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The Global Findex: The first database tracking how adults use financial services around the world

Asli Demirgüç-Kunt's picture

The post orginally appeared on All About Finance.

The facts are in. 50 percent of adults worldwide have an account at a formal financial institution. 21 percent of women save using a formal account. 16 percent of adults in Sub-Saharan Africa use mobile money. These are just a few of the thousands of data points now available in the Global Financial Inclusion (Global Findex) database, the first of its kind to measure people’s use of financial products across economies and over time.

From the World Water Forum: Idea for a New Water Prize?

Michael Peter Steen Jacobsen's picture

At the World Water Forum in Marseille, I participated in a session on innovative ways to finance water for the poor. Most of the ideas proposed were good, including testing Output-Based Aid, improvements to the water tariff structure, and a sanitation fee on the water bill.Then the organizers asked for ideas and the discussion was opened for plenary...

Women, loud and clear

Swati Mishra's picture

These few words from the ‘The Face of Female Farming’ aptly capture some of the roles and responsibilities of women in our society. Yesterday, the world celebrated the 101th year of International Women’s Day. Today, we continue to celebrate and honor women and girls worldwide by highlighting some interesting work and articles produced by the World Bank in the field of gender over the past year.

Is Infrastructure Capital Productive?

From a theoretical and empirical standpoint, the contribution of infrastructure capital to aggregate productivity and output has been extensively researched. Public capital has been modeled as an additional input in Ramsey-type exogenous growth models and in endogenous models as well. On the empirical front, the literature has witnessed a proliferation of research over the last 20 years following Aschauer’s (1989) seminal paper on the effects of public infrastructure capital on US total factor productivity. His finding of excessively high returns to infrastructure, however, has not held up. Subsequent research using a large variety of data and more robust econometric techniques has yielded widely contrasting empirical results. For instance, Bom and Ligthart (2008) find that estimates of the output elasticity of public capital range from -0.175 to +0.917 in a wide set of empirical research for industrial countries.

A New Year’s Resolution: Closing the Gap on Trade Research

John Wilson's picture
 Photo: istockphoto.com

New Year’s resolutions are always of the lofty – but often short-lived kind.  I will go to the gym more often, lose more weight, or volunteer more often than I do now.  One resolution made by a number of  us in the Research Group of the Bank – and elsewhere, has been to find a way to get more people excited about investing in data collection and analysis on trade.  I recognize this is not the most glamorous of topics at any time of the year – but nonetheless a resolution as important as any made each year for decades as the calendar turns another page.

Here is why 2011 is different and resolutions made can be kept, however, and why data and research should be high on anyone’s development and trade agenda.
There were a number of high level dialogues in 2010 and 2011 related to global finance, trade, and development issues.  These included the High Level Summit on the MDG’s in September 2010 and the G20 Summit in Seoul in November 2010.  These events provided important opportunities -- in the post-crisis environment – to inform priorities going forward on aid effectiveness and trade.  The President of the Bank, Mr. Zoellick, outlined in October 2010 -- in a very high profile speech at Georgetown University – a new vision of development economics which included new ways of looking at and advancing research tied to make aid more effective and inclusive.

International capital flows: Final picture from 2009

Shahrokh Fardoust's picture
 Photo: Istockphoto.com

As snow covers ground in Washington, D.C., debt markets swoon, and another year comes to a close, it seems like a good time to look at what actually happened to international capital flows to developing countries last year and what that might portend for flows in 2010, as this year’s numbers will be finalized in coming months.

At a time when the global economy has seen the most severe slowdown since the end of WWII, capital flows to the developing world—including private flows (debt and equity) and official capital flows (loans and grants from all sources)—are in an overall slump, well below their level in 2007 ($1.1 trillion). According to the just-published Global Development Finance: External Debt of Developing Countries, which contains detailed data on the external debt of 128 developing countries for 2009, net capital flows to these countries fell by 20 percent from $744 billion in 2008 to $598 billion in 2009. 

Getting to the Seoul of the Matter: Moving beyond currency disputes

Shahrokh Fardoust's picture
Photo: www.istockphoto.com

(Also available in Spanish)

Many observers predict that this week’s G-20 Summit in Seoul will be remembered mainly as a dance of high diplomacy aimed at persuading members to refrain from competitive devaluation of currencies and to reign in excessive current account imbalances.

If most headlines from Seoul are about spats over currencies and whose deficit or surplus is most harmful, then leaders  will have missed the Seoul of the Matter.

Indeed, such an outcome would be a setback for developing countries and could potentially erode the legitimacy of the G-20 as an inclusive broker of financial and economic cooperation in the global economy.

Six Questions for Indian Microfinance Institution SKS

Stephen Rasmussen's picture

This post kicks off a special blog series on the Microfinance Institution, SKS and it's IPO launch in coordination with CGAP. Over the coming weeks we’ll be featuring a variety of voices on the issues raised by the IPO. We welcome your participation in this discussion through comments.

A rare microfinance occurrence took place in late July this year. The Indian microfinance institution, SKS, became the second pure microfinance institution (MFI) globally to go public by listing its shares on the stock market. SKS is one of the largest microfinance institutions in the world with almost 6 million clients, mostly poor women living in rural areas. It has also been one of the fastest growing MFIs over the past few years, with a compound annual growth rate of 165% since 2004.

From one perspective, the IPO was a great success. It was 13 times oversubscribed, the company valuation reached the top of the offer band price (valuing the company at $1.5 billion), and the share price rose 42% in the first five weeks of trading. In the process SKS raised $155 million in fresh capital that will allow it to grow and serve far more people than it reaches now.


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