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Improving Service Delivery in Pakistan, One Text Message at a Time

Mabruk Kabir's picture

After visiting a government office, residents in Punjab may be surprised to find a familiar voice on the phone – their Chief Minister. “You have recently registered property,” the voice of Shahbaz Sharif booms, “Did you face any difficulties? Did you have to pay a bribe?” (Hear the robo-call here!)
It is an uncomfortable question – but one that tackles a stubborn social issue in Pakistan. In a country of 180 million, a culture of bribery and pretty corruption plagues public service delivery.
When visiting a land services official, a staggering 75 percent of households reported paying a bribe, according to Transparency International. Over half of households said they bribed the public utilities or a police officer in the last year. Endemic corruption is not just a drag on economic activity and poverty reduction efforts – it erodes trust between citizens and the state. 

How Fair is “Fair Compensation” Under India’s New Land Acquisition Act?

I.U.B Reddy's picture

The much anticipated Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (“the Act”) has just come into force in India on January 1st, 2014. Unlike the replaced 1894 legislation, this act addresses the rehabilitation and resettlement of those who depend on land, in addition to land owners. As emphasized in its title the new act places a greater emphasis on transparent processes at various stages: for example, through its mandatory social impact assessments, public hearings, and dispute resolution mechanisms.  
The other key emphasis in the act’s title refers to a new compensatory mechanism. The new act now provides for up to two times market value, against one time in the previous act and this figure is then doubled by applying a one hundred percent “solatium” against 30% in the previous act (additional compensation). Though people get more compensation under new  act, an increase in multiplier does not address the fundamental question of determining “market value”  in a country where registered values under-represent land purchase price to evade high stamp duties.  The challenge is exacerbated in rural areas where there are fewer land transfers, and therefore fewer registered sales deeds to use as reference points. In such situations, a valuation that is perceived to be more “fair” can be found only through consultations and dialogue, as demonstrated by two case studies from World Bank financed projects in India:

Can Businesses Help Create Political Stability?

Zahid Hussain's picture

 © Simone D. McCourtie/World BankBusinesses generally stand little chance of doing well when politics is not stable. Political stability is a necessary condition for an enabling business environment. What can the business community do to help achieve sustained political stability? Experience shows more often than not they fail to do so. What keeps the private sector divided even when both their collective and personal interests are directly at stake? Such an apparent puzzle can be explained by the soft budget constraint syndrome interacting with cronyism.
The term “soft budget constraint” (SBC) was originally conceived by the economist, Janos Kornai. The concept has since been regularly invoked in the literature on economic transition from socialism to capitalism. Now the concept is increasingly acknowledged to be pertinent well beyond the realm of socialist and transition economies. A host of capitalist phenomena, ranging from the collapse of the banking sector of East Asian economies in the 1990s and the business rescue packages seen in the midst of the recent global financial crises can be usefully analyzed in SBC terms.
The syndrome is at work only when organizations can expect to be rescued from trouble, and those expectations in turn affect their behavior. The more frequently financial problems elicit support in any part of the economy, the more organizations will count on getting support themselves. The government may from time to time announce they will break with past practice and refrain henceforth from bailouts. But such announcements have little effect unless combined with some institutional change that lends credibility to their claims.
SBC syndrome alone cannot explain why business groups do not react collectively to political adversities. The divisive force in this process comes from cronyism.
Cronyism normally means some of those close to political authorities receive large economic favors. The most visible ones usually entail ownership of a business or its operation, such as the privatization of state-owned enterprises (SOEs). More frequently, however, economic entitlements are provided through privileged access to governmental favors. The most valuable are the provision of monopoly or quasi-monopoly positions and the extension of domestic credit at highly subsidized terms. Favoritism in awarding government contracts is also important and may be as significant as the others. 

Catalyzing Open Government in Afghanistan: Focusing on Poverty Reduction and Shared Prosperity

Gazbiah Rahaman's picture

What does open data and development mean for Afghanistan?

Last November, the first open data mission revealed Afghans’ interest and commitment to foster knowledge sharing, collaboration and openness for a broader and targeted engagement in Afghanistan. In my blog, Afghanistan’s First Open Data Dialogue Delivers, I described my first-hand experience on Afghans enthusiasm about improving data dissemination, national dialogue and partnership between users and producers of statistics, and the drive for more effective aid and technical assistance through better coordination and alignment to the agreed National Statistical Plans.

Social Accountability with a Coating of Comedy

Deepa Rai's picture

“Ghaas Katne Khurkera, aayo joban hurkera…” (A Nepali folk song)

It would be an injustice to my childhood if I said that this song wasn’t a part of my growing up. Even before I knew the title of the TV drama, I knew this song by heart. I, along with my friends, would happily play and sing along to it. This was a famous song from a tele-series played by Nepal’s most celebrated comedians Madan Krishna Shrestha and Hari Bansha Acharya. Like this song, Madan Krishna and Hari Bansha, endearingly abbreviated as “MaHa” has been a household name to most Nepalis, either in Nepal or residing abroad.

