs of the country's drive for sustainable de velopment. This problem need ed to be 
tackled through cutting -edge innovation in policy -making and harnessing new financial tools. 
Ecuador ha d undertaken the world's largest debt -for-nature swap, issuing a blue bond that w ould 
channel USD  12 million per ann um into conservation of the Galapagos Islands, and USD  5.4 million 
per annum into the creation of a marine conservation fund. Ecuador had bought  back approximately 
USD 1.6 billion of national debt at roughly 60% discount, with the help of Crédit Suisse. Th e 
USD 656 million "Galapagos Bond" w ould run until 2041 with an interest rate of 5.645%. The new 
bond ha d a USD  85 million credit guarantee from the Inter -American Development Bank and 
USD 656 million of political risk insurance from the U nited States International Development Finance 
Corporation, making these assets less risky than traditional bonds.  
25.   The representative of El Salvador  said that she would share some information on the 
Salvadoran economy between 2020 and 2022 . This would include information on the main measures 
implemented during the COVID -19 crisis and the opportunities and challenges for economic growth 
post COVID -19. She indicated that she would start by provid ing some information about the effects 
of the pandemic on the Salvadoran economy. In 2020 , production was down 7.9% from the previous 
year; private investment totalled USD 3,753 million, which was a 9% fall from 2019; goods exports 
totalled USD 4,805 million , down 19% from 2019; service s exports were 35% lower compared to 
2019, standing at USD 2,154 million in 2020; and with regard to employment, the lowest number 
of social security contributors was recorded in June, with 661,024 enrolled in the Pension Savin gs 
System (SAP). Conversely, in 2021, the Salvadoran economy enjoyed a strong and quick post -
COVID -19 recovery  with a record economic growth of 11.2%; a record growth of 37% in private 
investment; and a record growth of 37% in exports of goods and services . By April 2021, all of the 
jobs lost due to the pandemic had been recovered, as measured by contributors to the SAP. By the 
end of 2021, there was a 172% recovery rate in formal employment that had been affected by 
COVID -19 with a growth of 27% in remitta nces. In addition, at the end of 2022, El Salvador reported 
economic growth 2.6% higher than the historical average; private investment hitting 18% of GDP 
for the first time, with a high of USD 5.9 billion; record growth of 39% in exports of services, with  
total exports valued at more than USD 4.4 billion; merchandise exports saw growth of 11% , topping 
more than USD 7 billion; there was growth of 72% in exporting sectors; and employment growth of 
7%, based on contributions to the Salvadoran Social Security  Institute (ISSS). November saw the 
number of contributors to the ISSS climb to a record high of 970,880. According to the Multipurpose 
Household Survey (EHPM), unemployment stood at 5%, which was the lowest rate to date. 
El Salvador had the 5th lowest rat e of inflation in Latin America and was ranked 37th out of 
100 countries at the global level.  
26.   One of the  main measures  taken during the crisis was compensating the income shortfalls of 
vulnerable families. The m ain objective of the measure was to compensate the income shortfalls of 
Salvadoran families who found  themselves living temporarily in situations of vulnerability or whose 
situations could beco me worse. The a ctions taken  included  compensation grants ( bono de 
compensación ) worth USD 300; more than 800,000 people received economic compensation 
vouchers for food; USD 50 million per month was allocated for delivering 1.7 million food packages; 
grant s worth USD 150  were available  for all employees of government institutions working during 
the crisis. Payment deadlines were  also extended . There was a moratorium on the payment of water, WT/COMTD/SE/M/45  
 
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  electricity and telecommunications bills , and  a moratorium on the p ayment of taxes . Relief was 
provided for non -performing loans , with the creation of a special emerging line of credit for working 
capital through banks with national funds . A Trust Fund for the Economic Recovery of Salvadoran 
Companies (FIREMPRESA)  was set up with USD 600 million to be channelled directly to 
entrepreneurs from micro, small and medium -sized enterprises ( MSME s) and the informal sector 
through three programmes : (i) USD 360 million for granting soft loans to help with business 
recovery; (ii) US D 100 million for productive financing for the informal sector; and 
(iii) USD 140 million MSME employment subsidy (50% of the payroll for up to two months).  
27.   With regard to p rice stability and supplies , the m ain objective  was to  maintain price stability 
and the supply of essential products, in order to support the household economy. Actions taken  
included market surveillance (prices and inventories) in order to deter speculation; price setting for 
essential products; a temporary export and re -export restriction on red beans; a temporary 
exemption from the payment of import tariff duties and value -added tax on purchases of staple 
grains; temporary elimination of the Central American Tariff on imports of essential foodstuffs , 
medici nes to treat respiratory illnesses and hygiene and cleaning products; and measures to ensure 
the flow of goods across borders and to facilitate the remote completion of formalities. Other actions 
taken included  measures within regulatory frameworks . Effort s were made to expedite the Law on 
Facilitating Non -Commercial Online Purchases  and the Law on Employment Protection , as well as 
the trust fund for implementing this law. Technical assistance  and information was provided to 
companies . This include d advice and guidance for companies on their import and export processes . 
