Recognising the role of tradable service exports in the South African economy: an untapped resource
Year: 2026
Type: article
Abstract: The contribution of services embedded in manufactured products in world trade has greatly increased since the 1980s. So too has services as a direct export. South Africa is an interesting case of an emerging economy that has struggled to diversify its export basket beyond basic commodities, despite having a robust domestic service sector. The article assesses the contribution of service exports to international trade in South Africa. Balance of payments data confirm that services trade is modest compared to merchandise trade. Exports in higher-value services show strong growth, although off a low base. Yet certain kinds of international linkages are not counted in official trade statistics. These service firms are also more productive, report higher output and usually pay better wages than those focused on the domestic market as mirrored in studies of manufacturing exports. We advocate for further research and greater recognition of tradable service exports in trade policy.
DOI: 10.14749/32362308
Author: Human Sciences Research Council
Language: English
Topic: Global trade and economics
Domain: Social Sciences
Open Access status: green
Funder: Human Sciences Research Council
OpenAlex ID: W7162106295
FWCI:
Cites:
Cited by:
Related to: