RCEP Trade in Services Commitments Database

Methodology

Notes: The database contains liberalization rates under both the Regional Comprehensive Economic Partnership (RCEP) agreement and the General Agreement on Trade in Services (GATS). In the case of overall liberalization rates, it utilizes the weights calculated in WTO (2019) as well as updated rates calculated by the authors to reflect the distribution of trade in services by mode between 2017 and 2019. The definitions are mainly taken from ERIA and ADB (2021) and are edited for clarity. The indicators in the database are listed below in order of the modes, starting with the overall liberalisation rate.

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Overall Liberalisation Rate

The Overall Liberalisation Rate is an aggregate rate that summarises all modes of service liberalisation by assigning weights to the liberalisation rate of each mode depending on the mode's total share of services trade. It is calculated as:

FTA Liberalization Rate = (w₁ × Mode 1) + (w₂ × Mode 2) + (w₃ × Mode 3) + (w₄ × Mode 4)

Where:

  • w₁, w₂, w₃, w₄ are the weights assigned to the overall liberalization rate within each sector. Two sets of weights are utilized for the indicators.
    1. 30 percent for the Mode 1, 10 percent for Mode 2, 55 percent for the Mode 3, and 5 percent for Mode 4 referring to the share of modes of supply to trade in commercial services in 2016 (WTO, 2019). These are referred to as the ERIA reference weights in the database.
    2. The share of trade in each mode as a proportion of the total services trade (Exports + Imports) of countries between the years 2017 and 2019 inclusive. These weights are referred to as ADB updated in the database.



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Mode 1

Liberalisation Rate

The Mode 1 Liberalisation Rate is the liberalisation rate for services through cross-border supply without a commercial presence. The liberalization rate for Mode 1 is equal to 100 minus the prevalence rate of restrictions on Mode 1, and the prevalence rate is the number of subsectors with Mode 1 restrictions as a percentage ratio of the total number of subsectors in the service sector. The uncommitted subsectors are those which are not committed under positive list approach and are assumed to be unbound. In this method unbound is assumed to be restrictive, as a country has liberty to define it to remain free in a given sector and mode of supply, or to introduce or maintain measures inconsistent with market access or national treatment. It is calculated as:

(Liberalization rate Mode 1)j = 100 - [(50% ∗ MA prevalence rate) + (50% ∗ NT prevalence rate)]

Market Access Restrictions

The Market Access Restrictions for Mode 1 is the number of sectors with restrictions affecting the ability to supply services across borders without establishing a commercial presence. Market access restrictions are applicable unless the horizontal and specific commitments for Mode 1 in a given subsector are classified as "NONE" for market access. It is calculated as:

Let:

  • R = Market Access Restriction (1 if applicable, 0 otherwise);
  • Ch = Horizontal Commitment for Mode 1; and
  • Cs = Specific Commitment for Mode 1.

The condition for market access restriction can be expressed as:

R = 1   if (Ch ≠ NONE or Cs ≠ NONE) 0   if (Ch = NONE and Cs = NONE)

The overall restrictions are aggregated across all WTO subsectors represented in this indicator. Therefore, the total restriction Rtotal can be formulated as:

Rtotal = ∑ i=1 n Ri

where n is the total number of subsectors evaluated.

National Treatment Restrictions

The National Treatment Restrictions for Mode 1 is the number of sectors with restrictions that affect the treatment of foreign service suppliers in comparison to domestic suppliers. Market access restrictions are applicable unless the horizontal and specific commitments for Mode 1 in a given subsector are classified as "NONE" for national treatment. It is calculated as:

Let:

  • R = National Treatment Restriction (1 if applicable, 0 otherwise);
  • Ch = Horizontal Commitment for Mode 1; and
  • Cs = Specific Commitment for Mode 1.

