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Labor and Social Protection

Four key trends in Economic Inclusion Programs

Ines Arevalo's picture
Economic inclusion programs provide a “big push” to help the extreme poor and other vulnerable people move into sustainable livelihoods, and can play an important part in poverty reduction. Photo: Maria Fleischmann / World Bank

Targeted household-level economic inclusion programs are on the rise:  nearly 100 programs across 43 countries have reached an estimated 14 million people to date, according to the Partnership for Economic Inclusion’s (PEI) 2018 State of the Sector report. These programs provide a “big push” to help the extreme poor and other vulnerable people move into sustainable livelihoods, and can play an important part in poverty reduction and the new “social contract”, as noted in a recent blog.

Blog your bureaucracy-related job market paper!

Daniel Rogger's picture
Photo: Simone D. McCourtie / World Bank

Editor's note: This blog post is part of a series for the 'Bureaucracy Lab', a World Bank initiative to better understand the world's public officials.
 
The World Bank's Bureaucracy Lab has been inspired by the folks at the Development Impact blog to highlight some of the best PhD work on the various academic job markets.

Fighting Poverty with Cash Transfers: Do Conditions Improve Targeting? Guest Post by Katy Bergstrom

Development Impact Guest Blogger's picture

This is the seventh in this year's series of posts by PhD students on the job market.

Conditional cash transfers (CCTs), cash transfers targeted to poor households made conditional on investments in children's human capital, have become increasingly popular over the past two decades (Bastagli et al, 2016). However, CCTs have been criticized as some argue that the poorest households may find the conditions too costly to comply with and thus be excluded from receiving aid (e.g., Freeland, 2007, Baird et al, 2011). Unconditional cash transfers (UCTs), cash transfers with “no strings attached”, are therefore thought to be superior at alleviating current poverty. Consequently, when deciding whether to impose conditions, governments are thought to trade-off the extent to which they increase human capital investments in children versus the extent to which they alleviate current poverty.

How can African governments pay to expand their safety nets?

Lucilla Maria Bruni's picture

Expanding the coverage of safety net programs in Africa represents a serious fiscal challenge. While there is substantial variation across countries, on average governments in Africa spend about 1.3% of gross domestic product (GDP) on social safety nets (see figure). This is lower than the spending on other sectors such as energy, health care, education, and, in some cases, the military. Crucially, this level of spending is inadequate to face the high chronic poverty rates and vulnerability to shocks households face in Africa.

Leveraging technology to close gaps between men and women

Mirai Maruo's picture


Technology serves as a key driver of change and opens new avenues to address the world’s most complex challenges. It is changing the nature of work and challenging traditional production patterns. And it is changing the skills that employers seek, how people work and the terms on which they work.
 
This month, the World Bank Group Advisory Council on Gender and Development will meet for its twice-yearly meeting to discuss the World Bank Group (WBG)’s recent developments and initiatives to close key gaps between men and women. Chaired by Kristalina Georgieva and comprising senior government representatives from client and donor countries, private sector and civil society, the Council is the main external consultative body helping the WBG consider frontier issues and accelerate progress towards gender equality.
 
Earlier this year, the Council undertook a learning session on the role of technology in promoting gender equality. The discussion mapped out some key challenges in this area.

A stepping stone or a bad place to get stuck? Self-control problems explain lack of continued job search effort in Ethiopia’s ready-made garment industry: Guest Post by Christian Meyer

Development Impact Guest Blogger's picture
Amidst momentous political and economic reforms, the Ethiopian labor market continues to shift from low-productivity agriculture to services, construction, and tradables. Urbanization is a key aspect of this transformation, as people from rural areas seek employment and education in the cities.

In the outskirts of the capital Addis Ababa, where a lot of rural-urban migrants settle, one starting point into the city’s formal labor market is the country’s burgeoning ready-made garment industry. Ethiopia represents one of the lowest-cost manufacturing destinations in the world. Firms tend to pay extremely low wages clustered around the local poverty line. They offer little to no upward mobility, so that the vast majority of workers will not advance past the level of machine operators. With its low but stable wages and almost no skill requirements, the ready-made garment industry provides what Blattman and Dercon have called an “industrial safety net.”

Yemen: Where humanitarian and development efforts meet

Raja Bentaouet Kattan's picture



The poorest country in the Middle East and North Africa even prior to the conflict, Yemen has through violence and subsequent economic freefall landed at the epicenter of a series of interrelated emergencies that the United Nations describes as the “world’s worst humanitarian crisis.” This is the first of a three-part blog series on the Bank’s response in Yemen.

In July of this year, I assumed the role of Country Manager for Yemen. Much has happened in my first 100 days as CM. 

Empirical evidence shows migrants in South Africa create jobs

Shoghik Hovhannisyan's picture
Photo: Steven doRemedios


The Triple Threat, as it is referred to in South African policy circles, remains a key policy priority for the government; namely, inequality, poverty and unemployment. The latter – unemployment – was 27.2% in the second quarter of 2018 and at such high rates, it is a critical development issue in contemporary South Africa.

Could private job services help address the unemployment challenge in Bosnia and Herzegovina?

Josefina Posadas's picture
Employment in Bosnia and Herzegovina
Bosnia and Herzegovina: private and public employment services
Despite recent stability in economic growth in Bosnia and Herzegovina, with 3.2% growth projected for 2018, the country continues to experience an elevated level of unemployment, especially among young people.

To help address these alarming statistics, the governments in Bosnia and Herzegovina are investing substantial resources in promoting employment opportunities. These services comprise mostly job intermediation, such as counseling or job matching, and financial incentives to employers when they hire registered unemployed people. But given the magnitude and persistence of the unemployment problem, there must be other, more effective approaches that could be deployed to complement ongoing practices. One such approach is outsourcing selected employment services to private job brokers.

 

An update on Bhutan’s economy

Tenzin Lhaden's picture
Accelerating the reform momentum after the 2018 elections is key to consolidating and furthering Bhutan’s development
Accelerating the reform momentum after the 2018 elections is key to consolidating and furthering Bhutan’s development. Credit: World Bank

Bhutan is one of the smallest, but fastest-growing economies in the world.
 
Its annual average economic growth of 7.6 percent between 2007 and 2017 far exceeds the average global growth rate of 3.2 percent.
 
This high growth has contributed to reducing poverty: Extreme poverty was mostly eradicated and dwindled from 8 percent in 2007 to 1.5 percent in 2017, based on the international poverty line of $1.90 a day (at purchasing power parity).
 
Access to basic services such as health, education and asset ownership has also improved significantly.
 
The country has a total of 32 hospitals and 208 basic health units, with each district hospital including almost always three doctors.
 
The current national literacy rate is 71 percent and the youth literacy rate is 93 percent.
 
The recent statistics on lending, inflation, exchange rates and international reserves (Sources: RMA, NSB) confirm that Bhutan maintained robust growth and macroeconomic stability in the first half of 2018.  

Gross foreign reserves have been increasing since 2012 when the country experienced an Indian rupee shortage.
 
Reserves exceeded $1.1 billion, equivalent to 11 months of imports of goods and services, which makes the country more resilient to potential shocks.
 
The nominal exchange rate has been depreciating since early 2018 (with ngultrum reaching Nu. 73 against the US dollar in early November).


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