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World Development Report 2012

Arab World: A New Social Contract

Sri Lanka

A MIGA Veteran’s Parting Thoughts

This week, MIGA said farewell to its longest-serving staff member, Srilal Perera, Chief Counsel. Perera joined MIGA on March 13, 1989 when it was a brand new international organization with only 12 staff members. The economic and investment environment he sees today as he retires is vastly different than what MIGA faced at its founding in 1988.

“When the establishment of MIGA was under way, the world was still feeling the effects of huge expropriations that took place in the 1970s – and most of these were directed at US companies,” he points out. In 1971 Chile’s newly elected Socialist president, Salvador Allende, expropriated Anaconda’s Chilean copper mines. The Islamic Revolution in Iran in 1979 was accompanied by massive expropriation of business, property, and land. US companies such as Reynolds Aluminum, United Fruits, and Revere Copper and Brass experienced outright expropriations in Latin America and the Caribbean.

Do You Own Sri Lanka's Development?

Did you know that the World Bank Group actually wants to listen to the men and women of Sri Lanka and their views on Sri Lanka’s development and ensure that their voices are taken into account whenever development activities are carried out? Most of you like me (some months ago), would probably answer in the negative. Having joined the World Bank this year and having being tasked with assisting with the preparation of Sri Lanka's next Country Partnership Strategy for Sri Lanka, I have come to realize that some of my own perceptions about public involvement in World Bank activities have not been entirely accurate.

My current role in the Bank has enabled me to understand firsthand the efforts undertaken by bank staff to ensure that development activities remain sustainable. One of the ways in which this is achieved is through active engagement with as wide a group of stakeholders as possible prior to the commencement of any new project. All of us who are a part of the Bank Group strongly believe that it’s only by invoking the ownership of development among citizens that long term sustainability is achieved.

Electricity Constraints Are Dampening Growth of Sri Lanka’s Small and Medium Industries

Out of twenty four to twenty six working days a month, we have reliable full days of uninterrupted power for only ten to thirteen days”, is what Mr. Poornachandran, President of the Yarlpanam Chamber of Commerce lamented at a public-private stakeholder consultation hosted by an SME-focused Ministry in Colombo recently. He repeated this gripe at a post-budget discussion held in Colombo this week. Mr. Poornachandran heads the leading business chamber in Sri Lanka’s Jaffna district, which was caught up in the conflict that ravaged the country for thirty years. Building the small and medium enterprise sector in conflict-affected areas is challenging as it is, and many new opportunities are opening up, but the issue of electricity continues to blight the recovery of the region. But it’s not just in war-recovering districts like Jaffna. Mr. Poornachandran shares this frustration with his fellow businessmen in other parts of the country.

Youth in Sri Lanka: Do they have a Voice?

Recently, I read a blog post by a young Nepalese delegate that attended the World Bank’s Annual Meetings in Washington and thought (at the time) that he summarized an issue which was at the heart of a majority (if not all) youth in South Asia. In his own words, he says “Let’s be honest. As a youth growing up in Nepal, it is sometimes very hard to get people – and by people I mean seniors in decision-making positions - to take you seriously. It is even more difficult to get them to listen to your ideas or acknowledge you as an important demographic, capable of more than burning tires and picketing politicians”. It made me wonder if this was indeed the case with youth in Sri Lanka.

As far as I know, youth in this country are by no means a ‘push over’. For example, since the defeat of terrorism in May 2009, the youth of this country has stepped up in a noticeable way to try and make a ‘new beginning’. A ‘youth open house’ held at the World Bank premises on 01 September saw the dynamism of a handful of such youth groups engaged in activities that ranged from peace and reconciliation to the promotion of ICT development to urban planning. The fact remains that the youth of this nation are taking matters to their own hands and it’s high time that the Government as well as the development partners ‘STOP’ and ‘LISTEN’ to what the youth of Sri Lanka has to offer!!

Do Young People have the Skills to Realize their Aspirations?