They have, however, been different from other Nepali comedians- their comedy stand-ups or dramas have heavy dose of social morals in their highly creative and hilarious skits. After a break of two years, they are now back on TV with one such creation that infuses issues of social accountability with comedy. The tele-drama is titled “Aan” - A Nepali expression for opening mouth – metaphor for eating/misusing government resources.
“The subject is very dry. This is not like soap operas where the characters have highly dramatic lives. We have to heavily rely on artists’ performances as it should be technically sound to fetch audience attention,” says Hari Bansha Acharya, the producer and the actor for “Aan”. “We have previously worked on anti-corruption but this is the first time we are reflecting the real scenario at the village, district and national level. This is a virgin topic for TV and we hope we will be able to bring the kind of result that we are anticipating.”

Bangladesh’s Resilience On Trial Again

Zahid Hussain's picture

 David Waldorf )Bangladesh's economy is currently subject to probably the harshest test of resilience it has faced in recent memory. In the past, growth continued to be resilient despite several external shocks that slowed exports, remittance, and investment. Bangladesh’s resilience to global shocks came from strong fundamentals at the onset of the crisis, competiveness of exports and migrant labor, relatively under-developed and insulated financial markets, and a pre-emptive policy posture. Bangladesh has a robust disaster management capacity to deal with natural disasters, undertake rescue operations, and conduct post-disaster relief and rehabilitation.

National Identity Cards: Adding Value to Development

Rajib Upadhya's picture

In addition to permanent centers, NADRA has a fleet of vans that it uses to register Pakistanis living in remote areas.Considering the costs, it was never obvious to me how investments in a national identity program might add development value in a resource-crunched country like Nepal with so many competing priorities. It clicked when a senior official at Pakistan’s National Database and Registration Authority (NADRA) said, “The national identity program has allowed us to construct one big family tree of all Pakistani nationals. It is helping Pakistan establish a relationship between each member of our extended family and to redefine our obligations to one another — state to citizen and citizen to citizen.”

Engaging the Future: Conversations with Global Youth

Mabruk Kabir's picture

It is hard to talk about South Asia without invoking its demographics. The region will contribute nearly 40 percent of the growth in the world’s working age (15-64) population, and will need to add a staggering 1 to 1.2 million new entrants to the labor market every month for the next two decades. Absorbing the influx of youth into the labor force is one of South Asia’s core challenges. But while economists grapple with employment statistics and economic policy, jobs are created at the grassroots. Entrepreneurship is the spark that lights the fire, and the engine that generates opportunities in local communities.

Keeping India’s Promise Alive

Kalpana Kochhar's picture

India has been a beacon to the world on how a thriving and vibrant democracy can transform itself into an economic powerhouse. The metamorphosis that took place in the Indian economy after the reforms of the early 1990s is nothing short of spectacular. The Indian economy was transformed into a dynamo of innovation and diversification. This fundamental transformation unlocked two decades of explosive growth in which poverty rates fell by nearly 20 percent, exports as a share of GDP increased nearly five-fold, and standards of living increased by a factor of almost four. This trajectory received but a glancing blow from the 2008 global financial crisis—this resilience was a testimonial to the benefits of the economic reforms of the previous 15 years.

Challenges to India’s Growth

But now, India’s economy once again faces formidable challenges and the fear is that it is considerably less well placed to deal with these challenges than at any time over the past two decades. The global economy is facing a new phase of the crisis characterized by an extreme bout of uncertainty, risk aversion and volatility, this time originating in the Euro Area. Some skeptics have recently questioned: Will India weather this storm as well as it did in 2008-09 and will the story of “Incredible India” remain credible?

What Will South Asia Look Like in 2025?

Ejaz Ghani's picture

South Asia is among the fastest growing regions in the world, but it is also home to the largest concentration of people living in conditions of debilitating poverty, human misery, gender disparities, and conflict. In my book, Reshaping Tomorrow, I ask if South Asia is Ready for the Big Leap. 

The optimistic view is that India will achieve double-digit growth rates benefitting the rest of South Asia. The pessimistic view is that growth will be derailed by structural and transformational challenges. Which of these two outlooks will prevail?

The Optimistic Outlook

The optimistic outlook is based on favorable trends, including improved governance, the demographic dividend, the rise of the middle class, and the new faces of globalization. 

All countries in the region have an elected government for the first time since independence leading to governance that is more focused on development. Improved governance will enhance the politics of democratic accountability; diminishing the importance of identity politics; and the rates of incumbency – the likelihood of a sitting politician being re-elected – are down.