In terms of p roductive innovation , a virtual programme to develop the e -commerce digital skills of 
MSMEs  was implemented. Technical assistance was also made available to identify and prototyp e 
comprehensive innovative product and service solutions, in order to tackle the pandemic.  After the 
crisis, El Salvador was able to enjoy sustained growth. This growth was underpinned by 12 key 
pillars identified at the government level, which ultimately aimed to create good -quality jobs and 
foster well -being. Collectively, these pillars create d the ecosystem for inclusive and sustainable 
economic growth. Each of these pillars ha d been translated into specific actions that were being 
undertaken by different government agencies. The pillars represent ed opportunities for El Salvador, 
and concrete progress ha d been made in areas such as trade facilitation, investment facilitation and 
digitalization.  With regard to trade facilitation, she indicated that  she would highlight some 
milestones reached by 2022 under the National Trade Facilitation Plan. More than 100 measures 
were successfully implemented in 2020, 2021 and 2022. The 2022 work plan comprised 29 
measures. In 2022, at least 90% of the measures we re implemented. More than 45,000 users ha d 
benefited from it.  
28.   She next turned to the National Trade Facilitation Strategy 2023 -2027. The annual plan for 
2023 contain ed 32 measures, which involve d more than 90 actions primarily aimed at improving the 
logistics infrastructure, eliminating domestic red tape and expediting border crossings, all by 
harnessing technology. More than 17 institutions and 7 trade associations were involved in these 
measures , which were l ed by the Trade Facilitation Committee  and s pearheaded by the Ministry of 
Economic Affairs and the Department for Trade and Investment. The Committee ha d received a 
sustainability score of 73% by UNCTAD . The six p illars were: (i) streamlining and digitalization of 
procedures; (ii) modernization of log istics infrastructure; (iii) coordinated border management; 
(iv) modernization of the legal framework for foreign trade; (iv) transparency and availability of 
information; and (v) management of human talent. She went on to say that a  ferry between 
El Salva dor (Port of La Unión) and Costa Rica (Caldera Port) ha d been operating since 
10 August  2023. The Ministry of Economic Affairs was part of the government team aiming to 
collaborate with Costa Rica to facilitat e trade in the region. The Blue Wave Corporation ha d emerged 
as a pioneer in the transport of goods in Central America. This milestone was part of the work under 
Pillar 2 of  the National Trade Facilitation Strategy 2023 -2027, with a view to creating a new 
multimodal tra nsport route for exports and imports. The b enefits for the economy  included 
facilitat ing trade at the Central American level; cut ting customs controls from six to two , including 
reduc ing immigration  and sanitary and customs formalities; prevent ing heavy tr affic at border posts; 
transport ing cargo  more securely; and saving on expenses  like truck depreciation.  
29.   As of May 2023, the main achievements included the success of the Programme for the 
Simplification and Digitalization of Procedures . This had contribut ed to the  simplification of over 600 
procedures . Furthermore, 417 procedures had been simplified with the average time reduced by 
60%, and at least 40 procedures h ad been aligned , thereby reducing the total number of procedures 
in the country . Other contri butions included 152 procedures that could be  decided for the user within 
one day; over 170 procedures digitalized and simplified; and seven information technology ( IT) WT/COMTD/SE/M/45  
 
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  systems completed. In addition, actions were taken  to, inter alia : (1) Cut red tape. Th is was part of 
the programme to facilitate procedures, which  had so far  been applied to more than 600 procedures 
and had resulted in the digitalization of 100  procedures . For example, El Salvador was launching the 
Procedure Streamlining System of the Investment Directorate (SADI), which w ould simplify and 
facilitate procedures for investors. Under this system, procedures were 100% digital and responses 
were issued with a certified electronic signature that was legally valid, with the aim of saving pape r; 
(2) Offer a p ersonalized service to businesses ; (3) Implement measures to stimulate investment 
growth , for example, the creation of English -speaking talent for the call -centre sector ; (4) implement 
a nearshoring or relocation strategy. The aim of this s trategy was to position El Salvador as a 
destination for relocation within the region . This would be done  by approaching investors, and 
promoting the country as a destination for investment and interinstitutional cooperation to 
streamline procedures for ma jor projects. Turning to issues relating to e lectronic signature , she said 
that the Central Reserve Bank was becoming a service provider. In addition to the Bank, the country 
already ha d three e -signature providers. Since 2021, the team from the Ministry o f Economic Affairs 
had been working on accreditation to allow businesses to provide electronic signature and seal 
services. The results from the work of the Electronic Signature Unit  including the following : 1) 31 
government institutions were using the sim ple and certified electronic signature; 2) 85 businesses 
were using the simple and certified electronic signature; 3) over 2,000 businesses had been trained 
in the use of e -signatures; and 4) over 15,000 participants had been trained in the use of electronic 
signatures. The sectors  involved were the financial, telecommunications, insurance, pensions, 
services, industry  and technology  sectors.  
