While driving around rural areas of Puno in Peru, Caaguazú in Paraguay or Granada in Nicaragua, do not be surprised to see women lifting rocks from the roads and using shovels and picks alongside men. In fact, in the past 15 years, the number of women that have joined organizations in charge of routine road maintenance in Latin America has increased significantly and with this their life conditions have improved dramatically.
Co-Authors: Aleksandra Iwulska, Javier Eduardo Báez and Alan Fuchs
In April this year the Dominican Republic borrowed 1.25 billion US dollars on international markets in 30-year bonds. The DR is the only country in the B investment rating group that successfully issued 30-year bonds in the last 6 years. The country has a total of 2.75 billion US dollars for three issuances in the past 15 months.
At the same time, debt levels have been growing in the country: non-financial sector public (NFPS) debt doubled from 18.3 percent of GDP in 2007 to 36.6 in the first quarter of 2014.When considering the DR Central Bank debt stock, levels would be already close to 47 percent of GDP. It is worth noticing that Jiménez and Ovalle (2011) estimated in 56.7% the debt to GDP the maximum debt to GDP threshold that investors would consider sustainable for the DR in 2013. Meanwhile, interest payments reached a peak of 2.4 percent of GDP in 2012-13 and external debt stood at 25 percent of GDP in 2013, levels not seen since the economic crisis of 2003. But the economic realities in the DR now are much different than they were in 2003. GDP grew by 4.1 percent last year and 5.5 percent in the first quarter of 2014. The Central Bank forecasts the annual economic growth at 4.5 percent this year. Meanwhile, central government fiscal deficit dwindled from 6.6 percent of GDP in 2012 to 2.9 percent in 2013.
Estimating the direct and indirect benefits of transport projects remains difficult. Only a handful of rigorous impact evaluations have been done as the methodologies are technically and financially demanding. There are also differences between the impact of rural and urban projects that need to be carefully anticipated and evaluated.
Can we simplify the methodologies?
Despite the Bank’s rich experience with transport development projects, it remains quite difficult to fully capture the direct and indirect effects of improved transport connectivity and mobility on poverty outcomes. There are many statistical problems that come with impact evaluation. Chief among them, surveys must be carefully designed to avoid some of the pitfalls that usually hinder the evaluation of transport projects (sample bias, timeline, direct vs. indirect effects, issues with control group selection, etc.).
Impact evaluation typically requires comparing groups that have similar characteristics but one is located in the area of a project (treatment group), therefore it is likely to be affected by the project implementation, while the other group is not (control group). Ideally, both groups must be randomly selected and sufficiently large to minimize sample bias. In the majority of road transport projects, the reality is that it is difficult to identify control groups to properly evaluate the direct and indirect impact of road transport improvements. Also, road projects take a long time to be implemented and it is difficult to monitor the effects for the duration of a project on both control and treatment groups. Statistical and econometric tools can be used to compensate for methodological shortcomings but they still require the use of significant resources and knowhow to be done in a systematic and successful manner.
On a Friday evening last November, twelve mayors from nearby districts gathered at the municipal office building in Tarapoto, Peru. Even though the rainy season was just ramping-up in this lush tropical area of the country, local roads were already being washed away. These mayors were eagerly planning for the local Provincial Road Institute to use their tractors to protect their roads to counter the negative effects of the rain.
One of them cried out, “How will my people bring grapes and coffee to local markets without good roads? Our products are going to rot and my people are going to suffer.”
A five hours’ drive south of Lima lays the coastal provinces of Chincha. If one heads inland into the deserted mountains that are typical of costal Peru, one would be surprised to find agriculture blanketing the valley floor. For centuries local communities in these rugged terrains have been using water from small meandering streams to grow maize, and eke out a living by selling surpluses at nearby markets. However, in recent years the growth of industrial agriculture has squeezed these communities, making it hard for them to survive in these ancestral lands, forcing many of them to move to nearby cities such as Chincha Alta.
Decentralization in Tunisia means empowering local government. A new World Bank project aims to build the capacity of local government and make it accountable. Jaafar Friaa, Team Leader for the Program discusses the project's goals.
Tunisia finalizes voter registration ahead of this year’s elections
The birthplace of the Arab Spring is sometimes described as the only democratic nation in the region of the Middle East and North Africa. In order to retain this distinction and uphold its new constitution, however, a legitimate voting process needs to be held this year.
"I became tired of loosing my friends to violent acts involving firearms, and seeing how the young the potential of my generation is lost in prisons and cemeteries." These are the words of Angel Bolivar Araya Castillo, the Coordinator of Youth Against Violence (YAV) Movement in Costa Rica. I had the privilege of meeting Angel this spring when he and six youth representatives from the YAV movement came to the World Bank to talk about the importance of youth participation in violence prevention.