Decentralization in many countries has given subnational governments certain spending responsibilities, revenue-raising authority, and the capacity to incur debt. Furthermore, rapid urbanization in developing countries is requiring large-scale infrastructure financing to help absorb influxes of rural populations. Not surprisingly, the subnational debt market in some developing countries has been going through a notable transformation.
At the 9th South Asia Economics Students' Meet on Green Growth, participants shared their vision about South Asian cities of the future. These are their innovative ideas.
The creation and expansion of urban centers has been a hallmark of the development process. As per capita incomes in South Asia have increased, urbanization has expanded from 18% in the early 1970’s to 30% in 2010. This will continue to expand as people are drawn to cities for the opportunities to realize their aspirations.
These large urban communities, however, provide significant challenges, such as a high density, pollution and traffic congestion, all of which reduces the quality of life for its residents. By designing cities with the environment in mind, we will be able to reduce energy use and limit waste. Green growth in the cities of the future will minimize the ecological footprint and improve living standards
What will it take to make this dream a reality?
With its massive talent-base, a unique ability to attract its best and brightest students to the engineering discipline, and the presence of some of the world’s leading companies, India has an enormous potential to modernize its economy through engineering education and technology.
However, I think the potential is not fully exploited. The majority of new engineers in India are superb at rote memorization useful to pass paper exams. Many students, however, are less skilled at solving real-life problems with creativity. Also they lack communication and team skills in order to succeed in a demanding international setting.
After five years in Indonesia, my family and I have left this wonderful country and moved to Kenya. The last five years have been excellent years for Indonesia. The economy stabilized, growth resumed and services started to improve, although modestly and not in all areas. Indonesia still remains an underrated country, but this may change.
Thirty African officials visited China for 12 days in May on a pilot South-South knowledge exchange organized by the Chinese government with assistance from the World Bank. My colleague, Phil Karp, has written about the program, including the study tour around China that he accompanied.
Decentralization has been a buzz word in the development world for a while, but disagreements remain about when and how different types of decentralization are successful in improving accountability and service delivery. Although decentralization is often used as a monolithic concept, the term can include political, fiscal, administrative or market decentralization, and can involve var