30.   She went on to say that a  strategy ha d been developed to promote El Salvador as a key 
relocati on destination for businesses seeking to strengthen their regional value chains . This was 
done by offering support for investors and interinstitutional cooperation, and by harnessing advances 
in the simplification and digitalization of procedures. The sect ors that had  been prioritized  were 
textiles and clothing; digital technologies and  business process outsourcing ; pharmaceuticals and 
medical inputs; light manufacturing; and logistics. The a dvantages of nearshoring in El Salvador  
includ ed the synchronizati on with times zones in the United States; a strategic location and modern 
infrastructure that connect ed easily to the rest of the world; land, sea and air infrastructure capacity 
as a logistical hub; and a dollarized economy, with very low levels of inflat ion and a strong financial 
system. An analysis of trends in different sectors was being conducted with a view to  updating the 
normative frameworks to provide legal security and boost businesses.  She next turned to the Digital 
Nation programmes , which she e xplained sought to strengthen the ecosystem for exports and 
investment in digital and technological services, with a view to position ing El Salvador as a 
competitive exporter of digital services and a destination for technology -based investment, in line 
with the Digital Agenda 2020 -2030. The main results include d the following: 1) m ore than 20,000 
people  had been  trained in digital skills in partnership with Coursera, Microsoft and others ; 2) a Law 
on the Promotion of Technological Innovation and Manufacturing  had been approved ; 3) a 
Technological Skills Council with 11 of the country 's leading digital companies  had been created ; 
and 4) 100 businesses were registered as service providers in the crypto ecosystem.  
31.   A specific measure taken by Presiden t Bukele was the Agreement between El Salvador and 
Google, under  which the General Law on the Digital Modernization of the State was approved  on 
5 September 2023. This w ould facilitate implementation of the Agreement between El Salvador and 
Google. It esta blishe d the provisions enabling government institutions to access all technologies. It 
was a decree that underpin ned a strategic partnership with Google. In terms of the b enefits and 
outcomes , she explained that El Salvador provide d the legal foundations f or the partnership, which 
would allow for the digital transformation of the government. Strength and sustainability were 
brought in to the relationship with one of the world's biggest technology companies. The government 
was continuing to position El Salvad or as a regional technology hub. It was encouraging investment 
in the technology sector  and promoting further job creation and economic growth. The plan with 
Google was a seven -year relationship. During his visit to the United States, President Bukele sign ed 
an agreement with Google's chief executives , which cover ed the establishment of offices in 
El Salvador  – the first in Central America  – and the establishment of a centre of excellence in 
El Salvador for talent creation in organizations adopting Google technologies and beyond . In 
partnership with Google, the intention was to digitize government processes and permits, thereby 
bringing government  services closer to businesses and the public, while reducing the costs and times 
involved . Google w ould also enable the develop ment of  a unified educational platform to enable 
administrators, educators, parents and the educational community to have the necessary tools to 
teach children to make decisions, solve problems and learn dynamically and intuitively,  thereby  
equipping them with skills for the jobs of the future . Finally, the partnership with Google included WT/COMTD/SE/M/45  
 
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  healthcare, and in particular using artificial intelligence to support doctors in serving the population. 
In terms of results , it was expected that  El Salvador would emerge as a regional innovation hub . 
There would be m ore jobs and economic growth , and g reater investment in the technology sector . 
El Salvador would establish itself as a Cloud Centre of Excellence to provide businesses and 
organization s with technical guidance on maximizing the benefits of technology and innovations . All 
knowledge exchanges were to be provided by Google experts.  
32.   Finally, she noted that, despite all the progress that had been outlined, El Salvador  was a 
small economy  and had several challenges to overcome. There was f irstly the risk of a recession or 
inflation at the global level . Measures implemented within the country may be insufficient to 
counteract the impact of such events. O ther challenges for El Salvado r were to optimize 
competitiveness by expanding the exportable supply of goods and services  with added value , and to 
continue to close structural gaps, for example with respect to digitalization . The pandemic had helped 
to accelerate the digitalization pro cess, and it was important for El Salvador to continue on this path 
of encouraging digitalization in order to remain competitive in international markets. El  Salvador 
was looking to become a regional technology hub, which involve d attracting foreign invest ment, 
providing targeted education and ensuring domestic conditions that allow ed for the development of 
this sector of the economy.  
33.   The representative of Sri Lanka  said that  a crisis was brewing in Sri Lanka even before the 
COVID -19 pandemic. During the CO VID-19 period , the experiences were similar to many other small 
countries. Sri Lanka struggled to secure vaccine s, fund the health system  and implement safety 
nets. Various import controls  were put in place , and balance -of-payments issues were experience d. 
