Micro, Small, and Medium-Sized Enterprises: Key developments and updates in the Informal Working Group discussions among World Trade Organization members

The briefing details the work of the WTO's Informal Working Group (IWG) on MSMEs, specifically the adoption of a six-part package of recommendations in December 2020 to address barriers like access to finance, information, and trade facilitation. It also analyzes the disproportionate impact of COVID-19 on MSMEs, particularly women-led businesses, and outlines national and international policy responses. Future plans include the development of the 'Trade4MSMEs' web platform and further exploration of digitalization and e-commerce customs duties.

• The COVID-19 pandemic disproportionately affected MSMEs due to their labor-intensive nature, thin liquidity reserves, and limited financial alternatives, with some regional studies showing 50% of surveyed MSMEs had less than one month of cash reserves.
• Women-led MSMEs faced higher closure rates during the pandemic; globally, they were 5.9 percentage points more likely to close than male-owned businesses, while in Uganda, 61% of women-led small businesses failed to generate income compared to 22% of those led by men.
• In December 2020, the IWG adopted a package of six voluntary and non-binding recommendations and declarations covering transparency, trade facilitation, access to finance and cross-border payments, market information, and regulatory development.
• To improve access to information, the IWG supports the operationalization of the Global Trade Helpdesk (GTH), a multi-agency portal led by the ITC, UNCTAD, and the WTO that integrates nine tools to simplify market research for MSMEs.
• The IWG is developing a curated web platform called 'Trade4MSMEs' to provide a single location for training, online tools, and research for both MSMEs and policy-makers, with content available in the three official WTO languages.
• The IWG has identified several priority areas for future work, including the exploration of a global 'de minimis' threshold for customs duties in e-commerce and the adoption of the UNICTAL Model Law on Electronic Transferable Records to reduce trade costs.

APA

Mukiibi, J., & Sajous, L. (2021). Micro, Small, and Medium-Sized Enterprises: Key developments and updates in the Informal Working Group discussions among World Trade Organization members. International Institute for Sustainable Development. https://www.iisd.org/system/files/2021-04/msmes-working-group-discussions-wto-members-en.pdf

Chicago

Mukiibi, Julian, and Leslie Sajous. Micro, Small, and Medium-Sized Enterprises: Key developments and updates in the Informal Working Group discussions among World Trade Organization members. International Institute for Sustainable Development, 2021. https://www.iisd.org/system/files/2021-04/msmes-working-group-discussions-wto-members-en.pdf.

Wikipedia

{{cite report |last1=Mukiibi |first1=Julian |last2=Sajous |first2=Leslie |title=Micro, Small, and Medium-Sized Enterprises: Key developments and updates in the Informal Working Group discussions among World Trade Organization members |publisher=International Institute for Sustainable Development |date=April 2021 |url=https://www.iisd.org/system/files/2021-04/msmes-working-group-discussions-wto-members-en.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{mukiibi2021micro, author = {Mukiibi, Julian and Sajous, Leslie}, title = {{Micro, Small, and Medium-Sized Enterprises: Key developments and updates in the Informal Working Group discussions among World Trade Organization members}}, institution = {International Institute for Sustainable Development}, year = {2021}, month = apr, url = {https://www.iisd.org/system/files/2021-04/msmes-working-group-discussions-wto-members-en.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }