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Are We Measuring the Right Things? The Latest Multidimensional Poverty Index is Launched Today – What do You Think?

Duncan Green's picture

I’m definitely not a stats geek, but every now and then, I get caught up in some of the nerdy excitement generated by measuring the state of the world. Take today’s launch (in London, but webstreamed) of a new ‘Global Multidimensional Poverty Index 2014’ for example – it’s fascinating.

This is the fourth MPI (the first came out in 2010), and is again produced by the Oxford Poverty and Human Development Initiative (OPHI), led by Sabina Alkire, a definite uber-geek on all things poverty related. The MPI brings together 10 indicators, with equal weighting for education, health and living standards (see table). If you tick a third or more of the boxes, you are counted as poor.

Weekly Wire: The Global Forum

Roxanne Bauer's picture

These are some of the views and reports relevant to our readers that caught our attention this week.

Show Them the Money, Why Giving Cash Helps Alleviate Poverty
Foreign Affairs
Every year, wealthy countries spend billions of dollars to help the world’s poor, paying for cows, goats, seeds, beans, textbooks, business training, microloans, and much more. Such aid is designed to give poor people things they can’t afford or the tools and skills to earn more. Much of this aid undoubtedly works. But even when assistance programs accomplish things, they often do so in a tremendously expensive and inefficient way. Part of this is due to overhead, but overhead costs get far more attention than they deserve. More worrisome is the actual price of procuring and giving away goats, textbooks, sacks of beans, and the like. Most development agencies either fail to track their costs precisely or keep their accounting books confidential, but a number of candid organizations have opened themselves up to scrutiny. Their experiences suggest that delivering stuff to the poor is a lot more expensive than one might expect.

2015: The year there will be more cellular connections than people
At the end of March, there were 6.8 billion mobile connections around the globe, meaning there were more than 9.3 cellular links for every 10 people living on the planet, according to Ericsson’s latest Mobility Report. That puts the world on pace to reach 100 percent mobile penetration in 2015, meaning the number of mobile connections will surpass the population. That doesn’t mean we’ll see every man, woman in child in the world’s estimated population of 7.2 billion using a mobile phone. Mobile penetration is definitely increasing in developing markets – Africa and India led the way in new connections in Q1 – but the concentration of mobile devices is still centered on developed markets. Europe, Asia, the Middle East and North America have already exceeded the 100 percent penetration mark.

The Governance of Service Delivery 10 Years On: Are we Really Learning the Lessons?

Simon O'Meally's picture
The blogs and events on service delivery ‘ten years on’ are timely and critical. There is now a wide consensus on the fundamental importance of service delivery for furthering poverty reduction.  As we try to forge a so-called ‘post-MDG consensus’, we would be wise to take stock of the past before lurching forward.
So I thought I would chip in to the debate on lessons learned. In my role supporting service delivery in South Asia, I have actually been asked, ‘what have we learnt?’  So I have been trying, but still failing, to come up with a satisfactory summary – not least because what constitutes a ‘lesson’ depends on the ‘evidence’ you value.  Here is my (subjective) work in progress:

Bits and Atoms: ICTs in Areas of Limited Statehood

Uwimana Basaninyenzi's picture

Imagine that you’re a citizen of a country that has just experienced one of the worst earthquakes in history. You, your neighbors, and fellow country-men are immediately thrown into danger, chaos, and destitution. As one of the fortunate survivors, you wait for authorities to provide medical care, shelter, food, and other immediate needs, but you receive little or no help. Yet, to your surprise, a large group of ordinary citizens begin organizing a massive disaster response by using blogs, twitter, Facebook, and other social media networks. Their efforts have provided you with life-saving resources. And all of a sudden, within days, digital technologies have facilitated an entire social movement around this earthquake. These are the types of stories that Steven Livingston and Gregor Walter-Drop examine in their new edited series, Bits and Atoms: Information and Communication Technology in Areas of Limited Statehood.
If you are interested in digital media and politics, there is a plethora of literature on the role of ICTs in powerful political systems in the industrialized world. However, there has been very little focus on the role of digital technology in weak states with inadequate governance systems. Bits and Atoms is a comprehensive volume that examines the extent to which ICTs can help fill governance voids in a number of countries in Eastern Europe, Sub-Sahara Africa, and the Middle East. A distinguished group of scholars attempt to answer some important questions like, “Can ICTs help fill the gap between pressing human needs and weak states’ ability to meet them? Can communities use ICTs to meet challenges such as indiscriminate violence, disease, drought, famine, crime, and other problems arising from deficient and non-responsive state institutions? How does ICT affect the legitimacy of the state?”

