When you think of Afghanistan, what thoughts come to mind—suicide attacks, insurgency, women wearing burkas, the Taliban, or probably, dusty dirt roads? These images, while still relevant in much of the country, often miss exciting development happening in another side of Afghanistan, the side where Afghans are beginning to engage in dialogues and exchanging ideas about data and development. Opening up data provides access and availability, universal participation and further enables the reuse of data in a transparent and innovative manner in the search for development solutions. Sounds nice, but what does this mean in the context of Afghanistan?
Remittances sent by migrant workers have emerged as a key driver of poverty reduction in many developing countries. Bangladesh has caught up with growing migration trends since the mid-70s when only 6,000 Bangladeshis were working abroad. Today, there are about 8 million. Migration has now become a major source of gainful employment for Bangladesh’s growing number of unemployed and under-employed labor force. The sharpest increase in the level of manpower exports occurred during 2006--2009. Remittances have grown at a rapid pace, particularly since 2004.
So, what are the key correlates of aggregate remittance inflows in Bangladesh? What does the data tell us about Bangladesh? Many researchers have used aggregate data to analyze the macro-economic factors affecting the behavior of remitters. For example, Barua et al (2007) show that income differentials between host and home country and devaluation of home country currency positively and high inflation rate in home country negatively affect workers’ remittances1. Hasan (2008) finds remittances respond positively to home interest rate and incomes in host countries2. Ordinary Least Squares estimation is frequently used to characterize the statistical relationships between aggregate remittance inflows and their proximate macro correlates.
The key finding is that a limited number of macroeconomic factors are important in predicting the behavior of aggregate remittances.
A thriving and active waterfront has been a common thread for great cities and urban centers, though the relationship of cities with their waterfront has undergone a series of transformations. In the industrial era, manufacturing and maritime activities such as shipyards, warehouses, and heavy industries dominated properties along the water, which served as an important transportation corridor. Today, in the post-industrial era, many cities are realizing the potential of reinventing waterfront properties.
In a webinar on January 10 hosted by the World Bank’s South Asia Urbanization Flagship Project in collaboration with the East Asia and Pacific urban team, speakers and participants from around the globe discussed challenges, strategies, and successful practices in waterfront redevelopment through a series of case studies. Five essential ingredients emerged:
This is the sixth and last in a series of posts about the recent report, Bangladesh: Towards Accelerated, Inclusive and Sustainable Growth. The previous post looked at what sort of policies it will take to achieve the goal of middle income status by 2021.
Bangladesh, one of Asia’s youngest countries, is poised to exploit the long-awaited “demographic dividend” with a higher share of working-age population. Labor is Bangladesh’s strongest source of comparative advantage, and Bangladesh’s abundant and growing labor force is currently underutilized. Absorbing the growing labor force and utilizing better the existing stock of underemployed people requires expansion of labor-intensive activities. And that means expanding exports, as domestic consumption offers limited opportunities for specializing in labor-intensive production.
What are the potentials for expanding exports? Bangladesh’s competitors are becoming expensive places in which to do business. In the next three to four years, China’s exports of labor-intensive manufactured goods are projected to decline. It will no longer have one-third of the world market in garments, textiles, shoes, furniture, toys, electrical goods, car parts, plastic, and kitchen wares. Capturing just 1% of China’s manufacturing export markets would almost double Bangladesh’s manufactured exports.
When the winners of the World Bank’s "Imagining Our Future Together" art competition first met last fall, the atmosphere was very much like the first day of school: Everyone was new, excited to meet others, and optimistic about possibilities ahead. As the exhibition of their art comes to World Bank headquarters next week and the 25 young artists prepare for their third and final meeting, their collaboration has accomplished more than we organizers ever imagined.
This is the fifth in a series of six posts about the recent report, Bangladesh: Towards Accelerated, Inclusive and Sustainable Growth. The previous post looked at the numbers behind Bangladesh’s goal of middle income status by 2021. The next and last post will look at the way forward.
For Bangladesh, achieving its goal of middle income status by 2021 will require more than business-as-usual: the average annual GDP growth rate will have to rise from the current 6 percent to 7.5-8 percent, while sustaining remittance growth at 8 plus percent. Faster growth in turn will depend on four main factors: (i) increased investment, (ii) faster human capital accumulation, (iii) enhanced productivity growth, and (iv) increased outward orientation.
Increase investment by at least 5 percentage points of GDP. Investment is constrained by infrastructure, business environment, land, and skills. Analysis based on Investment Climate Assessment surveys highlights the role of infrastructure in triggering a virtuous cycle of growth: better infrastructure will improve productivity which in turn will make exports more competitive and attract FDI, thus leading to further increase in productivity. Expanded provision of infrastructure has to come with easing difficulties in doing business, increasing access to serviced land, and meeting skill shortages.
Build on achievements in human capital formation. Bangladesh has done well in increasing the stock of human capital, topping the list of Asian countries along with Vietnam by improving average years of schooling by 1.3 during 2000-10. Our analysis indicates that achieving the needed GDP growth rate will require further increases from the current 5.8 to 7.3 average years of schooling. In addition, relatively low returns to schooling point to the importance of improving quality of education. These will require addressing external and internal inefficiency as well as weaknesses in education management and finance.
Historically, cities and civilizations have flourished along water bodies, which not only served as important transportation corridors to spur economic activity and trade, but also as prominent public spaces for religious and cultural interaction. Today, while a large number of cities have turned away from this important natural resource, many have reclaimed and transformed their waterfronts into thriving economic engines and nodes of social activity. Can cities redefine their relationship with water while managing challenges of rapid urbanization?
The World Bank’s South Asia Sustainable Development Unit, in collaboration with East Asia Pacific Sustainable Development Unit, is organizing a webinar on waterfront development to discuss different dimensions of waterfront initiatives and tools for a sustainable regenerative economic environment.
On Jan. 7 from 2-4 p.m., there will be a live chat on Sri Lanka's aging population at facebook.com/worldbanksrilanka. Tehani Ariyaratne, from the Centre for Poverty Analysis, will be joining the chat. Here, she discusses her recent work on the subject.
In Sri Lanka, an individual above the age of 60 is considered 'elderly'. Our documentary focussed on individuals in two districts, Hambantota and Batticaloa, and captures a diverse, rural elderly population. During the course of our fieldwork, we met and spoke with many individuals about their ideas regarding the benefits of and constraints to maintaining an active lifestyle.