FTAs and Philippine Business: Evidence from Transport, Food, and Electronics Firms

Within East Asia, the outward-oriented Philippine economy is a latecomer to using free trade agreements (FTAs) as a trade policy instrument and has relied heavily on the Association of Southeast Asian Nations (ASEAN) for regional liberalization. While negotiating FTAs has consumed scarce time and other resources, limited attention has been hitherto given to evaluating the impact of FTAs-particularly the 15-year-old ASEAN Free Trade Area (AFTA) agreement-on business activity in the Philippines. Using a survey of 155 manufactured goods exporters from three sectors (transport equipment, processed foods, and electronics), this study deals with three questions: (i) Do firms use AFTA and why?; (ii) What impedes firms from using AFTA and other FTAs?; and (iii) What can be done to improve FTA use at firm level in the future? The study finds that utilization of AFTA is higher than expected from existing studies and is set to double in the future. Econometric analysis suggests that firm age, domestic ownership, awareness of FTAs, and membership in the transport sector increase the probability of using AFTA. Surprisingly, among nonusers, a lack of information is the biggest barrier to FTA use. Other impediments to use include the availability of export processing zone incentive schemes, low most-favored-nation rates (particularly in electronics), delays in origin administration, rent-seeking behavior, and nontariff measures in partner country markets. Interestingly, the majority of firms do not think that multiple rules of origin in overlapping Asian FTAs add significantly to business costs. However, there is room for improvement in the system of AFTA rules of origin (e.g., lower value content and introduction of self-certification mechanisms). The examination of institutional support reveals an excess demand for a range of support services (e.g., information, technology-based, and small or medium enterprise extension services) that will enable firms to use FTAs more effectively in the future. The paper concludes by making the case for better mainstreaming of FTAs into Philippine national trade policy and for improving support services to firms.philippines fta impact; philippines fta business; philippines economy ftas

FTAs and Philippine Business : Evidence from Transport, Food, and Electronics Firms

Within East Asia, the outward-oriented Philippine economy is a latecomer to using free trade agreements (FTAs) as a trade policy instrument and has relied heavily on the Association of Southeast Asian Nations (ASEAN) for regional liberalization. While negotiating FTAs has consumed scarce time and other resources, limited attention has been hitherto given to evaluating the impact of FTAsparticularly the 15-year-old ASEAN Free Trade Area (AFTA) agreementon business activity in the Philippines. Using a survey of 155 manufactured goods exporters from three sectors (transport equipment, processed foods, and electronics), this study deals with three questions : (i) Do firms use AFTA and why?; (ii) What impedes firms from using AFTA and other FTAs?; and (iii) What can be done to improve FTA use at firm level in the future? The study finds that utilization of AFTA is higher than expected from existing studies and is set to double in the future. Econometric analysis suggests that firm age, domestic ownership, awareness of FTAs, and membership in the transport sector increase the probability of using AFTA. Surprisingly, among nonusers, a lack of information is the biggest barrier to FTA use. Other impediments to use include the availability of export processing zone incentive schemes, low most-favored-nation rates (particularly in electronics), delays in origin administration, rent-seeking behavior, and nontariff measures in partner country markets. Interestingly, the majority of firms do not think that multiple rules of origin in overlapping Asian FTAs add significantly to business costs. However, there is room for improvement in the system of AFTA rules of origin (e.g., lower value content and introduction of self-certification mechanisms). The examination of institutional support reveals an excess demand for a range of support services (e.g., information, technology-based, and small or medium enterprise extension services) that will enable firms to use FTAs more effectively in the future. The paper concludes by making the case for better mainstreaming of FTAs into Philippine national trade policy and for improving support services to firms.FTA, The Philippines, Transport, Food, and Electronics Firms

The Development Impact of Information Technology in Trade Facilitation

The main purpose of this chapter is to provide an overview and context of the country studies on Information Technology (IT) for Trade Facilitation (TF) in Small and Medium Enterprises (SMEs).Impact of Information Techonology, Trade Facilitation, SMEs