Sri Lanka was forced to approac h the IMF to request  support. Economic g rowth shifted to negative 
territory , inflation skyrocketed up to 70% at one point of time , and a huge budget deficit  was 
experienced . The situation had a negative  impact  on both consumers and producers , as poverty 
increased. At the end of the COVID -19 period , Sri Lanka was in a typical polycrisis. Foreign exchange 
reserves shrank as remittances and tourism dried up. Sri Lanka had to default on its international 
debt for first time in its history. Poverty and poverty -propelled food and energy insecurity became  
a great challenge. Many lost jobs and income, while safety nets became  weaker, and poverty and 
hunger levels shot up. Debt default created pressure on debt restructuring , which brought about  
more austerity measures. People needed to make selective choice s for their da ily food and energy 
choices . The reform process  came at a high political cost. Amidst all these difficulties, human capital 
flight was observed , especially  among medical and other  professionals . The education was off track  
for a long time and had still not fully recovered. Natural disaster s and calamities such as extreme 
droughts and floods could not be addressed because there  was no money left for these purposes .  
34.   He went on to say that Sri Lanka  saw the opportunities from the crisis in terms of  the hard 
lessons learned during and after the pandemic. It was a n occasion for Sri Lanka  to reflect on its own 
policies, and to avoid bad policies  in the f uture. Domestic agriculture had been observed to 
complement and cushion the impact of the vacuum created from a lack of food imports. The 
importance of growing food domestically was therefore appreciated . Through observing the  length 
of the  process involved in the procurement of vaccines, it was understood that solutions t ook time 
for global problems , especially when a country did not have the money or the capacity to produce. 
It was also observed that digital applications in many areas such as shopping, retailing and education 
were not sufficient or inclusive. It was a n opportunity for Sri Lanka to learn how vulnerable it was . 
Two or three internal and external shocks could wipe out generational gains in a matter of four to 
five years. Digita lization was not inclusive within the country. This was all learned the hard way, and 
Sri Lanka was  still in the process of learning.  With regard to expectations, he said that SVEs could 
navigate such shocks better with collaborative and complementary solu tions, by working  with other 
countries and international organizations.  Trade was not the only solution, and the WTO was not the 
only international organization that could help . Many entities needed to work together to bring about 
solutions. Food insecurit y needed to be addressed collectively. Debt distress , which badly 
handicapped SVEs , should have a global solution. There was a need for a trigger -ready mechanism 
to support SVEs in crisis situations.  These countries also need ed capacity and infrastructure 
development in many cross -cutting areas . Within the WTO, small developing countries needed more 
policy space until they could stand on their own feet. Members needed to make sure that any new 
rules did not add more burden to SVEs . He called  for more convergence and compassion from other 
countries and from international organizations to allow SVE to meet their expectations.  
35.   The Chairman  opened the floor for comments from delegations.  WT/COMTD/SE/M/45  
 
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  36.   The representative of Trinidad and Tobago  delivered the fol lowing statement:  
37.   My delegation thanks you for your commitment to our work in this particular format and for 
the concrete steps taken to ensure that we deepen the discussion we launched earlier this year on 
the basis of the timely and useful background note prepared by the Secr etariat. We welcome the 
fact that the Committee is leveraging the convening power of the WTO, by inviting pertinent entities 
to engage with the Membership today on challenges and opportunities for small economies in the 
post COVID -19 recovery phase. We not e that each presentation  in its own way has tackled the topic 
of our discussion in a manner that has brought value and provided food for thought. We thank the 
Commonwealth Secretariat, the South Centre, UNCTAD and the World Bank for the insights shared, 
including on pertinent support available to small economies for navigating this post -pandemic phase. 
We also commend the delegations of Ecuador, El Salvador and Sri Lanka for sharing their national 
experiences, which has definitely enriched our discussion an d concreti zed general elements of this 
dialogue with specific examples. These examples certainly resonate with several delegations, 
including mine. In the current context of polycrisi s – or as some describe it , "permacrisis " – recovery 
in the post -COVID -19 pandemic phase is very much an uneven path fraught with challenges. In 
effect, the end of the pandemic has seen the international community plunged into various other 
intersecting crises. This reality has meant that rebounds and signs of recovery tend to be tenuous 
and some of the trade -related challenges faced  by small economies  during the pandemic have 
persisted and even deepened.  
38.   Colleagues in capital have identified some of the key challenges Trinidad and Tobago has had 
to contend with in navigating th is post -pandemic phase . These include i nflation; digital transition; 
tourism; vulnerability to natural disasters; and reliance on natural resources. As in several other 
jurisdictions across the globe, inflation has remained a challenge for Trinidad and Tob ago in the 
post-pandemic phase, reaching a peak of 8.7% at the end of 2022. Due in part to  the government 's 
use of monetary policy, year -on-year inflation for the period August 2022 to August 2023 has been 
recorded at 4.1%, evidencing some improvement in t his regard. It is pertinent, nevertheless, to 
highlight some persistent challenges relating to global and domestic inflationary pressures, including 
higher input costs and prohibitively  high freight and related costs. On difficulty navigating the digital 
transition, much has been said about the need for assistance in developing the pertinent legal and 
regulatory framework, and the importance of support relating to digital infrastructure and aspirations 
to move be yond being mere consumers when it comes to digitally delivered  services trade.  In the 
context of the Work Programme on E -Commerce , we have shared what we see as key opportunities 
associated with digital trade and e -commerce – including as  they relate to the reduction of trade 
costs, possibilities relating to more climate -friendly and inclusive trade, greater market access , and 
export growth and diversification. The pandemic did provide an opportunity for quantum leaps in 
this regard  – not least through the establishment of a standalone Ministry of Digital Transformation, 
and progress with respect to digital identity and access to government services  – but also significant 
progress with respect to the ease of doing business, including through upgrading and st reamlining 
our Single Electronic Window. We continue our efforts to leverage e -commerce, improve trade 
facilitation and strengthen international competitiveness, including through the support of UNCTAD 
in respect of an e-trade readiness assessment and  an e-commerce strategy.  
