Recent evaluations of a number of worldwide financial education programs reported widely varied outcomes. While some found evidence of effectiveness, others reported mixed or no evidence. Yet an increasing number of developing countries are putting financial education strategies in place or are expanding financial education programs. The quality of design of such strategies and programs is therefore crucial.
Financial education programs can be ad hoc targeted interventions, aimed at addressing specific financial education gaps, or they can be more comprehensive approaches through financial education or literacy strategies that aim to address a number of priorities. Regardless of the approach – which depends on the local context – financial education programs have a higher likelihood of greater positive impact if they are based on reliable diagnostic tools and focused on clearly defined and sequenced priorities.
Over the past two years, the Financial Inclusion and Consumer Protection team at the World Bank Group has conducted substantial technical and diagnostic work in the area of responsible finance. For example, we have developed methodologies for financial capability surveys and impact evaluation, and we have conducted a series of diagnostic reviews in the area of consumer protection and financial literacy on a global scale.
As Uganda moves toward becoming a middle income country, policies focused on including all Ugandan's are becoming increasingly important. Maitreyi Bordia Das, lead author of the new report Inclusion Matters: The Foundation to Shared Prosperity, discusses why inclusion is critical, not only to reducing poverty or income inequality, but to improve the ability of previously disadvantaged people to take part in society.
The World Bank Group (WBG) is increasing its engagement with the Lesbian, Gay, Bisexual, and Transgendered (LGBT) community as part of its civil society engagement efforts at the global level. This comes as the campaign to reduce descrimination and promote inclusion of the LGBT community gains traction and visibility in the United States and many countries around the world. This interaction began last year when several CSOs reached out to the Global Civil Society Team to suggest introducing the LGBT issue within the WBG - CSO policy dialogue agenda. As a result, the Bank hosted a session on LGBT coalition building during the 2013 Spring Meetings in April, and this was followed by a session on incorporating LGBT issues within Bank social assessments at the Annual Meetings in October. In addition, the Bank sponsored an LGBT leader from Guyana to come to Washington for the week-long Civil Society Program during the Annual Meetings.
The “Coalition Building around LGBT Issues” session held on April 17 was organized by St. Paul’s Foundation for International Reconciliation and GLOBE which is the association of Bank LGBT staff. (see session summary) The panel was composed of LGBT leaders from the US and Africa who shared their perspectives and personal experiences on fighting discrimination and policy advocacy. Rev. Albert Ogle of St. Paul’s Foundation described how homosexuality has been criminalized in 76 countries and the LGBT community is often among the most marginalized in developing countries, and called on the Bank to include the LGBT community in the development programs it finances. The session focused largely on Uganda as several panellists described the conflicting role played by faith-based organizations, some of which provided social services to the LGBT community while others actively propagate homophobia. Victor Mukasa, a transgendered activist, described his compelling and troubling experiences in promoting LGBT inclusion in Uganda which led him to seek political asylum in the United States.
One of the background papers to the World Bank’s 2012 Gender World Development Report, “Masculinities, Social Change and Development,” alluded to Raewyn Connell’s theory of “hegemonic masculinity” as well as the strong correlation between heterosexism and gender inequalities.
Hegemonic masculinity is defined as the gender practice that guarantees the dominant social position of men and the subordinate social position of women. As summarized by Schifter and Madrigal (2000), it is the view that “Men, by virtue of their sex, [are] naturally strong, aggressive, assertive, and hardworking, whereas women [are] submissive, passive, vain, and delicate.” Hegemonic masculinity justifies the social, economic, cultural, and legal deprivations of women.
Elif Yavuz, a former World Bank consultant, was amongst the 68 people who died in the attack at the Westgate shopping mall in Nairobi in September of this year. At the time of her death, Elif was working for the Clinton Foundation. Hers had been a life dedicated to fighting poverty and disease.
The horror of what enfolded at Westgate is a reminder of the pervasive threat of insecurity, and at the same time of our efforts to protect lives and preserve human dignity the world over. The massacre raises questions, too. Are we deploying the right tools to help put an end to such violence? And what is the role, if any, that development practitioners can play in preventing them? The recently released World Bank report, Inclusion Matters: The Foundation for Shared Prosperity, provides us with some ideas.
The Al-Shabab attack in Nairobi was a tragedy for the victims and their families. Nevertheless, countless numbers of people across the globe die every day in less violent circumstances, and yet just as needlessly – from disease and malnutrition for example. Consider malaria – the issue on which Elif had been working: the latest data show that more than one million people, the majority of them children under the age of five in Africa, are likely to die of malaria this year. Many of these deaths occur in countries where wealth and opportunity are to be found, but the wealth is concentrated in the hands of only a few, while others are barred from opportunities. The evidence suggests that these inequalities, and the feelings of injustice and powerlessness they engender, have the potential to fuel conflict and tempt people to espouse radical ideologies and resort to violence as a means of addressing injustice.
