World Development Report 2025

STANDARDS FOR DEVELOPMENT

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About

Standards play a simultaneously central and unsung role in our modern world. From the first attempts to unify weights and measures in ancient empires to today's complex web of international protocols governing everything from the internet to food safety, standards have been the bedrock upon which societies build their economic, political, and social structures.

Why do standards matter, for whom, and for what? Who sets standards, and why does that matter? What roles do standards play in the progress of nations from low levels of development to the highest? Because development is about improving living standards, World Development Report 2025 will argue that setting and enforcing standards across the economy, society, environment, and government—and periodically revising and raising standards—are the heart of the development process. Consequently, developing countries can make substantial gains by choosing and implementing the right standards effectively. Conversely the poor choice of standards, their weak implementation, or exclusion from participation in standard setting on the global stage can inflict large costs.

So how can developing countries leverage standards to foster sustainable growth? WDR 2025 will explore how voluntary and mandatory standards (that is, those enacted as regulations) can be used as a tool for development—to improve the productivity of firms, enable job creation, conduct mutually beneficial trade, enhance public access to basic social services, widen financial inclusion, or limit the adverse impacts the impact of economic activities on the environment—and quicken progress towards the sustainable development goals. Standards can also improve the capacity of the public sector, for example, by enhancing the ability to recruit talented civil servants, ensuring the most efficient use of public resources, and effectively enforcing public policies.

WDR 2025 defines standards as codified solutions that are designed for common and repeated use and are recognized by multiple stakeholders. While most standards are voluntary, often developed by private organizations on behalf of their stakeholders, standards become mandatory when enshrined into law (i.e., technical regulations).

In the process of economic development, productive sectors in countries transition from an Absence of standards, a situation without standards or a myriad of local standards, to a situation where they Adopt international standards, either by taking them as-is or adapting them to local economic contexts, capabilities, and ambition, and finally to one where they Author new international standards, often reflecting a country's economic goals and political priorities. “Authoring” standards in WDR 2025 refers to the participation of countries in the international standard-setting process. As countries and sectors navigate these transitions, they face several trade-offs, such as when to set standards, how to define their scope and their stringency. Setting standards prematurely risks countries getting locked-in with sub-optimal results, while setting them too late may limit their effectiveness. Setting too wide a scope may lead to unnecessarily cumbersome requirements, while setting it too narrowly may limit the impact. Compliance costs increase with stringency so setting the standard too high can lead to exclusion, while setting it too low can forsake the benefits of standardization. Based on their capabilities and resources, countries need to manage these trade-offs to achieve higher quality and aggregate welfare—the essence of development.

The Report will mainly focus on the transitions from Absence to Adoption and Adaptation, as they are the most relevant for the largest share of developing economies. However, it will also address how developing countries can meaningfully participate in ongoing international standard-setting processes in emerging technologies.