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Latin America & Caribbean

A tale of two regions?

Oscar Calvo-González's picture

"Did poverty drop in Latin America because of good policies or good luck?" I am often asked this question after I tell people that poverty in the region fell from 40 to 25 percent between 2003 and 2013. The answer is a bit of both.

As the chart below demonstrates, there is no question that the poor living in countries that were favored by high commodity prices benefited more than those in other countries. More to the point, as the chart also highlights, the tremendous rise in revenues coming from the boom in commodity prices led to an increase in labor income that helps explain much of the poverty reduction seen in commodity exporting countries.

Note: We group countries as having experienced a 'commodity boom' if their terms of trade increased by an average of 2 percent or more per year over 2003-2013.

To me, however, an interesting story hides behind the line of the non-commodity exporting countries. Even without the benefit of the commodity boom wave, those countries also managed to reduce poverty by a respectable 7 percentage points.

Learning about learning assessments

Andreas Schleicher's picture
High school students in Latin America review their notes.  Photo: © Charlotte Kesl / World Bank


How do large-scale student assessments, like PISA, actually work? What are the key ingredients that are necessary to produce a reliable, policy relevant assessment of what children and young people know and can do with what they know? A new report commissioned by the OECD and the World Bank offers a behind-the-scenes look at how some of the largest of these assessments are developed and implemented, particularly in developing countries. 

Migrant or refugee: What’s in a name?

Xavier Devictor's picture
What is the difference between an economic migrant and a refugee? In principle, the response is clear: economic migrants are essentially people in search of opportunities for economic betterment, while refugees are fleeing a peril for their lives and their specific status is defined under the 1951 Geneva Convention.In the face of such despair, traditional mechanisms for managing economic migration simply do not work, while refugee law does not apply.

Experts, communities convene to develop evidence-based approaches to prevent intimate partner violence in Honduras

Amber L. Hill's picture
The communities of Choloma, La Ceiba and el Progreso in Honduras all had one question in common:  "When can we get started?"

"We want solutions that work and we want them now," said a community leader from La Ceiba during a meeting with national and international experts on the adaptation of an evidence-based intervention to Intimate Partner Violence (IPV) in Honduras. La Ceiba is one of the cities most affected by violence in Honduras, which has the highest homicide rate in the world at 90.4 deaths/100,000 people. More specifically, rates of violence targeted towards women and girls are also alarmingly high:
  • A total of 27% of women aged 15-49 have experienced physical violence since the age of 15; some regions have rates up to 40%.
  • Similarly to other countries around the world, the vast majority of the perpetrators are intimate partners or ex-partners.
These statistics clearly demonstrate the need for interventions that seek to affect the root causes that underlie gender-based violence in Honduras.
 

The trillion dollar challenge

Abhishek Bhaskar's picture

 

According to the International Energy Agency (IEA), full implementation of countries’ submitted pledges for low-carbon development will require USD 13.5 trillion in investments in energy efficiency and low-carbon technologies from 2015 to 2030.  That’s almost USD 1 trillion every year. This means all hands need to be on the deck if the global community is to address one of the biggest development challenges of our times.

A wealth of opportunities: Public real estate management as a tool for good governance

Eguiar Lizundia's picture

Also available in Spanish

Public works in Sixth Avenue, zona 1, besides the National Palace, Guatemala City, Guatemala. Photo: Maria Fleischmann / World Bank


How much are the government buildings, lands and other publicly-owned real estate of your country worth?  According to recent publications, a lot. A 2013 IMF study estimated that non-financial assets are worth an average of 67 percent of the GDP of a selection of 32 countries.

More recently, a book by Dag Detter and Stefan Fölster underscored the incredible potential of improving public wealth management. According to their calculations, a one percent increase in returns to public assets worldwide (including real estate) would generate gains equal to roughly one percent of global GDP!  In the United States, a one percent increase in yields from federal assets would be equivalent to the revenue raised from a four percent tax increase. But why are governments sitting on so much unused wealth?  And what can they do to make better use of what they have?

Seeking to reap the fruits of smarter public real estate management, representatives from twenty countries from around the world met in Mexico last September. Participants discussed how to turn the management of public real estate assets into a tool for good governance, including strategies to optimize the use of government property and generate savings in maintenance. The conference was organized by The Workplace Network (TWN), an international public real estate management network, with participation of the World Bank and the Inter-American Development Bank.

