Afghanistan grapples with a range of challenges from growing insecurity to stagnating growth and rising levels of poverty. It is no surprise that the impact of the violent conflict on the country’s economic prospects and the welfare of its people is profound. Yet, Afghanistan carries ambitious development goals including achieving gender parity in primary schooling by 2030 among others. To ensure Afghanistan meets its goals, it is important to know how the country has progressed on socio-economic outcomes.
In collaboration with the Ministry of Economy of the Islamic Republic of Afghanistan and based on data provided by the Central Statistics Organization, the World Bank recently published the third edition of the Provincial Briefs (also available in Dari and Pashto), which provides a comprehensive profile of the most recent progress on a set of socio-economic indicators including education both at the national and at the provincial levels.
What do they reveal? We can see Afghanistan has achieved impressive improvements in human development outcomes—in areas such as education, health, and access to basic services. But this overall progress has not benefitted everyone equally and gaps in access between Afghans living in different provinces persist. In fact, where Afghan families live matters greatly for their socio-economic outcomes. And when it comes to schooling, this is no different. Location determines whether children will go to school or not.
Public Sector and Governance
Will rural communities in Afghanistan be deprived of development services upon the completion of the National Solidarity Programme (NSP) in the Ministry of Rural Rehabilitation and Development (MRRD)?
What will happen to the Community Development Councils (CDCs) established in rural communities to execute people’s development decisions and priorities?
Will our country continue to witness reconstruction of civic infrastructure?
These were some of the questions that troubled thousands of villagers as the NSP neared its formal closure date - NSP had delivered development services in every province of Afghanistan for 14 years.
To address these questions and allay their concerns, the Government of the Islamic Republic of Afghanistan formally launched the Citizens’ Charter Program on September 25, 2016 to sustain the uninterrupted development and reconstruction in Afghanistan.
Fatima brimmed with optimism. The 19-year-old recently established a poultry enterprise with the support of a micro-grant, and was thrilled at the prospect of financial independence.
“After my family moved from Pakistan, I had few options for work,” she said from her home in the Paghman district in the outskirts of Kabul. “The grant not only allowed me to start my own poultry business, but let me work from my own home.”
With over half the population under the age of 15, Afghanistan stands on the cusp of a demographic dividend. To reach their full potential, Afghanistan’s youth need to be engaged in meaningful work – enabling young people to support themselves, but also contribute to the prosperity of their families and communities.
My visit to Pakistan began last week at the enormous Tarbela dam. Straddling the Indus River, this earth- and rock-filled structure is almost 500 feet high and 9,000 feet wide. It is a monument to Pakistan's scientific and engineering ability. It also illustrates the opportunities and challenges facing Pakistan.
I was last in Pakistan in 2011 and I can see that big changes have happened since then.
The country has worked through three tough years that brought improvements in security and a more stable economy. Much of the economic growth has benefited poor people and Pakistan's levels of inequality compare favourably to many middle-income countries.
Speaking to leaders in government, political parties, civil society, the private sector and various thought leaders, I sensed an optimism that the country had found its footing and is moving up the ladder of development.
This optimism is good news. But optimism needs to be supported by actions. Pakistan can move to a higher level of economic growth that reaches all parts of society, including the most marginalised, and thus fulfilling the dreams of a better life for all.
Three opportunities and challenges for Pakistan
In my discussions with the government in Pakistan we focused on three areas of opportunity and challenge: the first is higher growth and jobs. The government wants annual economic growth of 6 to 7 per cent compared to 4.7 per cent achieved in fiscal year 2016. But this will only happen if investment doubles to 30 per cent of Gross Domestic Product (GDP). Investments in energy, such as Tarbela, to end constant power cuts, as well as improvements in the business environment, so that companies hire more people, will be critical to success. A more favorable environment for private investment would open up opportunities for women, youth, and the underserved.
Armed with only a high school certificate, Daoud Shah Noor, 42, started working at the Ministry of Finance in 2012. The sole supporter of his family, he was unable to attend university because of prohibitively high tuition prices. Just four years on, Daoud is studying for his Master’s degree at the Dunya University, where he had graduated with a Bachelor’s degree in Business Administration.
“Before university I was not professional in my work. Now I am doing the job more professionally and in a better way,” says Daoud, who comes from Parwan Province. Daoud is a beneficiary of the Public Financial Management Reform (PFMR), a project that aims to strengthen public financial management through effective procurement, treasury and audit structures, and high standards of financial monitoring, reporting, and control.
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The Government of Punjab started computerization of rural Land Records with the overall objective to improve service delivery and to resolve the overall dispersed nature of land records. The transaction costs were very high for the poor during the old days of patwari system. Women were denied their land rights and the low mobility of land markets contributed to preserving the highly unequal distribution of land and, therefore, opportunities to improve people’s livelihoods.
Before the Land Records Management Information System (LRMIS) was set up, the Board of Revenue (BOR),Government of Punjab, operated a land record maintenance system which involved several levels of administration: the district, Tehsil, Qanungo circle, and Patwar circle. At the lowest administrative level of the records system – the Patwar Circle – are the Patwaris, who were not only responsible for preparing community maps and issuing land records, but also for many social, political, and administrative tasks. Administrative tasks included keeping weather records, collecting crop harvest information, reporting crimes, and updating the voter registry. Imagine 8,000 Patwaris maintaining the land records – usually very small holdings -- of about 20 million land owners. The Patwaris, who were the custodians of these confidential and important records, kept this information in a cloth bag called Basta.
LRMIS has been performing really well. The Project was rolled out in all 36 districts of Punjab. The Project has successfully tested linkages between the land records system and the deeds registration system. The biggest achievement of the project is that the time required to complete transactions has been reduced from 2 months to 45 minutes. Land record services are now provided on an automated basis throughout all 150 Tehsil Service Centers. There are many contributing factors to the success of the Project:
Earlier this year, I visited a meeting of a Village Savings and Loan Association in Doghabad village and was impressed with the confidence and leadership women showed. Addressing the association, Karimi, who is a member, said: “Do not wait for men to come and decide for you, be the makers of your own community.” She encouraged women to take an active role in the association’s weekly meetings, and come prepared with business proposals and requests for loans. Like Karimi, numerous individuals who have participated in the Afghanistan Enterprise Development Program (AREDP) programs act as inspirational leaders in mobilizing people and gaining trust in the program.
October 17 is the international day to end poverty. There has been much progress toward this important milestone: the World Bank Group’s latest numbers show that since 1990 nearly 1.1 billion people have escaped extreme poverty. Between 2012 and 2013 alone, around 100 million people moved out of extreme poverty. That’s around a quarter of a million people every day. This is cause for optimism.
But extreme poverty and the wrenching circumstances that accompany it persist. Half the world's extreme poor now live in sub-Saharan Africa, and another third live in South Asia. Worldwide nearly 800 million people were still living on less than $1.90 a day in 2013, the latest year for which we have global numbers. Half of these are children. Most have nearly no education. Many of the world's poor are living in fragile and conflict afflicted countries. In a world in which so many have so much, it is unacceptable that so many have so little.
Over 80 percent of Pakistanis consistently report that their economic wellbeing has either deteriorated or remained the same. Only 20 percent, disproportionately concentrated in the very top of the distribution, feel that they are better off and similarly small numbers believe that economic conditions have improved for their locality. If we took a poll today, it is possible that many of you would say that extreme poverty has risen rather than fallen.
But in fact, the national data tells a completely different story! According to the national poverty line set in 2001, Moreover, these gains were not concentrated among those close to the poverty line. Even the poorest 5 percent of the population saw an improvement in living standards.