Search

Begin New Search Topic Development Content Type Working Paper Publication Year within 5 Years Publication Year within 25 Years

151. Identity and Discourse Within Diverse International Networks: The Managing Global Governance Network Seen Through the Lens of Thematic Oral History

Author:
J. Carlos Domínguez
Publication Date:
01-2021
Content Type:
Working Paper
Institution:
German Institute of Development and Sustainability (IDOS)
Abstract:
The MGG Programme is an innovative and ambitious initiative implemented by the German Development Institute (DIE) with the support of the German Federal Ministry for Economic Cooperation and Development (BMZ). Although the scope and objectives have changed since it was launched in 2007, there is a clear vision that summarises its overarching goals: to construct a network that functions as an effective, high-quality, knowledge-based cooperation system for promoting global governance and sustainable development in the long run. In this respect, managing and crafting symbols, perceptions and collective identities within the MGG will remain crucial as a glue that enables collective efforts and maximises the network’s overall impact. Under what conditions does cooperation among diverse groups become sustainable? How does the MGG look when analysed as part of the longer-term life trajectory of its participants? How do individual identities intersect with a collective sense of belonging to the programme and to the network? What is the role of the collective identity and the collective narrative that underpins MGG efforts? The main goal of this discussion paper is to apply oral history methodologies to answer some of these questions. The assumption is that the long-term impact of the MGG Programme depends on how well individual motivations, which are shaped by complex life trajectories, intersect with national interests and broader global cooperation narratives. By confronting theory with empirical evidence, this paper also draws some lessons and raises some interesting questions that may be useful for MGG staff to consider when planning future activities.
Topic:
Development, History, Governance, Networks, and Identity
Political Geography:
Global Focus

152. How Duterte Strong-Armed Chinese Dam-Builders But Weakened Philippine Institutions

Author:
Alvin Almendrala Camba
Publication Date:
06-2021
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
Chinese construction contracts and development finance have increased massively in recent years. According to many experts, these projects are largely transplants designed to offshore and export Chinese technology, labor, and policy designs to host countries. However, these views have little regard for important nuances of place, time, and politics, ignoring the degree to which host countries—such as local elites, members of civil society, and norms—shape project design, implementation, and results on the ground. Under the regime of President Rodrigo Duterte, political elites in the Philippines have pressed Chinese firms to adapt to some of their demands for political expediency on key infrastructure projects. This pattern is evident from the Kaliwa Dam and the Chico River Pump Irrigation Project—both of which have made substantial progress during Duterte’s rule. In particular, Manila has bypassed local social and environmental regulations and has paved the way for Chinese dam builders to break ground on projects quickly so as to strengthen the Duterte government’s political standing. Around the world, Chinese firms have been highly attentive to the will of local political elites, limiting or sometimes completely avoiding relationships with opposition elites and ties to civil society members. Philippine politics is turbulent. Projects supported by the Duterte regime today might not have the same traction under his successor. So while these Chinese concessions have earned favor with Duterte and his allies, such tactics may prove unsustainable over the long term and could easily spur future resentment against China among local communities marginalized by this decisionmaking. In sum, it is Filipinos, not Chinese actors, who mostly have set the agenda on these major infrastructure projects, except on a few specific contractual terms.
Topic:
Development, Politics, Infrastructure, Rodrigo Duterte, and Construction
Political Geography:
China, Philippines, and Asia-Pacific