COMPARATIVE ANALYSIS OF EXPORT PROMOTION OF RWANDA AND SOUTH KOREA

학위논문(석사)--서울대학교 대학원 :국제대학원 국제학과(국제지역학전공),2019. 8. 김종섭.Rwanda is striving to promote export expansion, this thesis show why Korea was chosen, similarities of the two countries, analyses Koreas situation before and all the process to export expansion strategies adopted and implemented, measures used, also shows Rwandas initial start to export, what Rwanda is doing to promote export, what lesson to draw from Koreas experience of success in export expansion and then recommends. The study reveals that, the key strategy to the Koreas success in export promotion was the states intervention in policy formulating, resource allocation, incentives and subsidys allocation, human resource and education, market diversification, firms allocated in exporting and importing sectors with their different incentives at the start of the year and celebrate at the end of the year for achieving the set targets and giving rewards to the best performers.르완다는 수출 확대를 위해 노력하고 있다. 본 논문은 대한민국과 르완다의 수출전략을 비교 분석 하고, 한국을 선택한 이유, 양국의 유사점, 수출 확대 전략을 이행하기 전 한국의 상황을 분석한다. 또한, 르완다가 수출전략을 개시한 시점, 르완다가 수출을 촉진하기 위해 무엇을 하고 있는지, 수출 확대 경험이 한국의 경험에서 끌어낼 수 있는지를 보여준 후 전략의 개선을 위한 제안사항을 제사한다. 연구 결과에 따르면 한국의 수출 촉진 성공 전략은 정부의 정책 수립, 자원 배분, 인센티브 및 보조금 배분, 인적 자원 향상을 위한 교육, 시장 다양화 등이 있다. 다른 인센티브로는 정부가 수출 및 수입 부문에 각각 적합한 기업을 배정하고 매년 목표를 제시하였고 최고의 실적을 내어 목표를 달성한 기업들에게 보상을 제공하였다.Abstract .............................................................................................................................. ......................... iii .............................................................................................................................. ............................... iv Abbreviations .............................................................................................................................. ................ v Table of contents .............................................................................................................................. ......... vii Table of figures .............................................................................................................................. .............. x List of tables............................................................................................................................... ................. xi Chapter 1: INTRODUCTION ................................................................................................................... 1 1. Introduction ............................................................................................................... ........................... 1 1.1 Research objectives ...................................................................................................................... 2 1.2 research questions ........................................................................................................................ 3 1.3 Significance of the study ............................................................................................................... 4 1.4 Thesis structure ............................................................................................................................. 4 1.5 Similarities of two countries ............................................................................................. ............ 5 1.6 Rwandas economic development ................................................................................................ 8 1.7 Rwandas industrial sector ............................................................................................................ 9 1.8 Statement of the problem .......................................................................................................... 12 1.9 Research methodology ............................................................................................................... 13 1.10 Scope and limitations of the study ....................................................................................... ...... 13 CHAPTER 2: LITERATURE REVIEW ................................................................................................ 15 2. Introduction ............................................................................................................... ......................... 15 2.1 Definition of key terms ............................................................................................................... 15 2.2 Empirical evidence ...................................................................................................................... 16 2.3 Import Substitution Strategy ...................................................................................................... 18 2.4 Foundational and historical perspectives of export strategy ..................................................... 20 2.5 Advantages of export strategy .................................................................................................... 21 2.6 Analytical concept of developmental state ................................................................................ 22 2.7 Developmental state in east Asia (four Asia tigers) .................................................................... 23 2.8 South Koreas success in export strategy and the role of developmental state ........................ 23 2.9 Developmental state in Latin America ........................................................................................ 24 2.10 Developmental state in Africa..................................................................................................... 