A new McKinsey Global Institute (MGI) report, Global flows in a digital age: How trade, finance, people, and data connect the world economy, examines the inflows and outflows of goods, services, finance, and people, as well as the data and communication flows that underlie them all, for 195 countries around the world.
In the inter-connected economy these flows enable global trade. The study indicates that flows of goods, services, and finance reached $26 trillion in 2012, or 36 percent of global GDP, 1.5 times the level in 1990.
Some key takeaways from the report are:
1. Global economy is becoming increasingly inter-connected.
2. Global flows could reach $54 trillion to $85 trillion by 2025, more than double or triple their current scale.
3. Higher 'connectedness' indicates economic growth. Developed economies are more inter-connected.
4. 18 fold increase in Internet Traffic between 2005 and 2012.
This makes B2B Integration even more relevant. Why does B2B Integration becomes even more important? The fact of the matter is that exchange/trade of Goods is a major part of the Global Flows and majority of these trades are conducted electronically via B2B Gateways.
As the Global Flows increase and the cross-border trade grows, the need for electronic documents for trade & customs clearance will become strategic. Companies and countries will increasingly exchange electronic documents and rely on electronic documents for tax and regulatory compliance.
Majority of developed economies rely on electronic documents today and the adoption is bound to increase in the next 15 years. Enable your company's growth from Global Flows and adopt a B2B Integration platform that can meet your current and future needs.