153. Chinese Mining and Indigenous Resistance in Ecuador

Author:
Cintia Quiliconi and Pablo Rodriguez Vasco
Publication Date:
09-2021
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
Chinese mining companies were drawn to Ecuador by a strong interest in diversifying their sources of copper in Latin America. But Chinese mining operations in Ecuador, which could have contributed to Ecuadorian development, soon gained a negative reputation after these activities prompted a great deal of local pushback, especially from affected Indigenous communities. As a result, the major Chinese mining consortium that now controls Ecuador’s two main copper mines has taken adaptive steps to stabilize its mining investment and increase the security of its supply networks, steps that often have not produced the intended results. Working through two subsidiaries, the Chinese mining consortium has responded to this localized criticism with a blend of tactics that includes co-opting select local figures, colluding with national officials to sidestep environmental and sociocultural safeguards, and coercing inhabitants into relocating under the threat of force from accommodating Ecuadorian authorities. By turning Ecuadorian national elites against locals and using divide-and-conquer tactics among Indigenous communities, the Chinese-led mining projects have entrenched existing political cleavages, have undermined community cohesion, and ultimately have harmed Ecuador’s democratic fabric, especially the standing of civil society and Indigenous rights organizations. While Ecuador has welcomed Chinese capital and other sources of international investment, this infusion of financing has increased the risk of political abuses at the national and local levels. This paper explains the adaptive strategies employed by the Chinese consortium and its subsidiaries in charge of the Mirador and San Carlos Panantza mining sites, contrasting the differing results these tactics have produced in each case. Both projects are located in Ecuador’s so-called Copper Belt provinces of Morona Santiago and Zamora Chinchipe, which are part of a mountain range known as the Cordillera del Cóndor. They are embedded in an ecologically and culturally sensitive zone that includes territory of the Indigenous Shuar community in the Ecuadorian Amazon. In the case of Mirador, the Chinese mining consortium’s adaptive response helped its subsidiary overcome local resistance but only by crushing it. In the case of San Carlos Panantza, local resistance so far has not been overcome, so the Chinese consortium has remained unable to proceed with its project. Neither case, even the Mirador site where mining has moved forward, is a sign of success for future relationships between Chinese mining conglomerates and Ecuadorian communities. To understand why the Chinese consortium’s adaptive tactics were somewhat more successful in Mirador, it is important to focus on the differing composition of the inhabitants of the land where the two mines are located. Mirador sits on territory shared by Shuar and non-Shuar settler communities who have different bonds with the land. The non-Shuar settlers emphasize the productive and commercial value of the land over the spiritual and symbolic value that is key for many in the Shuar community. The Canadian-held and later Chinese-controlled companies active in Ecuador’s mining industry understood this difference between Mirador’s inhabitants and adapted accordingly: they managed to displace resistant residents despite widespread opposition through questionable and sometimes arguably illegal purchases of land. In San Carlos Panantza, a second subsidiary of the Chinese consortium chose to respond to local criticism with the same alleged practices of violence, occupation, and displacement used in Mirador. However, although the two projects are geographically near each other, the situation played out differently at the second would-be mine: ongoing opposition has prevented mining operations from beginning at all yet. Again, paying attention to the inhabitants of the land is instructive. San Carlos Panantza is in the heart of Shuar territory in Arutam, a region with few non-Indigenous settlers. The mining incursion by the Chinese-run subsidiary and the Ecuadorian security forces tasked with supporting it were seen as a threat to the area’s Shuar people, who have been strongly protesting and opposing the mining venture since late 2016. This state of affairs is likely to have far-reaching effects for Ecuador too. The apparent collusion between Ecuador’s national government and the Chinese consortium (and its subsidiaries) has crushed those who oppose mining, has upended the country’s policies on resource extraction, and has yielded documented violations of local communities’ human rights. These events have transpired because both the Chinese firms and the Ecuadorian state have tended to see local communities as an obstacle to the development of the country’s extractive industries. As a result, local social and environmental safeguards have been weakened, tenuous consultation processes have eroded, environmental licenses have been granted under dubious circumstances, and local communities have been forcibly displaced. This paper explores the implications of the adaptive tactics chosen by the Chinese mining subsidiaries that run the Mirador and San Carlos Panantza mines. It also addresses how Chinese companies have, in some cases, negotiated with local communities to begin mining exploitation, while also analyzing the ways the Chinese mining consortium has interacted with the Ecuadorian government and other players, such as the Canadian mining company it acquired and other peer companies that set up successful coalitions for mining development in Ecuador. Finally, the paper explores the effects the agreements between the Ecuadorian government and the Chinese consortium have had on local actors.
Topic:
Development, Government, Mining, Indigenous, and Resistance
Political Geography:
China, Asia, South America, and Ecuador