25 CHAPTER 3: KOREA IMPORT SUBSTITUTION POLICY ............................................................ 27 3. Introduction ............................................................................................................... ......................... 27 3.1 Kickoff of export promotion strategy ......................................................................................... 28 3.2 Expansion and effects of export strategy ................................................................................... 28 3.3 Export incentives in 1950s-1960s .............................................................................................. 31 3.4 Government support to SMES .................................................................................................... 37 3.5 Koreas import policy .................................................................................................................. 37 3.6 3.6. KOTRA and other institutions .............................................................................................. 39 3.7 Musan special economic zones ................................................................................................... 40 3.7.1 Introduction ......................................................................................................................... 40 3.7.2 Musan objectives................................................................................................................. 40 3.7.3 Link of SEZs performance with domestic economy ........................................................... 42 3.7.4 Contributions of SEZs ......................................................................................................... 42 3.7.5 Koreas successful export promotion .................................................................................. 43 CHAPTER 4: RWANDA EXPORTS ..................................................................................................... 46 4. Introduction to Rwanda exports ............................................................................................. ............ 46 4.1 Export composition ........................................................................................................ ............. 47 4.2 Rationale of Rwanda to promote exports................................................................................... 48 4.3 Industrial sector ......................................................................................................... ................. 49 4.4 Establishment of Rwanda Development Board (RDB) ................................................................ 50 4.5 Establishment of Kigali Special Economic Zones (KSEZs) ............................................................ 50 4.6 Inception of domestic market recapturing strategy ................................................................... 55 4.7 Made in Rwanda campaign ................................................................................................... ...... 56 4.8 Establishment of export growth fund ......................................................................................... 56 4.9 EGF objectives ............................................................................................................................. 57 4.10 EGF targeted sectors ................................................................................................................... 57 CHAPTER 5: COMPARATIVE ANALYSIS OF SOUTH KOREA AND RWANDA IMPORTEXPORT EXPANSION STRATEGY .................................................................................................... 59 5. Comparison of Korea and Rwanda ..................................................................................................... 59 CHAPTER 6: PROPOSED SOLUTION BASED ON KOREAN EXPERIENCE ............................ 65 6. Introduction ............................................................................................................... ......................... 65 6.1 State intervention ....................................................................................................................... 65 6.2 Import and export transition ...................................................................................................... 67 6.3 Export incentives ......................................................................................................... ................ 68 6.4 Human resource and education .................................................................................................. 69 6.5 Selective products ....................................................................................................................... 69 6.6 Market diversification ................................................................................................................. 70 6.7 Agency responsible for export .................................................................................................... 71 CHAPTER 7: CONCLUSION AND RECOMMENDATIONS .......................................................... 73 7. Summary .................................................................................................................... ......................... 73 7.1 Conclusion ................................................................................................................................... 73 7.2 Recommendations ...................................................................................................................... 74 Bibliography .............................................................................................................................. ................ 77Maste

