A new study was recently carried out by the Water and Sanitation Program (WSP) of the World Bank on how to unlock the potential of Information and Communications Technology (ICTs) to improve Water and Sanitation Services in Africa. According to a Groupe Speciale Mobile Association (GSMA) report, in 2014 52% of all global mobile money deployments were in Sub Saharan Africa and 82% of Africans had access to GSM coverage. Comparatively, only 63% had access to improved water and 32% had access to electricity. This early adoption of mobile-to-web technologies in Africa provides a unique opportunity for the region to bridge the gap between the lack of data and information on existing water and sanitation assets and their current management — a barrier for the extension of the services to the poor.
This week at the Third International Financing for Development Conference in Addis Ababa, we’ve seen the birth of a new era in global health financing.
The World Bank Group, together with our partners in the United Nations, Canada, Norway, and the United States, just launched the Global Financing Facility in support of Every Woman Every Child. It’s hard to believe it’s been less than 10 months since the GFF was first announced at the 2014 UN General Assembly by World Bank Group President Jim Yong Kim, UN Secretary-General Ban Ki-moon, Prime Minister Stephen Harper of Canada and Prime Minister Erna Solberg of Norway. We’re grateful to the hundreds of representatives from developing countries, UN agencies, bilateral and multilateral development partners, civil society and the private sector who have contributed their time, ideas, and expertise to inform and shape the design of the GFF to get it ready to become operational.
This week in Addis Ababa, Ethiopia, during the Third International Financing for Development Conference, the United Nations, along with the World Bank Group, and the governments of Canada, Norway and the United States, joined country and global health leaders to launch the Global Financing Facility (GFF) in support of Every Woman Every Child. Partners announced that $12 billion in domestic and international, private and public funding had already been aligned to country-led five-year investment plans for women’s, children’s and adolescents’ health in the four GFF front-runner countries: Democratic Republic of the Congo, Ethiopia, Kenya and Tanzania.
Public-Private Partnerships (PPPs) have been an important option to develop infrastructure and services.
However, challenges for preparing, procuring and monitoring PPP projects in LICs are huge. Challenges include weak institutional capacity, constraints in fiscal space, shallow capital markets, and lack of access to long-term financing.
Despite these challenges, LICs have made important efforts to implement PPP policies, laws and regulations. As a result, these countries closed 377 PPP deals between 1987 and 2013. Even with this considerable effort, LICs still have important infrastructure needs. This is a good start, but hardly enough to tackle the problem.
During the project selection stage, LIC governments have to discuss whether a particular project should be implemented under a PPP scheme or through traditional procurement. There are several reasons why governments decide to implement a PPP: to accelerate public investment programs, maximize the fiscal space or to try to avoid fiscal controls, for example.
At this key decision point, various options can be considered by governments, including a Value for Money (VfM) analysis.
Achieving shared prosperity, one of the World Bank’s twin-goals, isn’t just a middle-income country’s preoccupation. It has a special resonance in Tanzania, a US$1,000 per capita economy in East Africa.
Tanzania has seen remarkable economic growth and strong resilience to external shocks over the last decade. GDP grew at an annualized rate of approximately 7 percent. Yet, this achievement was overshadowed by the slow response of poverty to the growing economy. The poverty rate has remained stagnant at around 34 percent until 2007 and started a slow decline of about one percentage point per year, attaining 28.2 percent in 2012. To date, around 12 million Tanzanians continue to live in poverty, unable to meet their basic consumption needs, and more than 70 percent of the population still lives on less than US$2 per day. Promoting the participation of the poor in the growth process and improving their living standards remains a daunting challenge.
Awareness is certainly progressing. From the streets of Sao Paulo, Brazil - a country that hosts nothing less than the mighty Amazon River, to the farmlands of California, people are coming to the realization that resources such as water are not limitless. More and more businesses are looking at the security of their supply chains and the footprint of their operations with zeal fueled by self-interest. And countries seem poised to adopt Sustainable Development Goals that signal an understanding that economic, social and environmental issues are inherently interdependent.
Climate change, water shortages and other environmental crises are bringing home the message loud and clear: we need to connect the dots between human actions across the landscape and seascape, or the earth will cease to care for us. It will cease to grow food, to store water, to host fish and pollinators, to provide energy, medicine and timber. Changing temperatures will stress systems already overwhelmed by unsustainable patterns of production and consumption, while a growing middle class will further strain planetary boundaries.
How can we help economies develop better, for lasting poverty reduction and prosperity, within the limits of natural resources? How can we make more rational use of natural and financial resources to maximize social and economic benefits and reduce carbon emissions while increasing our resilience to climate extremes?
In December 2013, I was excited to receive funding through an Innovation Challenge Award to pilot water flow sensors in rural Tanzania, where the sustainability of rural water supply is a major development challenge. Approximately 38% of rural water points are not functioning properly. The sensor we wanted to develop would remotely monitor flow, making it easier to deliver operational information to the Ministry of Water’s water point mapping system.
The pilot brought one of the first 3D printers to Tanzania and we connected the American start-up WellDone International to the local non-governmental organization (NGO) Msabi. The project team implemented the gadget effectively, and my colleagues at the Water and Sanitation Program (WSP) and I navigated the procurement and implementation challenges. The pilot ended successfully in June of 2014 and we were proud of our achievement in bringing an innovative ICT solution to the Tanzanian rural water sector.
Much of the media coverage of children during West Africa’s Ebola epidemic has been focused on orphans. Repeatedly, we have read heartbreaking stories of children who have lost parents to the disease and even been rejected by their communities. These children deserve our attention: We know that losing a parent has both short-term and long-term impacts. Evidence from Kenya, South Africa, Tanzania, and across Africa demonstrates significant reductions in educational outcomes for orphans in the short run. Evidence from Tanzania shows that adverse education and health effects persist into adulthood.
Cities are the engines of growth
People congregate in cities to share ideas, create businesses and build better lives. Urban centers have always been the hearts of economies, driving growth and creating jobs. But cities also strain under the burden, their transport and utility arteries often overloaded with the pressure of supporting rapid urbanization and development. While only around 30 percent of Kenyans have access to electricity, around 60 percent of all electricity is consumed in the country’s capital, Nairobi.
As a result, access to energy can be both costly and unreliable. In many fast-growing cities, the demand for energy outstrips both total supply and the capacity of the grid to deliver that energy to businesses and households. Blackouts are a typical result and they are costly and dangerous. Energy generation is also often very inefficient. As such, energy efficiency holds a big opportunity for reducing wasted energy resources, freeing up financial resources for private and public actors, and reducing the carbon footprints of the mentioned cities.