Syndicate content

Nepal

Technology can help spring workers from the informality trap

Kristalina Georgieva's picture
Women stitch handicrafts at Everest Fashion Fair Craft in Lalitpur, Nepal. © Peter Kapuscinski/World Bank
Women stitch handicrafts at Everest Fashion Fair Craft in Lalitpur, Nepal. © Peter Kapuscinski/World Bank

Technology and what it will do to change how we work is the driving obsession of the moment. The truth is that nobody knows for sure what will happen – the only certainty is uncertainty. How then should we plan for the jobs that don’t yet exist?
 
Our starting point is to deal with what we know – and the biggest challenge that the future of work faces – and has faced for decades – is the vast numbers of people who live day to day on casual labor, not knowing from one week to the next if they will have a job and unable to plan ahead, let alone months rather than years, for their children’s prosperity. We call this the informal economy – and as with so much pseudo-technical language which erects barriers, the phrase fails to convey the abject state of purgatory to which it condemns millions of workers and their families around the world.

How to boost female employment in South Asia

Martin Rama's picture
What's driving female employment in South Asia to decrease


South Asia is booming. In 2018, GDP growth for the region as a whole is expected to accelerate to 6.9 percent, making it the fastest growing region in the world. However, fast GDP growth has not translated into fast employment growth. In fact, employment rates have declined across the region, with women accounting for most of this decline.

Between 2005 and 2015, female employment rates declined by 5 percent per year in India, 3 percent per year in Bhutan, and 1 percent per year in Sri Lanka. While it is not surprising for female employment rates to decline with economic growth and then increase, in what is commonly known as the U-shaped female labor force function (a term coined by Claudia Goldin in 1995), the trends observed in South Asia stand out. Not only has female employment declined much more than could have been anticipated, it is likely to decline further as countries such as India continue to grow and urbanize.

The unusual trend for female employment rates in South Asia is clear from Figure 1. While male employment rates in South Asia are in line with those of other countries at the same income level, female employment rates are well below.
From the South Asia Economic Focus
Source: South Asia Economic Focus (Spring 2018).

If women are choosing to exit the labor force as family incomes rise, should policymakers worry? There are at least three reasons why the drop in female employment rates may have important social costs. First, household choices may not necessarily match women’s preferences. Those preferences reflect the influence of ideas and norms about what is women’s work and men’s work as well as other gendered notions such as the idea that women should take care of the children and housework. Second, when women control a greater share of household incomes, children are healthier and do better in school. Third, when women work for pay, they have a greater voice in their households, in their communities, and in society. The economic gains from women participating equally in the labor market are sizable: A recent study estimated that the overall gain in GDP to South Asia from closing gender gaps in employment and entrepreneurship would be close to 25 percent.

How data can benefit Nepal

Ravi Kumar's picture
School children in Nepal. Graphic: Nicholas Nam/World Bank

Thirty years ago, almost everyone in Nepal — except for a few professionals and business people — would have been classified as poor by any international standard.

In 2010, by contrast, 15 percent of Nepalis were considered poor.

Without a doubt, Nepal has made progress.

How data can benefit Nepal

Ravi Kumar's picture

Thirty years ago, almost everyone in Nepal —except for a few professionals and business people—would have been classified as poor by any reasonable international standard.

In 2010, by contrast, 15 percent of Nepalis were considered poor.

Without a doubt, Nepal has made progress.

Now the 761 newly formed—local, provincial, and federal—governments in Nepal aim to provide all Nepalis access to essential public services, eliminate poverty, reduce gender and ethnic inequalities, and ensure environmental sustainability

The hope is that Nepal will reach middle-income status by 2030.

But tracking and monitoring progress against the goals articulated in Nepal’s development vision as well as the global Sustainable Development Goals (SDGs) impose significant demands on the country.

Unfortunately, the absence of disaggregated data by geography, sex, age, social groups and sub-national level, and more poses an enormous challenge for all levels of governments to properly plan and budget.

