Remember the food and fuel crisis that preceded the global economic and financial meltdown? Many in the advanced economies have long forgotten it; people in developing countries have very vivid memories. Are we about to relive the crisis?
East Asia and Pacific
Compare South Korea and Malaysia in 1970 and compare them again in 2009. South Korea was a third poorer back then and is now three times richer. Even more remarkable has been South Korea’s ability to widely share the benefits of this spectacular feat across broad segments of society. South Korea’s strong focus on broad-based human capital development allowed the country to transform itself into a high-income economy, while at the same time reducing income inequality and improving social outcomes.
Amid the robust recovery from the global economic and financial crisis, policymakers in East Asia are contending with two emerging challenges: rising inflation and surging capital inflows. The quickening of the pace of price increases would require further monetary tightening, but many officials and analysts worry that such tightening will help support further flows. On balance, central banks in the region seem to have been rather patient in raising p
As a follow up event to the recent release of the Bank'slatest East Asia and Pacific economic update, our lead economists spent around 1 1/2 hours this Tuesday answering your questions on the findings of the report, and other economic issues.
A couple of weeks ago the Bank released its half-yearly economic assessment of developing countries in the East Asia and Pacific region. The report confirmed the robust recovery of the region's economies overall, but flagged a number of emerging risks, particularly around the return of large capital inflows and appreciating currencies.
|A power substation in Yingxhou, Sichuan Province was almost totally destroyed in the magnitude 7.9 Sichuan-Wenchuan earthquake in 2008.|
The statistics are startling. 75% of global flood mortality risk is concentrated in only three Asian countries: Bangladesh, China and India. 85 % of deaths from tropical cyclones are in just two Asian countries: Bangladesh and India. Indeed, Bangladesh alone accounts for over three-quarters of people dying from tropical cyclones. 85% of global earthquake risk is concentrated in only 12% of the earth’s surface—a large part of it in Asia. In 2009, six of the ten countries with the highest mortality rates and GDP losses from natural disasters were in Asia. 82% of all lives lost in disasters since 1997, are in Asian countries.
According to many commentators, setting the global economy on a right path these days must include a sharp increase in private consumption in East Asia. Consumption, these analysts argue, is very low across the region, and levels nearer those in advanced economies are more appropriate.
This does not seem right. Consider the following points:
The history of the power sector in Lao PDR is relatively new. 15 years ago, Laos counted with just a couple of large hydropower plants, and a meager 16% of the households throughout the country counted with electricity access, mostly concentrated in Vientiane, the capital city, and few provincial towns such as Luang Prabang and Savannakett.
Infrastructures needed an urgent push to help the economy start up and reduce the extreme poverty rates of the population. During the beginning of the 90’s, several donors including the World Bank and the Asian Development Bank (ADB) began different infrastructure development programs, including roads, water supply and electrification.
Competition in the telecommunications sector in Solomon Islands has officially arrived. bemobile held its launching ceremony on Aug 31, making it the first competitor to Solomon Telekom (known as “Our Telekom”) effectively ending the previous monopoly. This is the result of the Government’s policy of reforming the telecoms market in Solomon Islands including promoting competition, developing a new legal framework, and setting up a new regulator, the Telecommunications Commission of Solomon Islands (TCSI).