Blogs

Supporting inclusive growth in Cambodia

A Cambodian farmer. photo by the World Bank — A Cambodian farmer. Photo: The World Bank

Today, Cambodia is among the world’s fastest growing economies. Its gross national income per capita increased by more than threefold in two decades, from $300 in 1994 to $1,070 in 2015.

Strong economic growth has helped lift millions of people out of poverty.

The Cambodian people have benefited as the economy diversified from subsistence farming into manufacturing, tourism and agricultural exports. Poverty fell to 10% in 2013, from 50% in 2004. Cambodians enjoy better school enrollment, literacy, life expectancy, immunization and access to water and sanitation.

What’s in a category?

Also available in: Mongolian

One year ago, Mongolia was designated an Upper Middle Income Country (UMIC) when the country’s GNI per capita crossed the threshold between lower and upper middle income countries. Some Mongolians celebrated, seeing the designation as a reflection of how far the country had come since recovering from a prolonged slump in the 1990s. Others wondered what it means for the availability of concessional financing in the future. And others just wondered if it was accurate. While Mongolia’s progress is unmistakable, we also know that 22% of the population lives below the national poverty line of roughly $2.70 per day—what does it mean to be an “upper middle income country” in the face of such a statistic?

Last week, Mongolia was re-designated a Lower Middle Income Country (LMIC). How is this possible and what does it mean?

From Evidence to Impact: reaching Indonesia’s poorest through better targeting

Also available in: Bahasa Indonesia

Evidence and analysis, when used well, can form the foundation for effective policymaking. But what happens once an analytical report is published, and the findings are shared? In the worst case, these reports sit collecting dust on a few lucky office shelves.

In the best cases, however, smart, rigorous, and timely evidence leads to real impact for the least well off. We set out recently to find out a bit more about how this can work in practice, looking at the case of Indonesia.
Effective social assistance is crucial not only for helping people move out of poverty, but also keeping people from falling into poverty. Too often, however, well-meaning programs do not reach those who need them the most. The poor stay poor, shocks push the vulnerable into poverty, and fiscal space is wasted on programs that are not doing what they need to do.

Myanmar: How IDA can help countries reduce poverty and build shared prosperity

This week, more than fifty donor governments and representatives of borrowing member countries are gathering in Nay Pyi Taw to discuss how the World Bank’s International Development Association (IDA) can continue to help the world’s poorest countries.

IDA financing helps the world’s 77 poorest countries address big development issues. With IDA’s help, hundreds of millions of people have escaped poverty. This has been done through the creation of jobs, access to clean water, schools, roads, nutrition, electricity and more. During the past five years, IDA funding helped immunize 205 million children globally, provided access to better water sources for 50 million and access to health services for 413 million people.

Myanmar has set a path to a bright energy future by 2030

Kyaw San has trouble studying at night. The student from Yangon Division’s Buu Tar Suu village finds it especially difficult during the rainy season when his old solar-powered lamps cannot be charged, forcing him to study by candlelight.

Win Win Nwe, a grade 5 student, also often prepares for exams by candlelight. Her family can’t always afford to buy candles, adding another obstacle to an activity many take for granted. “If we can afford candles, we buy them. If we can’t, we don’t. We struggle and do our best,” said her father Kyi Htwe.

Today, two-thirds of Myanmar’s population is not connected to the national electricity grid and 84% of rural households lack access to electricity. No power means no light, no refrigerators, no recharging phones and batteries. Small businesses can’t stay open in the evenings, and clinics cannot refrigerate medicines. Access to reliable and affordable energy is essential for a country’s development, job creation, poverty reduction and shared prosperity goals.

Rising divide: why inequality is increasing and what needs to be done

Also available in: Bahasa Indonesia

In 2014, the richest 10 per cent of Indonesian households consumed as much as the poorest 54 per cent. Image by Google Maps.

Since the 1990s, inequality has risen faster in Indonesia than in any other East Asian country apart from China. In 2002, the richest 10 per cent of households consumed as much as the poorest 42 per cent. By 2014, they consumed as much as the poorest 54 per cent. Why should we be worried about this trend? What is causing it, and how is the current administration addressing rising inequality? And what still needs to be done?

Inequality is not always bad; it can provide rewards for those who work hard and take risks. But high inequality is worrying for reasons beyond fairness. High inequality can impact economic growth, exacerbate conflict, and curb the potential of current and future generations. For example, recent research indicates that, on average, when a higher share of national income goes to the richest fifth of households, economic growth slows—whereas countries grow more quickly when the poorest two-fifths receive more.

Steak, fries and air pollution

While most people link air pollution only to burning fossil fuels, other activities such as agriculture and biomass burning also contribute to it. The complexity of air pollution can be explained by analyzing the composition of the PM2.5, one the most important air pollution indicators.

Ending the invisible violence against Thai female sex workers

Also available in: ภาษาไทย

Photo: vinylmeister, https://flic.kr/p/niguan

I’m finally in Thailand celebrating our Development Marketplace for Innovation award from the World Bank Group and the nonprofit Sexual Violence Research Initiative (SVRI) to prevent gender-based violence. Just one month ago, our team members, consisting of Sex Workers IN Group’s (SWING) leaders, Surang Janyam and Chamrong Phaengnongyang, and Mahidol University researcher, Dusita Phuengsamran, were at the awards ceremony in Washington DC, humbled by the words and encouragement of World Bank Group President Jim Yong Kim. Today, half a world away, at SWING’s colorful conference space, the passion for violence prevention that infused the awards ceremony is still with us.

Firing up Myanmar’s economy through private sector growth

Myanmar’s reintegration into the global economy presents it with a unique opportunity to leverage private sector growth to reduce poverty, share prosperity and sustain the nationwide peace process.

For much of its post-independence period, Myanmar’s once vibrant entrepreneurialism and private sector was stifled by economic isolation, state control, and a system which promoted crony capitalism in the form of preferential access to markets and goods, especially in the exploitation of natural resources. Reflecting this legacy, private sector firms are still burdened with onerous regulations and high costs, dragging down their competitiveness and reducing growth prospects.

Unleashing Myanmar’s agricultural potential

Myanmar’s unusually fertile soils and abundant water source are legendary in Southeast Asia. It is even said that Myanmar has the most favorable agricultural conditions in all of Asia. Almost anything can be grown in the country, from fruits to vegetables, from rice to pulses. The agriculture sector dominates the economy, contributing 38% of GDP, and employing more than 60% of the workforce. The importance of agriculture in the economy and as an employer will diminish in coming years as a result of structural transformation. However, the sector will continue to play a remarkable role in reducing poverty in Myanmar for many years to come.

Blogs

Pages