Making aid-for-trade more effective in the MENA region
Aid-for-trade represents an important opportunity for developing countries to enhance their trade capacities. But the positive effect of aid-for-trade on exports can hinge on the quality of institutions in recipient countries. According to research reported in this column, in the Middle East and North Africa, it is specific aid types – such as aid to support trade policy reform and aid to enhance productive capacities – that matter most for exports.
Manufacturing and productivity in MENA: a long-term perspective
Productivity in the manufacturing sector is key for economic growth and employment opportunities in most developing economies. This column looks at total factor productivity (TFP) – the portion of output growth that comes from technological progress – in eight countries in the Middle East and North Africa over the four decades since 1980. Despite an overall increase in manufacturing TFP in the region during this period, it is still lagging behind other parts of the world.