CEFTA

Trade agreements typically employ either positive or negative lists to outline the scope of commitments for liberalising trade in services. This is done by inscribing their commitments and the exceptions to them in the respective Schedules of Commitments.

Positive lists

• Explicitly listing the sectors and subsectors open to foreign competition; and
  
• Specifying any limitations or conditions attached to these commitments.
  

Negative Lists

• Listing only the sectors or subsectors excluded from liberalisation; and
  
• All other sectors are considered open to foreign competition, subject to general rules and regulations.
  

Trade agreements often include “standstill” and “ratchet” clauses. A standstill clause compels the parties to the agreement to keep the market as open in the future as it was at the time when the trade agreement was concluded, while a ratchet clause prohibits parties to unilaterally revert back trade-opening measures. Despite these commitments, parties can typically still implement non-discriminatory regulations to protect public interests, such as consumer safety, environmental standards, and public health.