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Latin America & Caribbean

Four policy approaches to support job creation through Global Value Chains

Ruchira Kumar's picture
 Maria Fleischmann / World Bank

Mexico created over 60,000 jobs between 1993 to 2000 upgrading the apparel value chain from assembly to direct distribution to customers.  (Photo: Maria Fleischmann / World Bank)

As we discussed in our previous post, Global Value Chains can lead to the creation of more, inclusive and better jobs. GVCs can be a win-win for firms that create better jobs while they enjoy greater efficiency, productivity, and profits. However, there is a potential trade-off between increasing competitiveness and job creation, and the exact nature of positive labor market outcomes depends on several parameters. Given the cross-border (and, therefore, multiple jurisdictive) nature of GVCs, national policy choices to strengthen positive labor outcomes are limited. However, national governments can make policy decisions to facilitate GVC participation that is commensurate with positive labor market outcomes.

Rejuvenating regionalism

Aaditya Mattoo's picture

Regionalism can have three dimensions:  trade integration, regulatory cooperation and infrastructural coordination.  In a thought provoking blog, Shanta Devarajan argues for a drastic shift in focus, away from trade and towards infrastructure.

Regional trade agreements do sometimes divert not just trade but attention from other beneficial forms of cooperation.  And what type of integration makes economic and political sense, in what sequence, differs across regions. But it would be wrong to exclude trade, to focus only on one dimension, and to ignore important new constraints and old questions.

What I Learned from Women Entrepreneurs in Oaxaca

Jorge Familiar's picture


I recently visited the small villages nestled in the mountains between Oaxaca and Veracruz to meet with women entrepreneurs running small forestry, toymaking, ecotourism and coffee businesses. I went to hear first hand their experiences starting businesses and taking on leadership roles in their communities. I also wanted to understand the challenges faced by them and generations of women to come.

Disasters, funds, and policy: Creatively meeting urgent needs and long-term policy goals

Zuzana Stanton-Geddes's picture

Photo: tro-kilinochchi / Flickr

When it comes to responding to disasters, time is of the essence. Help needs to come immediately to save lives; recovery and reconstruction have to start swiftly to lessen the impact.

However, while money is critical to this response, it’s not just about funding. Indeed, funds need to match the event scale, target the right areas and sectors, and smoothly flow to communities in need. But in order for that to happen, sound public policy on risk and frameworks have to be in place.  

To address both urgent financial needs while pursing strategic disaster risk management policy goals, countries have been using the World Bank’s development policy loan with a catastrophe deferred drawdown option or, more widely known as the Cat DDO.  

Medellin: A model for cities worldwide

Pamela Sofia Duran Vinueza's picture



“Comuna 13 (one of the poorest areas in Medellin) has gone from being a marginalized community to being a resilient one. Many interventions that are being implemented for the youth and adults allow them to have a better life. All of this generates spaces where one can see that the transformation brings love, happiness, and liveliness, which all contribute to have a better future.” – Peter Alexander, Community Leader

If all you know about Medellín is its troubled past, you’re in for a surprise. Medellin has been known as a violent city not only in Latin America but throughout the world. During the 1980s and 1990s, Medellín was considered one of the most dangerous cities in the world and the epicenter of the global drug war.  In 1993, Colombia's homicide rate was 420 per 100,000 – the highest in the world. Medellin witnessed 6,349 killings in 1991, a murder rate of 381 per 100,000 people.

Women on the march! Two decades of gender inclusion in rural roads in Peru

Ramon Munoz-Raskin's picture
Also available in: Español
 
 
Women maintaining roads? As their job? Until recently, the idea was pretty much unfathomable in many countries. But in Peru, it isn’t. Since 2001, the Peruvian government and the World Bank have been working hand in hand to ensure female workers can play an active role in the routine maintenance of rural roads. This is part of a broader effort to reduce the gender gap in rural areas, and to improve women’s access to social and economic opportunities.

