Many Bank-financed projects, especially those implementing large and complex contracts continually face high risk of implementation delays, and procurement is the most frequently used scapegoat.
What has gone wrong in those cases?
At the onset, borrowers are requested to prepare a detailed procurement plan for the first 18 months of project implementation, which is carefully reviewed and approved by the Bank before loan negotiations and the projects are then declared "good to go."
But the reality is almost never that rosy.
I recently took part in #skipthegrid, a social media forum about renewables, which has led me to ask: “Is off-grid the way of the future for energy Public-Private Partnerships (PPPs) in lower-income countries?”
At the Private Infrastructure Development Group (PIDG) we are supporting smaller, off-grid projects in the lowest income countries in Sub-Saharan Africa and South and Southeast Asia by mobilizing private investment for the provision of power to commercial off-grid properties and the construction of mini-grids.
Nowadays, we don’t think twice before ordering an Uber or using Open 311 to report an issue to our municipality. In the developing world, the impact has been even greater. For example, in Latin America and the Caribbean, cellphone coverage increased from about 12 subscriptions per 100 people in 2000 to over 114 in 2014, and
The city of La Paz in Bolivia is piloting a new tool called Barrio Digital—or Digital Neighborhood—to communicate more effectively and efficiently with citizens living in areas that fall within Barrios de Verdad, or PBCV, an urban upgrading program that provides better services and living conditions to people in poor neighborhoods.
The goals of Barrio Digital are to:
- Increase citizen participation for evidence-based decision-making,
- Reduce the cost of submitting a claim and shorten the amount of time it takes for the municipality to respond, and
- Strengthen the technical skills and capacity within the municipality to use ICT tools for citizen engagement.
This is the fourth in our series of posts by PhD students on the job market this year.
Giving livestock to poor households can increase their incomes substantially. This naturally raises the question: why were households not investing in such livestock before? One obvious answer is that they are poor – this means they can neither afford to invest themselves, nor get a loan from a bank (or microfinance organisation). But the puzzle is more subtle than that. When facing a crisis, even very poor households borrow informally, from a network of friends, family, and neighbours, to fund consumption. In addition, households in these networks collectively have the resources needed to invest in livestock. So the real question is: why don’t households pool resources to allow investment? What makes borrowing to invest so different from borrowing to smooth consumption?
Like much of Sub-Saharan Africa, the Eastern and Southern Africa region has seen significant economic growth in recent years, largely relying on agriculture and extractives. However, it hasn’t been able to keep up with the skilled labor demanded by the region’s required economic transformation for further growth. Surveys reveal that firms in the region now face acute challenges in developing research and development (R&D) capacity and filling technical and managerial positions – not just due to inadequate production of college graduates that have been rising over the years, but also due to low quality and relevance of current education and training at the tertiary level.
Pasco, Peru. This Andean community stands out for several reasons: at 4,380 meters above sea level, it is the highest and one of the oldest cities in Peru. The birthplace of the millenary Wari culture, it is home to several peoples who honor their traditions and strive to improve their quality of life.
Extending the human right of access to water supply and sanitation (WSS) services to Indigenous Peoples represents the final step for many countries to reach universal coverage in Latin America and the Caribbean (LAC). As the 7th Rural Water Supply Network Forum is underway in Abidjan, Côte d'Ivoire, we must remind ourselves what “inclusion” means in the WSS sector. Poverty levels among Indigenous Peoples are more than twice those found among other Latin Americans, and they are 10 to 25 percent less likely to have access to piped water and 26 percent less likely to have access to improved sanitation.
With dire consequences on health, productivity, and well-being, these access gaps also exemplify two shortcomings of past engagement with Indigenous Peoples in the WSS sector: Indigenous territories have often been overlooked, and, even where investments specifically target Indigenous Peoples, WSS service sustainability remains a large issue. Several barriers explain this: investors’ and service providers’ lack of understanding of Indigenous Peoples' unique social and cultural characteristics, limited engagement with Indigenous authorities and attention to their priorities and aspirations, and the remoteness and difficult access to many Indigenous communities, to name a few. More generally, we need a tailored approach that responds to these challenges through institutional development, partnership with Indigenous authorities, and local capacity building for WSS services management in order to overcome the existing system that incentivizes physical interventions in easily accessible areas with limited social accompaniment.
I’ve been having lots of buzzy conversations about diaries recently. Not my own (haven’t done that since I was a teenager), but diaries as a research method. The initial idea came from one of my all-time favourite bits of bottom-up research, the book Portfolios of the Poor. Here are the relevant paras from my review:
‘A financial fly-on-the-wall account of how poor people manage money. To find out, the researchers set up ‘financial diaries’ with 250 households in selected communities in 3 countries (Bangladesh, India and South Africa). For a year, researchers visited every fortnight and picked over people’s financial affairs. The book then assimilates the findings, and intersperses them with unmistakably real-life examples from among the 250 households (‘Pumza is a sheep intestine seller living in the crowded urban hostels of Cape Town……’)
The first and perhaps most striking finding is the sheer complexity, scale and variety of poor people’s financial activity. People living in poverty need financial skills more than the better off. Just to get by from day to day, they borrow, save, and exchange cash with a huge variety of friends, family, neighbours and institutions, both formal and informal. These last include savings clubs, savings-and-loan clubs, insurance clubs, microfinance institutions, and banks. ‘At any one time, the average poor household has a fistful of financial relationships on the go.’ Every one of the 250 households had both savings and debt of some sort, and no household used fewer than four types of financial instrument over the course of the year. Rural households have turnovers (i.e. total cash flows in or out) between 10 and 30 times greater than their asset value at the end of the year.’
Ed’s note: This guest blog is by Ben Durbin, Head of International Education for the National Foundation for Educational Research (NFER).
In September this year, the International Initiative for Impact Evaluation (3ie) published an impressive new review of education programmes in low and middle-income countries. It is a rich resource, which stands out in its sheer scope, covering studies investigating a diverse set of interventions and educational outcomes.