Major economic organizations are of a mind that the role of trade as a driver of global growth is threatened by a slowdown in trade reform since the early 2000s and an uptick in protectionism after the financial crisis, the International Monetary Fund, World Trade Organization and World Bank said on Monday.
The International Monetary Fund, World Trade Organization and World Bank unveiled a joint report in Berlin entitled 'Making Trade an Engine of Growth for All,' and urged governments to address the negative effects that global trade has had on manufacturing jobs, workers and communities, especially in advanced economies.
"Recent evidence on the effect of import competition on manufacturing jobs in certain locations in Europe and the UnitedStates demonstrates how harsh such impacts can be in the absence of accompanying policies," the three groups said.
"The role of trade in the global economy is at a critical juncture."
The report added a lack of reform to make trade more beneficial to broader sections of societies has been a drag on productivity and income growth.
