Trade and Investments

Trade and investment play pivotal roles in driving economic growth and development, yet international economic cooperation faces challenges, and existing rules and institutions are strained. The relationship between trade and investment has become more intricate over time, particularly with the emergence of global value chains (GVCs), where companies intertwine trade and investment to manage supply chains, expand into new markets, access knowledge, and provide services. Restrictions and distortions to cross-border trade and investment affect their respective policy areas and have significant spill-over effects, amplifying costs in the domestic and global economy. Despite this, policymakers, legislators and judicial officers often need a comprehensive or coordinated approach to establishing and interpreting trade and investment rules. The Centre analyzes the inter-linkages between trade and investment to assist its stakeholders, generate new evidence on firm strategies, and propose policy considerations for comprehensive trade and investment policies. Understanding the varying intensity of trade and foreign direct investment (FDI) across sectors can aid policymakers in prioritizing measures and anticipating effects across economic activities. The Centre's experts advocate for legislative, judicial and regulatory reforms to drive trade and investment, particularly in areas affecting trade regulations and FDI inflows. This approach aims to foster a more conducive environment for trade and investment, ultimately contributing to economic growth and development.