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Poverty

Connecting the dots in 2015 for sustainable development

Paula Caballero's picture
View from the River Congo between Kinshasa and Lukolela, DR Congo. Photo by Ollivier Girard for CIFOR via Creative CommonsWhat will 2015 stand for? Only half-way through the year, it may be risky to make predictions. But 2015, a year in which the international community is supposed to forge new deals for climate action and sustainable development, should be a year rich in connections. A year in which the health of the planet is finally understood to be of central concern to the future of people. A year in which the management of natural resources – from fish stocks and fresh water, to fertile soil, forest habitats and the carbon in the atmosphere - is understood to have significant national, international and inter-generational consequences.

Awareness is certainly progressing. From the streets of Sao Paulo, Brazil - a country that hosts nothing less than the mighty Amazon River, to the farmlands of California, people are coming to the realization that resources such as water are not limitless. More and more businesses are looking at the security of their supply chains and the footprint of their operations with zeal fueled by self-interest. And countries seem poised to adopt Sustainable Development Goals that signal an understanding that economic, social and environmental issues are inherently interdependent.

Climate change, water shortages and other environmental crises are bringing home the message loud and clear: we need to connect the dots between human actions across the landscape and seascape, or the earth will cease to care for us. It will cease to grow food, to store water, to host fish and pollinators, to provide energy, medicine and timber. Changing temperatures will stress systems already overwhelmed by unsustainable patterns of production and consumption, while a growing middle class will further strain planetary boundaries.

How can we help economies develop better, for lasting poverty reduction and prosperity, within the limits of natural resources? How can we make more rational use of natural and financial resources to maximize social and economic benefits and reduce carbon emissions while increasing our resilience to climate extremes?

Afghanistan debt - when words get lost in translation

Paul Sisk's picture
Photo Credit: Rumi Consultancy/World Bank

 

One of the many successful fiscal initiatives implemented in Afghanistan was the HIPC, the Highly Indebted Poor Country program, a joint IMF–World Bank effort to reduce the public debt of poor countries. We called this the forgiveness of debt.
At an early stage in this work I had to meet with a senior Afghan government official to explain the program. The official, the Deputy Auditor General, was a dedicated, serious man who had trained in the former Soviet Union as an engineer and did not speak English, so we relied on an interpreter.

In those days any Afghan who spoke some English could find work as an interpreter, and ours was a medical doctor. He told me he was anxious to find work in his own field but in the meantime was willing to work anywhere, even interpreting in this arcane field of auditing, although he was unfamiliar with the jargon. The conversation was not to be long; just outline that the external public debt, which was mostly Russian debt from the communist era, would be absorbed by a trust fund and hence “forgiven” if Afghanistan met the program requirements – basically good fiscal transparency and discipline.

How does accessibility re-frame our projects?

Tatiana Peralta Quiros's picture
The increasing availability of standardized transport data and computing power is allowing us to understand the spatial and network impacts of different transportation projects or policies. In January, we officially introduced the OpenTripPlannerAnalyst (OTPA) Accessibility Tool. This open-source web-based tool allows us to combine the spatial distribution of the city (for example, jobs or schools), the transportation network and an individual’s travel behavior to calculate the ease with which an individual can access opportunities.

Using the OTPA Accessibility tool, we are unlocking the potential of these data sets and analysis techniques for modeling block-level accessibility. This tool allows anyone to model the interplay of transportation and land use in a city, and the ability to design transportation services that more accurately address citizens’ needs – for instance, tailored services connecting the poor or the bottom 40 percent to strategic places of interest.

In just a couple of months, we have begun to explore the different uses of the tool, and how it can be utilized in an operational context to inform our projects.
 
Employment Accessibility Changes in Lima,
Metro Line 2. TTL: Georges Darido

Comparing transportation scenarios
The most obvious use of the tool is to compare the accessibility impacts of different transportation networks. The tool allows users to upload different transportation scenarios, and compare how the access to jobs changes in the different parts of the city. In Lima, Peru, we were able to compare the employment accessibility changes that were produced by adding a new metro line. It also helped us understand the network and connectivity impacts of the projects, rather than relying on only travel times.

Understanding spatial form
However, the tool’s uses are not limited to comparing transport scenarios. Combining the tool with earth observation data to identify the location of slums and social housing, we are to explore the spatial form of a city and the accessibility opportunities that are provided to a city’s most vulnerable population.  We did so in Buenos Aires, Argentina, were we combined LandScan data and outputs from the tool to understand the employment accessibility options available to the city’s poorest population groups.

Financing for Development: World Bank's role in supporting tax and revenue mobilization reforms is critical

Rajul Awasthi's picture

Melissa Thomas, author of Govern like us, speaking at the World Bank recently raised a very interesting question: is our expectation that poor countries with limited resources can deliver high-quality governance unrealistic?

Can these countries provide the public goods and services that citizens demand and need, to be able to forge a strong social contract?

