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Sustainable Communities

Building resilience against drought: the case of Uganda

Barry Maher's picture



“This can’t be Karamoja,” I thought, looking around me.  I had read the reports, which focus on the vulnerability and poverty of this region in northern Uganda, home to the Karamojong, a nomadic people with their own language, traditions, and customs.  But it’s one thing to read about a place, and quite another to visit it. Karamoja was stunningly beautiful: there were boulders the size of mountains scattered across the horizon, vibrant green bushes and pasture atop red clay earth, and uninterrupted blue skies.  

Recently, I had traveled to Karamoja on a field trip to review the implementation of a government safety net, the Third Northern Uganda Social Action Fund (NUSAF III), which had scaled up in response to the recent drought.  

Uganda’s population is predominantly rural and is limited in its ability to cope with production shocks. The country’s smallholder farmers, and especially the poorest 40% of households, are extremely vulnerable to drought [Uganda poverty study, WB 2016]. Drought response in Uganda has primarily been financed by international donors and delivered through humanitarians and NGOs, with the government playing a coordination role. This ad hoc, reactive approach presents drawbacks, including delayed response. 

Three ways creative community spaces are transforming cities

Victor Mulas's picture

Start-ups are transforming cities. Entrepreneurs are inspiring creative communities and transforming the social and economic landscape of the neighborhoods where they cluster.
 
What drives entrepreneurs together and creates these communities? To answer this question, we looked at catalysts of entrepreneurial communities in cities around the world. The team found that a range of spaces — such as innovation hubs, incubators, maker spaces and fab labs — are at the core of these communities. They represent the main link between entrepreneurs and the broader economic and social fabric of the city. We call these “Creative Community Spaces” (CCS).
 
How are these CCS helping transform our cities? We compiled a set of case studies from around the world and analyzed their impact. There are more details in this report.


 

New project uses satellites for rapid assessment of flood response costs

Antoine Bavandi's picture

High-risk areas for natural disasters are home to 5 billion out of the 7 billion total people on our planet.

Overall global losses from natural disasters such as floods, landslides or earthquakes amount to about $300 billion annually. A rapid and early response is key to immediately address the loss of human life, property, infrastructure and business activity.

Severe flooding occurred during the 2011 monsoon season in Thailand, resulting in more than 800 deaths. About 14 million people were affected, mostly in the northern region and in the Bangkok metropolitan area.

After such natural disasters, it is important that governments rapidly address recovery efforts and manage the financial aspects of the disaster’s impacts. Natural disasters can cause fiscal volatility for national governments because of sudden, unexpected expenditures required during and after an event.

This is especially critical in emerging-market economies, such as those in Southeast Asia, which have chronic exposure to natural disasters. To conserve and sustain development gains and analyze societal and financial risks at a national or regional scale, it is also critical to understand the impacts of these disasters and their implications at the socioeconomic, institutional and environmental level.
 
New project to monitor and evaluate flood severity

Financed by the Rockefeller Foundation, this World Bank Group’s Disaster Risk Financing and Insurance Program (DRFIP) and Columbia University’s Earth Institute joint project aims to define an operational framework for the rapid assessment of flood response costs on a national scale.  Bangladesh and Thailand serve as the initial demonstration cases, which will be expanded to other Southeast Asian countries such as Cambodia, Lao PDR, Myanmar and Vietnam.

Six tips to balance the gender scale in start-up programs

Charlotte Ntim's picture

Sinah Legong and her team meet at Raeketsetsa, a program that encourages young women in South Africa to get involved in information and communications technologies. © Mutoni Karasanyi/World Bank

Olou Koucoi founded Focus Energy, a company that brings light, news and entertainment to people living off-grid in his country, Benin. Its spinoff program ElleAllume hopes to train more than 1,000 women to bring power to 100,000 Beninois homes this year. “At the end of the day, [inclusive hiring] is not a gender decision, it’s a business decision,” he says.
 
