Syndicate content

Trade

Is trade an automatic stabilizer for Bangladesh’s economy?

Abul Basher's picture

The global economic downturn and the consequent pessimistic outlook for exports in developing countries like Bangladesh have reinvigorated voices for protectionism. Even pro-trade minds have vented their skepticism about trade liberalization, as if the punch of the ongoing crisis could be shielded with the help of an embargo on trade with the rest of the world!

Such thoughts, derived from the gloomy prospects of exports, ignore the potential benefits drawn through the imports and disregard the lessons learned from history- that economic isolation leads to further impoverishment.

What are the implications of the crisis for the financial systems in East Asia?

James Seward's picture

I apologize for the lack of recent posts, but I have been traveling in the region and then getting over a cold, so I’m finally back in action.  One of the stops during the trip last month was to Jakarta to participate in our internal Economist’s Forum.  This forum was very interesting and included sessions with the Indonesian Minister of Finance, as well as the

Global Monitoring Report 2009 Released

Sameer Vasta's picture

Global Monitoring Report 2009 Press Briefing. Justin Lin, WB Chief Economist. Photo: © Simone D. McCourtie / World Bank

Yesterday, the IMF and the World Bank released the 2009 Global Monitoring Report, saying that the global financial crisis is imperiling attainment of the 2015 Millennium Development Goals (MDGs) and creating an emergency for development.

Justin Lin, World Bank Chief Economist, spoke about the crisis at the launch of the report:

"Worldwide, we have an enormous loss of wealth and financial stability. Millions more people will lose their jobs in 2009, and urgent funding must be provided for social safety nets, infrastructure, and small businesses in poor countries, for a sustainable recovery."

For more information:

BBC World holds debate on global recession at World Bank headquarters

Angie Gentile's picture

BBC World Debates

 
BBC World yesterday hosted a debate at World Bank headquarters in Washingtonon on how the world's poorest are being affected by the global economic downturn and what can be done to avert a major international human disaster. While the rich world pours billions of dollars into banks and companies, why can’t it spare more for the poorest nations now suffering the effects of the downturn, asked BBC Host Zeinab Badawi.

The five-person panel–including World Bank President Robert Zoellick, German Development Minister Heidemarie Wieczorek-Zeul, Mozambique Prime Minister Luisa Dias Diogo, Indian economic planner Montek Singh Ahluwalia, and activist Bob Geldof—agreed that a solution to the crisis can’t be business as usual and needs to come now.

Bob Geldolf at BBC World DebatesUnlike the tsunami of 2004, the victims of the financial crisis aren’t so easy to visualize, said Wieczorek-Zeul, making it harder for governments to commit aid money. But there are victims. An estimated 200,000 to 400,000 children will die annually as a result of the crisis, she noted.

Zoellick stressed that for those in the developing world, the crisis isn’t a matter of losing your financial cushion—it’s a matter of eating, of going to school. And the impact won’t end when the crisis ends; it will be felt over a generation.

Responding to the crisis with economic isolationism and protectionism will only hurt everyone, especially the world’s poorest, Zoellick added.

Prime Minister Diogo warned that if we don’t act, there is a potential for instability. “Instability increases nervousness… poverty increases conflict,” said Geldof.

A number of panelists noted that the G20 meeting in London last month was the beginning of the basis for a new global architecture.

“We’re living through an historic period,” said Geldof. “It could all still collapse. There must be new rules for a new world. We must include the most vulnerable on this planet. If not, the 21st Century is up for grabs.”

“We all agree that a global problem requires a global solution with global ownership,” said Ahluwalia.

The debate airs on BBC World on Saturday, April 25.

(More photos at the Spring Meetings Flickr set.)

Regional Finance Roundup – A look at Thailand after the ASEAN summit cancellation; updates on China, Singapore and Mongolia

James Seward's picture

In terms of big newsworthy events in Asia, one of the biggest has to be the anti-government protests in Thailand. A relatively small number of protesters dramatically caused the cancellation of an ASEAN+3 meeting held in Pattaya this past weekend where 10 regional heads of state were evacuated. The World Bank President, as well as the head of the IMF and UN, were turned around at the airport in Bangkok. Although the protests around the country have effectively ended after martial law was declared and two protesters died, the damage of this may be longer-lasting. Although a discussion of the politics would be interesting, let's concentrate on the finance-related issues.

Les douanes camerounaises se regardent dans le miroir

Gael Raballand's picture

En Afrique, l’administration des douanes joue un rôle de tout premier plan dans le développement économique et social puisque les droits et taxes collectées par les douanes représentent bien souvent au moins 30% des recettes du budget national (hors pays pétroliers). Dans le même temps, c’est l’une des administrations les plus décriées étant bien souvent décrites comme le symbole même de la corruption et un terrible frein au commerce.

Commodity price shocks

Shanta Devarajan's picture

The steep decline in the prices of commodities (oil, minerals, metals) following the global financial crisis is clearly having an effect on African countries. But the effect is asymmetric between importers and exporters of commodities. For instance, oil importers, who suffered in 2008 from the sharp increase in oil prices (reaching $140 a barrel), will benefit from the decline in oil prices, whereas the reverse is true for oil exporters. Using the latest commodity forecasts available, my colleague

La facilitation des échanges comme réponse à la crise et le développement en Afrique

John Wilson's picture

La réponse de l’Afrique à la crise économique actuelle doit se faire sur plusieurs façades. Une reforme des politiques commerciales permettant l’épanouissement du secteur privé devrait être au centre de tout effort tendant à minimiser l’impact sur les économies africaine à  court terme et à long terme des perturbations des marchés.


Pages