Cover -- Title Page -- Contents -- Acknowledgments -- Foreword -- Main Evaluation Messages -- Executive Summary -- World Bank Trade Activities: 1987-2001 -- Project-Level Outcomes -- Outputs -- Outcomes -- Impact -- Bank Trade Activities: 2001-04 -- Progress toward a More Development-Friendly Trading System -- Progress toward Mainstreaming Trade -- Recommendations -- Recommendation 1: Address Poverty-Distributional Outcomes and External Shocks in a Balanced Approach -- Recommendation 2: Revisit the Balance between Global and Country Agendas and Strengthen Operational Links on Trade Issues -- Recommendation 3: Strengthen Knowledge Management Efforts -- Acronyms and Abbreviations -- 1 Introduction -- Evaluation Highlights -- Introduction -- Rationale for Bank Involvement -- Objective of the Evaluation -- Conceptual Framework and Methodology -- Endnotes -- 2 Lessons from the Literature -- Evaluation Highlights -- Introduction -- Trade Policy Reform and Economic Growth -- Lessons from Past IEG Evaluations -- Endnotes -- 3 Inputs, Trends, and Evolution of World Bank Trade Assistance -- Evaluation Highlights -- Introduction -- Lending Inputs to Trade -- Magnitude, Relative Importance, and Trends -- Thematic Focus: From Trade Liberalization to Trade Facilitation -- What Was Recommended? The Design of Trade Adjustment Loans -- Focus of Lending Conditions -- Sequencing of Conditions: Did the Bank Follow a "One-Size-Fits-All" Approach? -- Recommendation Implementation and Outcome -- Nonlending Inputs -- Endnotes -- 4 Outcomes and Results -- Evaluation Highlights -- Introduction -- Project Outcomes -- What Were the Objectives? -- How Did the Projects Perform? -- Conclusions -- Did Trade Loans Pay Attention to Poverty and Distributional Issues? -- Economic Outcomes for the Sample Countries -- Initial Conditions.

Changes in Target Variables and Economic Activity -- Impact of Policy Reforms on Target Variables (Tariffs and Protection) -- Real sector -- Contribution of trade to growth -- Diversification of Exports -- Did deindustrialization occur? -- Internal efficiency gains and productivity -- Lessons at the Country Level -- Crises Can Precipitate Reform, but Broad Ownership Sustains It -- Sequencing of Macroeconomic Policies -- The Need for Complementary Policies Was Underestimated -- Institutions Matter and Underpin Sustainability -- External Factors Were Largely Understudied -- Distributional Outcomes Get Too Little Attention -- Conclusions -- Endnotes -- 5 Trade Returns to the Agenda, 2001-04 -- Evaluation Highlights -- Introduction -- Research -- Bank Participation in Global Policy Discussions and Advocacy -- Building Trade Capacity -- Capacity Building Components in Operational Lending -- The Integrated Framework for Trade-Related Technical Assistance -- External Training -- Conclusions -- Knowledge Management -- Mainstreaming Trade into Country Work -- Trade in Country Assistance Strategies -- Integrating Trade and Sector Activities -- Conclusions on Mainstreaming -- Endnotes -- 6 Findings and Recommendations -- Evaluation Highlights -- Introduction -- Findings -- Was the Bank's Assistance Relevant? -- 1987-2001 Period -- Domestic Distortions -- Complementary Policies -- External Environment -- Trade and Poverty Linkages -- 2001-04 Period -- Was the Bank's Assistance Effective? -- 1987-2001 Period -- 2001-04 Period -- Recommendations -- Recommendation 1: Address Poverty-Distributional Outcomes and External Shocks in a Balanced Approach -- Recommendation 2: Revisit the Balance between Global and Country Agendas and Strengthen Operational Links on Trade Issues -- Recommendation 3: Strengthen Knowledge Management Efforts -- Endnotes -- Appendixes.

Appendix A1: Timeline of Major Developments in International Trade, 1987-2005 -- Appendix A2: Conceptual Framework for the Evaluation -- Appendix B1: Trade and Development-the State of the Debate -- Trade Policy Reform and Economic Growth: Implications for Bank Advice -- Macroeconomic Environment and Trade Policy Reform -- Macroeconomic Stability -- The Real Exchange Rate -- Timing of Trade Policy and Exchange Rate Reform -- Policies for Export Development -- Design, Sequence, and Duration of Trade Policy Reform -- External Constraints and Opportunities -- Complementary and Mitigating Measures -- Trade and Growth -- The Role of Trade in Economic Growth -- The Approaches to Trade Liberalization -- Trade, Income Distribution, and Poverty -- Endnotes -- Appendix B2: Lessons from Previous IEG Evaluations -- Agriculture -- Industrial Activities -- Trade Liberalization -- Social Impact of Adjustment -- Trade Infrastructure -- Appendix C1: Defining Trade in the Bank Portfolio -- Trade Project Database Technical Notes -- General Description -- Time Period -- Classification -- Appendix C2: Portfolio Data for Trade-Related Projects -- Appendix C3: Changes in the Focus of Trade Conditionality -- Endnotes -- Appendix C4: Implementation of Conditions -- Appendix D1: Core and Non-Core Trade Projects -- Appendix D2: IEG Portfolio Ratings -- Appendix D3: Trade-Related Investment Projects -- Appendix D4: Probit Estimation of the Determinants of Project Outcomes -- Appendix D5: Aggregate Economic Analysis -- Appendix D6: Sources of Growth Decomposition -- Appendix D7: Case Country Profiles -- India: A Gradual Reformer -- Indonesia: Home-Grown Liberalization Short-Circuited by Crisis -- Morocco: Crisis Precipitates Reform, Fiscal Concerns Dampen the Pace -- Mozambique: Cashew Controversy Overshadows Post-Conflict Gains.

Senegal: The Limits of Advice and the Importance of Domestic Constituencies for Reform -- Zambia: Political Change Opens Window of Opportunity Leading to Economic Change -- Lessons from ESW in Case Study Countries -- Appendix E1: Organizational Chart for the International Trade Department -- Appendix E2: Establishment of the Trade Department -- Director, Trade Department, PREM/DEC/WBI -- Appendix E3: World Bank Advocacy on Industrial Country Trade Policies -- Appendix E4: Distribution of Trade Capacity Building Components, 2001-04 -- Appendix E5: Geneva Survey Results -- Interviews with Geneva-Based Organizations -- Background -- Perceptions of the World Bank -- The World Bank Strategy -- Products and Information -- Appendix E6: Staff Survey Results -- Introduction -- Evaluation Survey on the Bank's Analytical Work and Operational Linkages -- Demographics -- Appendix E7: Trade in Country Assistance Strategies -- Appendix E8: Trade Note Series -- Appendix F: Management Response -- Introduction -- Management Comments -- Greater Differentiation across Review Periods -- Budget Constraints -- Focus on the Trade Department -- Poverty and Distributional Issues -- Mainstreaming in Country Programs and Adjustment -- Aid for Trade -- Conclusions -- Management Action Record -- Appendix G: Chairman's Summary: Committee on Development Effectiveness (CODE) -- Background -- Highlights of the Report -- Highlights of the Management Response (MR) -- Overall Conclusions -- Next Steps -- Evaluation Framework -- Distributional Impact -- Focus and Priorities -- Response to Adjustment -- Strengthening Knowledge Management -- Bank's Advocacy Role -- Organizational Capacity and Effectiveness -- References -- Back Cover.