39.   With regard to tourism , while Trinidad and Tobago 's economy has not been as dependent on 
tourism revenue as some others in the region, we did also experience a notable decline in revenue 
from tourism services due to the pandemic. Howeve r, as far as opportunities are concerned, it must 
be highlighted that the post -pandemic period has been characteri zed by efforts to further develop 
and strengthen the tourism product  – including through upgrades to sites and accommodation, as 
well as throu gh efforts to expand source markets and develop the yachting sector. On economic 
diversification, which has been a longstanding goal in Trinidad and Tobago, the fall in demand for 
energy exports during the pandemic brought new impetus to efforts to reduce commodity 
dependence and to address heavy reliance on the energy sector , in particular for export revenue. 
These efforts include a focus on boosting exports from the manufacturing sector, engagement in 
trade missions, the negotiation of new bilateral trade  agreements and the appointment of 
commercial officers and attachés in key intra -regional and extra -regional markets. Finally, climate 
change and vulnerability to natural disasters  remain key interconnected challenges, including as 
they relate to our goals  pertaining to food security and agriculture production.  Of course, this is only 
an illustrative list, but these were the particular elements we felt it would be useful to highlight today 
in the context of this discussion. Regarding questions for the prese nters, there is just one element 
we would like to raise at this point . We wish to seek their views on specific ways in  which small 
economies such as ours could be better positioned and better supported to reduce trade costs and WT/COMTD/SE/M/45  
 
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  to deal with NTMs imposed by larger economies. We recogni ze this as critical for our better 
integration into the world economy.  
40.   The representative  of Barbados  delivered the following statement:  
41.   I would like to thank the Chair, the Secretariat and the presenters for what I think was an 
excellent afternoon of discussion. Some of it went over issues that we have known about for years, 
but I think it wa s important to recall and reiterate  these issues . For example, I really appreciated 
the background provided by the Commonwealth Secretariat on the evolution of the Small Economies 
Work Programme in the WTO and the issues  faced in the past around definition . These are issues 
that still haunt us today. My hope is that , going forward, we won't let a discussion on definition s 
dominate solutions that will deliver for small countries. UNCTAD and the World Bank gave a very 
good sense of the support that they provide . I want to specifically point out the moves in UNCTAD 
to have a dedicated Work Programme for SIDS. Th is is something that I very much support, and I 
would be happy to have a deeper update from the representative of UNCTAD on where we are in 
those d iscussions. In the World Bank, and partly influenced by the Bridgetown Initiative, we are 
seeing positive discussions around having a smarter provision of grants to small countries like those 
in the Caribbean and the Pacific that are most vulnerable to cli mate change. With regard to  the 
South Centre, I very much welcome the sense provided on  where else in the WTO small economies  
should be looking to interact, such as around the G90 proposals or on balance of payments . In the 
past, the Small Economies Work P rogramme was an important anchor and jump -off point for us to 
submit  papers and proposals in the different negotiating bodies . That is something I think we need 
to consider doing a bit more of going forward. I would look to all the organi zations that were present 
today to  support us on that. I very much welcome the stories from Ecuador, Sri Lanka an d 
El Salvador, which showed the shared challenges that we faced and some of the recover ies that we 
can learn from.  There are two things I want to point to from t he perspective of Barbados . The first 
is the green transition . Working with small and medium -sized enterprises  (SMEs ) to help them 
embrace the circular economy and invest in the green transition  is very important. The chall enge 
lies in being able to access the technology and the know -how to do this. The secon d issue is food 
insecurity, which  is a problem faced by many small economies, and especially island economies  with 
very high import bill s. It would be useful to have f urther discussi ons with the agencies that were 
represented today  – as well as  with other agencies like the Food and Agr iculture Organization (FAO), 
the International Fund for Agricultural Development (IFAD) and the International Trade Centre (ITC) . 
The discussions would need to touch upon how the se agencies can continue to help small economies  
better streamline and add value to agricultur al value chains, including by connecting agricultur al 
value chains to tourism.  
42.   The representative of  the European Union  delivered the fo llowing statement:  
43.   Let me thank the Chair and the presenters, as well as the Secretariat , for this very rich session. 
We are obviously still digesting all this information , but I would like to share a few quick takeaways.  
