Research Handbook on Economic Diplomacy
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Research Handbook on Economic Diplomacy

Bilateral Relations in a Context of Geopolitical Change

Edited by Peter A.G. van Bergeijk and Selwyn J.V. Moons

This Handbook positions economic diplomacy as a multidisciplinary field and presents state of the art research relevant to policy makers and academia around the globe focusing on four themes: the role of economic diplomats, the impact and evaluation of economic diplomacy, politics and trade and emerging markets. It offers academic, business and policy perspectives taking stock of knowledge produced with qualitative and quantitative research on Northern America, Europe, Africa, Asia and Latin America.
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Chapter 19: Economic diplomacy: a developing country perspective

Kishan S. Rana


Developing states face difficulty in moving up the value chain in their efforts to reach world markets. With underdeveloped domestic economic institutions and infrastructure, they have to depend on their diplomatic machinery to provide support to business enterprises, chambers of commerce and other economic agents, who do not have the needed international connections, or the resources to hire consultants or advisers. For these countries, access and utilization of foreign aid is also conditioned by these factors. How this become an inhibiting factor in their economic development is understudied; rich states have moved much beyond, possessing their own internal and external institutions which sustain autonomous links with foreign counterparts. What are the stages that developing countries must traverse in their journey? How can they mobilize promotion methods, and also build their own institutions? How can these countries improve their aid management, in their dealings with donor institutions and countries?

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