International markets and developing countries

The recent past has been characterized by a slowing in the expansion of world trade and of international financial flows, and a weakening of commodity prices. These developments occurred against the background of the slowdown in the world economy described in the preceding chapter. The deceleration in economic growth in some major industrialized countries, especially the United States, was the principal cause of fatigue in world trade. The deep recession in Eastern Europe and the Gulf crisis were additional factors. In Germany, sharply increased import demand coincided with weakening export growth, with a favourable net impact on world trade. The export expansion of most developing countries slackened under the impact of faltering economic growth in the developed countries. A number of developing economies with important trading relations with Eastern Europe were hard hit by the economic downturn in this region; others were adversely affected by the Persian Gulf crisis. The dynamics of import growth in some developing countries in South- East Asia and oil-exporting developing economies were, on the other hand, favourable to trade expansion.

Sustainable Development Goals:

Decent Work and Economic Growth

Partnerships for the Goals