Over the past few months, I interviewed a number of incubator and accelerator programs to compile best practices for the World Bank Group’s Climate Technology Program. The research spanned 150 programs in 39 countries, ranging from relatively new to seasoned veterans of the clean tech incubation space. The consensus regarding gender diversity and inclusion was almost unanimous; all but one program echoed Koucoi’s sentiments – in principle.
 
In practice, however, encouraging more women into the clean energy sector and related programs has proved challenging. Below are some of the most popular explanations for the low levels of female representation:
 
“We can’t find them.”
Many clean energy incubation programs said they had difficulty recruiting due to a lack of women in the industry and strong women’s networks to tap into. While there is no shortage of women in clean energy (with industry-specific examples such as clean cookstoves serving as a good example) there are few women-led businesses. This lack of visible leadership translates into lower rates of participation.
 
“We would love to focus on bringing more women into the program, but we have limited resources.”
Incubation programs are often lean, with little time and few resources to expand on offerings and create targeted programs for women. Instead, to create quick wins and draw in additional funds, programs often take a “low-hanging fruit” approach, seeking out the most visible companies to recruit and invest in, which tend to have male co-founders.
 
“Does it really matter at the end of the day?”
Many programs are pro-gender-diversity in principle, but gender-agnostic in practice. This stems from a disconnect between the “gendered-lens” approach discussed when fundraising for incubation programs and the results frameworks which judge their success. Such factors as the number of companies exited are still weighed much more heavily than gender balance.

Below are some of the best ways I have found to create more gender-diverse and inclusive programs:

Economic marginalization of minorities: Do laws provide the needed protections?

Elaine R.E. Panter's picture

Never in recent history has anti-minorities rhetoric — anti-immigrants, anti-religious-minorities, anti-LGBTI — been so pronounced in so many countries around the world. Those groups, we are told, are the cause of our current economic crisis because they steal our jobs, fuel criminality and threaten our traditional way of living. And yet, the causes of our economic crisis are probably more nuanced, and initial research seems to suggest that more and not less social inclusion will help us overcome the instability of our times.

The exclusion of minorities from the labor force is becoming politically and economically unsustainable for many states that are struggling to retain their legitimacy and strengthen their competitive potential in an increasingly global marketplace. As a consequence, governments, international development agencies and academic institutions are now looking seriously at ways to develop policies that guarantee a more equal and sustainable form of economic development — development that addresses both short- and  long-term economic goals.

The World Bank’s Equality Project attempts to address this problem. The idea driving the project is that institutional measures that hamper the access of ethnic, religious and sexual minorities to the labor market and financial systems (such as legal and policy restrictions, or the absence of appropriate, positive nondiscrimination actions) directly affect their economic performance and, as a consequence, represent a cost for the economy: If a sizeable percentage of the population is not given the opportunity to acquire a high-quality education, a good job, secure housing, access to services, equal representation in decision-making institutions and protection from violence, human capital will be wasted, income inequality will grow and social unrest will ensue. The World Bank’s widely cited Inclusion Matters report puts it succinctly: “Social inclusion matters because exclusion is too costly. These costs are social, economic and political, and are often interrelated.”

The project collected and validated data on the legal framework of six pilot countries: Bulgaria, Mexico, Morocco, the Netherlands, Tanzania and Vietnam. The methodological approach of collecting cross-country comparable data according to key indicators yielded some general but interesting results, published in a research working paper in March 2017.

Breaking through the manufacturing glass ceiling: The case of Arçelik

Aref Adamali's picture




White goods are big business, and it's easy to see why. They're among the most important products for any person who cooks and does laundry, making life easier across a wide range of household functions. Therefore, it is unsurprising that as a manufactured product category – that includes refrigerators and freezers, dishwashing machines, washing (and drying) machines, and stoves – global exports hit almost $90 billion in 2015.
 
Some countries that will leap to mind when thinking about white goods – because of the prominent consumer brands that emanate from them – are Germany (with such household names as Bosch or Miele) and the United States (Whirlpool). As with all manufactured goods, China is also a big exporter. However, among the world’s top exporters for home appliances is a county that not everyone would immediately guess: Turkey.
 
