Trade Facilitation Challenges and Reform Priorities for Maximizing the Impact of the Belt and Road Initiative

This study examines the relevance of trade facilitation reforms in maximizing the economic impactof infrastructure connectivity investments through the Belt and Road Initiative (BRI). It providesan overview of trade facilitation performance in BRI economies, with a focus on those countriesinvolved in six key land corridors. This overview is based on three categories of data: international indicators for trade facilitation performance, notably Doing Business, the Logistics Performance Index, the Enabling Trade Index, and the OECD Trade Facilitation Indicators; publicly-available literature and analysis on the BRI corridors; and analysis conducted through World Bank projects involving BRI economies. A key finding is that, in a global context, trade facilitation along the BRI corridors is weak, with performance for most corridors below global averages according to most indicators. There is also wide variation in performance between countries along each corridor, providing a significant barrier to the efficient utilization of the corridors for predictable, timely cross-border transportation of goods. Based on the review of corridor performance, the study recommends priority trade facilitation reforms for the BRI economies, as well as recommendations on the implementation of these reforms, based on international experience