154. China’s Influence in South Asia: Vulnerabilities and Resilience in Four Countries

Author:
Deep Pal
Publication Date:
10-2021
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
China’s economic and political footprint has expanded so quickly that many countries, even those with relatively strong state and civil society institutions, have struggled to grapple with the implications. There has been growing attention to this issue in the United States and the advanced industrial democracies of Japan and Western Europe. But “vulnerable” countries—those where the gap is greatest between the scope and intensity of Chinese activism, on the one hand, and, on the other, local capacity to manage and mitigate political and economic risks—face special challenges. In these countries, the tools and tactics of China’s activism and influence activities remain poorly understood among local experts and elites. Both within and beyond these countries, meanwhile, policy too often transposes Western solutions and is not well adapted to local realities. This is especially notable in two strategic regions: Southeastern, Central, and Eastern Europe; and South Asia. China’s economic and political profile has expanded unusually quickly in these two regions, but many countries lack a deep bench of local experts who can match analysis of the domestic implications of Chinese activism to policy recommendations that reflect domestic political and economic ground truth. To address this gap, the Carnegie Endowment initiated a global project to better understand Chinese activities in eight “pivot” countries in these two strategic regions. The project’s first objective was to enhance local awareness of the scope and nature of Chinese activism in states with (1) weak state institutions, (2) fragile civil societies, or (3) countries where “elite capture” is a feature of the political landscape. Second, the project aimed to strengthen capacity by facilitating a sharing of experiences and best practices across national boundaries. Third, the project sought to develop policy prescriptions for the governments of these countries, as well as the United States and its strategic partners, to mitigate and respond to activities inimical to political independence or well-balanced economic growth and development. To establish a comprehensive picture of China’s activities and their impact, this project dug deeply into Chinese activism in four case countries in each region—eight countries in total. We began by holding workshops, so that influencers across countries could share experiences and compare notes. Invited participants included policymakers, experts, journalists, and others—all with deep local knowledge, steeped in their countries’ politics, economies, and civil societies. In Europe, the four countries were Georgia, Greece, Hungary, and Romania, and in South Asia, Bangladesh, Maldives, Nepal, and Sri Lanka. Cross-national discussions among these regional participants aimed to raise awareness, discuss the implications of China’s growing activism in their countries, and compare notes on the diverse ways in which these various countries had managed the rapid influx of Chinese capital, programs, people, technology, and other sources of influence.
Topic:
International Relations, Foreign Policy, Development, Economy, Engagement, Regionalism, and Resilience
Political Geography:
Bangladesh, China, South Asia, Sri Lanka, Nepal, and Maldives

155. Fintech for Good: Governance Mechanisms for Sustainable Development

Author:
Olaf Weber and Sep Pashang
Publication Date:
09-2021
Content Type:
Working Paper
Institution:
Centre for International Governance Innovation
Abstract:
Financial technology (fintech) for good can help to achieve sustainable development through environmental, social and governance investing, and through financial inclusion initiatives to address the needs of underbanked and unbanked individuals. Although the COVID-19 pandemic has necessitated greater dependence on digital banking technologies, the lack of cohesive governance and regulatory mechanisms around fintech in Canada and abroad is an obstacle toward achieving the UN Sustainable Development Goals. The authors of this paper argue that better governance and regulatory frameworks are needed to minimize the risks associated with fintech for good while maximizing its benefits.
Topic:
Development, Science and Technology, United Nations, Governance, Sustainable Development Goals, Innovation, and Sustainability
Political Geography:
Canada and North America

156. Pork, infrastructure and growth: Evidence from the Italian railway expansion

Author:
Roberto Bonfatti, Giovanni Facchini, Alexander Tarasov, Gian Luca Tedeschi, and Cecilia Testa
Publication Date:
07-2021
Content Type:
Working Paper
Institution:
Nottingham Interdisciplinary Centre for Economic and Political Research (NICEP)
Abstract:
This paper studies the role played by politics in shaping the Italian railway network, and its impact on long-run growth patterns. Examining a large state-planned railway expansion that took place during the second half of the 19th century in a recently unified country, we first study how both national and local political processes shaped the planned railway construction. Exploiting close elections, we show that a state-funded railway line is more likely to be planned for construction where the local representative is aligned with the government. Furthermore, the actual path followed by the railways was shaped by local pork-barreling, with towns supporting winning candidates more likely to see a railway crossing their territory. Finally, we explore the long-run effects of the network expansion on economic development. Employing population and economic censuses for the entire 20th century, we show that politics at a critical juncture played a key role in explaining the long-run evolution of local economies.
Topic:
Development, Political Economy, Infrastructure, and Railways
Political Geography:
Europe and Italy