Turkey is in the top ten global exporters of fridges and freezers, washing machines and stoves, only just missing the top ten for dishwashers – but with growth averaging 15 percent a year over the past ten years, it's only a matter of a few years before Turkey is among the top-ranked exporters for this product too.
 
Growing steadily, then going global
 
Among Turkey’s better-known white-goods manufacturers is the firm Arçelik, a part of the industrial conglomerate Koç Holdings. Founded in 1955, Arçelik started off making office and metal furniture, producing its first washing machine in 1959, its first refrigerator in 1960, and launching a vacuum cleaner plant in 1979 and a dishwasher plant in 1993.

However, among the firm’s various accomplishments, one stands out, both to outside observers and for the company itself: when Arçelik broke out of Turkey to go global, first in the markets Arçelik sold to and then in its production locations.
 
This expansion has occurred both through organic growth and through strategic acquisitions. For example, aside from the Arçelik brand itself, among the firm’s flagship brands is Beko, initially a home-grown brand that in the 1990s was assigned to drive Arçelik’s expansion outside of Turkey. The Beko team was tasked with the goal of “being a world brand”: Today a Beko-branded product is sold, worldwide, every two seconds.

How urban start-up ecosystems help cities adapt to economic transformations

Victor Mulas's picture

Entrepreneurs at mLab East Africa, Nairobi, Kenya. Supported by the World Bank’s infoDev program, this business incubation center provides knowledge and networking opportunities to local digital start-ups. © infoDev / World Bank 



Start-up ecosystems are emerging in urban areas across the world. Today, a technology-based start-up develops a functioning prototype with as little as $3,000, six weeks of work, and a working Internet connection.
 
Entrepreneurs are not seeking large investments in hardware or office space. Rather, they look for access to professional networks, mentors, interdisciplinary learning, and diverse talent. Cities are best suited to meet their needs, as they provide diversity and allow for constant interaction and collaboration. Thus, the shift caused by the so-called “fourth industrial revolution” makes cities the new ground for organic innovation.
 
The urban innovation model can be applied in cities in both developed and developing countries. The same trends are driving the urbanization of organic innovation ecosystems in New York City, London, Stockholm, Mumbai, Buenos Aires and Nairobi. This presents a great opportunity for developing countries to build innovation ecosystems in cities and create communities of entrepreneurs to support the creation of new sectors and businesses.
 
But while some cities have organically developed urban innovation ecosystems, nurturing a sustainable and scalable ecosystem usually requires determined action. Moreover, not all cities are building their innovation ecosystems at the same pace.
 
To support a local innovation ecosystem and accelerate its growth cities can promote collaboration through creative spaces and support networks, while also hosting competitions to solve local problems. 

Spatial Growth Solutions, Multi-Stakeholder Engagement, and Fish: Innovative Public-Private Dialogue in Mauritania’s Nouadhibou Free Zone

Steve Utterwulghe's picture

Nouadhibou’s artisanal fishing port (Photo by Steve Utterwulghe)


In the Northern tip of Mauritania lies the Nouadhibou Free Zone. Created in 2013 with financial and technical support from the World Bank, the first international partner to do so, it benefits from a 110-kilometer coastline on the Atlantic Ocean and an exclusive economic zone of 230,000 square kilometers. Its waters are among the most seafood-rich in the world, with a capacity of 1,500,000 tons per year.

The free zone offers investment opportunities in industries, logistics, tourism, retail business and tertiary sectors. However, creating a competitiveness hub in the fishing sector is one of the paramount objectives of the zone, given the importance of the sector for the Mauritanian economy. It represents 5.8 percent of the GNP, accounts for 18 percent of the total exports, and contributes to an estimated 40,000 jobs.

In March 2016, the World Bank approved the Nouadhibou Eco-Seafood Cluster Project (Projet Eco-Pôle Halieutique) with an International Development Association (IDA) grant of $7.75 million out of a total project amount of $9.25 million.

The objective of the project is to support the development of a fishing-sector hub in the Nouadhibou Free Zone aimed at promoting the sustainable management of fisheries and creating prosperity for the local communities.
 