a vision for effective utilization of aid in Egypt

Thesis(Master) --KDI School:Master of Public Policy,2012masterpublishedNefret Zakaria El Nasser Ledin Allah Amin Haroon

University-Industry Cooperation from a business perspective: a European approach

Cooperation between University-Industry (U-I) has been an area of interest for parts of the industry, higher education institutions, and governments insofar as it allows the development of companies and countries. Several reasons lead to U-I cooperation: product and process innovation, knowledge transfer (KT), and technology transfer. We currently live in a context of globalization and constant technological evolution, where financial, economic, political, and social crises significantly impact everyone's lives, individuals and companies. Thus, innovation is a crucial factor in competitiveness. To this end, companies establish partnerships with various agents, including universities. Knowledge management, innovation, and competitiveness, whether business or regions and countries, have been topics of much research and interest in the literature. Despite the numerous studies, this area has much to be explored, which is very fragmented. Therefore, further investigations will be needed to contribute to developing scientific knowledge of the U-I cooperation. The main objective of this research is to carry out a global analysis of the U-I cooperation process in the development of companies. Thus, it is analyzed the determinants considered crucial in cooperation, government role, and the impact of KT on the innovative capacities of companies. The study has the European space as its scope. Given the above, this dissertation will consist of 4 studies. The first is a systematic literature review (SLR) whose objective is to explore and describe the existing scientific literature on U-I cooperation and current and future trends within this theme. The results show that the analysis of the determinants that propitiate the UI cooperation is fundamental and that the government plays a crucial role in the development of the U-I cooperation with the universities. Also, the KT obtained by U-I cooperation has a predominant impact on companies' innovation on it is products and processes. Chapters 3, 4, and 5 adopted quantitative methodologies using the Community Innovation Survey (CIS) database analysis. Chapter 3 analyzed how the government plays an active role in creating knowledge and innovation through public funds. To this end, this study investigated the dynamics of relationships between Triple Helix agents, considering a business aspect. The analysis used STATA software to develop logistic regression models, and the results show that the government's role in U-I cooperation is fundamental. However, not all public funds have the same level of influence. Chapter 4 addressed the crucial determinants for U-I cooperation to develop, allowing companies to achieve competitive advantages. This analysis uses STATA software to create logistic regression models. This study indicates that the size of companies, Research & Development activities (internal and external), exports, and obtaining public funds are determining factors for companies to establish U-I cooperation. Chapter 5 analyzes the role of KT in the innovative capacity of companies and the influence of absorptive capacity (AC) as a moderating variable. This study used SPSS and Hayes' PROCESS software to analyze the hypotheses proposed through the development of logistic regression models. The results show that national and international KT positively impacts the development of product and process innovation. On the other hand, AC is considered a moderating variable when U-I cooperation is with universities of the same country because it impacts the relationship between national KT and innovative capabilities. The same does not happen when U-I cooperation is with universities from another European Union (EU) country, especially in products. The conclusions have important theoretical and practical implications. At the theoretical level, it identifies and fills gaps in the literature. On a practical level, it supports companies, policymakers, and universities in implementing measures that allow U-I cooperation under the best conditions, enabling companies to acquire new knowledge, skills, and advantages to grow and be competitive. Finally, future lines of investigation are exposed, as well as the limitations observed.A cooperação entre Universidade e Indústria (U-I) tem sido uma área de interesse por partes da indústria, das instituições de ensino superior, e também por parte dos governos na medida em que esta permite o desenvolvimento das empresas e também dos países. Os motivos que levam à cooperação U-I são vários: a inovação de produtos e processos, a transferência de conhecimento e a transferência de tecnologia. Vivemos atualmente num contexto de globalização e de constante evolução tecnológica, onde as crises financeiras, económicas, políticas e sociais, têm um impacto considerável na vida de todos, indivíduos e empresas. Assim, a inovação é considerado um fator chave de competitividade. Para tal, as empresas estabelecem parcerias com vários agentes, incluindo as universidades. A gestão do conhecimento, a inovação e a competitividade, quer empresarial quer das regiões e países, têm sido tópicos de bastantes pesquisas e interesse na literatura, demonstrando assim a relevância do tema. Apesar dos inúmeros estudos realizados, esta é uma área que tem muito por explorar e que se encontra muito fragmentada. Assim, serão necessárias mais investigações que permitam contribuir para o desenvolvimento do conhecimento científico da U-I cooperação. Face ao presente enquadramento da problemática em estudo, foram desenvolvidas as seguintes questões de investigação: 1. Quais os aspetos e categorização da literatura relacionados com a cooperação UI que têm sido estudados ao longo dos últimos anos? 2. Qual o papel do governo (fundos públicos) na criação de conhecimento? 