Over the last two decades, a series of ambitious projects have allowed the rehabilitation 30,000 km of rural roads, and supported maintenance activities along 50,000 km. This type of large-scale road projects has created significant economic and employment opportunities for local communities, and this is why we wanted to make sure women could get their share. To make this happen, we organized trainings, developed specific programs that would improve women’s access to resources, and worked to eliminate the barriers that disadvantaged women (e.g. requirements related to literacy or previous construction experience). The result? In 2013, female participation in rural road maintenance microenterprises reached 27% during the Peru Decentralized Rural Transport Project.

How the Mi Baño is helping Peruvians attain the dream of an in-home bathroom

Luciana Guimaraes Drummond E Silva's picture



What is your dream?

Many people living in Peru dream of having a safe, well-built, multi-use bathroom that includes an adjacent area for a shower with a nice shower curtain and mirror and is constructed with bricks and cement, and has a wooden door and window. Sounds ordinary, right?

But for 2.4 million households in Peru this dream is out of reach because they have no access to credit lines, and the only way for them to construct an in-house bathroom would be by paying the entire construction cost upfront. This situation created an unexplored market estimated at $500 million – an amount large enough to attract private sector investors.

Do changes in land use caused by Payments for Environmental Services last?

Stefano Pagiola's picture



Not long after I joined the World Bank, I worked on a team assessing the extent and severity of land degradation in El Salvador. As part of this work, I went to visit the site of a soil conservation project that had been implemented a few years earlier and was considered extremely successful. Indeed, the project’s implementation report was full of numbers on linear kilometers of terraces built, and other indicators of success. Once we reached the project site, however, we looked in vain for any sign of a terrace. The terraces had once been there (there were photographs to prove it), but a few years later they no longer were.

That results may not last once a project ends is a constant concern. The extent to which it is actually a problem is hard to assess, however, as there rarely is any monitoring after a project closes.

What is the first step for organizing Peru’s cities?

Zoe Elena Trohanis's picture

Traffic Jam in Lima Peru

My job brought me and my family to Lima, Peru 11 months ago. In case you have never visited Lima before, Lima is in many ways, a lovely city – it has fantastic views of the Pacific Ocean (you can surf right from the local beaches), great food, and vibrant neighborhoods, including a historic city center with Spanish architecture and churches. On the other hand, Lima is also know for its terrible traffic, unplanned urban growth, and informality.

As an urban development specialist, I can’t help but wonder how Lima could be better organized so residents can better enjoy all of the services and amenities the city has to offer. Is it possible?

Urban Indigenous Peoples: the new frontier

Ede Ijjasz-Vasquez's picture
Photo by Victoria Ojea / World Bank
Photo: Victoria Ojea / World Bank

Invited to think of Buenos Aires, most would probably think of elegant cafés, beautiful architecture, passionate football fans, and buzzing streets. Invited to think harder, you might also think of its villas (slums), street children, and other less gleeful views. But no matter how hard you try, very few would associate Buenos Aires with Indigenous Peoples. Yet, Buenos Aires has the largest concentration of indigenous populations in Argentina, which is itself rarely associated with Indigenous Peoples, but has the seventh largest indigenous population in Latin America (close to one million). In effect, over 40 indigenous communities are officially registered in urban areas of the Buenos Aires Province, and as much as one quarter of all Indigenous Peoples in Argentina make a living in or around the Capital of Tango, whether in communities or not.

What do they do? What conditions they are living in? What is happening to their unique cultures and languages? Are they losing connection with their ancestral lands? Is the special legislation protecting their collective rights relevant in the cityscape? In sum, how is the city changing them and, inversely, how are they shaping the urban landscape? These and other questions were at the heart of the dialogue I had with graduate students from across the Latin America region in FLACSO – University of Buenos Aires, last week, on the occasion of the presentation of the report Indigenous Latin America in the Twenty-First Century, in Buenos Aires.


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