Some of the information provided may not have been new, but it was all  very pertinent. I have 
learned a lot about the post COVID -19 recovery of small economies. As mentioned by the 
representative of the Commonwealth Secretariat, we should be thinking in terms of  resilience. On 
the heart -wrenching presentation by the Ambassador of Sri Lanka , it is important to note that this 
is not just about trade and the WTO . That is why we have been listening to the presentations from 
other agencies . There also a lot of things be ing done by national governments. H aving said this, 
there are nevertheless a number of things being done by the WTO that are relevant , some of which 
were also mentioned by El Salvador. These include trade facilitation,  investment facilitation, and 
issues rela ting to the digital economy. I find the whole flavo ur of today's event very realistic. It 
brought us closer to  what is already  happening and what still needs to happen. This is why my 
delegation has suggested that it could also be interesting to hold an informa l session with business 
representatives , who can bring  a piece of reality to the table.  I remember a session at the Public 
Forum on the African Continental Free Trade Area , in which a business r epresentative talked about 
opportunit ies, from start to finish. This was very  refreshing. If we were to hold such an informal 
session, it may also be pertinent to invite the ITC . On the issue of definition raised by the 
Commonwealth Secretariat , I agree wi th the Ambassador of  Barbados that such discussions would 
be best kept to a mi nimum  or avoided  so as to not handicap the work on small economies.  WT/COMTD/SE/M/45  
 
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  44.   The representative of Guatemala  delivered the following statement:  
45.   Please allow me  to express my gratitude for the valuable insights shared by the 
Commonwealth  Secretariat, the South  Centre, UNCTAD  and the World  Bank on the challenges and 
prospects that small economies face in their post -COVID -19 economic recovery efforts. This 
informati on will inform our future discussions on economic recovery, taking into account the crucial 
technical assistance that has been presented today for small economies. We would also like to thank 
our fellow members  of the SVE Group  — Ecuador, El  Salvador and S ri Lanka — for sharing their 
experiences. This exchange has provided us with a deeper understanding of the specific measures 
taken to expedite a swift recovery from the economic downturn brought about by the 
COVID -19 pandemic, as highlighted  in the backgro und note  by the Secretariat . Uneven recovery 
from COVID -19 in different parts of the world and between different industries resulted in shortages 
of multiple products, increasing the cost of essential inputs.  This represents the main challenge for 
small ec onomies , which is finding the right combination of policies to drive post -pandemic recovery 
in a landscape marked by varied challenges.  That is why we support the continuation of these 
dedicated sessions and fruitful conversations to identify common proble ms and solutions across the 
various WTO bodies, with the support of the Secretariat and other stakeholders who are with us 
today. In this way, we can streamline resources and support in a more effective and efficient manner. 
The goal of these dedicated ses sions should be to explore ways to secure and enhance our 
participation in international trade.  
46.    I would like to take this opportunity  to request Members to kindly send us comments on the 
suggestions  by my delegation regarding  work to be undertaken  on smal l economies , which would 
be mentioned in a Ministerial Decision at MC13  on the Work Programme on Small Economies . The 
first suggest ed area of work  is on the o pportunities for small economies in e -commerce , which is a 
topic recommended for further analysis in the Secretariat background note  under point  4.4 on 
digitalization and e -commerce.  To add to the information provided in the Secretariat background 
note, the intention is to further investigate topics such as data  protection, data flow, digital 
infrastructure and cybersecurity.  The second suggest ed area of work  is on examining the challenges 
faced by small economies in implementing digitalization in foreign trade -related procedures and 
processes . This is a topic su ggested for further exploration, building upon the aspects addressed in 
point 5.10 of the Secretariat background note . It is also closely linked to the Trade Facilitation  
Agreement , in particular Article 10 on import, export and transit formalities.  Both areas have been 
highlighted by our panellists today, demonstrating the significance of the topic s for small economies.  
I would like to emphasize that these are indicative proposals, and subject to discussion or the 
identification of any other topics of inte rest to Members. I reiterate my delegation's readiness to 
make progress in preparation for MC13 . 
47.   The representative of India delivered the following statement:  
48.   We join others in thanking the Secretariat for the effort s made in organizing this session , and 
the presenters for the  very insightful presentations. These presentations, including the one by 
Sri Lanka  from our region , brought out the challenges faced by SVEs. The presentations were 
impactful and of  value, and identif ied the policy measu res which are required to be taken. We hope 
that this debate can be taken further when  discuss ion continues on critical issues such as  policy 
space, technology transfer, Aid for Trade, S&D, balance of payments, finance and debt.  Although  
Members are discus sing these issues, it is very unfortunate that the Secretariat does not hav e 
enough resources to continue preparing  important report s like the one on the integration of small 
economies into the post -COVID -19 economy . At the July 2023 Regular Session of the  CTD, we were 
informed that the Economic Research and Statistics Division (ERSD) would not be  able to prepare 
this and other report s. The Chair will be briefing Members on any developments at the next meeting 
of the CTD's Regular Session . We would like to have some concrete actions and outcomes coming 
from these experience -sharing sessions. We expect the CTD to work closely on these issues  and to 
do what is expected of it, including what was enumerated in the reform  retreat  in February 20 23. 
