It is considered that the lower productivity in Asia's service sectors is due to the fact that modern services have not yet fully expanded. The right panel of Chart 6 describes modern services in detail. It indicates that the share of medical services and business services in Asian countries is considerably lower than that in developed countries.
It is likely that the lower share of medical services results from the insufficient health care system in Asia. Business services consist of any service accompanying a business activity such as legal, accounting, consulting, and design services. The lower share of business services in Asia is probably related to the development of GVCs which I mentioned earlier.