Addressing high levels of non-performing loans (NPLs) is key to preserving financial stability and an important element of an integrated development agenda. High levels of NPLs lock in capital that could support fresh lending, and they create a negative macro-financial feedback loop, as debt overhang depresses borrowers’ investment and consumption decisions. High NPLs have particularly adverse implications in emerging market and developing economies (EMDEs), which lack fully developed capital markets and where credit is provided mostly by banks. Hence expanding the role of debt servicing companies and a secondary market for distressed debt is a constructive strategy: it should be a priority in most EMDEs.
financing for development
U.S. First Lady Michelle Obama and Microsoft founder Bill Gates are among the featured speakers at the first major gathering of the world’s finance and development leaders in 2016 – the Spring Meetings of the International Monetary Fund and World Bank Group.
The global economy, climate change, refugees, and the digital divide are just a few of the topics on the agenda in the lead-up to the meetings the week of April 11. We’re webcasting 19 events in multiple languages featuring government ministers, experts, and CEOs.
Tune in Wednesday for a special event with Obama on educating adolescent girls. Later, the World Bank’s top economists will weigh in on economic growth in turbulent times, and Margaret Chan of the World Health Organization co-hosts a session on bringing mental health issues out of the shadows.
Do international NGOs still have the right to exist?
It’s highly unlikely that corporate bosses regularly ask themselves if their businesses have a right to exist. Their goal is to sell stuff and make a profit. But if your goal is to alleviate poverty and human suffering – in the face of statistics showing mixed outcomes – is this, in fact, the most important question an International NGO can ask of themselves? At the BOND conference last week, in a session entitled How can INGOs survive the future, Penny Lawrence, the deputy CEO of Oxfam stated bluntly: “we need to earn the right to survive the future.” It is like the sector’s very own Damascene moment.
Changing views of how to change the world
Brookings, Future Development blog
World leaders concluded three large agreements last year. Each represents a vision of how to change the world. The Addis Ababa Action Agenda on financing for development agreed to move from “billions to trillions” of cross-border flows to developing countries. The agreement on universal sustainable development goals (SDGs) sets out priorities (albeit a long list) for what needs to change. The Paris Agreement on climate change endorses a shift to low-carbon (and ultimately zero carbon) economic growth trajectories. There is a common thread to these agreements. They each reflect a new theory of how to change the world that is not made explicit but has evolved as a matter of practice. Understanding this new theory is crucial to successful implementation strategies of the three agreements.
The Library’s Global Future
Discussions of the future of libraries are often surprisingly nostalgic endeavors, producing laments for vanished card catalogs or shrinking book stacks rather than visions of what might be. Even at their most hopeful, such conversations sometimes lose track of the pragmatic functions that libraries serve. Imagined as unchanging archives, libraries become mere monuments to our analog past. But envisioning them as purely digital spaces also misses the mark, capturing neither what they can be nor the way their patrons use them.
The world’s urban population is growing – so how can cities plan for migrants?
The world’s population is becoming increasingly urban. Sometime in 2007 is usually reckoned to be the turning point when city dwellers formed the majority of the global population for the first time in history. Today, the trend toward urbanisation continues: as of 2014, it’s thought that 54% of the world’s population lives in cities – and it’s expected to reach 66% by 2050. Migration forms a significant, and often controversial, part of this urban population growth. In fact, cities grow in three ways, which can be difficult to distinguish: through migration (whether it’s internal migration from rural to urban areas, or international migration between countries); the natural growth of the city’s population; and the reclassification of nearby non-urban districts. Although migration is only responsible for one share of this growth, it varies widely from country to country.
As previous readers know, I am a strong believer in the critical role the private sector has to play in financing the recently adopted Sustainable Development Goals (SDGs). This new global framework with its ambitious post-2015 development agenda will need a different magnitude of financing, one that will surpass the current capacities of governments and international donors. I have highlighted, in previous posts, the need to leverage the “billions” in Official Development Assistance (ODA) to attract and mobilize “trillions” in investments of all kinds: public and private, national and global, in both capital and capacity.
The global economy, climate change, infrastructure, the food system – these are just a few of the hot topics that will be addressed in Lima, Peru, in the lead-up to the Annual Meetings of the World Bank Group and International Monetary Fund the week of Oct. 5.
The annual gathering of ministers from 188 countries takes place just two weeks after a historic vote at the United Nations to adopt Sustainable Development Goals. Government ministers will again discuss the SDGs at the Oct. 11 meeting of the Development Committee of the World Bank Group and IMF.
The World Bank at World Water Week 2015
As the global focus shifts to the Sustainable Development Goals (SDGs), and achieving universal access to water and sanitation, there will clearly be a need to mobilize private capital to help finance the necessary infrastructure. The Global Water Practice at the World Bank has been working with key public and private sector partners in over ten countries to mobilize domestic credit and address operating inefficiencies which negatively impact on the delivery of water and sanitation. To scale up (“billions to trillions”) it will be necessary to consider the incentives needed to attract and sustain such capital flows.
State of Civil Society Report
The scale of the threats to civic space should not be underestimated. CIVICUS’ analysis suggests that, in 2014, there were serious threats to civic freedoms in at least 96 countries around the world. If you take these countries’ populations into account, this means that 67 years after the Universal Declaration of Human Rights guaranteed our freedoms of expression, peaceful assembly and association, 6 out of 7 humans live in countries where these freedoms were under threat. And even the most mature democracies are not exempt
6 Astounding Ways Africa Is Paving the Way for the Future of Technology
Every week, the American tech sector uses the most advanced mobile technologies in the world to create some new meaningless distraction. Tinder for dogs, Airbnb for boats, Yo — all sorts of luxury convenience tools created to manufacture and solve problems that don't exist and extract some in-app purchases along the way. Meanwhile, in Africa, a budding generation of technologists, coders and entrepreneurs are rising to solve their continent's most pressing problems. Entire new industries around payment solutions, crowdsourcing and entertainment media are springing up in tech hubs in Kenya, Nigeria and other countries. This is the rise of Silicon Savannah — and a few ways it's going to change the global face of technology.
I attended the FfD Conference where the Addis Ababa Action Agenda (AAAA) was adopted. Migration and remittances were positively included in the outcome document. However, it will be important to ensure policy coherence and alignment on what have been adopted in Addis and what will be adopted in the SDGs.