Working Paper

Does Aid-for-Trade from the North Promote South-South Trade?


  • Philipp Hühne
  • Birgit Meyer
  • Peter Nunnenkamp
Publication Date

Our empirical estimations indicate that aid-for-trade granted by OECD donors strengthens the trade relations of recipient countries with other developing countries. By focusing on South-South trade we mitigate endogeneity concerns that have plagued analyses of trade between recipients and donors of aid-for-trade.


JEL Classification
F14, F35

Key Words

  • aid effectiveness
  • aid-for-trade
  • south-south trade