For a country, geography can be an important determinant of its trade patterns, but also of its economic growth. Landlocked countries often lag behind coastal nations in terms of external trade, growth, and development. Distance from the coast, often poor transport infrastructure, which increases trade costs, and dependence on transit countries hinder integration with the global economy. It costs, on average, twice as much to ship cargo from a landlocked developing country as from one of its coastal neighbours (World Bank, 2008). Limited participation in international trade networks also contains spillovers of technology and hinders competition, both of which can shape growth in the longer run. Together with low development levels landlocked countries experience low life expectancy and educational attainments, and deficient institutional and policy frameworks (Fat et al., 2004; Carmigiani, 2012).