3. Quais os fatores que influenciam a cooperação U-I? 4. Qual o efeito da transferência do conhecimento nas atividades inovadoras das empresas? 5. Qual o efeito moderador da capacidade de absorção na relação entre a transferência do conhecimento e a capacidade inovadora das empresas? Tendo por base essas questões de investigação, foram propostos os seguintes objetivos: 1. Contextualizar a literatura existente relativamente à cooperação U-I; 2. Estudar a cooperação entre universidade-indústria-governo; 3. Identificar os fatores determinantes na cooperação U-I; 4. Analisar o efeito da transferência de conhecimento na capacidade inovadora das empresas bem como o efeito moderador da capacidade de absorção na relação entre transferência do conhecimento e a capacidade inovadora das empresas. Este trabalho de investigação tem como principal objetivo realizar uma análise global ao processo de cooperação U-I no desenvolvimento das empresas, tendo por base uma perspetiva empresarial. Assim, pretende-se fazer uma análise aos fatores que são considerados cruciais na cooperação, ao papel do governo e ao impacto da transferência do conhecimento nas capacidades inovadoras das empresas. O estudo que se pretende realizar tem como âmbito o espaço Europeu. Perante o exposto, esta dissertação será constituída por 4 estudos. O primeiro tem por objeto uma revisão sistemática da literatura cujo objetivo consiste em explorar e descrever a literatura científica existente sobre a cooperação U-I e analisar as tendências atuais e futuras dentro desta temática. Para tal recorreu-se à recolha da literatura existente na base de dados Web of Science (WoS). Os 85 artigos selecionados na WoS foram analisados analiticamente e também com recurso ao software VOSviewer. Os resultados demonstraram que a análise dos determinantes que propiciam a cooperação U-I é fundamental, que o governo desempenha um papel primordial para que a indústria possa cooperar com as universidades e que a transferência do conhecimento obtida pela cooperação U-I tem um impacto preponderante na inovação de produtos e processos. Os capítulos 3, 4 e 5 adotaram metodologias quantitativas recorrendo à análise da base de dados do Community Innovation Survey (CIS). No capítulo 3 analisou-se de que forma o governo tem um papel ativo na criação de conhecimento e inovação. Para tal, analisou-se a dinâmica das relações existentes entre os agentes da Triple Helix, tendo em linha de conta uma vertente empresarial. Para a análise em questão recorreu-se à utilização do software STATA. Assim, foram desenvolvidos modelos de regressão logística a fim de avaliar o impacto dos vários fundos públicos disponíveis na cooperação que as empresas estabelecem com os sgentes da Triple Hélix. Os resultados demonstraram que o papel do governo é fundamental, embora nem todos os fundos públicos tenham o mesmo nível de influência. Os fundos do governo central e da União Europeia são os mais significativos no processo de cooperação. O capítulo 4 abordou a temática dos determinantes que são considerados cruciais para que a cooperação U-I se possa desenvolver permitindo às empresas alcançar vantagens competitivas. Para tal, recorreu-se ao software STATA e à utilização de modelos de regressão logística. Os resultados deste estudo indicam que o tamanho das empresas, as atividades de Investigação & Desenvolvimento (interno e externo), as exportações e a obtenção de fundos públicos são fatores determinantes para que as empresas estabeleçam a cooperação U-I. O capítulo 5 analisa o papel da transferência do conhecimento na capacidade inovadora das empresas. Por outro lado, á avaliado também o papel da capacidade de absorção enquanto variável moderadora. Para a análise em questão recorreu-se à utilização dos softwares SPSS e PROCESS, desenvolvendo modelos de regressão logística. Os resultados apontam que a transferência do conhecimento nacional e internacional tem um impacto positivo no desenvolvimento da inovação de produtos e de processos. Por outro lado, a capacidade de absorção é considerada uma variável moderadora quando a cooperação é desenvolvida com universidades do próprio país pois impacta a relação entre transferência do conhecimento nacional e as capacidades inovadoras. O mesmo não acontece quando a cooperação é com universidades de outro país da União Europeia, especialmente em termos de produtos. No que respeita a limitações, a principal foi sem dúvida de não ter sido possível utilizar os dados de todos os países que fazem parte do CIS pois nem todos facultaram os dados que se pretendiam analisar, impedindo assim que os resultados dos vários estudos se tornassem mais representativos e abrangentes. Contudo, os resultados obtidos fortalecem a teoria e a prática sobre a cooperação U-I, a importância do governo e o impacto da transferência do conhecimento no processo inovador das empresas. As conclusões têm implicações importantes ao nível teórico e prático. A nível teórico, identificando e preenchendo lacunas encontradas na literatura. No que se refere a implicações práticas, este estudo poderá ajudar as empresas e os governos nas suas tomadas de decisão no sentido de os alertar para a importância da cooperação U-I, pois essa permite o desenvolvimento das empresas e consequentemente dos países. Por outro lado, também pretende sensibilizar as universidades no sentido de estas desenvolverem mais estudos e projetos, e de os divulgarem junto da sociedade, desenvolvendo assim a sua terceira missão. Por último expõem-se as propostas de linhas futuras de investigação, bem como as limitações observadas na mesma

