Digital services are rapidly changing the structure of international trade, but new global trade data show a widening gap between advanced economies and the world’s least developed countries in their ability to participate in the digital economy.

According to the latest international trade data, digitally deliverable services now account for 56 percent of global services exports. These include services such as financial activities, telecommunications, computing, research and development, consulting and other services that can be supplied remotely through digital networks.

The expansion reflects the growing role of cloud computing, digital platforms, online business services and improved connectivity in international commerce.

Services Become a Major Part of Global Trade

Services have become increasingly important not only as exports but also as inputs into the production of goods.

International data show that services accounted for around 71 percent of global intermediate inputs in 2022. This means services are deeply integrated into manufacturing, agriculture and other economic activities rather than functioning only as a separate part of international trade.

The share of services in global exports has also continued to increase.

Global services exports expanded by an average of approximately 6.7 percent annually over the past decade, with growth reaching around 8.3 percent in 2025.

Digitally deliverable services grew even faster, averaging about 7.1 percent annually during the same period.

A Growing Digital Divide

Despite the rapid expansion of digital trade, participation remains highly uneven.

In developed economies, digitally delivered services account for approximately 61 percent of total services exports.

For least developed countries, the corresponding figure is only 16 percent.

The difference highlights a major gap in digital infrastructure, technology adoption, skills and access to international digital markets.

For poorer economies, the challenge is not simply increasing internet access. Countries also need skilled workers, reliable digital infrastructure, affordable connectivity and regulatory systems that allow businesses to participate in international digital commerce.

Least Developed Countries Face Limited Gains

The expansion of global services trade has not benefited all economies equally.

Services exports from least developed countries have grown at a considerably slower pace than the global average. Their share of worldwide services exports has declined to approximately 0.6 percent in 2025.

This indicates that many of the world’s poorest economies remain only marginally connected to the fastest-growing parts of the global services market.

Traditional services such as transport and tourism continue to play an important role in many developing economies, while higher-value digital activities remain concentrated in countries with stronger technological capabilities.

Technology and Skills Become Critical

The changing structure of international trade is increasing the importance of digital infrastructure and human capital.

Reliable broadband networks, data infrastructure, digital payment systems and technology skills can help companies reach customers beyond their domestic markets.

Businesses can potentially provide software, financial services, consulting, research and other professional services internationally without establishing a physical presence in every market.

However, countries without sufficient infrastructure or skilled workers may find it difficult to capture these opportunities.

Artificial Intelligence Adds Another Dimension

Artificial intelligence is adding a new layer to the global digital divide.

The benefits of AI depend heavily on access to computing capacity, data, financing, technological expertise and skilled workers.

International data indicate that advanced economies have significantly greater AI readiness than developing and least developed economies.

The uneven distribution of AI capabilities could therefore reinforce existing differences in productivity and digital trade unless developing economies gain greater access to infrastructure, knowledge and investment.

Digital Trade Rules Are Expanding

The growth of digital commerce is also changing international trade policy.

More trade agreements now include provisions dealing with e-commerce and digital trade.

Since 2000, digital-trade provisions have become increasingly common in preferential trade agreements.

This growing regulatory activity creates new opportunities but can also increase complexity for businesses operating across borders.

Different rules concerning data, digital services, online transactions and technology can raise compliance requirements, particularly for smaller businesses and companies from developing economies.

Investment Could Help Narrow the Gap

Closing the digital divide will require investment in infrastructure as well as education and workforce development.

Affordable internet connectivity, reliable electricity, digital payment systems and access to technology can help businesses enter international markets.

Training programmes can also enable workers to move into higher-value digital services.

For developing countries, these measures could create opportunities to diversify exports beyond traditional commodities and low-value services.

A Changing Global Trade Landscape

The latest figures show that international trade is increasingly shaped by digital technologies.

Services are becoming more important within global production and exports, while digitally deliverable activities are growing faster than many traditional service categories.

Yet the distribution of these opportunities remains highly unequal.

The contrast between the 61 percent digital share in developed economies and 16 percent in least developed countries demonstrates the scale of the challenge.

As digital technologies and artificial intelligence continue to reshape global commerce, infrastructure, skills, investment and international cooperation will play an important role in determining which economies are able to benefit from the next phase of global trade.