The condition for market access restriction can be expressed as:

R = 1   if (Ch ≠ NONE or Cs ≠ NONE) 0   if (Ch = NONE and Cs = NONE)

The overall restrictions are aggregated across all WTO subsectors represented in this indicator. Therefore, the total restriction Rtotal can be formulated as:

Rtotal = ∑ i=1 n Ri

where n is the total number of subsectors evaluated.

Committed Sectors

The Committed Sectors for Mode 1 is the number of sectors where commitments to liberalisation have been made under Mode 1. These are the subsectors that have been committed for liberalization under mode 1 in specific FTA and Services Sectoral Classification List MTN.GNS/W/120 (WTO, 1991).

Market Access Restrictions Uncommitted Sectors

The Market Access Restrictions Uncommitted Sectors Mode 1 is the number of sectors which have been designed as uncommitted for Market Access under Mode 1. These are the subsectors that have not been committed for liberalization for Mode 1 under market access in specific FTA and Services Sectoral Classification List MTN.GNS/W/120 (WTO, 1991).

National Treatment Restrictions Uncommitted Sectors

The National Treatment Restrictions Uncommitted Sectors Mode 1 is the number of sectors which have been designed as uncommitted for National Treatment under Mode 1. These are the subsectors that have not been committed for liberalization for Mode 1 under national treatment in specific FTA and Services Sectoral Classification List MTN.GNS/W/120 (WTO, 1991).

Market Access Prevalence Rate

The Market Access Prevalence Rate for Mode 1 is the frequency of market access restrictions in Mode 1. It is calculated as the share of sectors with restrictions out of the total W120 sectors as follows:


∑ i=1 k (dummy Mode 1 MA restriction)i, f + ∑ u=1 l (dummy Mode 1 MA restriction)u, f / ∑ w=1 n (W120 subsector)w × 100

where:

  • i = committed subsector i at four-digit CPC level;
  • u = uncommitted subsector u at four-digit CPC level;
  • w = W120 subsectors w at four-digit CPC level;
  • j = country;
  • f = trade agreement − GATS or RCEP;
  • dummy Mode 1 MA/NT restriction = 1 if there is mode 1 MA or NT restriction identified in a subsector, or 0 otherwise;
  • ∑ i=1 k (dummy Mode 1 MA/NT restriction)i, f = total k number of FTA subsectors with Mode 1 MA or NT restriction;
  • ∑ u=1 l (dummy Mode 1 MA/NT restriction)u, f = total l number of uncommitted subsectors with assumed ‘unbound’ commitment for MA or NT for Mode 1; and
  • ∑ w=1 n (W120 subsector)w = total number of Services Sectoral Classification List MTN.GNS/W/120.

National Treatment Prevalence Rate

The National Treatment Prevalence Rate for Mode 1 is a measure of the frequency of market access restrictions in Mode 1. It is calculated as the share of sectors with restrictions out of the total W120 sectors as follows:

∑ i=1 k (dummy Mode 1 NT restriction)i, f + ∑ u=1 l (dummy Mode 1 NT restriction)u, f / ∑ w=1 n (W120 subsector)w × 100

where:

  • i = committed subsector i at four-digit CPC level;
  • u = uncommitted subsector u at four-digit CPC level;
  • w = W120 subsectors w at four-digit CPC level;
  • j = country;
  • f = trade agreement − GATS or RCEP;
  • dummy Mode 1 MA/NT restriction = 1 if there is mode 1 MA or NT restriction identified in a subsector, or 0 otherwise;
  • ∑ i=1 k (dummy Mode 1 MA/NT restriction)i, f = total k number of FTA subsectors with Mode 1 MA or NT restriction;
  • ∑ u=1 l (dummy Mode 1 MA/NT restriction)u, f = total l number of uncommitted subsectors with assumed ‘unbound’ commitment for MA or NT for Mode 1; and
  • ∑ w=1 n (W120 subsector)w = total number of Services Sectoral Classification List MTN.GNS/W/120.