As such, Nepal needs to urgently invest in its data and statistics capacity.

Data is the currency for decision making and helps us understand what works and what doesn’t.

For instance, let’s consider a province in Nepal that is keen to improve learning for its public schools’ students.

Without data on students, their gender, age, academic performance, or the number of schools and teachers, the provincial government cannot elaborate an informed plan for its students.

But were policymakers able to access timely and sufficient data, they could decide whether more teachers or more schools are needed. Without data, decisions are just like shooting in the dark and hoping for the best.   

Collective action yields positive outcomes for Nepal’s forests

Randall Bluffstone's picture

In the 1970s and 1980s, Nepal was faced with large-scale deforestation due to land clearing, and forest degradation caused by fuelwood collection and uncontrolled grazing by villagers who were the de facto controllers of forests. Centralized management and control was clearly not working.

It’s time to end malnutrition in South Asia

Idah Z. Pswarayi-Riddihough's picture
Chronic malnutrition remains prevalent across the region as many poor South Asians cannot afford nutritious foods or don’t have the relevant information or education to make smart dietary choices.
Chronic malnutrition remains prevalent across South Asia as many poor South Asians cannot afford nutritious foods or don’t have the relevant information or education to make smart dietary choices.

In Sri Lanka, as in the rest of South Asia, improving agricultural production has long been a priority to achieve food security. 

But growing more crops has hardly lessened the plight of malnutrition. 

Chronic malnutrition remains prevalent across the region as many poor South Asians cannot afford nutritious foods or don’t have the relevant information or education to make smart dietary choices. 
And children and the poorest are particularly at risk.

South Asia is home to about 62 million of the world’s 155 million children considered as stunted-- or too short for their age. 

And more than half of the world’s 52 million children identified as wasted—or too thin for their height—live in South Asia. 

Moderate-to-severe stunting rates ranged from 17 percent in Sri Lanka in 2016 to a high 45 percent in Pakistan in 2012–13, with rates above 30 percent for most countries in the region.

Moderate-to-severe wasting rates ranged from 2 percent in Bhutan in 2015 to 21 percent in India in 2015–16, with rates above 10 percent for most countries in the region. 

The social and economic cost of malnutrition is substantial, linked to impaired cognitive development, chronic disease, and lower future earnings.

And sadly, much remains to be done to ensure children across South Asia can access the nutritious foods they need to live healthy lives. 

In South Asia, poor rural women have begun to set up lucrative new businesses

Adarsh Kumar's picture

Across South Asia, our agriculture and rural development projects are helping transform the lives of poor rural women. From daily wage laborers they are now becoming entrepreneurs who generate jobs for others. Over the last decade, these projects have supported an estimated 5 million micro and small entrepreneurs, most of whom are women.
 
Asha, from Udaipur District in Rajasthan, used to sell vegetables in a nearby town.   Over time, this traditional village woman observed that flowers were in demand near the town’s main temple for use as ritual offerings. With encouragement from Manjula, a micro enterprise consultant under the Bank’s Rajasthan Rural Livelihoods Project (RRLP), Asha began cultivating marigolds on part of her family farm where millets had always been grown.  Manjula helped Asha draw up a basic business plan for a floriculture enterprise, taught her how to estimate potential expenses and earnings, and the way to maintain accounts. Asha now sells flowers at more than three times the price of her traditional millet crop, and her annual income has increased by 35%. She has devoted a larger area of her farm to floriculture, and started a nursery to grow flower saplings to sell to other aspiring marigold farmers.  Asha is now looking to expand her sapling nursery by renting more land, for which she is seeking a bank loan.

