Trade and Human Development


By increasing GDP and creating new income- and employment-generation opportunities particularly for vulnerable communities–international trade can promote human development. Both trade theories and national experience point to potential pro-poor outcomes for low- and middle-income countries that specialize in the production and export of labour-intensive goods and services. UNDP’s 2005 Central Asia Human Development Report therefore called for a more pro-active approach to trade (and transport and transit) in the region. In light of new developments and trends now unfolding in the region–concerning global and regional integration, migration and remittances, and the unbundling of global value chains–this paper builds on UNDP’s 2005 report by updating the case for policies and programming that can help global and regional integration promote human development in Central Asia.