economic diplomacy

2. Introduction
 Economic diplomacy is defined as basically the process
through which countries track outside world to
maximize their national gain in all the fields of activity
including trade, investment etc.
 It has a bilateral region and multilateral dimension
each of it is important.
 The trade transactions that one country has with
another country on the basis of economy is known as
economic diplomacy.

3. “Politics a key factor”
 Keep a look on policies they want to develop better
relationship from one country with other country.
 Embassies refers to ambassadors they represent the
interest of their country with other country.
 Actors are the government agencies , non state actors
and NGOs, business investers all are the main players
in the economic diplomacy.

4. “Three Elements of Economic
Diplomacy”
 Commercial diplomacy:
relationship with one country to
another, use ploitical infulence, influence international trade,
addresses market failures,risk of cross border transactions.
 Structural policies & Bilateral Agreements:
they use economic assets and
relationship to increase the cost of conflict and to strengthen
mutual benefits of cooperation and politically stable
relationship to increase economic security.
 International organization:
The way to consolidate right of political
climate then international political environment , facilitate
institutes, international organizations.

5. Three Levels
 Economic diplomacy functions at three levels:
1. It functions at Bilateral level between two states: any
relationship between two countries e.g China,
Pakistan.
2. It works at Regional level: regional organizations like
SAARC, ASIAN.
3. It works at Mulilateral level: world trade
organizations that works for different countries to
get benefit.

6. “How to Strengthen Economic
Diplomacy”
 It is an instrument of developing an effective
cooperation between countries, regions at global level,
the economic diplomacy is irreplaceable in the process
of our lives, full of opportunities, economic diplomacy
is very essential all over the world. We cannot neglect
its importance.