Addressing high levels of non-performing loans (NPLs) is key to preserving financial stability and an important element of an integrated development agenda. High levels of NPLs lock in capital that could support fresh lending, and they create a negative macro-financial feedback loop, as debt overhang depresses borrowers’ investment and consumption decisions. High NPLs have particularly adverse implications in emerging market and developing economies (EMDEs), which lack fully developed capital markets and where credit is provided mostly by banks. Hence expanding the role of debt servicing companies and a secondary market for distressed debt is a constructive strategy: it should be a priority in most EMDEs.
financing for development
U.S. First Lady Michelle Obama and Microsoft founder Bill Gates are among the featured speakers at the first major gathering of the world’s finance and development leaders in 2016 – the Spring Meetings of the International Monetary Fund and World Bank Group.
The global economy, climate change, refugees, and the digital divide are just a few of the topics on the agenda in the lead-up to the meetings the week of April 11. We’re webcasting 19 events in multiple languages featuring government ministers, experts, and CEOs.
Tune in Wednesday for a special event with Obama on educating adolescent girls. Later, the World Bank’s top economists will weigh in on economic growth in turbulent times, and Margaret Chan of the World Health Organization co-hosts a session on bringing mental health issues out of the shadows.
As previous readers know, I am a strong believer in the critical role the private sector has to play in financing the recently adopted Sustainable Development Goals (SDGs). This new global framework with its ambitious post-2015 development agenda will need a different magnitude of financing, one that will surpass the current capacities of governments and international donors. I have highlighted, in previous posts, the need to leverage the “billions” in Official Development Assistance (ODA) to attract and mobilize “trillions” in investments of all kinds: public and private, national and global, in both capital and capacity.
The global economy, climate change, infrastructure, the food system – these are just a few of the hot topics that will be addressed in Lima, Peru, in the lead-up to the Annual Meetings of the World Bank Group and International Monetary Fund the week of Oct. 5.
The annual gathering of ministers from 188 countries takes place just two weeks after a historic vote at the United Nations to adopt Sustainable Development Goals. Government ministers will again discuss the SDGs at the Oct. 11 meeting of the Development Committee of the World Bank Group and IMF.
There is a growing consensus that a new approach is needed to meet the financial needs of developing countries to ensure sustainable, inclusive and resilient growth paths. We all know that Official Development Assistance (ODA) finance is limited and cannot address the massive investment needs of countries. In addition to increased domestic resource mobilization, the more effective engagement of a variety of players, especially from private sector, NGOs, and philanthropic organizations, will be key to close the finance gap.
Later this year the Financing for Development summit will take place in Addis Ababa. The discussion will focus on the post-2015 agenda and the implementation of the Sustainable Development Goals (SDGs), which will need a massive amount of financing.
It’s spring in Washington during a pivotal year in development. Thousands of government officials, journalists, civil society representatives, academics, and CEOs are arriving for the Spring Meetings of the World Bank Group and International Monetary Fund the week of April 13.
It’s one of the last such gatherings before decisions are made on the world’s development priorities and goals over the next 15 years – and how to finance them. In fact, the only item on the April 18 agenda of the Development Committee concerns these post-2015 goals and financing for development.