157. Preventing Violent Islamic Radicalization: Experimental Evidence on Anti-Social Behavior

Author:
Pedro C. Vicente and Inês Vilela
Publication Date:
10-2021
Content Type:
Working Paper
Institution:
Kellogg Institute for International Studies
Abstract:
Violence perpetrated by radicalized Muslims is a major problem around the world. We collaborated with the main Islamic authority in Mozambique, which sponsored two randomized interventions to prevent violence related to youth radicalization: a religious campaign against extremist views of Islam, targeting change in beliefs; and a training module on entrepreneurship and employment, aiming to increase the opportunity cost of conflict. Our measurement focuses on anti-social behavior in a Joy-of-destruction lab game. We find that only the religious treatment decreased the propensity to destroy the payoffs of others. Consistently, surveys show increased trust in the state and decreased support for extremism.
Topic:
Development, Political Economy, Religion, Economic Growth, Youth, Conflict, Violence, and Peacebuilding
Political Geography:
Africa and Mozambique

158. Toxic Conflict: Understanding Venezuela's Economic Collapse

Author:
Juan Carlos Fernández-Rodríguez
Publication Date:
11-2021
Content Type:
Working Paper
Institution:
Kellogg Institute for International Studies
Abstract:
This paper discusses the causes of Venezuela’s recent economic collapse, the largest in modern Latin American economic history and one of the largest in modern world history outside of wartime. I argue that Venezuela’s economic implosion is a combination of two crises. The first one reflects the standard unraveling of a populist macroeconomic cycle fed by overspending during a resource boom, while the second one reflects the severing of the country’s trade and financial links with the global economy. This severing is the consequence of the decision by political actors to adopt “scorched earth” strategies with large negative aggregate economic spillovers in their fight for power. I argue that the inability of Venezuela’s high-stakes, winner-take-all political system to deal with the large negative 2014–16 trade shock precipitated the change in political strategies and the descent into economically destructive political conflict.
Topic:
Development, Political Economy, Democracy, Economic Growth, Conflict, Institutions, and Peacebuilding
Political Geography:
South America and Latin America

159. The Savings and Growth Nexus in Bangladesh

Author:
Sultan Hafeez Rahman and Md. Nahid Ferdous Pabon
Publication Date:
09-2021
Content Type:
Working Paper
Institution:
BRAC Institute of Governance and Development (BIGD), Brac University
Abstract:
The paper investigates the causal relationship between Bangladesh’s gross domestic savings (GDS) and gross domestic product (GDP) in the years 1980 to 2018. Using yearly time series data from the period, the authors employ one long-run and two short-run causality tests to identify the direction of causality between the two variables. Bangladesh experienced stellar GDP growth between 1990 and 2019, averaging 6.5 percent per year. In the latter years, this rate was over 7 percent per year. Despite that, its GDS rate only increased to 22 percent from 15 percent in the same period. This is in stark contrast to the scenario in countries like India, China, Indonesia, and Thailand. The Philippines, however, had a low savings rate like Bangladesh. A common feature of both countries is their large remittances and the broad-based growth effects in the economies. In both Bangladesh and the Philippines, gross national savings (GNS) rather than GDS caused greater investment. Thus, domestic savings were clearly not the key driver of growth in Bangladesh, which is inconsistent with the view of capital fundamentalists and neoclassical growth theory. The findings suggest that, in the short run, the direction of causality between savings and economic growth is unidirectional from economic growth to savings. And in the long run, there is no evidence of statistically significant causality in either direction. In other words, higher economic growth induced savings in Bangladesh in the studied period of time.
Topic:
Development, GDP, Economic Growth, and Savings
Political Geography:
Bangladesh and South Asia

