Promoting IT Enabled Services

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Trade in services enabled by information and communication technologies could be an engine of growth for many developing countries looking to diversify from commoditiesbased economies. For this trade policy to be successful governments must establish effective policies and develop the correct regulatory framework, infrastructure and human capital.

This handbook explains the key issues from the viewpoints of the regulator, the investor, the policymaker and the donor. It provides detailed analysis of the Mauritian experience, which holds useful lessons for small states in particular. It will help policymakers to learn directly from other countries' experience of developing IT enabled services and will assist private sector organisations to understand how governments frame their policies.




The services sector, even excluding tourism, has been growing rapidly in the decade since 2000. While there are issues about the reliability of the statistics, still the trend is clear: according to World Bank statistics, trade in services makes up about 20 per cent of the total world cross-border trade and about 16 per cent of developing economies trade. Services sector exports grew faster than merchandise exports since 2000 (over 15% p.a.), and from 2006 to 2009, in both developed and developing countries, more than half the annual foreign direct investment (FDI) flows was in services. Furthermore, in the period 2000–2007, computer and information services recorded an average annual growth of 19 per cent, followed closely by financial and insurance (17% each), other business services (15%) and construction (14%).


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