Lamy urges governments to rebuild confidence and fight protectionism
23 Feb 2009
Confidence is key in time of crisis and to achieve this, governments should clean banks’ balance sheets, signal that individual stimulus packages are closely knitted together into a global joint effort, demonstrate that leaders of major economies can work together in full coordination and trust, and show that the world trade environment is not deteriorating, that isolationist pressures are contained. That was the message Director-General Pascal Lamy delivered to a conference in Seoul, Republic of Korea, on 23 February 2009.
This is what he said: “It's good to be back here in Seoul. Good to be back with you at a time when we all need to think hard about how to cope with the crisis, starting with remembering the lessons of the past".
External trade has contributed to Korea's economic success
Only 50 years ago Korea was among the world's poorest countries, with a GDP per capita less than that of Senegal and Bolivia. Lacking vast quantities of useful arable land and an abundance of natural resources, the South Korean government embarked on a programme of trade-driven growth as a means of development and poverty alleviation. The results have been little short of amazing. Over the last 50 years, South Korea has risen from an impoverished and struggling nation to become the world's largest builder of ships, the fifth largest producer of automobiles and the sixth largest producer of steel.
In all but four of the last 20 years, South Korea's exports have increased by 10 per cent or more. Today South Korea is the 11th largest exporter in the world and the 13th largest importer. Korea's international success has not been limited to trade in goods. The services sector, which employs 63 per cent of the workforce, has posted notable export success as well. Needless to say, trade has been a profoundly important contributor to South Korea's economic expansion.
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Source: WTO