160. Social Mobility and Economic Development: Evidence from a Panel of Latin American Regions

Author:
Guido Neidhofer, Matias Ciaschi, Leonardo Gasparini, and Joaquín Serrano
Publication Date:
09-2021
Content Type:
Working Paper
Institution:
Center for Distributive, Labor and Social Studies (CEDLAS)
Abstract:
We explore the role of social mobility as a driver of economic development by constructing a panel data set that includes measures of intergenerational mobility of education at the sub-national level in Latin America. First, we map the geography of educational mobility for 52 Latin American regions, as well as its evolution over time. Then, through a novel weighting procedure that considers the participation of cohorts to the economy in each year, we estimate the effect of changes in mobility on economic indicators, such as income per capita, poverty, child mortality, and luminosity. Hereby, we control for several covariates, including migration, educational expansions, initial conditions, and unobserved cross-regional heterogeneity. Our findings show that increasing social mobility had a significant and robust impact on the development of Latin American regions.
Topic:
Development, Economic Growth, Economic Mobility, Equality, and Equality of Opportunity
Political Geography:
Latin America

161. Crime, inequality and subsidized housing: evidence from South Africa

Author:
Roxana Elena Manea, Patrizio Piraino, and Martina Viarengo
Publication Date:
05-2021
Content Type:
Working Paper
Institution:
Centre for Trade and Economic Integration, The Graduate Institute (IHEID)
Abstract:
We study the relationship between housing inequality and crime in South Africa. We create a novel panel dataset combining information on crimes at the police station level with census data. We find that housing inequality explains a significant share of the variation in both property and violent crimes, net of spillover effects, time and district fixed effects. An increase of one standard deviation in housing inequality explains between 9 and 13 percent of crime increases. Additionally, we suggest that a prominent post-apartheid housing program for low-income South Africans helped to reduce inequality and violent crimes. Together, these findings suggest the important role that equality in housing conditions can play in the reduction of crime in an emerging economy context.
Topic:
Crime, Development, Inequality, and Housing
Political Geography:
Africa and South Africa

162. Food security in the long-run: a macroeconomic approach to land use policy

Author:
Pedro Naso, Ozgun Haznedar, Bruno Lanz, and Timothy M. Swanson
Publication Date:
11-2021
Content Type:
Working Paper
Institution:
Centre for Trade and Economic Integration, The Graduate Institute (IHEID)
Abstract:
It is important to dedicate substantial parts of the global land supply to public good uses in the 21st century, for purposes of climate change management and biodiversity provision. But will it also be possible to meet the food requirements of 12 billion people while doing so? Using a macroeconomic model (MAVA), we demonstrate that it may be possible to provide both for food security and environmental services in the long run. We first show that it may be possible to provide for food security with very substantial constraints on the amount of land used in agriculture with relatively minor welfare losses. We then show that global policies that reallocate labour across sectors of the economy may have the capacity for directing the economy toward reduced reliance on land in agriculture. Focusing on education, research and development, and fertility costs may be the best way to meet these combined goals. Details
Topic:
Development, Food Security, Macroeconomics, and Land
Political Geography:
Global Focus

163. A Contextual Analysis of Green Micro, Small and Medium Enterprises/Local Green Enterprises in Uganda

Author:
Advocates Coalition for Development and Environment (ACODE)
Publication Date:
12-2021
Content Type:
Working Paper
Institution:
Advocates Coalition for Development and Environment (ACODE)
Abstract:
The Micro, Small and Medium Enterprises (MSMEs) dominate Uganda's economy. They play a pivotal role in production and supply chains, value addition, technology transfer, development and innovation. MSMEs, underpin the country's competitiveness, employment, income and wealth creation and if greened and well harnessed, they have a big potential to facilitate transitioning to an inclusive transformative growth trajectory.The report contributes to a better understanding of the sustainable financial architecture and how it affects the activities and priorities of LGEs in Uganda. It is hoped that the report will guide informed discussions at local and national levels and feed into the development of sustainable finance policy instruments, laws, support systems and standards that improve investment climate for LGEs and consequently promote the greening of MSMEs.
Topic:
Development, Economy, Green Technology, and Green Transition
Political Geography:
Uganda and Africa