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Mode 2

Liberalisation Rate

The Mode 2 Liberalisation Rate is the liberalisation rate for services supplied through consumption abroad. It is equal to 100 minus the prevalence rate of restrictions on Mode 2, and the prevalence rate is the number of subsectors with Mode 2 restrictions as a percentage ratio of the total number of subsectors in the service sector. It is calculated as:

(Liberalization rate Mode 2)j = 100 - [(50% ∗ MA prevalence rate) + (50% ∗ NT prevalence rate)]

Market Access Restrictions

The Market Access Restrictions for Mode 2 is the number of sectors with market access restrictions related to services supplied through consumption abroad. Market access restrictions are applicable unless the horizontal and specific commitments for Mode 2 in a given subsector are classified as "NONE" for market access. It is calculated as:

Let:

  • R = Market Access Restriction (1 if applicable, 0 otherwise);
  • Ch = Horizontal Commitment for Mode 2; and
  • Cs = Specific Commitment for Mode 2.

The condition for market access restriction can be expressed as:

R = 1   if (Ch ≠ NONE or Cs ≠ NONE) 0   if (Ch = NONE and Cs = NONE)

The overall restrictions are aggregated across all WTO subsectors represented in this indicator. Therefore, the total restriction Rtotal can be formulated as:

Rtotal = ∑ i=1 n Ri

where n is the total number of subsectors evaluated.

National Treatment Restrictions

The National Treatment Restrictions for Mode 2 is the number of sectors with restrictions that affect the treatment of foreign service suppliers. Market access restrictions are applicable unless the horizontal and specific commitments for Mode 2 in a given subsector are classified as "NONE" for national treatment. It is calculated as:

Let:

  • R = National Treatment Restriction (1 if applicable, 0 otherwise);
  • Ch = Horizontal Commitment for Mode 2; and
  • Cs = Specific Commitment for Mode 2.

The condition for market access restriction can be expressed as:

R = 1   if (Ch ≠ NONE or Cs ≠ NONE) 0   if (Ch = NONE and Cs = NONE)

The overall restrictions are aggregated across all WTO subsectors represented in this indicator. Therefore, the total restriction Rtotal can be formulated as:

Rtotal = ∑ i=1 n Ri

where n is the total number of subsectors evaluated.

Committed Sectors

The Committed Sectors for Mode 2 is the number of sectors where a country has made commitments under Mode 2. These are the subsectors that have been committed for liberalization under Mode 2 in specific FTA and Services Sectoral Classification List MTN.GNS/W/120 (WTO, 1991).

Market Access Restrictions Uncommitted Sectors

The Market Access Restrictions Uncommitted Sectors for Mode 2 is the number of sectors which have been designed as uncommitted for Market Access under Mode 2. These are the subsectors that have not been committed for liberalization for Mode 2 under market access in specific FTA and Services Sectoral Classification List MTN.GNS/W/120 (WTO, 1991).

National Treatment Restrictions Uncommitted Sectors

The National Treatment Restrictions Uncommitted Sectors Mode 2 is the number of sectors which have been designed as uncommitted for National Treatment under Mode 2. These are the subsectors that have not been committed for liberalization for Mode 2 under national treatment in specific FTA and Services Sectoral Classification List MTN.GNS/W/120 (WTO, 1991).

Market Access Prevalence Rate

The Market Access Prevalence Rate Mode 2 is a measure of the frequency of market access restrictions for Mode 2 services. It is calculated as the share of sectors with restrictions out of the total W120 sectors as follows:

∑ i=1 k (dummy Mode 2 MA restriction)i, f + ∑ u=1 l (dummy Mode 2 MA restriction)u, f / ∑ w=1 n (W120 subsector)w × 100

where:

  • i = committed subsector i at four-digit CPC level;
  • u = uncommitted subsector u at four-digit CPC level;
  • w = W120 subsectors w at four-digit CPC level;
  • j = country;
  • f = trade agreement − GATS or RCEP;
  • dummy Mode 2 MA/NT restriction = 1 if there is mode 2 MA or NT restriction identified in a subsector, or 0 otherwise;
  • ∑ i=1 k (dummy Mode 2 MA/NT restriction)i, f = total k number of FTA subsectors with Mode 2 MA or NT restriction;
  • ∑ u=1 l (dummy Mode 2 MA/NT restriction)u, f = total l number of uncommitted subsectors with assumed ‘unbound’ commitment for MA or NT for Mode 2; and
  • ∑ w=1 n (W120 subsector)w = total number of Services Sectoral Classification List MTN.GNS/W/120.