Furthermore, we hope to see the ERSD work on areas that are mentioned as challenges by 
developing countries, small economies  and LDCs in integrat ing into international trade . That would 
be a useful outcome from all the discussions  that we are having.  
49.   The representative of  the United States  delivered the following statement:  
50.   I will echo what some of my colleagues have  already  said. It was a very rich discussion on 
small economies , and we really appreciate the effort and the analysis of the presenters. We are still WT/COMTD/SE/M/45  
 
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  learning a lot of lessons from the pandemic, and we will continue to learn for a long time.  As one of 
the panellists  said, some of the changes are permanent and we are going to h ave to live with them. 
Members have invested in economic growth through engagement at the WTO . We really value the 
contributions of this dedicated session in raising the awareness around inclusivity and resilience. The 
research paper by the Secretariat hig hlights the fact that small economies are not a homogenous 
group of countries. While they have some shared experiences, there are fragilities that are 
exacerbated by other things  as well. The presentations by Sri Lanka, El Salvador and Ecuador 
highlighted some of these differences. We therefore take the  point that there is an important 
diversity in the group of small economies , as well as a high vulnerability to natural disasters, which 
is a fragility that was further exacerbated during the pandemic. I thin k we have done some work in 
the trade facilitation  area, for example on humanitarian cargo relief , to address some of the 
vulnerabilities. We hope to continue that discussion and also note the discussion  that has been taking 
place around digitalization . We will be willing  to have discussions in the context of the Work 
Programme on Small Economies, including through workshops and experience sharing. I also look 
forward to seeing the proposal from Guatemala. From our perspective, definitions are important, 
and the differences are important . I think we need to continue to hav e conversations on how the 
needs of a particular situation warrant different types of approaches and different types of solutions.  
51.   The representative of  the United Kingdom  delivered the f ollowing statement:  
52.   I would like to thank the Chair and  all the panellists  for this fruitful session. I would also like 
to thank the Secretariat for putting together this event with seven presenters , which would not have 
been an easy task. The presentation s demonstrated the unique challenges that SVEs faced in 
response to the pandemic and the subsequent shocks. This was already demonstrated in the 
Secretariat  background note from earlier this year, but the presenters did a really good job in further 
illustr ating the issues . On the question of definition, the discussion today mentioned SVEs, SIDS, 
small states and small economies. While I agree with the Ambassador of Barbados that having a 
political conversation about definitions is not necessarily going to a chieve anything, there is also a 
risk that having a mis hmash of definitions  may hinder the ability to monitor. I take note of the  
suggestion by the representative of the Commonwealth Secretariat to develop a n SVE Trade 
Vulnerability Index. This seems similar to the discussion s taking place at th e UN on a 
Multidimensional Vulnerability Index.  The important thing is to have the tools to help identify 
problems and find solutions. On the issue of digitalization, I think most intervention s today 
mentioned the role it can play in providing resilience to SVEs . It was interesting to note that 
Guatemala has identified th is as well. It would be useful to explore  how we can potentially build on 
the Secretariat background note, in which digitalization played such a  central role in the 
recommendations. The United Kingdom is currently developing a digital development strategy, and 
I would be interested to hear any thoughts that the panellists or other Members may have on this . 
53.   The representative of Jamaica  delivered t he following statement:  
54.   I would like to thank the Chair and the Secretariat for organi zing this session on a very 
important topic for Jamaica , as an SVE . I also thank the presenters for the excellent presentations. 
My delegation really appreciated the diversity in the approach among the presenters. We believe 
that diverse thinking and innovative approaches are critical to tackling the persistent challenges 
faced by countries like my own. The presentations highlighted the challenges, incl uding on what I 
term the definitional crisis , and t he lack of appropriate data . The formulation of effective policies 
and implementation can be hampered significantly whe n we are not able to measure the persistent 
resource constraints and other inherent vu lnerabilities which are often intersecting as well as 
compounding. Nevertheless, we look towards the opportunities and strive to harness the lessons 
learned from crises as input for development strategies for small economies . I appreciate the  
Members that are encouraging us to not allow these challenges to deter us from mov ing forward. I 
noted in the presentation from UNCTAD the reference to developing tourism linkages . Jamaica is 
quite highly dependent on tourism. There is a tourism linkages network, which  seeks to maximi ze 
the connections between the various productive sectors that contribute to the overall tourism 
product offered . I would be  happy to share more information on this with Members.  My delegation 
also welcomes the experience sharing from Ecuad or, El Salvador and Sri Lanka , since Members too 
often engage in an almost academic discourse with very little connection to the real and practical 
manifestation s in our countr ies. On digitali zation, Jamaica is giving  priority to th e matter. A 
Ministerial portfolio for digital transformation  was recently created . My delegation looks forward to 
further discussions in the Dedicated Session . These sessions serve as a vehicle to move Members WT/COMTD/SE/M/45  
 
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  closer to achieving the mandate o f the Work Programme on Sm all Economies and to hopefully have 
an outcome  at MC13 . 
