Sectoral Convergence in Emerging Markets

Abstract

Sectoral Convergence in Emerging Markets is a report that examines how emerging economies are catching up with advanced economies through uneven, sector‑specific pathways rather than uniform national growth. Its central argument is that convergence today is driven by differences in technology adoption, productivity dynamics, and global value‑chain integration across industries. The report shows that digital‑intensive sectors are accelerating, high‑tech manufacturing is narrowing gaps, and traditional services remain structurally behind. It also emphasizes how institutional quality, infrastructure, and human‑capital depth shape the speed and direction of convergence. The analysis combines cross‑country data with comparative sectoral benchmarks to illustrate where convergence is occurring, where it is stalled, and what mechanisms explain these patterns. It concludes with implications for policymakers and investors seeking to understand how emerging markets can shift into higher‑productivity trajectories and avoid long‑term divergence.