Donor governments are prioritizing aid 'results' in advance of the Fourth High Level Forum on Aid Effectiveness (HFL4) in Busan, Korea, due to take place at the end of 2011. But there is a real risk that their efforts will lead to a poorly designed results policy that could undo years of work to make aid more useful for fighting poverty.
This report focuses on tax policy in developing countries: who pays tax, what taxes are paid, and how. Tax policy can have a huge impact on inequality and poverty reduction, either positively or negatively, depending on what tax policies a country decides to implement. Taxation is also often at the heart of the social contract between citizens and their government, and progressive taxation is central to creating strong, democratic, and effective states.
Topic:
Development, Economics, Education, Poverty, Social Stratification, and Health Care Policy
International investment plays a vital role in development and poverty reduction. Investment can improve livelihoods and bring jobs, services, and infrastructure, when it is managed responsibly within the context of an effective regulatory framework. Oxfam sees this every day in its work and, in some cases, is working collaboratively with businesses to promote investments that directly benefit poor communities. The recent record of investment in land is very different. It tells a story of rapidly increasing pressure on land – a natural resource upon which the food security of millions of people living in poverty depends. Too many investments have resulted in dispossession, deception, violation of human rights, and destruction of livelihoods. Without national and international measures to defend the rights of people living in poverty, this modern-day land-rush looks set to leave too many poor families worse off, often evicted from their land with little or no recourse to justice.
The promise of what came to be known as the Arab Spring, which dawned in North Africa, sweeping into the Arabian Gulf and up through the Middle East, has foundered in Yemen. Political turmoil has taken hold and reform has stalled, sparking renewed insecurity, devastating an already frail economy, and triggering a national fuel crisis that has in turn driven rising levels of hunger. Levels of child malnutrition in some regions are among the worst in the world. While billions of dollars have been donated to Tunisia, Libya, and to a lesser extent Egypt to rebuild their economies, Yemenis are facing chronic hunger and have few resources at their disposal. While the eyes of the world are on other countries experiencing major upheaval, Yemen must not be forgotten. Leaving the country to simmer and collapse in slow motion will lead to far greater humanitarian and security concerns.
Topic:
Poverty, Food, and Famine
Political Geography:
Middle East, Norway, Yemen, Arabia, United Nations, and Egypt
Haiti's justice system remains dysfunctional and continues to pose significant obstacles to its democratic process, security, reconstruction and development. While some steps have begun with regard to the police, institutional reform in the sector has lagged, allowing further impunity and persistent criminal threats to citizen safety. Despite five years of pledges, the majority of Haitians still have limited access to justice, and mistrust of the formal judicial system is widespread. President Michel Martelly and parliament must work in a non-partisan manner to at last produce reform, including by modernising the 174 year- old criminal code and procedures and setting standards for judges, giving the judiciary adequate resources and creating efficient mechanisms that guarantee proper access to justice.
Topic:
Security, Economics, Politics, Poverty, and Law Enforcement
The desks of civil servants in small states are stacked with yellowing consultancy reports from multilateral agencies on the need to generate sustainable jobs and growth, attract investment, bolster infrastructure and institutions, and improve the efficiency and reduce the expense of government. The real question is not what, but why? Why, in spite of everything we know, are many small states, especially those in the Caribbean, trapped in a zone of low growth, stagnation or relative decline? Policy makers face physical and financial constraints and implementation deficiencies, but the overriding constraint, even more so than in other countries, is political economy.
Topic:
Development, Economics, International Trade and Finance, Poverty, and Maritime Commerce
In this paper, we look at the scale and scope of emerging donors, many of which are developing economies themselves. On the basis of a survey of the literature, we find that estimates of annual aid flows from new donors (so-called non-DAC donors) vary greatly and are somewhere between $11 billion and $41.7 billion, or 8 and 31 percent of global gross ODA. We find that new donors are not a monolithic group but instead represent three distinct models of aid delivery, which we describe as the DAC Model, the Arab Model and the Southern Model.
Topic:
Development, Poverty, International Affairs, and Foreign Aid
Tessa Bold, Mwangi Kimenyi, Germano Mwabu, and Justin Sandefur
Publication Date:
10-2011
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
A large empirical literature has shown that user fees signicantly deter public service utilization in developing countries. While most of these results reflect partial equilibrium analysis, we find that the nationwide abolition of public school fees in Kenya in 2003 led to no increase in net public enrollment rates, but rather a dramatic shift toward private schooling. Results suggest this divergence between partial- and general-equilibrium effects is partially explained by social interactions: the entry of poorer pupils into free education contributed to the exit of their more affluent peers.
After a decade of rapid growth in average incomes, many countries have attained middle-income country (MIC) status. At the same time, the total number of poor people hasn't fallen as much as one might expect and, as a result, most of the world's poor now live in MICs. In fact, there are up to a billion poor people or a 'new bottom billion' living not in the world's poorest countries but in MICs. Not only has the global distribution of poverty shifted to MICs, so has the global disease burden. This paper examines the implications of this 'new bottom billion' for global health efforts and recommends a tailored middle-income strategy for the Global Fund and GAVI. The paper describes trends in the global distribution of poverty, preventable infectious diseases, and health aid response to date; revisits the rationale for health aid through agencies like GAVI and the Global Fund; and proposes a new MIC strategy and components, concluding with recommendations.
Agriculture can serve as an important engine for economic growth in developing countries, yet yields in these countries have lagged far behind those in developed countries for decades. One potential mechanism for increasing yields is the use of improved agricultural technologies, such as fertilizers, seeds and cropping techniques. Public-sector programs have attempted to overcome information-related barriers to technological adoption by providing agricultural extension services. While such programs have been widely criticized for their limited scale, sustainability and impact, the rapid spread of mobile phone coverage in developing countries provides a unique opportunity to facilitate technological adoption via information and communication technology (ICT)-based extension programs. This article outlines the potential mechanisms through which ICT could facilitate agricultural adoption and the provision of extension services in developing countries. It then reviews existing programs using ICT for agriculture, categorized by the mechanism (voice, text, internet and mobile money transfers) and the type of services provided. Finally, we identify potential constraints to such programs in terms of design and implementation, and conclude with some recommendations for implementing field-based research on the impact of these programs on farmers' knowledge, technological adoption and welfare.
Topic:
Agriculture, Development, Poverty, Science and Technology, Foreign Aid, and Foreign Direct Investment