Aid Must Change in order to Tackle Inequality: The OECD Responds to Angus Deaton

Duncan Green's picture

Jon Lomoy OECD
Guest post from
Jon Lomøy, Director of the OECD Development Co-operation Directorate (DCD)

Official development assistance – or aid – is under fire. In The Great Escape, Angus Deaton argues that, “far from being a prescription for eliminating poverty, the aid illusion is actually an obstacle to improving the lives of the poor.”

Yet used properly, “smart aid” can be very effective in improving lives and confronting the very issue that Deaton’s book focuses on, and which US President Obama has called the “defining challenge of our time”: rising inequalities.

As a recent UNDP report shows, more than three-quarters of the global population lives in countries where household income inequality has increased since the 1990s. In fact, today many countries face the highest inequality levels since the end of World War II.

There is clearly moral ground for arguing that it is unjust for the bottom half of the world’s population to own only as much as the world’s richest 85 people. Above and beyond this, however, academics, think tanks, and international organizations such as the OECD have found that rising inequalities threaten political stability, erode social cohesion and curb economic growth.

It is not surprising, then, that reduction of socio-economic inequality has moved to the centre of global discussions on the post-2015 goals. The OECD, responsible for monitoring official development assistance (ODA) and other financial flows for development, is complementing these discussions by exploring ways to better use existing financial resources – and mobilise additional ones – to promote inclusive and sustainable development. This includes redefining what we mean by ODA, as well as looking at the ways it can best be used to complement other forms of finance.

Why are Africans Getting Ripped off on Remittances?

Duncan Green's picture

Whatever your views of migration, a consensus ought to be possible on one thing: if migrants do send money home, as much as possible of the hard-earned dollars that they send should actually get there, to be spent on putting feeding the kids, putting them through school or even having a bit of fun (that’s allowed too).

But according to some excellent new research by the ODI, one in eight dollars remitted to Africa is creamed off by intermediaries – a much higher level than for other regions. They launched the report at a meeting in London last week, and the high preponderance of Africans at the launch bore witness to the anger this level of rent-seeking arouses.

Campaign Art: We Are Behind You Toward #ZeroPoverty2030

Roxanne Bauer's picture
People, Spaces, Deliberation bloggers present exceptional campaign art from all over the world. These examples are meant to inspire.

The fight against poverty has experienced incredible gains over the last two decades as the share of people living in extreme poverty was cut in half worldwide, from 43% in 1990 to under 20% today.  However, this still leaves more than one billion people living on less than $1.25 per day! 

The following video by Global Citizen was shared at a World Bank event, #EndPoverty 2030: Millennials Take on the Challenge, in which “Millennial” leaders called on young people to help make this generation the first in history to end extreme poverty. The event featured inspiring voices and stories of young leaders taking on critical issues – from entrepreneurship to education to gender equality. It built excitement and support, as well as catalyzed action, around the goal of ending extreme poverty by 2030.
We Are Behind You Toward #ZeroPoverty2030

What Will it Take to End Poverty in Cities?