Evolution of knowledge networks, technological learning and development of SME’s : a multi-level perspective of innovation and environmental trends in the automotive sector in Thailand

Car producers are under pressure in the shift towards automotive technologies that are environmentally sustainable, from the use of internal combustion engine to technologies associated with electric mobility. The question remains how firms along the automotive supply chain react to such challenges posed by environmental trends. The issue raised by this research is crucial to the automotive industry in Thailand which is the main industry with a major contribution to the country’s economy. As SMEs constitute the lion’s share in the supply chain of the Thai automotive industries, it is crucial to examine their ability to adapt to evolving technologies and the factors influencing their capability development. This research aims to investigate how existing firms, particularly SMEs, react to the sustainability transition by elucidating their processes of technological learning and participation in knowledge networks. To explore potential shifts in practices, the Multi-Level Perspective (MLP) framework is employed. Specifically, the study centres on SMEs as established entities involved in niche innovations, examining how government interventions can facilitate their technological transition. In this study, the entrance of EV constitutes a concern for all firms, but SMEs tend to feel more of an impact than large firms. Most firms expect some product or process modification due to the advent of EV. To prepare for the shift, most firms show similar interest in joining the EV value chain and a diversification to new markets so as to maintain existing production capacity. Both SMEs and large firms primarily acquire technological knowledge using their own internal effort rather than networking with academia. The results also suggest that large firms seem to network with external partners for knowledge development activities more than SMEs. It is also found that firms required R&D capability improvement to support them in the transition to EV. This study has identified that SMEs have less absorptive capacity than large firms which is crucial for their adaptability and ability to innovate. Thus, the evidence of this study implies that, despite the responsiveness to change, SMEs may experience difficulties in the transition to EV more than large firms. The results also suggest that firms may increase their ability to learn new knowledge or increase their absorptive capacity through networking deeply with triple helix partners. It is found that the lack of an overarching EV policy framework at the landscape level and the lack of demand side policy tends to impact the direction of firm’s technological development or the regime shift. The role of government interventions is significant in terms of promoting investment policies to attract the establishment of the EV industry. However, the capability for niche technological improvement in local firms wishing to join the EV value chain seems to be mostly limited to large firms, either for incumbents or new entrants. Government policy intervention and strong implementation regarding the development of human resources and R&D support by providing researchers and funding are required, particularly for SMEs which lack both skills and resources. The focus on the establishment of EV industry without parallelly improving local technological capability is identified as a potential risk to the country’s future competitiveness.Car producers are under pressure in the shift towards automotive technologies that are environmentally sustainable, from the use of internal combustion engine to technologies associated with electric mobility. The question remains how firms along the automotive supply chain react to such challenges posed by environmental trends. The issue raised by this research is crucial to the automotive industry in Thailand which is the main industry with a major contribution to the country’s economy. As SMEs constitute the lion’s share in the supply chain of the Thai automotive industries, it is crucial to examine their ability to adapt to evolving technologies and the factors influencing their capability development. This research aims to investigate how existing firms, particularly SMEs, react to the sustainability transition by elucidating their processes of technological learning and participation in knowledge networks. To explore potential shifts in practices, the Multi-Level Perspective (MLP) framework is employed. Specifically, the study centres on SMEs as established entities involved in niche innovations, examining how government interventions can facilitate their technological transition. In this study, the entrance of EV constitutes a concern for all firms, but SMEs tend to feel more of an impact than large firms. Most firms expect some product or process modification due to the advent of EV. To prepare for the shift, most firms show similar interest in joining the EV value chain and a diversification to new markets so as to maintain existing production capacity. Both SMEs and large firms primarily acquire technological knowledge using their own internal effort rather than networking with academia. The results also suggest that large firms seem to network with external partners for knowledge development activities more than SMEs. It is also found that firms required R&D capability improvement to support them in the transition to EV. This study has identified that SMEs have less absorptive capacity than large firms which is crucial for their adaptability and ability to innovate. Thus, the evidence of this study implies that, despite the responsiveness to change, SMEs may experience difficulties in the transition to EV more than large firms. The results also suggest that firms may increase their ability to learn new knowledge or increase their absorptive capacity through networking deeply with triple helix partners. It is found that the lack of an overarching EV policy framework at the landscape level and the lack of demand side policy tends to impact the direction of firm’s technological development or the regime shift. The role of government interventions is significant in terms of promoting investment policies to attract the establishment of the EV industry. However, the capability for niche technological improvement in local firms wishing to join the EV value chain seems to be mostly limited to large firms, either for incumbents or new entrants. Government policy intervention and strong implementation regarding the development of human resources and R&D support by providing researchers and funding are required, particularly for SMEs which lack both skills and resources. The focus on the establishment of EV industry without parallelly improving local technological capability is identified as a potential risk to the country’s future competitiveness

A Study of the Export Financing System in the Philippines

How much support is the Philippine government giving to its export sector by means of its financing schemes? Are the small and indirect exporters given preference or assistance? How supportive is the entire export financing system in the country to the attainment of an export-driven development strategy? These questions are the primary concern of this paper. Based on a survey sample of seven commercial banks, it examines the various components of the Philippine export financing system. A review of the Philippine trade policies and its export profiles is provided.financial market, financial economy, financial sector, export commodities, financial services