After a decade of strong growth in the late 1970s and early 1980s, Cameroon was compared favorably with fast-growing East-Asian economies. This fame came to a sudden stop in the late 1980s when the country experienced one of the world’s deepest and most protracted recessions, triggered by large fall in the terms of trade and appreciation of the real exchange rate. Debts - previously at reasonable levels - mounted, banks failed and poverty increased. A 50% devaluation of the CFA Franc, a currency Cameroon shares with other former French colonies, in January 1994 pushed the foreign-currency denominated debt to increase to over 100 percent of GDP, triggering the Heavily Indebted Poor Countries (HIPC) debt relief process. Cameroon successfully exited HIPC in 2006. Since then, the authorities have set the goal to become a middle income country by 2035, anchoring their growth strategy on building infrastructure. After some initial success, with real growth steadily increasing from 1.9% in 2009 to 5.9% in 2014, the country is facing again some fiscal strains and risk of its debt distress has risen from low to moderate to high, in just 3 years.
In Ghana, coastal erosion and rising seas are burying some seaside villages, like Fuveme, which is now completely under sand. As in neighboring countries, hydrocarbon exploration is well underway not too far from the shore, and coastal urban areas are expanding. The fish stock has declined dramatically, and formerly thriving fishing communities are in trouble.
Just two years ago, Ghana was experiencing unstable commodity prices and a deteriorating macroeconomic situation. Yet, through a unique combination of World Bank guarantees nearly $8 billion in private investment was mobilized for the Sankofa Gas Project—the biggest foreign direct investment in Ghana’s history. The transformational project helped address serious energy shortages and put the country on a path to economic growth.
This is just one example illustrating how risk mitigation products play out in practice to encourage private sector investment and improve people’s lives.
- Public-Private Partnership in Infrastructure Resource Center
- Public Private Partnerships
- Public private partnership
- Private Sector Development
- Global Economy
- Financial Sector
- Latin America & Caribbean
- East Asia and Pacific
- Lao People's Democratic Republic
We took over the management of the obstetrics, gynecology, and pediatric hospital in Yaoundé (HGOPY) in 2014, inheriting an institution that faced chronic structural debt, obsolete equipment, and dilapidated buildings. No debt repayment plan was in place and fixed expenses such as staff salaries and benefits were extremely high.
This situation was regrettably common in many institutions across Africa which were hit hard by the economic and social crisis that resulted from structural adjustment policies implemented in by several countries, including Cameroon. Furthermore, the decision to increase health care charges adversely affected the poorest, limiting their access to health care and leading to a rise in maternal and infant mortality rates.
In response, African countries signed the Abuja Declaration in 2000, committing to earmark at least 15% of their national budget to the health sector. In addition to the goal of providing universal health care, the sector was expected to enhance the performance, effectiveness, and efficiency of its services.
Quality education is one of the most powerful instruments for reducing poverty and inequality; yet it remains elusive in many parts of the world. The Programme for the Analysis of Education Systems (PASEC), which is designed to assess student abilities in mathematics and reading in French, has for the first time delivered an internationally comparable measure around which policy dialogue and international cooperation can aspire to improve. The PASEC 2014 international student assessment was administered in 10 countries in Francophone West Africa (Cameroon, Burundi, Republic of Congo, Côte d’Ivoire, Senegal, Chad, Togo, Benin, Burkina Faso, and Niger).
This blog post originally appeared on the Global Financing Facility website.
Every year, more than 200 million women want to prevent or delay pregnancy—but they’re not using contraceptives. Why?
As a former country manager in Benin, my team and I advised the national administration on the Public-Private Partnerships (PPP) Project Law then under consideration and engaged in PPPs. This effort took place after the private sector, both domestic and international, made a strong commitment to finance large infrastructure programs. Timing is everything, of course, and the window for passing the legislation through parliament before legislative elections was tight – ultimately, too tight. A better understanding of PPPs and the options these partnerships can offer to a country like Benin, which needs substantial infrastructure investments, would have helped the process tremendously.
At the time, however, PPP educational options for French speakers were scarce. Although plenty of PPP resources exist in English, many fewer tools are available for Francophone African countries. These tools are critical to understanding PPPs, creating and adopting legislation, applying PPPs when they may serve a need, and knowing when not to use them to secure infrastructure services.
- public-private parternships
- Middle East and North Africa
- Cote d'Ivoire
- Congo, Republic of
- Congo, Democratic Republic of
- Central African Republic
- Burkina Faso
Most parents in Africa will tell you that their children’s education is the most important investment they can make. Over the past decade, great progress has been made in terms of getting children into school, with countries such as Benin, Cameroon, Rwanda and Zambia recording primary net enrollment of over 90 percent. But across the continent, primary school completion and youth literacy rates remain unacceptably low.
Climate change imposes stark challenges in West and Central Africa, where droughts and floods are already frequent. Vast portions of the region’s populations are poor, dependent on natural resources for their livelihoods, and unable to prepare and respond adequately to extreme weather events. Weak monitoring and information systems, absence of proper infrastructure, and limited governance capacity render countries in the region unable to manage their climate risks, threatening food and energy security, economic development, ecosystem health, and overall regional stability.
On March 3rd we will celebrate World Wildlife Day. Adopted by the UN General Assembly in 2013, this day raises awareness of the world’s wild fauna and flora. This year’s theme, "The future of wildlife is in our hands" resonates with those who understand the impact of species loss on the health of ecosystems and human survival.
We are currently in the midst of the sixth, man-made mass extinction of plants and animals. Experts estimate the current loss of species to be between 1,000 and 10,000 times higher than the natural extinction rate. The global Living Planet Index (LPI) shows an overall species decline of 52% between 1970 and 2010. Our increasing demands on nature are driving the two biggest catastrophic threats to species decline- habitat loss and wildlife trade. Habitat loss is a threat to 85% of all species. Exploitation (including poaching and wildlife trade) is the most immediate threat to wildlife populations worldwide.
Illicit trafficking in wildlife is a multifaceted global threat. The problem is particularly acute in Africa, where poaching is leading some charismatic species to the brink of extinction. For example, in 2011 the International Union for Conservation of Nature (IUCN) declared the Western black rhino extinct, largely due to poaching. The Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES) Monitoring the Illegal Killing of Elephants (MIKE) program estimated that in the last 5 years, between 22,000 to 25,000 elephants were poached per year across Africa.