National Treatment Prevalence Rate

The National Treatment Prevalence Rate for Mode 2 is a measure of the frequency of market access restrictions in Mode 1. It is calculated as the share of sectors with restrictions out of the total W120 sectors as follows:

∑ i=1 k (dummy Mode 2 NT restriction)i, f + ∑ u=1 l (dummy Mode 2 NT restriction)u, f / ∑ w=1 n (W120 subsector)w × 100

where:

  • i = committed subsector i at four-digit CPC level;
  • u = uncommitted subsector u at four-digit CPC level;
  • w = W120 subsectors w at four-digit CPC level;
  • j = country;
  • f = trade agreement − RCEP or, GATS;
  • dummy Mode 2 MA/NT restriction = 1 if there is mode 2 MA or NT restriction identified in a subsector, or 0 otherwise;
  • ∑ i=1 k (dummy Mode 2 MA/NT restriction)i, f = total k number of FTA subsectors with Mode 2 MA or NT restriction;
  • ∑ u=1 l (dummy Mode 2 MA/NT restriction)u, f = total l number of uncommitted subsectors with assumed ‘unbound’ commitment for MA or NT for Mode 2; and
  • ∑ w=1 n (W120 subsector)w = total number of Services Sectoral Classification List MTN.GNS/W/120.



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Mode 3

Liberalisation Rate

The Mode 3 Liberalisation Rate is the liberalisation rate for services through commercial presence (investment). It is the weighted average of the liberalization rate for foreign equity liberalization (with a weight of 60 percent) and the liberalization rate for the other restrictions or limitations (with a weight of 40 percent). It is calculated as follows:

LMODE3 = (0.6 × SFEL) + (0.4 × SORL)

where:

  • LMODE3 = Overall Mode 3 liberalization rate;
  • SFEL = (services) foreign equity liberalization rate; and
  • SORL = (services) other restrictions liberalization rate.

SFEL Score

The Services Foreign Equity Liberalization (SFEL) Score is the liberalisation rate of foreign equity limitations under Mode 3 in an economy. It is computed as the number of subsectors that have liberalized foreign equity limitations as a ratio of the total number of subsectors scheduled for liberalization, which in this study comes from the commitments of FTA. A weight of 1 (or 100%) is assigned for any subsector that has full liberalization commitment (i.e., the sector has foreign equity commitment to be greater than 51%) and a weight of 0.5 (or 50%) if the subsector has at least one conditional requirement even though its foreign equity commitment meets the target. It is calculated as:

(SEFL)j,f = ∑ i=1 k (FTA subsector 51% FE)i / ∑ w=1 n (W120 subsector)i,f + 0.5 ⎜ ∑ i=1 k (FTA subsector 51% FE with conditionality)i / ∑ w=1 n (W120 subsector)i,f ⎟

where:

  • i = subsector;
  • j = country;
  • f = trade agreement – GATS or RCEP; and
  • ∑ i=1 k (FTA subsector 51% FE)i = total k number of FTA subsectors with at least 51% foreign equity participation.

SORL Score

The Services Other Restrictions Liberalization (SORL) Score is the liberalisation rate for other restrictions under Mode 3 in an economy. It is the weighted average of the liberalization rate of other market access restrictions (weighted by 40 percent) and the liberalization rate of national treatment restrictions (weighted by 60 percent).