55.   The representative of Brazil  delivered the following statement:  
56.   I would like to thank the representatives of the international organi zations that made 
presentations , as well as the presenters from Ecuador, El Salvador and Sri Lanka. I lived for three 
years in Ecuador, and I saw what is being done in terms of organic production, cacao and chocolate,  
as well as in terms of promoting tourism. There are SVEs,  and there are big, vulnerable economies. 
Many  developing countries  are dependent on the exports of commodities and are exposed to external 
shocks like inflation. In the case of Brazil, we depend a lot on exports to China , as well as other  
markets like the European Union  and the United States. The presentation by the Ambassador of Sri 
Lanka was very interesting, especially the production aspect. In Brazil , a lot of the food that is 
produce d is not for export. Domestic production is very important for food security. We found t he 
discussions useful and we would encourage the Committee to continue with this kind of approach. 
It would be useful if organizations such as the South Centre and UNCTAD could be more present in 
other WTO Committees  as well  to provide analy sis and inputs  in various areas including the fisheries 
subsidies negotiations  and discussions on e-commerce.  
57.   The representative of  Japan  delivered the following statement:   
58.   I would like to express my sincere appreciation for the  presentations  provided by Ecuador, 
El Salvador, Sri Lanka and others, elaborating on the individual situation of their respective 
countries . This has helped us to understand the difficulties faced by SVEs. The discussions  pointed 
to the need to address not only trade i n goods and services, but also a wide range of development 
issues, such as dealing with natural disasters, education issues, and digital matters related to cyber 
security. In this sense, we have become more aware of the importance of collaboration among 
international organizations such as the Commonwealth Secretariat, the South Centre, UNCTAD, and 
the World Bank, who shared their knowledge and experiences in the  presentations  today . The 
meeting provided a good opportunity to focus on what should be discusse d further, while 
distinguishing between what is a core competency of the WTO and what is not.  
59.   The representative of the Russian Federation  delivered the following statement:  
60.   I would like to thank the  Secretariat and the Chair for this useful session. My t hanks also go 
to all the speakers for their presentations and for the experience sharing. It was very useful. I would 
like to echo the representative of Trinidad and Tobago and to comment on the intervention by the 
esteemed World Bank expert, which pointed  to the conflict in Ukraine as the cause of world inflation. 
The unilateral measures of western countries, which violate the WTO rules, and other world conflicts 
were not mentioned, but they also contribute d to the inflation process. In our view, the most 
important reason for world inflation is the excessive money printing to pay off the rising debts of the 
developed countries. We reiterate the same comment towards the Secretariat's background note. 
61.   The representative of Antigua and Barbuda  delivered the following statement:  
62.   I want to say very briefly  that definitions matter. For SVEs  – including a very small state like 
Antigua and Barbuda with a population of 100,000 , and for other OECS members with smaller 
populations  – we have to be very c areful of what the definitions say . This is because definitions 
define how the solutions are designed. I listened very carefully to the presentation by Sri  Lanka, and 
what struck me is that Sri Lanka is a country of about 20 million people. I was watching rugby, and 
it occurred to me that the entire population of my country can fit in the Stade de France, with some 
seats left over.  Even within our own regional grouping, we make a distinction between the very small 
and the slightly bigger, and we design thin gs differently. The point I am making is that , for Antigua 
and Barbuda and some of the other very small states, the SVE term is not quite a comfortable fit. A 
key element is debt distress. There are many highly indebted  countries in the Caribbean. We need 
to pay attention to this matter. Nothing will be solved unless the debt problem is solved. Climate 
risk is another very important area that requires a lot of attention. I want to thank the United 
Kingdom for remembering the Multi dimensional Vulnerability I ndex. I think we should be 
collaborating with other institutions and the United Nations to see how we can bring these kinds of 
innovative solutions to the work that we do. The Bridgetown Initiative is another innovative solution 
that can resolve many issue s that are related to both development and the climate crisis.  WT/COMTD/SE/M/45  
 
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  63.   The Chairman  said that the Committee had  benefited from  a very positive set of comments 
that could serve as a basis for further discussions  in formal or informal settings , as Members may 
wish. He thanked the presenters from the Commonwealth Secretariat, the South Centre, UNCTAD  
and the World Bank, as well as the presenters from Ecuador, El Salvador and Sri Lanka. The 
PowerPoint presentations submitted to the Secretariat wou ld be shared with delegations after the 
present meeting. He invited delegation s wishing to receive  the contact information of any of the 
presenters  to get in touch with the Secretariat . 
64.   The Dedicated Session took note  of all interventions.  
C. OTHER BUSINES S 
65.   No matter was raised under "Other Business ". 
66.   The meeting was adjourned . 
__________