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A blog to promote dialog on development in South Asia

About us

About us

This blog is maintained by the South Asia Region of the World Bank Group. Its goal is to exchange ideas on how to end poverty in Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, and Sri Lanka.

Maldives

Incentives and Values in Conflict-Prone Countries

Submitted by Eliana Cardoso on Tue, 11/03/2009 - 15:09

One of the most extraordinary examples of the use of economic principles comes from the beginning of the 19th century, when England used to send a huge number of prisoners to Australia. The government originally paid the ship captain a pre-determined amount for each prisoner that boarded the ship, but half of them would die during the journey. In 1862, Edwin Chadwik, knowing that people respond to incentives, told the U.K. government to pay captains according to the number of prisoners that actually disembarked in Australia. With this adjustment, the survival rate increased from 50% to 98.5%.

This example illustrates how incentives can do wonders in some circumstances. Yet, human actions are not always guided by the same calculations made by a profit maximizing ship captain. Behavioral economists have emphasized that we respond to a deep ingrained sense of fairness. Culture and values are crucial in understanding human behavior and promoting healthy and stable societies.

How Should We Best Accelerate Growth and Job Creation in South Asia?

Submitted by Ejaz Ghani on Fri, 10/30/2009 - 10:25

“South Asia continues to grow rapidly and its largest economy, India, is close to becoming a Tiger.”

Sadiq Ahmed and I were inspired to author Accelerating Growth and Job Creation in South Asia when we were asked by the South Asia Chamber of Commerce, SAARC Business Conclave, FICCI, and a number of policy makers, local research institutes, and CEOs to come up with a strategy on what can be done by South Asian countries to accelerate growth and job creation. So we invited the world’s leading scholars to apply their talents to understanding the economies of South Asia. This gave birth to the book.

It is organized along three themes—an overview of South Asia’s growth opportunities and challenges; sources of growth and policies for the future; and the significance of regional cooperation in promoting growth. The essays combine quantitative data with analytical rigor to provide innovative suggestions in terms of policies and institutions that can propel South Asia towards higher growth, while promoting inclusiveness.

Doing Business Report 2010: South Asia

Submitted by Joe Qian on Mon, 09/14/2009 - 17:01

The World Bank released its annual Doing Business report (pdf) last week which tracks regulatory reforms for conducting business and ranks countries based on their ease of doing business.

Countries are evaluated and ranked by indicators such as starting a business, employing workers, getting credit, paying taxes, etc.

In South Asia, seven out of eight (75%) of the countries instituted reforms that were conducive to business, higher than any previous year of the study.

Pakistan was the highest ranked country in the region at number 85 while Afghanistan and Bangladesh were the most dynamic reformers with three reforms each. Afghanistan’s rank in the study also increased the most in the region, climbing eight spots.

Watch Your Wallets, Protectionism is Back!

Submitted by Zahid Hussain on Wed, 08/12/2009 - 13:32

Protectionism is BackProtectionism is on the rise all over the world, thanks or should we say “no thanks” to the global economic crisis.  Last November, G-20 leaders pledged to fight protectionism. Yet, according to the World Trade Organization (WTO), 18 out of these 20 economies have since taken measures to restrict trade. With the global economy struggling to recover, political pressures demanding protection from import competition to sustain domestic employment are intensifying. It is likely to prove right the old adage that the only thing we learn from history is that we never learn from history.  One lesson from the experience of the 1930s that is currently most relevant is that raising trade barriers deepens and prolongs recession.

Development Marketplace: My Tryst With Nutrition

Submitted by Sundararajan Gopalan on Mon, 08/03/2009 - 14:31

For more information on the Nutrition Development Marketplace, please see the accompanying Feature Story and Press Release

The year was 1975. I was a final year medical student in Pondicherry, South India. I was going for my practical test on Preventive and Social Medicine (PSM). PSM was (and probably still is) one of the least favorite subjects in the medical curriculum for most students. “Why should we prevent diseases? If we prevent all diseases what will we all do with our medical degrees? Isn’t that professional suicide?” asked one of my class-mates! But I digress. Coming back to the test, I was unusually nervous because I had not studied everything well. For some reason, one chapter that I did study the night before was nutrition. I had also volunteered for two months in a Nutrition Rehabilitation Center (NRC) which meant that it was one chapter that I was more confident about. As my luck would have it, every single question that the examiner asked me that day was on nutrition! I blasted my way through the test, and thanked my stars for that exceptional bit of good fortune. From that day, nutrition has always been close to my heart.

The NRC is a somewhat outdated concept nowadays. The idea was to have a malnourished child and mother live for a month in the NRC and learn good household behaviors that could result in better nutritional outcomes.

Global Financial Crisis: How should South Asia respond?

Submitted by Sadiq Ahmed on Tue, 02/17/2009 - 22:44

The global financial crisis hit South Asia at a time when it was barely recovering from a severe terms of trade shock resulting from the global food and fuel price crisis.The food and fuel price shocks had badly affected South Asia, with cumulative income loss ranging from 34 percent of 2002 GDP for Maldives to 8 percent for Bangladesh. Current account and fiscal balances worsened sharply and inflation surged to unprecedented levels.

Watch the End of Poverty

Submitted by Joe Qian on Fri, 11/07/2008 - 16:00

Hans Rosling demonstrates how developing countries are pulling themselves out of poverty. He shows us the next generation of his Trendalyzer software -- which analyzes and displays data in amazingly accessible ways, allowing people to see patterns previously hidden behind mountains of stats.

The Education of a Patient Capitalist

Submitted by Joe Qian on Fri, 11/07/2008 - 15:57

Jacqueline Novogratz is pioneering new ways of tackling poverty. In her view, traditional charity rarely delivers lasting results. Her solution, outlined here through a series of revealing personal stories, is "patient capital": support for "bottom of the pyramid" businesses which the commercial market alone couldn't provide.

A Marketplace of Ideas for Tackling Stigma and Social Exclusion

Submitted by Mariam Claeson on Thu, 06/05/2008 - 12:28

When the South Asia Development Marketplace for innovative ideas to tackle stigma and discrimination relating to HIV/AIDS was launched in November 2007 by the HIV/AIDS Group in the South Asia Region of the World Bank and its partners, civil society groups across South Asia sent in almost a thousand proposals.

People fear HIV/AIDS because of the association with sex, drugs, illness, and death.  In South Asia, the epidemic is driven largely by high risk practices – buying and selling sex, injecting drugs, and unprotected sex among men having sex with men.  This compounds the fear and stigma around HIV/AIDS, as sex workers, injecting drug users, and men having sex with men are already stigmatized.