A new report from the World Bank highlights the growing influence of international standards on the global economy, emphasizing that while these standards benefit wealthier nations and large multinational corporations, many developing countries are not able to participate fully in their creation or reap their benefits.
The World Development Report 2025: Standards for Development provides a comprehensive analysis of how international standards—ranging from food labeling to 5G network specifications—have become essential economic infrastructure. The report notes that standardization, such as the introduction of shipping containers, has played a significant role in boosting global trade, surpassing the impact of all trade agreements over the past six decades. However, it also points out that since the early 2000s, standards have increasingly been used as non-tariff barriers in trade disputes. For example, measures like pesticide regulations and labeling requirements now affect about 90 percent of global trade, compared to just 15 percent in the late 1990s.
Indermit Gill, Chief Economist of the World Bank Group and Senior Vice President for Development Economics, said: “Standards are both central and unsung today. When they’re set right, they go unnoticed: the ship sails through the canal, the building withstands an earthquake, a kilogram weighs the same in Kenya as in Canada, and no one gives the gains that come a second thought. The standardized shipping container might well have catalyzed more trade in manufactured goods than all the trade deals put together. Digital standards could do the same for the services trade. When countries are active in adapting, aligning, and authoring standards, they are a powerful tool for growth and poverty reduction. This report is the first assessment of the role of standards in economic development--and a call to developing nations to make them a core component of their development strategies."
Sergio Mujica, Secretary-General of ISO (International Organization for Standardization), commented on this shift: “The World Bank’s decision to dedicate the 2025 World Development Report to standards sends a powerful signal: international standards are no longer invisible infrastructure—they are critical enablers of sustainable, inclusive development. Unlocking the full development potential of standards means ensuring all countries can participate in their creation and implement them. This report is a timely call to action to strengthen global participation and cooperation in standardization.”
According to data cited by the report, more than half of ISO’s approximately 20,000 published standards have been developed since 2000. In 2024 alone, major standard-setting organizations issued over 7,000 new standards. Despite this surge in activity, developing countries often lack sufficient resources or expertise to take part; on average they hold seats on less than one-third of ISO technical committees responsible for drafting global standards.
The report recommends an "adapt-align-author" framework tailored for different stages of national development. At early stages, countries should adapt international norms to local contexts rather than copying stringent foreign rules outright. As domestic capacity improves, alignment with global norms can help reduce duplication and facilitate access to foreign markets; eventually wealthier developing nations should seek opportunities to contribute new or revised international benchmarks themselves.
Japan’s post-World War II experience is cited as an example where strategic use of quality management systems helped transform its manufacturing sector from low-quality exports into globally respected products.
Xavier Giné, Director of the 2025 World Development Report stated: “The lesson from the most successful economies is that standards are not just technical rules—they are the foundation for innovation and global competitiveness. Countries that treat standards as part of their development strategy—rather than as an afterthought—are the ones that have managed to climb the ladder of prosperity.”