She compares the levels of revenue per capita in rich and poor countries and finds that in the poorest countries, levels of revenue per capita are so low that it would be years, or even decades, until they have enough to provide a decent level of public goods and services.

It is in that context that I thought of Sri Mulyani’s appeal during the Spring Meetings when she spoke of the need to clamp down on tax evasion and avoidance and boost the domestic resource mobilization (DRM) capacities of developing countries as a means of finding resources for financing development going forward.

Poverty Reduction: Sorting Through the Hype

Berk Ozler's picture
After seeing PowerPoint slides of the preliminary findings over the course of more than a year, it’s nice to be able to report that the six-country study that is evaluating the “ultra-poor graduation” approach (originally associated with BRAC) is finally out.

The power of faith to help end poverty: 5 key takeaways

Sonia Porter's picture
Better understanding and harnessing the role of faith in development is becoming an area of growing interest and engagement within the World Bank Group. Five leaders of prominent faith-based and religious organizations came together at our Washington, D.C.

The world is about as poor as we thought, and the fight to end poverty remains ambitious

Espen Beer Prydz's picture
World Bank estimates of global extreme poverty rely on many different data sources – among these are the price data that measure differences in the cost of purchasing a bundle of goods across countries. This measure of purchasing power parity (PPP) is used to ensure that the international poverty line reflects the same real standard of living across countries. Last year, the International Comparison Program (ICP) released PPP data from 2011, the first global update since the 2005 round.

Nigeria, where is your bourgeoisie?

Vasco Molini's picture
The Phrase, “Nigeria: the giant of Africa”, has been on the lips of its citizens lately, and to an extent, they have earned the right to say so. Over the last decade, the Nigerian economy experienced tremendous growth and was recently named Africa’s Number One Economy by The Economist. This accolade is due to the recent GDP rebasing, which has enabled the size of the Nigerian economy to surpass that of South Africa, as well as a solid growth record. This fast economic growth is reflected in an increase in specialized professionals that predominantly make up Nigeria’s Middle Class.

Maintaining momentum in Myanmar

Axel van Trotsenburg's picture

Myanmar is undergoing a historic transition. After decades of armed conflict and economic stagnation, the country is beginning to make important strides toward realizing its potential and the aspirations of its people.

Our engagement in Myanmar started more than 60 years ago when it became a member of the World Bank, soon after gaining independence from British rule.

Back in 1955, the Bank’s first economic report stated: “the lack of security remains a disrupting influence on the economic life of the country” while “the long term economic potentials are bright” on account of its moderate population growth and abundant natural resources. It also noted the importance of “encouraging private sector enterprise to improve the standard of living of the people”— these are topics that continue to resonate in today’s development discourse.

In the early 1950s, Myanmar’s GDP per-capita was comparable to that of Thailand, Korea, and Indonesia.  Like others in the region, Myanmar was coming out from colonial rule and a period of struggle. Sixty years on, Myanmar has a per capita GDP just above $1,100, less than one third the average for ASEAN countries and one of the lowest in East Asia.

The good news is that Myanmar has begun the catch up process. Major political and economic reforms since 2011 have increased civil liberties, reduced armed conflict, and removed constraints to trade and private enterprise that long held back the economy.

Lifting the lid on the household: A new way to measure individual deprivation

Duncan Green's picture

Guest post on an important new initiative, the Individual Deprivation Measure, from Scott Wisor, Joanne Crawford, Sharon Bessell and Janet Hunt.

Woman in her home. Kaski, NepalYou don’t have to look far to find assertions that up to 70% of the world’s poor are women ‑ despite Duncan’s efforts to show that the claim cannot be substantiated.

Just last month, ONE launched a new campaign called “Poverty is Sexist”, drawing on star power to bring attention to the issue of women’s poverty.

ONE didn’t use the 70% stat, but implied that poverty is feminized. Yet the reality is that it is still not possible to say whether women are disproportionately poor ‑ despite widespread calls  for better sex-disaggregated statistics.

Why? Because both monetary measures of poverty such as the International Poverty Line and multidimensional measures such as the Multidimensional Poverty Index continue to use the household as the unit of analysis. This assumes that everyone in a given household is equally poor or not poor – and that’s a big problem.

Not to mention concerns about the gendered differences in the experience of poverty. How do you price the value of being free from violence or securely accessing family planning?

These are not small problems. A great deal hangs on how we measure social progress. Are development programs working? Do anti-poverty policies make a difference? Is foreign aid alleviating poverty? Evaluating households makes it impossible to see how different members of the household are doing. And failing to assess dimensions of life that are particularly important to poor women, or men, limits our ability to show whether and how their poverty differs.

So what to do? Well, despite heated debates about measuring global poverty, something of a consensus has emerged. Most experts now agree that monetary poverty measurement should be complemented by multidimensional measurements. The individual, not the household, should be the unit of analysis. Poverty measurement should reflect the views and priorities of poor people. And in so far as possible, measurement should provide meaningful comparisons across contexts and over time.


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