Outside Kathmandu in Nepal, Ambika Ranamgar used to work for building contractors, cutting marble and laying tiles in houses under construction. Then she struck out on her own. With encouragement and support from a community mobilizer under the Nepal Poverty Alleviation Fund (NPAF), Ambika took a loan of Rs. 80,000 ($740) to buy her own equipment, including a marble-cutting machine and a generator to power the machines during the city’s frequent power cuts. She then scouted for work visiting local hardware stores, and gradually began to get more clients. Ambika’s income has now more than doubled from her daily wage of Rs. 600 to reach between Rs. 1,000 to 1,500 rupees per day. She is now focused on getting more business and managing her supplies and workers.  At the time we visited her, Ambika had employed five workers, including her husband, and was busy laying the flooring for two houses.

 nepal - Anamika Ramgar

Managing climate risks in South Asia: A “bottom up” approach

Poonam Pillai's picture
Surma river between Bangladesh and India
The Surma River that flows between Bangladesh and India. Photo Credit: Poonam Pillai

Being from Kolkata, I have always been used to floods. Prolonged flooding typically meant schools and offices closed, traffic jams and a much-needed respite from the tropical summer heat. However, it was during a field visit to the flood prone northeastern border of Bangladesh, where rivers from India flow downstream into Bangladesh, that I fully appreciated the importance of disaster early warning systems and regional collaboration in saving lives, property, enabling communities to evacuate and prepare for extreme weather events.

Disaster early warning systems, along with other information services based on weather, water and climate data (sometimes known as “hydromet” or “climate services”) play a key role in disaster preparedness and improving the productivity and performance of climate sensitive sectors such as agriculture.  Along with investments in resilient infrastructure, risk financing strategies and capacity building measures, they are a key part of a toolkit for strengthening disaster and climate resilience.  Research shows that for every dollar spent on disaster early warning systems, the benefits range from $2-10.  In South Asia, these are particularly important given the region’s extreme vulnerability to climate risks and staggering socio-economic costs arising from extreme weather events.

Encouraging more women to take part in regional trade

Mandakini Kaul's picture

Across South Asia, women represent a hugely underutilized source of growth. In fact, the South Asia region has some of the world’s lowest rates of female labor force participation - only 36%. Even where women work, they are mostly confined to less-remunerative low-skill jobs, and remain excluded from most trading activity. To make it easier for more women to work in all fields of endeavor, World Bank projects in the region have begun to look at development projects through a more gender-focused perspective.
 
One such area is regional trade and connectivity. After a long hiatus, the political momentum for cooperation within the eastern region is growing, especially in the Bangladesh Bhutan India Nepal (BBIN) corridor.  The Indian government’s Act East Policy, combined with the new Motor Vehicles Act that allows vehicles to cross the BBIN border with ease, represent a unique opportunity to reimagine inclusive growth by enabling more of the region’s women to benefit from this corridor.
 


Accordingly, the South Asia Regional Trade Facilitation Program (SARTFP), an Australian government-funded program being implemented by the World Bank, seeks to improve the conditions for women to trade between these nations and to create more remunerative livelihoods.

Regional cooperation in conservation: South Asia shows the way

Andrew Zakharenka's picture
Illegal trade in wildlife and conservation often were not considered high priority for countries of the South Asia Region. In the first ever attempt, the governments of Bangladesh, Nepal, and Bhutan joined forces to strengthen regional cooperation for wildlife conservation. And it was a successful one.

The regional project assisted the governments in building and enhancing shared capacity and institutions to tackle illegal wildlife trade across their borders and invest in habitat and wildlife conservation of critically endangered species. It was clear from the onset that these issues would require both national leadership and regional coordination.
 
Launched in 2011, the project initially had a delayed start. Yet, by December 2016, when the project ended, it became clear that governments coordinated efforts successfully. The three countries participated in regular joint action planning and practice-sharing meetings, signed protocols for and cooperated in transboundary actions, as well as held consultations and public events at the local, national, and international levels.
 
The project supported conservation programs of dozens of endangered species, including crocodiles being released here into the wild. Sundarban area, 2014

Pages