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What are business aspirations worth in developing countries?

Bilal Zia's picture

Small-scale entrepreneurship is widespread in developing countries, yet very few of these entrepreneurs are successful in growing their businesses beyond initial levels. Many constraints play a role, including financial, technical, and informational barriers. Yet, even when these barriers are lifted in experimental studies, we do not see the type of growth one would expect if these constraints were truly binding. In addition, many of the interventions studied, especially those targeting managerial and informational barriers, often suffer from low program take-up.

Initial findings from the implementation of the 'Practical Guide for Measuring Retail Payment Costs'

Holti Banka's picture

MoMo Tap in Côte d'Ivoire
In November 2016, we published the “Practical Guide for Measuring Retail Payment Costs”, an innovative methodology that can be customized to country needs and circumstances, without losing the international comparative dimension.

The guide enables countries to measure the costs associated with retail payment instruments, based on survey data, for the payment end users, payment service/infrastructure providers, and the total economy. The guide also enables countries to derive projected savings in shifting from the more costly to the less costly payment instruments.
 

Paving the Way for a Thriving Digital Economy in Indonesia

Petra Wiyakti Bodrogini's picture



Across the digital economy in Indonesia, both IT giants and smaller companies have the same complain: digital talents are hard to find. Obert Hoseanto, an Engagement Manager from Microsoft Indonesia, said the company recently contracted only five people for an internship program, out of a pool of hundreds of applicants.

But those applying for jobs are also struggling, with many realizing the difficulties of meeting the needs of their employers. Natali Ardianto is learning the ropes at tiket.com, a thriving start-up, “by doing”, he said. “Only 30% of the curriculum of my education was useful for the company I joined,” he explained.

A recent workshop held by the Coordinating Ministry of Economic Affairs and supported by the World Bank strived to develop a better understanding of this skills gap, by bringing in insights from the private sector, education experts, and global practitioners.

Communicating volcanic risk: lava, eruptions and uncertainty

Jon Mikel Walton's picture
Volcán de Fuego in Guatemala, one of Central America’s most active volcanos, spews ash and lava flows in January 2018, just 70 kilometers west of Guatemala City. Image credit: NASA
Volcán de Fuego in Guatemala, one of Central America’s most active volcanos, spews ash and lava flows in January 2018, just 70 kilometers west of Guatemala City. Image credit: NASA

We live in an age of compounding uncertainty. The unpredictable impacts of climate change and the rapid urbanization of societies is increasing the complexity, difficulty, and necessity of making sound decisions when faced with numerous options. This uncertainty is acute with respect to natural disasters – for example, predicting hurricane intensity or locating the next big earthquake remain challenging tasks despite advances in science and monitoring tools.
 
The challenge of anticipating and communicating the risk of volcanic eruptions to communities requires complex decision-making. Ecuador’s Cotopaxi Volcano and Indonesia’s Mount Agung are recent examples where the warning signs were present (small earthquakes, increasing gas emissions, and more), yet an eruption came much later than expected. Volcanic eruptions are therefore a double-edged sword that often creates a decision-making dilemma. While signs of volcanic activity can provide adequate time for preparation and evacuation, the very same signs can also create conditions of extreme uncertainty, which can be exacerbated by piecemeal communication around eruption events.
 
So, what have we learned from recent experiences on the challenges of communicating volcanic risk? 

Can modern technologies facilitate spatial and temporal price analysis?

Marko Rissanen's picture

The International Comparison Program (ICP) team in the World Bank Development Data Group commissioned a pilot data collection study utilizing modern information and communication technologies in 15 countries―Argentina, Bangladesh, Brazil, Cambodia, Colombia, Ghana, Indonesia, Kenya, Malawi, Nigeria, Peru, Philippines, South Africa, Venezuela and Vietnam―from December 2015 to August 2016.

The main aim of the pilot was to study the feasibility of a crowdsourced price data collection approach for a variety of spatial and temporal price studies and other applications. The anticipated benefits of the approach were the openness, accessibility, level of granularity, and timeliness of the collected data and related metadata; traits rarely true for datasets typically available to policymakers and researchers.