SORL = (0.6 × NT_SORL) + (0.4 × MA_SORL)

where:

  • NT_SORL = Liberalization rate of national treatment restrictions in the service sector; and
  • MA_SORL = Liberalization rate of other market access restrictions in the service sector.

The other market access (OMA) restrictions or impediments are grouped into six types of measures:

  • OMA Type 1 : Limitation on the number of services suppliers;
  • OMA Type 2 : Limitations on the total value of service transactions or assets;
  • OMA Type 3 : Limitation on the number of service operations or on the total quantity of service output;
  • OMA Type 4 : Limitations on the total number of service operations or on the total quantity of suppliers;
  • OMA Type 5 : Limitation on the total number of natural persons that may be employed; and
  • OMA Type 6 : Measures which restrict or require specific types of legal entity or joint venture.

The market access component of the SORL score is calculated as follows:

(MASORL)j,f  =

100 − ⎢⎢ ∑ i=1   ∑ r=1 6 (dummy OMA restriction)r, i, f / 6 + ∑ u=1   ∑ r=1 6 (dummy OMA restriction)r, u, f / 6 / ∑ w=1 n (W120 subsector)w ⎥⎥ …(Eq. 7)

where:

  • r = [1,…,6] for six types other market access restriction (OMA);
  • dummy OMA restriction = 1 if there is OMA restriction identified in a subsector, or 0 otherwise;
  • ∑ r=1 6 (dummy OMA restriction)r, i, f = total r number of OMA restrictions for a subsector;
  • ∑ r=1 6 (dummy OMA restriction)r, u, f = total r number of OMA restrictions in an uncommitted subsector with assumed ‘unbound’ commitment;
  • ∑ w=1 n (W120 subsector)w = total n number of subsectors list in W120; and
  • f = trade agreement − GATS or RCEP.

The national treatment (NT) limitations or restrictions or impediments are grouped into four types of measures, namely:

  • NT Type 1 : Restrictions or discriminatory requirements on screening and approval of investment projects;
  • NT Type 2 : Restrictions on the composition of board of directors and management;
  • NT Type 3 : Input requirements, operational restrictions and other restrictions; and
  • LMOVE : Restrictions on movement of natural persons incidental to the operations of the foreign invested firms.

The national treatment component of the SORL score is calculated as follows:

(NTSORL)j,f = [0.75 × (M3NT SORL)j,f] + [0.25 × (LMOVE)j,f]

where:

  • M3NT_SORL = FTA Mode 3 national treatment SORL, or FTA Mode 3 aggregate prevalence rate of industry level national treatment restrictions other than intra-corporate movement of people; and
  • LMOVE = FTA Liberalization Rate of intra-corporate movement of people

(M3NTSORL)j,f  =

100 − ⎢⎢ ∑ i=1   ∑ r=1 3 (dummy NT restriction)r, i, f / 3 + ∑ u=1   ∑ r=1 3 (dummy NT restriction)r, u, f / 3 / ∑ w=1 n (W120 subsector)w ⎥⎥ …(Eq. 9)

where:

  • r = [1,…,3] for three types of national treatment restriction (NT);
  • dummy NT restriction= 1 if there is NT restriction identified in a subsector, or 0 otherwise
    ∑ r=1 3 (dummy NT restriction)r, i, f  = total r number of NT restrictions for a subsector;
  • ∑ r=1 3 (dummy NT restriction)r, u, f  = total rnumber of NT restrictions in an uncommitted subsector with assumed ‘unbound’ commitment;
  • ∑ w=1 n (W120 subsector)w  = total n number of subsectors list in W120; and
  • f = trade agreement − GATS or RCEP.
(LMOVE)j,f   = 100   −   ⎢⎢ ⎜ 1 × ∑ i=1 k (dummy ‘no − entry’)i,f / ∑ w=1 n (W120)w   × 100 ⎟ +   ⎜ 1 × ∑ u=1 l (dummy ‘no − entry’)u,f / ∑ w=1 n (W120)w   × 100 ⎟ +   ⎜ 0.5 × ∑ i=1 k (dummy ‘stay ≤ 1 year’)i,f / ∑ w=1 n (W120)w   × 100 ⎟ +   ⎜ 0.2 × ∑ i=1 k (dummy ‘1 year < stay ≤ 2 years’)i,f / ∑ w=1 n (W120)w   × 100 ⎟ ⎥⎥

where:

  • i = subsector;
  • j = country;
  • f = trade agreement − GATS or RCEP;
  • LMOVE = FTA liberalization rate of intra-corporate movement of people;
  • ∑ i=1 k (dummy ‘no − entry’ )i = total number of subsectors i with no-entry restriction;
  • ∑ i=1 k (dummy ‘stay ≤ 1 year’ )i = total number of subsectors i with allowable stay of less than or equal to one year;
  • ∑ i=1 k (dummy ‘1 year < stay ≤ 2 years’ )i = total number of subsectors i with allowable stay between one and two years;
  • ∑ u=1 l (dummy ‘no − entry’ )u total number of uncommitted subsector u with assumed unbound restriction (ie. no-entry requirement); and
  • ∑ w=1 n (W120)w = total n number of subsectors in W120.



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Mode 4

Liberalisation Rate

The Mode 4 Liberalisation Rate is the liberalisation rate for services involving the movement of natural persons (labor mobility). It is the weighted average of the liberalization rate for CSS (with a weight of 33,3 percent), liberalization rate for BV (with a weight of 33,3 percent), and the IP (with a weight of 33,3 percent). It is calculated as follows:

Mode 4 = (0.33 × contractual services supply (CSS)) + (0.33 × business visitors (BV) ) + (0.33 × independent professional (IP))

CSS Score

The Contractual Service Supplier (CSS) Score is the liberalisation rate for contractual services suppliers in an economy. It considers the different levels of mobility provided to CSS in various sectors and is calculated as:

(CSS)j,f   = 100  
 −   ⎢⎢ ⎜ 1 × ∑ i=1 k (dummy ‘no − entry’)i,f / ∑ w=1 n (W120)w   × 100 ⎟ +   ⎜ 1 × ∑ u=1 l (dummy ‘no − entry’)u,f / ∑ w=1 n (W120)w   × 100 ⎟ +   ⎜ 0.5 × ∑ i=1 k (dummy ‘stay ≤ 1 year’)i,f / ∑ w=1 n (W120)w   × 100 ⎟ +   ⎜ 0.2 × ∑ i=1 k (dummy ‘1 year < stay ≤ 2 years’)i,f / ∑ w=1 n (W120)w   × 100 ⎟ ⎥⎥

where:

  • i = subsector;
  • j = country;
  • f = trade agreement − GATS or RCEP;
  • CSS = FTA liberalization rate of intra-corporate movement of people;
  • ∑ i=1 k (dummy ‘no − entry’ )i = total number of subsectors i with no-entry restriction;
  • ∑ i=1 k (dummy ‘stay ≤ 1 year’ )i = total number of subsectors i with allowable stay of less than or equal to one year;
  • ∑ i=1 k (dummy ‘1 year < stay ≤ 2 years’ )i = total number of subsectors i with allowable stay between one and two years;
  • ∑ u=1 l (dummy ‘no − entry’ )u total number of uncommitted subsector u with assumed unbound restriction (ie. no-entry requirement); and
  • ∑ w=1 n (W120)w = total n number of subsectors in W120;

BV Score

The Business Visitor (BV) Score is the liberalisation rate for business visitors in an economy. It considers the different levels of mobility provided to business visitors in various sectors and is calculated as:

(BV)j,f   = 100  
 −   ⎢⎢ ⎜ 1 × ∑ i=1 k (dummy ‘no − entry’)i,f / ∑ w=1 n (W120)w   × 100 ⎟ +   ⎜ 1 × ∑ u=1 l (dummy ‘no − entry’)u,f / ∑ w=1 n (W120)w   × 100 ⎟ +   ⎜ 0.5 × ∑ i=1 k (dummy ‘stay ≤ 1 month’)i,f / ∑ w=1 n (W120)w   × 100 ⎟ +   ⎜ 0.2 × ∑ i=1 k (dummy ‘1 year < stay ≤ 3 months’)i,f / ∑ w=1 n (W120)w   × 100 ⎟ ⎥⎥

where:

  • i = subsector;
  • j = country;
  • f = trade agreement − GATS or RCEP;
  • BV = FTA liberalization rate of BV;
  • ∑ i=1 k (dummy ‘no − entry’ )i = total number of subsectors i with no-entry restriction;
  • ∑ i=1 k (dummy ‘stay ≤ 1 month’ )i = total number of subsectors i with allowable stay of less than or equal to one month;
  • ∑ i=1 k (dummy ‘1 year < stay ≤ 3 months’ )i = total number of subsectors i with allowable stay between one and 3 months;
  • ∑ u=1 l (dummy ‘no − entry’ )u total number of uncommitted subsector u with assumed unbound restriction (ie. no-entry requirement); and
  • ∑ w=1 n (W120)w = total n number of subsectors defined by W120;

IP Score

The Independent Provider (IP) score is the liberalisation rate for independent professionals providing services in an economy. It considers the different levels of mobility provided to independent professionals in various sectors and is calculated as:

(IP)j,f   = 100  
 −   ⎢⎢ ⎜ 1 × ∑ i=1 k (dummy ‘no − entry’)i,f / ∑ w=1 n (W120)w   × 100 ⎟ +   ⎜ 1 × ∑ u=1 l (dummy ‘no − entry’)u,f / ∑ w=1 n (W120)w   × 100 ⎟ +   ⎜ 0.5 × ∑ i=1 k (dummy ‘stay ≤ 1 year’)i,f / ∑ w=1 n (W120)w   × 100 ⎟ +   ⎜ 0.2 × ∑ i=1 k (dummy ‘1 year < stay ≤ 2 years’)i,f / ∑ w=1 n (W120)w   × 100 ⎟ ⎥⎥

where:

  • i = subsector;
  • j = country;
  • f = trade agreement − GATS or RCEP;
  • IP = FTA liberalization rate of independent professional;
  • ∑ i=1 k (dummy ‘no − entry’ )i = total number of subsectors i with no-entry restriction;
  • ∑ i=1 k (dummy ‘stay ≤ 1 year’ )i = total number of subsectors i with allowable stay of less than or equal to one year;
  • ∑ i=1 k (dummy ‘1 year < stay ≤ 2 years’ )i = total number of subsectors i with allowable stay between one and two years;
  • ∑ u=1 l (dummy ‘no − entry’ )u total number of uncommitted subsector u with assumed unbound restriction (ie. no-entry requirement); and
  • ∑ w=1 n (W120)w = total n number of subsectors in W120.



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References

  • Economic Research Institute for ASEAN and East Asia (ERIA) and ADB. 2021. Building Datasets on RCEP Trade in Services Commitments and Baseline Measures: Methodological Paper. Jakarta.
  • ERIA. (2011). AFAS Scoring System revised. unpublished.
  • Narjoko, D. and R. B. Herdiyanto (2012), ‘Services Liberalization’, in Intal, P. et al. (eds.), Mid-Term Review of the Implementation of AEC Blueprint, Unpublished report, Jakarta: ERIA.
  • WTO. (1991). The services sectoral classification list (W/120).
  • WTO. (2019). TiSMoS – a new global trade in services data set. November. https://www.wto.org/english/tratop_e/serv_e/simply_services_29nov_2019_timos_presentation_e.pdf
  • WTO. (2021). The General Agreement on Trade in Services (GATS): objectives, coverage and disciplines. https://www.wto.org/english/tratop_e/serv_e/gatsqa_e.htm