Abha Joshi-Ghani's picture

Postcards from the World Urban Forum in Medellin, Colombia

From April 5th to 11th, in Medellin, the World Urban Forum (WUF) brought together a diverse group of urban thinkers and doers to discuss the world’s most urgent urban challenges. With participants meeting under the theme of “Urban Equity in Development – Cities for Life,” the overall atmosphere was one of cautious optimism. On the one hand, participants were highly aware of the vast challenges facing cities and their inhabitants. Cities remain home to shocking levels of inequality and highly pernicious forms of social and economic exclusion. In that respect, hosting the Forum in Medellin helped drive the point home—as UN-Habitat Executive Director Jon Clos observed before the event, “We want a realistic world urban forum, we want a forum in a real city that has real issues.” On the other, attendees were buoyed by the conviction that today’s rapid urbanization represents an unprecedented demographic and economic opportunity. Medellin itself has made astounding progress in recent years, focusing on improving transport and mobility, inclusive governance, and education.

Weekly Wire: The Global Forum

Roxanne Bauer's picture
These are some of the views and reports relevant to our readers that caught our attention this week.

5 Best Practices for Using Technology in Disaster Response
The Institute for Technology and Social Change
Working in humanitarian aid and disaster relief across several countries, I first joined the TechChange community as a student in the Tech Tools and Skills for Emergency Management online course in January 2012, and will soon be guiding discussions as a facilitator for the next round of the course that begins March 17, 2014. Since TechChange has offered this emergency management course six times since 2011, I’ve enjoyed stepping up my participation from student, to guest speaker, tech simulation demonstrator, to now a facilitator.In my opinion, disaster management is a field where nobody is really an expert in that different people have varied areas of expertise. A facilitated TechChange course like TC103 is an opportunity to get people of different backgrounds together, which is especially valuable in a field like disaster management, which evolves so quickly and can be tough to keep track of. Here are five lessons I have learned over the course of seven years of working in disaster response across Haiti, Liberia, Myanmar, Mali, and most recently the Philippines

Generate decent jobs 'or a billion people will remain in extreme poverty'
The Guardian
Up to a billion people will remain in extreme poverty by 2030 unless countries focus on inequalities and confront social, economic and cultural forces that block their escape or pull them back into impoverishment, a major report warns. The report (pdf) by the Chronic Poverty Advisory Network (CPAN) asserts that many people may rise above the poverty line of $1.25 a day, only to tumble back when they are hit by a combination or sequence of shocks such as drought, illness and insecurity or conflict.

Growth Centred Approach Under PURA: The Way Forward for the World Bank India Country Partnership Strategy 2013-2017

Abhilaksh Likhi's picture

The broad objective of the World Bank’s India Country Partnership Strategy Report (CPS) for the period 2013-2017 is to support poverty reduction and shared prosperity in India. The Report states that between 2005 and 2010, India’s share of global GDP increased from 1.8 to 2.7% and 53 million people were lifted out of poverty. But it also states that with population growth, it has proved difficult to reduce the absolute number of poor at a rapid pace and 400 million Indians still live in poverty. Each of the seven low income states (Bihar, Chhattisgarh, Jharkhand, Madhya Pradesh, Odisha, Rajasthan; Uttar Pradesh)  and seven special category states (Assam, Himachal Pradesh, Manipur, Meghalaya, Mizoram, Sikkim, Uttrakhand) have poverty rates that are higher than that of the more advanced states. The low income states, where a large majority of the poorest 200 million Indians reside, are a priority for the World Bank Country Strategy funding during 2013-2017 (estimated to be $ 5 billion annually with 60 percent lending through direct financing of state projects of which half will go to low income and special category states).

India, both in the above mentioned and its advanced states (e.g. Punjab, Haryana, Kerala) is undergoing a massive rural- urban transformation- one of the largest in the 21st century. For the first time since independence, India has seen a greater absolute growth in urban population. The number of towns has increased from about 5000 in 2001 to 8,000 in 2011 and some 53 cities have a population exceeding one million. Today 30.1 percent of the population lives in urban areas and the share is expected to rise to 50% in the next 20 years (with urban India expected to generate 70% of its GDP by 2030). Though villages vastly outnumber towns in India (660,000 villages as per Census 2011), the construct of these villages is changing as the economy grows.