The Update describes the state of the Indian economy, shares its perspective on the Indian growth experience and trajectory over the past two and a half decades, and analyses the near-term outlook for growth, the global economic outlook and its impact on the Indian economy.
The Update, to be formally launched on March 14, features a historic analysis of India’s economic performance in order to assess what it will take India to return to growth rates of 8 percent and higher on a sustained basis.
Last week, a tanker truck, one of many roaming the streets of Kabul, navigated through bumper-to-bumper traffic, going past government buildings and embassies, to Zanbaq Square. When stopped at a checkpoint, more than 1,500 kg of explosives that had been hidden in the tank were detonated. It was 8:22 am and many Afghans were on their way to work and children were going to school. The explosion killed 150 commuters and bystanders, and injured hundreds more. This is just one of many incidents that affects Afghans’ lives and livelihoods.
Conflict has constantly increased over the past years, spreading to most of Afghanistan, with the number of security incidents and civilian casualties breaking records in 2016. According to the Global Peace Index, Afghanistan was the fourth least peaceful country on earth in 2016, after Syria, South Sudan, and Iraq. The intensification and the geographical reach of conflict has increased the number of people internally displaced. According to the latest United Nations Office for the Coordination of Humanitarian Affairs (OCHA) data, over 670,000 people were internally displaced in 2016 alone.
Against this backdrop, our recent World Bank report, the “Afghanistan Poverty Status Update: Progress at Risk”, shows that not surprisingly violence and insecurity pose increasing risks to the welfare of Afghan households. Approximately 17 percent of households reported exposure to security-related shocks in 2013–14, up from 15 percent in 2011–12 according to data from the Afghanistan Living Conditions Survey (ALCS). This is largely in line with the actual incidence of conflict incidents as reported by the United Nations Department of Safety and Security (UNDSS).
The World Bank is releasing its flagship report highlighting the state of the Indian economy, its future growth prospects, the impact of the recent currency exchange on the economy, and the benefits that the progress on the Goods and Services Tax (GST) will have moving forward.
These are some of the views and reports relevant to our readers that caught our attention this week.
The World Press Freedom Index
Reporters Without Borders
The 2017 World Press Freedom Index compiled by Reporters Without Borders (RSF) shows an increase in the number of countries where the media freedom situation is very grave and highlights the scale and variety of the obstacles to media freedom throughout the world.
The Mobile Economy 2017
The GSMA Mobile Economy series provides the latest insights on the state of the mobile industry worldwide. Produced by our renowned in-house research team, GSMA Intelligence, these reports contain a range of technology, socio-economic and financial datasets, including forecasts out to 2020.
Atlas of Sustainable Development Goals 2017 : From World Development Indicators
The Atlas of Sustainable Development Goals 2017 uses maps, charts and analysis to illustrate, trends, challenges and measurement issues related to each of the 17 Sustainable Development Goals. The Atlas primarily draws on World Development Indicators (WDI) - the World Bank's compilation of internationally comparable statistics about global development and the quality of people's lives Given the breadth and scope of the SDGs, the editors have been selective, emphasizing issues considered important by experts in the World Bank's Global Practices and Cross Cutting Solution Areas. Nevertheless, The Atlas aims to reflect the breadth of the Goals themselves and presents national and regional trends and snapshots of progress towards the UN's seventeen Sustainable Development Goals: poverty, hunger, health, education, gender, water, energy, jobs, infrastructure, inequalities, cities, consumption, climate, oceans, the environment, peace, institutions, and partnerships.
In 1950, the average working-age person in the world had almost three years of education, but in East Asia and Pacific (EAP), the average person had less than half that amount. Around this time, countries in the EAP region put themselves on a path that focused on growth driven by human capital. They made significant and steady investments in schooling to close the educational attainment gap with the rest of the world. While improving their school systems, they also put their human capital to work in labor markets. As a result, economic growth has been stellar: for four decades EAP has grown at roughly twice the pace of the global average. What is more, no slowdown is in sight for rising prosperity.
High economic growth and strong human capital accumulation are deeply intertwined. In a recent paper, Daron Acemoglu and David Autor explore the way skills and labor markets interact: Human capital is the central determinant of economic growth and is the main—and very likely the only—means to achieve shared growth when technology is changing quickly and raising the demand for skills. Skills promote productivity and growth, but if there are not enough skilled workers, growth soon chokes off. If, by contrast, skills are abundant and average skill-levels keep rising, technological change can drive productivity and growth without stoking inequality.
- boost prosperity
- Knowledge and Skills
- job market
- job creation
- Social Development
- Public Sector and Governance
- East Asia and Pacific
- Solomon Islands
- Papua New Guinea
- Micronesia, Federated States of
- Marshall Islands
- Lao People's Democratic Republic
- Korea, Republic of
The narrative of "Africa Rising" has recently been tempered by uncertainties and risks in the global environment. Following two decades of growth averaging five percent, many of Africa’s economies, especially the commodity exporters, have cooled. Earlier this month, the International Monetary Fund cut its 2016 growth forecast for sub-Saharan Africa to only 1.4 percent.
Like Asia, Africa’s progress in reducing poverty rates has been driven by sustained growth, but population growth has prevented a decline in poverty. Extreme poverty is now increasingly concentrated in sub-Saharan Africa, and in 2012, nearly 400 million people in the region were living on less than $1.90 a day.
Translation of PPP Reference Guide into Bahasa Indonesia strongly supports national PPP delivery efforts
Indonesia’s strategy to become one of the 10 major world economies by 2025 – part of a long-term program outlined in its Masterplan for Acceleration and Expansion of Indonesia's Economic Development (MP3EI) – relies heavily on how quickly it can build new infrastructure to support its rapid growth. This entails cooperation among the central government, local governments, state owned enterprises, and the private sector. Of the four parties, according to experts on the ground, “the private sector has a vital role to play in this masterplan (in the form of PPP schemes), as it is expected to contribute the bulk of financing.”
These are all signs of a rising middle class reaping the benefits of the country’s impressive economic performance.
The island nation, where people’s sunny disposition matches its warm climate, has also emerged as the newest darling destination for over four million tourists last year. In 2014, Palawan was voted the most exotic island in the world in its annual Condé Nast’s Reader’s Choice Awards.
Indonesia’s national statistics agency (Badan Pusat Statistik, BPS) released quarterly national accounts statistics on February 5. Any quarterly data release creates a flurry of interest (well, at least amongst macroeconomists and economy-watchers hungry for the latest update on near-term growth trends). But this is a particularly important release because, as well as providing data for the final quarter of 2014, it also incorporates two significant revisions to Indonesia’s GDP statistics: (1) it shifts the basis of the computation from the year 2000 to 2010, and (2) it adopts a significantly updated methodology and presentation of the statistics (updating Indonesia’s national accounts from the 1993 System of National Accounts [SNA] to SNA 2008).
What do these revisions tell us about Indonesia’s economy that we didn’t know before? One change immediately stands out: total output in current prices is about 4.4 percent larger than previously estimated in 2014 (and 5.2 percent larger on average over 2010-2014). This is a significant change, adding IDR 448 trillion, or about USD 35.5 billion at the current market exchange rate, to the estimated size of the economy as of 2014. Roughly a third of the extra measured output is due to the incorporation of new kinds of economic activity under SNA 2008, and about two-thirds comes from more accurate measurements of previously-measured kinds of output, according to BPS.