Photo: Creativa Images | Shutterstock
Critically constrained public resources on the one hand, and huge existing infrastructure needs for basic services on the other, make private participation in emerging markets and developing economies (EMDEs) not just critical, but in fact, imperative. Crowding in private finance is essential to spur economic development and meet the twin goals of shared prosperity and elimination of extreme poverty, as well as to achieve the Sustainable Development Goals.
The Private Participation in Infrastructure (PPI) Database, with data spanning over almost 27 years, has become a powerful tool and measure for gauging the level of private investment in infrastructure in EMDEs.
Photo: Felix_Broennimann | Pixabay Creative Commons
Infrastructure is a key driver for growth, employment, and better quality of life in emerging markets and developing economies (EMDEs). But this comes at a cost. Approximately 70% of global greenhouse gas emissions come from infrastructure construction and operations such as power plants, buildings, and transport. The Overseas Development Institute estimates that over 720 million people could be pushed back into extreme poverty by 2050 as a result of climate impacts, while the World Health Organization projects that the number of deaths attributable to the harmful effects of emissions from key infrastructure industries will rise from the current 150,000 per year to 250,000 by 2030.
Does this mean we need to build less infrastructure? No. But part of the solution lies in low-carbon infrastructure.
On Thursday, April 5, the World Bank-Singapore Infrastructure Finance Summit will take place – the eighth time that the World Bank, the Government of Singapore, and the Financial Times are partnering to hold this annual event.
The Summit has gone from strength to strength each year, and helped pave the way for the many infrastructure-themed events across the reigon. This year, as Singapore’s chairing of ASEAN brings its ministerial meetings to the city-state, finance ministers from across Southeast Asia will join the Summit, and their presence underscores the importance they attach to sustainable infrastructure development.
In the infrastructure domain, “price” is a prism with many façades.
An infrastructure economist sees price in graphic terms: the coordinates of a point where demand and supply curves intersect.
For governments, price relates to budget lines, as part of public spending to develop infrastructure networks.
Utility managers view price as a decision: the amount to charge for each unit of service in order to recover the costs of production and (possibly) earn a profit.
But for most people, price comes with simple question: how much is the tariff I have to pay for the service, and can I afford it?
On International Anti-corruption Day 2014, one of the issues we at the Stolen Asset Recovery Initiative want to illustrate - is how recovering stolen assets helps fight corruption and end impunity.
On International Anti-Corruption Day, those involved in this effort, gather to express a shared commitment to take action, and to pledge - in the words of this year’s Twitter hashtag – to #breakthechain, against all forms of corruption - from petty bribes to grand corruption.
Here at the World Bank, we are hosting the ‘International Corruption Hunters Alliance’. The Duke of Cambridge, Prince William, spoke out strongly, highlighting the malignant effects of corruption as, ‘an abuse of power; the pursuit of money or influence at the expense of society as a whole’.
Among the 29 countries and economies of the East Asia and Pacific region, one finds some of the world’s most successful education systems. Seven out of the top 10 highest average scorers on internationally comparable tests such as PISA and TIMSS are from the region, with Japan, Republic of Korea, Singapore, and Hong Kong (China) consistently among the best.
But, more significantly, one also finds that great performance is not limited to school systems in the region’s high-income countries. School systems in middle-income Vietnam and China (specifically the provinces of Beijing, Shanghai, Jiangsu, and Guangdong) score better than the average OECD country, despite having much lower GDP per capita. What is more, scores from both China and Vietnam show that poor students are not being left behind. Students from the second-lowest income quintile score better than the average OECD student, and even the very poorest test takers outscore students from some wealthy countries. As the graph below shows, however, other countries in the region have yet to achieve similar results.
The first time a World Bank education team tried classroom observations in Brazil, it nearly provoked a state-wide teachers’ strike. It was October 2009 in the northeast state of Pernambuco and two members of the team, Barbara Bruns and Madalena Dos Santos, had handed out stopwatches to school supervisors newly trained in using the Stallings “classroom snapshot” method to measure teacher activities.
Two days later, the stopwatches were on the front page of Pernambuco’s leading newspaper: the teachers’ union called for a state-wide strike to protest an evaluation tool they dubbed the “Stalin method.”
“I thought the grant money we had used to train observers was down the drain,” recalled Bruns, a World Bank retiree now a visiting Fellow at the Center for Global Development. “But the governor, Eduardo Campos, was unfazed. He publicly declared: ‘No one is going to stop me and my secretariat from going into public schools to figure out how to make them better.’ The union backed down and the fieldwork went ahead.”
Cities need jobs and opportunities for their citizens and the means to generate tax revenues to fund projects that meet their populations’ growing demand for basic services. The WBG flagship report on Competitive Cities outlines how
In November, 2017, we spent a week with approximately 30 city and national government officials and policymakers from several countries, including Argentina, Chile, Croatia, Egypt, Ethiopia, Malaysia, Philippines, Romania, South Africa, Tunisia and Uganda. These leaders represented diverse cities across the world, all with a common objective – how to make their cities and regions more competitive?
Many were dealing with a fragmented institutional landscape, often with overlapping jurisdictions – necessitating clarity of institutional circuits and processes. Some struggled to coordinate economic development strategies with private sector. Lack of adequate sub-national socio-economic data to drive evidence-based policy making compounded issues.
We spent the week as part of a Technical Deep Dive, studying and living the experience of two exceptional Japanese cities - Yokohama and Kobe. These cities have dealt with:
- population influx,
- industrialized at a rapid pace,
- responded to environmental challenges,
- reached the technological frontier,
- undergone a housing bubble,
- and even went through a major disaster (the Kobe earthquake) and recovered from it.
Better jobs, higher salaries and improved access to basic services – the bright lights of cities seem to promise these and more.