Live Expenditure Flow
Integrated Trade Outcomes
MSME Integration Rate (15%)
This scenario is grounded in Global Value Chain (GVC) Theory and Backward Linkage Analysis. Historically, literature on Special Economic Zones in developing nations (notably the work of Thomas Farole at the World Bank) demonstrates that enclave economies often form, where SEZ anchor tenants import up to 90 percent of their inputs, leaving local procurement at a dismal 5 percent to 10 percent. Rationale: A 15 percent integration rate is viewed as a highly credible target for an actively managed SEZ, successfully shifting supply chain value into the domestic market.
GDP Value Add Factor (50%)
Utilizes Leontief Input-Output Matrices and Gross Value Added (GVA) Coefficients. Gross Output is never equal to GDP. Subtracting intermediate consumption aligns with UNIDO benchmarks of 0.35 to 0.55 GVA ratios. Rationale: A strict 50 percent default ensures the model claims only net wealth retained within pilot nations (wages, profits, and taxes).
