Looking back at 2013, the Climate Investment Funds’ (CIF) fifth year, I am encouraged by the amount of ground we have covered. Not only are we beginning to see more tangible results of CIF investments, we are also venturing into new territory both geographic and financial. New contributions of $400 million received in 2013 make us the largest source of climate finance with pledges of $8 billion, demonstrating the confidence donors have in our mission and multilateral development bank (MDB) partnership to deliver on the promise of transformative, climate-smart development.
The CIF was created to trigger investments for immediate climate action and to facilitate learning on the technologies and methods needed to promote clean technology, renewable energy, sustainable management of forests, and climate-resilient development. The clock is ticking in the race against climate change, and we are on the move.
In Mexico, for example, $45 million from the Clean Technology Fund (CTF) has leveraged over $500 million of commercial resources to help catalyze the commercialization of Oaxaca’s wind industry. In Turkey, $149.5 million in CTF financing has attracted $1.38 billion from other sources to expand national bank lending to renewable energy and energy efficiency markets to stimulate their growth. And in Morocco, $197 million in CTF financing has played a pivotal role in launching the first phase of the 500MW Ouarzazate concentrated solar power complex by raising awareness and attracting over $1 billion in additional financing.
- On the CGD blog, Jessica Goldberg corrects the weird NYT post by Casey Mulligan critiquing experiments
- Free online course on using randomized experiments to evaluate social programs to be offered by J-PAL: this is a 4 week course starting April 1st.
In last week's op-ed for the Washington Post, World Bank Group President Jim Yong Kim provided the broader context for the Bank's concern about discrimination in general, and more specifically about anti-gay laws: "Institutionalized discrimination is bad for people and for societies. Widespread discrimination is also bad for economies. There is clear evidence that when societies enact laws that prevent productive people from fully participating in the workforce, economies suffer."
On gender equality – it is no secret that the Pacific Islands is lagging.
The region is home to some of the world’s highest domestic violence rates. Economic empowerment of women in many countries, particularly in Melanesia, is desperately low. Women lack access to finance, land, jobs and income. In my country, Solomon Islands, there is only one woman in parliament, and there are none in Vanuatu and Federated States of Micronesia – a country which has never yet seen a woman elected.
In light of International Women’s Day coming up on March 8th, I would like to share some two inspiring stories of young women that I met in Sri Lanka. They showed incredible entrepreneurialism and innovation in integrating ICT skills in creative teaching and learning at a university.
The first woman that I met was a young Information Communications Technology (ICT) training teacher, Kamani Samarasinghe, from the University of the Visual & Performing Arts. She creatively taught her class (both regular university classes and distance learning classes) through integrating a career development course into an ICT skills development class, holding a virtual training sessions connecting with a professor from Indira Gandhi National Open University, and leveraging various free open education resources into her training such as YouTube videos and free typing training courses like GoodTyping. She also creates various tutorial materials (how to search, how to use Google Drive, and etc) on Google Doc and share with students.
Climate change is a threat to global development and to poverty alleviation. And yet, reducing greenhouse gas emissions is proving difficult because all players in an economy contribute to the problem. To make a difference, we must reduce our emissions in a coordinated manner.
This is no easy task. So where do we go from here?
One approach involves pricing the “externalities” that are contributing to climate change. Pricing externalities into the costs of production is nothing new. A classic textbook example is the paper mill that sits upstream from a fishing village.
Discharge from the mill pollutes the river, diminishing the fishermen’s catch. The mill freely uses the water of the river in its production of paper, but does not pay for the damage of the negative externality that it causes. To remedy the situation, regulations can be put in place to stop waste from going into the river – or the mill can pay a fine equivalent to the loss of the fishermen’s revenue.
The latter is an example of an externality priced into the cost of production. The same can be done to combat climate change.
In this case, carbon emissions are the externality that must be priced. Doing so provides a cost-effective and efficient means to drive down greenhouse gas emissions as the cost of such pollution goes up.
An important, new World Bank study has fascinating news. The study is Problem-Driven Political Economy Analysis: The World Bank’s Experience (Verena Fritz, Brian Levy, and Rachel Ort, Editors). Problem-driven political economy analysis is an approach that encourages those who want to implement governance reforms to:
- Start the diagnosis with a focus on the problem to be solved, the challenge to be confronted (not general, big picture analysis for its own sake);
- Probe why the bad equilibrium exists/persists by investigating the roles of (a) structural factors (b) formal and informal institutions…the rules of the game and (c) stakeholder interests, networks and power; and
- Find a feasible path to reform/change in the specific context.
In honor of International Women’s Day, we asked women who work at the World Bank Group one simple question: "How will ending poverty and boosting shared prosperity empower women around the world?" Here’s a sampling from World Bank women around the world.
I saw firsthand how something as simple as a gas connection could transform lives. A mother of five in Colombia told me – with tears in her eyes – how her life, and that of her family, had improved. Her children were healthier with fewer respiratory illnesses. She could cook safely and start her own business selling food outside her house.
– Carmen Nonay, program manager, Global Partnership on Output-Based Aid
If you are a poor woman, you are not allowed to make decisions about your life and the future of your children. You do not even think about such big things under the daily pressure. Ending poverty and boosting shared prosperity will allow women to get access to their basic human rights, transform their communities and contribute to changing the world.
– Maria V. Handal, office manager, Yemen
In many countries in the Middle East and North Africa, women are outpacing men in enrollment at universities. In terms of learning outcomes, girls in the region outperform boys in mathematics. And yet, these investments in human capital remain largely untapped. Women can help boost prosperity in the region if their productive potential is harnessed and barriers to their economic participation are reduced.
– Tara Vishwanath, lead economist