Goal 17: Partnership for the goals Multilateralism

Developing economies’ trade in services

Most developing economies lost market share in services exports over the last decade; only a few leading exporters thrive

24/02/201920/06/2025 sonia Goal 17, Multilateralism

SDG indicators

Goal 17: Partnerships for the goals

Target 17.11: Significantly increase the exports of developing countries, in particular with a view to doubling the least developed countries’ share of global exports by 2030.
Indicator 17.11.1: Developing countries’ and least developed countries’ share of global exports (Tier I)

Reaching $8.8 trillion in 2024, services represented 27% of global international trade and grew by 9% from the previous year. Developing economies exported some $2.6 trillion worth of services, accounting for 30% of world exports and marking a 10% annual increase. As a group, developing economies are moving towards the SDGSustainable Development Goal goal of capturing a higher market share. However, removing their five leading exporters paints a gloomier picture for the group. Many developing economies have lost market share over the last decade.

Figure 1. Developing economies’ share in world services exports have become ever more concentrated in a few leading exporters

Percentage, countries grouped by rank in cumulative exports value 2022-2024 (SDG 17.11.1)

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—- (based on UNCTAD-WTO trade-in-services data set).

Note: 2024 figures are preliminary.

Five leading exporters apart, the remaining developing economies captured only 13% of the global services market in 2024.

Knowledge-intensive services – such as financial, telecommunications, computer, professional, technical, audio-visual, or intellectual property related services – were boosted during the and with the rapid advancement of information technology and use. These categories witnessed a faster expansion than transport or travel, which were still recovering from the pandemic slowdown. Many developing economies, particularly among and , rely more on international travel and transport in their services exports.

LDCs’ share in global services exports dropped from the 15-year peak 0.7% in 2019 to 0.5% in 2024.

LDCs achieved a very solid 9% growth in services exports in 2024. Yet they are still falling short of the SDG target 17.11 to double their exports market share (figure 2). Their share dropped from 0.7% in 2019 to an estimated 0.5% in 2024. Although LDCs’ exports of transport and travel services recovered after 2021, their participation remained low in the trade of knowledge-intensive services. Most of those services are digitally traded and it has been an important growth sector in recent years.

Figure 2. Less competitive in knowledge-intensive services trade, LDCs lost services market share since the COVID-19 pandemic

Total services exports of LDCs (billions of dollars) and LDCs' market share (percentage)

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—- (based on UNCTAD-WTO trade-in-services data set).

Note: 2024 figures are preliminary.

For developing economies, the concentration of services exports with the leading exporters has accentuated.

The five leading services exporters among developing economies account for a compelling 56% of total services exports of the group. The five economies – China, India, Singapore, United Arab Emirates, and Türkiye - jointly outweigh the rest of developing economies in the exports of transport, goods related services, and other services^*. Only in travel do the remaining economies hold a larger market share, that is 66% of total travel exports of developing economies. The concentration of exports with the leading exporters has accentuated in recent years. For example, in 2010, the same five leaders exported an already high 46% of developing economies' other services sold abroad. The latest estimates for 2024 point to 65 %. (Other services are defined under figure 3).

Figure 3. Five leading services exporters among developing economies accounted for more than half of the group’s exports in 2024

Services exports of developing economies by broad service categories (billions of dollars)

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—- (based on UNCTAD-WTO trade-in-services data set).

Note: 2024 figures are preliminary.
Other services comprise construction, financial, insurance, telecommunication, computer, information and other business services, IP-related charges, and personal, cultural and recreational services. Most of these services are characterized by higher knowledge-intensive input and can be digitally traded.

References

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