The data was collected through a privately-operated network of paid on-the-ground contributors that had access to a smartphone and a data collection application designed for the pilot. Price collection tasks and related guidance were pushed through the application to specific geographical locations. The contributors carried out the requested collection tasks and submitted price data and related metadata using the application. The contributors were subsequently compensated based on the task location and degree of difficulty.

The collected price data covers 162 tightly specified items for a variety of household goods and services, including food and non-alcoholic beverages; alcoholic beverages and tobacco; clothing and footwear; housing, water, electricity, gas and other fuels; furnishings, household equipment and routine household maintenance; health; transport; communication; recreation and culture; education; restaurants and hotels; and miscellaneous goods and services. The use of common item specifications aimed at ensuring the quality, as well as intra- and inter-country comparability, of the collected data.

In total, as many as 1,262,458 price observations―ranging from 196,188 observations for Brazil to 14,102 observations for Cambodia―were collected during the pilot. The figure below shows the cumulative number of collected price observations and outlets covered per each pilot country and month (mouse over the dashboard for additional details).

Figure 1: Cumulative number of price observations collected during the pilot

Five lessons in infrastructure pricing from East Asia and Pacific

Melania Lotti's picture
Photo: © Dini Sari Djalal/World Bank

In the infrastructure domain, “price” is a prism with many façades.
 
An infrastructure economist sees price in graphic terms: the coordinates of a point where demand and supply curves intersect.
 
For governments, price relates to budget lines, as part of public spending to develop infrastructure networks.
 
Utility managers view price as a decision: the amount to charge for each unit of service in order to recover the costs of production and (possibly) earn a profit.
 
But for most people, price comes with simple question: how much is the tariff I have to pay for the service, and can I afford it?

To unlock student potential in East Asia Pacific, be demanding and supportive of teachers

Michael Crawford's picture

Among the 29 countries and economies of the East Asia and Pacific region, one finds some of the world’s most successful education systems. Seven out of the top 10 highest average scorers on internationally comparable tests such as PISA and TIMSS are from the region, with Japan, Republic of Korea, Singapore, and Hong Kong (China) consistently among the best. 

But, more significantly, one also finds that great performance is not limited to school systems in the region’s high-income countries. School systems in middle-income Vietnam and China (specifically the provinces of Beijing, Shanghai, Jiangsu, and Guangdong) score better than the average OECD country, despite having much lower GDP per capita. What is more, scores from both China and Vietnam show that poor students are not being left behind. Students from the second-lowest income quintile score better than the average OECD student, and even the very poorest test takers outscore students from some wealthy countries. As the graph below shows, however, other countries in the region have yet to achieve similar results.

It takes a village to tackle Indonesia’s early childhood development challenges

Thomas Brown's picture



“Indonesia’s future is at stake”, states Camilla Holmemo in her opening address at the Early Childhood Development Policy Conference, held in July 2017 in Jakarta. The program leader for human development, poverty and social development of the World Bank in Indonesia rallies the audience by highlighting the lack of access to early childhood education and development (ECED) services and the high incidence of child stunting in Indonesia.
 
Despite the country’s middle-income status, one in three children under five are stunted, the fifth highest rate in the world. For these children, the likelihood of becoming productive citizens is significantly hampered  – unless we do something about it now. 

Can Asia-Pacific achieve sustainable energy for all?

Sharmila Bellur's picture

The Asia-Pacific region, comprised of 58 economies, is geographically expansive and a picture of diversity. The trends for sustainable energy in Asia-Pacific, which mirror the region’s economic and resource diversity, are underscored by the fact that Asia-Pacific comprises 60 percent of the global population, generates 32 percent of global GDP, consumes more than half of the global energy supply, while generating 55 percent of global emissions from fuel combustion. The region’s sustainable energy picture is captured in a new report by the United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP), entitled “Asia-Pacific Progress in Sustainable Energy: A Global Tracking Framework 2017 Regional Assessment Report.” The report is based on the World Bank and International Energy Agency’s Global Tracking Framework (GTF), which tracks the progress of countries on energy access, energy efficiency, and renewable energy under Sustainable Development Goal 7 (SDG7).
 
Photo credit: Flickr/World Bank

Four overarching sustainable energy themes emerge from the report:

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