My friends and I often have casual chats at the university café and cafeteria about random topics ranging from life, the future, jobs and wherever else the conversation leads us. Recently, I participated in a discussion conducted by a research company where they asked for insights from University seniors and recent graduates about our aspirations.

There were 7 of us in the group from the University of Colombo, Kelaniya, Jayewardenepaura and Moratuwa. The representative from the research company asked about our goals. Though I’ve known them for 3 years, this is the first time I heard them seriously talk about their ambitions and goals in life. Most of them have very lofty goals and objectives. We were asked to list important considerations for potential jobs. This is what we came up with.

Welcoming the Globe’s 7 Billionth Person

According to the United Nations, this child will be born in India, and statistically should be a girl. But many of India’s girls are going missing at birth, because of parents’ desire to have boys. In 2008, the number of missing girls in India increased in 2008 to 275,000 as compared to 1,000 for the rest of South Asia.

If a girl child is lucky enough to be born, she faces high female mortality in infancy and early childhood in South Asia. What causes excess mortality among girls during infancy and early childhood? One possible explanation that has received a lot of attention is discrimination by parents against girls. Certainly, in parts of the world like Afghanistan, China, northern India, and Pakistan, such discrimination is a serious problem. Studies have shown delays in seeking medical care and lower expenditures for girls. In India, despite stellar economic growth in recent years, maternal mortality is almost six times what it is in Sri Lanka.

It’s Simply About Being Human

When we first discussed the prospects of inviting youth delegates from South Asia to attend the Annual Meetings, I must admit that I was initially ambivalent. However, the launch of More and Better Jobs in South Asia was imminent and it found that the region needs to create over one million new jobs a month over the next two decades to sustain employment for young people. How could we write about prospects for this group without hearing from them? With that in mind, we asked what More and Better Jobs mean to them and received an overwhelming response; over 11,000 application views and hundreds of exceptional applicants.


When the six delegates arrived, I was quickly struck by the intelligence, passion, and honesty that emanated from the group. Additional to the fresh, bold, and articulate ideas on employment themes such as equity, skills, and governance in their essays; they all took initiative for the betterment of their own communities with significant dedication and sacrifices.

What Does More and Better Jobs in South Asia Mean?

The Track Record


Imagine adding the population of Sweden—somewhat under 10 million— to your labor force year after year for a decade. Insist that the wage workers among them earn increasing real wages and that poverty among the self-employed decline over time. What you have just described is not quite South Asia's record on the quantity and quality of job creation between 2000 and 2010. The region has done better.


Poverty has fallen, not only among the self-employed, but among all types of workers—casual laborers who are the poorest, regular wage and salary earners who are the richest and the self-employed who are in between. This hierarchy of poverty rates among the three employment types has endured over decades. Thus improvements in job quality have occurred predominantly within each employment type rather than through movement across types. The composition of the labor force among the employment types shows little change over time. The self-employed, many of whom are in farming, comprise the largest share, reflecting the predominance of agriculture in much of the region. Casual laborers make up the second largest share in rural areas.

Surprises at the Annual Meetings!

Have you ever had the feeling of being overwhelmed because you got more, much, much more than what you were expecting? Well, I hadn’t, till I came for the World Bank and IMF Annual meetings.


Usually, any long, monotonous sessions would lull me to sleep, but somehow, I was wide awake in every session that I attended, despite being jet-lagged and sleep-deprived! Be it the youth capacity building session with the IMF officials, or getting a chance to mingle with the IMF sponsored youth leaders and CSOs, the learning only in the first 5 hours of the meetings was phenomenal. I must confess, my mind was boggled, and I felt a little dizzy, either due to sleep-deprivation or due to the information overload, I can’t truthfully say!


It wasn’t until the second day that things came back to normal. Maybe it was the jet lag wearing off; maybe it was the fact that all the other World Bank youth delegates had gelled in so well, as if we had known each other for ages, but there was something about the place that started feeling like home.