The consequences of banning child labor

Caio Piza's picture
From a normative perspective, we can all agree that child labor is reprehensible and should be banned, particularly in its worst forms. According to the International Labor Organization (ILO), child labor has declined worldwide in the last fifteen years, but the numbers are still alarming. In 2012, 168 million children were a part of child labor with more than half of these kids involved in hazardous work.  

Trade competitiveness in Uruguay

Gonzalo Varela's picture
For a small economy like Uruguay, integration into the global marketplace is one of the most powerful vehicles for growth and development. Participating actively in international trade allows Uruguayan firms to become more productive, by achieving economies of scale and by learning through exposure to international technologies, know-how and ideas. 

How did Uruguayan firms perform, over the last 15 years, in the global marketplace?


Using the Trade Competitiveness Diagnostic Framework – which we presented today to the Uruguayan public and private sector – a World Bank team examined the performance of Uruguayan firms in global markets in terms of export growth, diversification, quality upgrading and survival;. The team presented a number of recommendations to increase integration and to gain from it.

The main findings of
the report reveal the following:

  • Exports have grown fast thanks to favorable external conditions, but also due to the dynamism of the private sector, as well as to sound trade and investment policies.
  • Tailwinds due to high commodity prices helped export growth. Exports in gross and in value-added terms expanded at double-digit rates, and they expanded even faster among primary and resource-based products. The emblematic example is that of soybean exports, which stood at US$1.5 million in 2001 and which climbed to US$1.6 billion in 2014, making Uruguay an increasingly important player in the world market with a share of 3 percent of total exports.
  • But it wasn’t just tailwinds. The private sector was dynamic enough to seize the opportunity of favorable conditions and penetrate 46 new markets between 2000 and 2013. In just one product, beef, exporters gained access to 30 new destinations, and they secured higher prices in top-quality markets on the back of smart entrepreneurship, quality upgrading and a longstanding government strategy of negotiating market access for the sector. In services, for example, modern, knowledge-intensive sectors such as ICT and other business services also grew at double-digit rates, increasing the knowledge content of the export bundle.

Ensuring access to quality early childhood development is anything but child’s play

Samuel Berlinski's picture
Children work in their classroom. Photo: Maria Fleischmann / World Bank


Ensure that all girls and boys have access to quality early childhood development, care and pre-primary education so that they are ready for primary education.” This is one of many important targets set by the United Nations General Assembly on September 27, 2015. How hard will it be to achieve this goal by 2030?

Growing resilient forest landscapes in the face of climate change

Paula Caballero's picture
Andrea Borgarello for World Bank/TerrAfrica

Playing out this week and next in Paris is a high-stakes match between science and political will.
 
The science part is quite clear: 2015 is set to be the hottest year on record – a full degree over pre-industrial averages. Climate change is already taking a toll on countries. Add to that we have El Nino wreaking havoc in many parts of the world.  And it is going to get warmer.
 
The political analysis is more complicated. On the one hand, if the national plans, the Intended Nationally Determined Contributions (INDCs) drawn up by countries to tackle climate change were implemented, including actions that have been conditioned on available finance, this would likely put the planet on about a 2.7 C degree trajectory that would be catastrophic for the economic, social and natural systems on which we depend.  Clearly more needs to be done. On the other hand, it is a sign of welcome progress. The fact that almost all the world’s countries (Carbon Brief tracks 184 climate pledges to date) have put forward INDCs is a remarkable feat many would have considered impossible just a few years ago.  So there is progress, just not fast enough.
 
Paris should be seen as an important milestone in an arduous journey– a platform for generating an ever upward spiral of ambition in many fields of climate action.
 
One area that promises innumerable wins for people and the planet is land use change, agriculture, and forestry. Together these sectors account for about 24 percent of global emissions, but represent a much greater share of emissions in many developing countries. A preliminary analysis of INDCs shows strong commitment to reducing greenhouse gas emissions from deforestation, forest degradation, land use change and agriculture. And there is evidence of a growing appetite for landscape restoration measures in many of those countries. 

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