This guest post comes from Ricardo Fuentes-Nieva, Oxfam Head of Research, (@rivefuentes)
No one expects the World Bank to be a simple organization. The intellectual and policy battles that occur inside the Bank are the stuff of wonk legends – I still remember the clashes around the poverty World Development Report in 2000/2001. This is not a criticism. One of the strengths of the World Bank is its dialectic nature – I observed that up close when I was part of the WDR on climate change a few years ago.
Kevin Watkins, the new director of the Overseas Development Institute, reminded me recently that in 1974 Hollis Chenery, then Vice President and Chief Economist of the World Bank, published a book titled “Redistribution with Growth: An Approach to Policy”. Kevin writes that the central idea of the book was “that the poor should capture a larger share of increments to growth than their current share. That idea has even more resonance today.”
The current battle inside the Bank seems to focus on the issue of skewed distribution of benefits of development and the problems this causes. On the one side there’s a resurgence of the argument that “growth is good for the poor” that argues there is no difference between “shared prosperity” and plain prosperity, as measured by economic growth; on the other hand, the Bank’s Chief Economist retorted that “[o]verall economic growth is important, but the poor should not have to wait until its benefits trickle down to them.”
A few years ago I was on the streets alongside fellow students protesting against spending cuts to education and rising tuition fees in the U.K. Although the government’s decisions did not apply to me directly (at the time I was finishing my studies), I empathized with the many students who faced increasing challenges in attaining higher education. We were protesting against a move which would limit the future choices for youth, and we did not think it was good policy to penalize the future due to the pains of the present.
Now I look at the events of the past three years as a social scientist. Globally, the youth cohort is the largest in history and it has increasing demands for opportunities, voice and justice – a global cry for social inclusion. The newly launched World Bank report Inclusion Matters: The Foundation for Shared Prosperity notes – “The Arab Spring may have been one of the most costly reactions to exclusion of educated youth.” But as one of those born into what media has called a ‘lost generation,’ I rather see us as a driving force for change in the current socio-economic and political environment. We can argue about the extent of our impact, but we are clearly a spark for discourse and action.
Underpinning almost every protest and social change movement – and even causing them – are young people, mostly students, or unemployed graduates, many of whom are now sadly being called “lost”. Young people are often more emotional, idealistic, passionate and less cautious about the consequences of their actions, and very often the ones who fight for the causes they believe in (remember the 14-year-old Pakistani girl Malala Yousafzai?). We are high-tech savvy and exploit social media to connect, organize groups, gatherings, events and use it to expose malfeasances. We want to be heard and be listened to, and at the forefront of global protests. We demand better alternatives for the sake of all people.
“You are a Bangladeshi. Did your country benefit from seceding from Pakistan?” I was recently invited to meet with members of the Yemeni National Dialogue who are debating the future of the state. The wounds of the past are deep in Yemen’s history – war between the South and the North and conflict within Regions – and not surprisingly the talk of regional secession is present in the discussions. The question drew a murmur in a room full of policy makers and activists from different parts of Yemen. It had clearly touched a raw nerve.
The National Dialogue is an important moment in Yemen’s rich history. It has brought together political parties, social groups, women, youth, and regional representation around a dialogue to craft the future of Yemen. Some argue that the process is incomplete and imperfect – not all stakeholders are present; there is a fear of elite capture; and in some parts of the country there is armed conflict. But, despite these challenges it is to Yemen’s credit that it is hoping to forge a state through dialogue – not the typical image of Yemen portrayed in the international press.
The Roma make up Europe’s largest and poorest ethnic group, with three-quarters of their estimated 10 to 12 million people living in poverty, and fewer than one in three having a job. The Roma are also much younger than the general population, with 30 percent under age 15-which can be a real boon, considering the latest demographic trends. But a Roma child’s chance at a good life starts to decrease very early.
A recent regional study that focused on Roma and non-Roma in nearby communities from five Eastern European countries finds between 28 and 45 percent of Roma children attend preschool in four of the five study countries. However, the Roma preschool rate jumps to 76 percent in Hungary, where targeted policies have been in place; and this is about the average for non-Roma preschool rates across the five countries. Hungary’s experience offers promise because surveys show that preschool matters greatly to completing secondary school and staying off social assistance.