A worker at the Free Zone certified Star Fish factory (Photo by Steve Utterwulghe)
 



While the Free Zone has already achieved critical results — such as the attraction of a few international investors in food processing and fish exports, the completion of commercial viability studies of the deep-seawater port and the airport, and the elaboration of a draft law on public-private partnerships (PPPs) — some constraints affecting more specifically the fishing sector remain. They include, among other things, the lack of productive diversification, an integrated value-chain, know-how about certification and international standards, and the octopus fishing quota system.

In addition, the lack of structured dialogue among the various public and private stakeholders in the fishing sector had been identified as a fundamental impediment to the development of the hub’s competitiveness.

Louise Cord, the World Bank Country Director, who recently visited Nouadhibou to officially launch the project with the President of the Free Zone, commended the Free Zone Authority for creating a Public-Private Dialogue (PPD) Task Force in 2015.

Four ways start-ups can transform a city

Victor Mulas's picture

From Berlin to Cairo, from Medellín to New York City, new start-ups are flourishing in the heart of the city instead of occupying suburban areas or remote technology parks. This is the new model of start-up innovation ecosystems propelled by the so-called “fourth industrial revolution.”

Are these city-based start-up ecosystems generating new economic opportunities and jobs? If so, how are they doing it? To better understand this new model and its potential economic impact, we studied the evolution of the start-up ecosystem in New York City. 

An aerial view of DUMBO, a neighborhood in Brooklyn that has become a tech hub. © Albert Vecerka/Esto Photographics under CC


The city’s vibrant start-up scene is a recent phenomenon. With more than 14,500 start-ups and nearly $6 billion in venture capital investments, New York City today has one of the largest and most vibrant start-up ecosystems in the world. Just 10 years ago, the start-up community in the city was small, scattered, and disorganized.

The incredible transformation of the city’s start-up scene provides a few key insights on the characteristics and potential impact of the urban ecosystem model:

How can Hong Kong stay smart and competitive? By driving change through a 'Public-Private-People Partnership' approach

Dr. Winnie Tang's picture

According to the World Economic Forum’s “Global Competitiveness Report 2016-2017,” Hong Kong dropped two notches to rank as No. 9 in its Global Competitiveness Index. The decline occurred mainly because the city faces challenges to “evolve from one of the world’s foremost financial hubs to become an innovative powerhouse.”

One might argue this is an unfounded worry: After all, as a developed economy with a GDP per capita of US $42,000, Hong Kong has recorded an impressive GDP growth rate, over the last five years, of about 3 percent annually. This growth rate is higher than many developed economy.

However, if we look at the economic figures more closely, some worrisome early warning signs are already emerging – especially in terms of the factors that will drive Hong Kong’s future economic growth.

Apart from finance and insurance, the majority of Hong Kong’s GDP growth nowadays is contributed by “non-tradable” sectors that have less knowledge and innovation content, such as the construction and public-administration sectors.

According to the World Bank’s latest research on “Competitive Cities for Jobs and Growth,” long-term economic success and job growth in cities are usually driven by “tradable” sectors – economic sectors whose output could be traded and competed internationally. Firms in tradable sectors are exposed to fierce competition which, in turn, exerts pressure on them to invest in research and knowledge-intensive sectors so that they become more productive and innovative in order to remain competitive internationally. Hong Kong is now lagging behind its Asian and world peers in the critical features of knowledge and innovation.

Although the urgency to act to increase the knowledge-driven content of the economy is obvious, there seems to be a limited number of actions taking place here on the ground in Hong Kong.  How can Hong Kong forge ahead and start making changes?



Staying competitive in today’s global economy is like sailing against the current: Either you keep forging ahead, or you will fall behind.


The World Bank’s Smart Cities Conference – held in Yokohama, Japan last month – presented some good examples from around the world on how to use a bottom-up approach with active citizen engagement to increase the chance of success in implementing changes. The audience was interested in learning about the successful transformation of Yokohama through the cities many initiatives, such as the development of the Minato Mirai 21 central business district.

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