164. Employment effects of R&D and innovation: Evidence from small and medium-sized firms in emerging markets

Author:
Rajeev K. Goel and Michael Nelson
Publication Date:
08-2021
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
This paper studies the impact of research and development (R&D) and innovation on employment growth, focusing on small and medium-sized firms. Employment effects of R&D and innovation are unclear a priori as process innovation may be labor-saving or labor might have complementarities with other inputs. Employing firm-level data from 125 nations, results show that both R&D and innovation increased employment growth, suggesting that innovation was either capital-saving or labor had strong complementarities with other inputs. Upon splitting the sample into growing and contracting firms showed that contracting firms benefit from innovation but not from R&D. In other findings, sole proprietorships, larger firms, firms with relatively more experienced managers, firms with females as top managers, and firms facing the threat of informal competition had lower employment growth, while foreign-owned and government-owned enterprises have positive influences on employment growth. Finally, employment growth in shrinking firms was boosted in nations with greater economic freedom, but this growth is undermined by informal sector competition.
Topic:
Development, Emerging Markets, Research, Innovation, and Research and Development
Political Geography:
Global Focus

165. Green gifts from abroad? FDI and firms' green management

Author:
Peter Kannen, Finn Ole Semrau, and Frauke Steglich
Publication Date:
11-2021
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
Improvements of firms' environmental performance crucially determine the speed of a country's green economic transformation. In this paper, we investigate whether firms with foreign ownership are more likely to adopt 'green' management practices, which determine the capability to monitor and improve a firm's impact on the environment. By using multi-country firm-level data, we show that foreign ownership increases the likelihood of implementing green management practices. Considering country heterogeneity, we reveal that only firms based in more developed economies and in countries with better environmental performance benefit from foreign direct investment, while this is not the case for firms based in less developed economies or countries with weak environmental performance. In addition, we find that the effect is more robust for manufacturing sector firms than for service sector firms. Overall, our results suggest that foreign ownership can contribute towards a country's green economic transformation.
Topic:
Development, Economics, Environment, Green Technology, and Green Transition
Political Geography:
Global Focus

166. Two Birds, One Budget: Using ODA for Influence and Development in the Indo-Pacific?

Author:
Rachael Calleja, Sam Hughes, and Beata Cichocka
Publication Date:
12-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
This paper explores the UK’s proposed “Indo-Pacific tilt” from a development perspective. In light of recent cuts to the UK’s official development assistance (ODA), we ask how the UK can use scarce development resources in the Indo-Pacific more effectively to capitalise on opportunities to support strategic objectives while ensuring that ODA remains squarely focused on development priorities. Our analysis seeks to understand both how the UK is positioned within the Indo-Pacific, which is an already-crowded development landscape, as well as where the UK’s strategic and developmental priorities in the region might meaningfully overlap. We find that while there are some opportunities for the UK to support both development objectives and strategic interests concurrently in the Indo-Pacific—such as in the provision of regional and global public goods—the countries with the greatest strategic value to the UK are not those where additional ODA could contribute most clearly to poverty reduction. We conclude the paper with six policy recommendations. Among others, we propose that the UK should consider partnering with other like-minded providers to maximise its presence in the region.
Topic:
Development, International Cooperation, Infrastructure, and Influence
Political Geography:
United Kingdom, Europe, and Indo-Pacific

167. Addressing the “Root Causes” of Irregular Migration from Central America: An Evidence Agenda for USAID

Author:
Sarah Rose, Reva Resstack, Helen Dempster, Elisa Cascardi, and Jeremy Weinstein
Publication Date:
12-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
In recent decades, the number of people migrating irregularly from the three Northern Triangle countries of Central America—El Salvador, Guatemala, and Honduras—has been increasing, putting pressure on the Biden-Harris administration to address the root causes of irregular migration and deliver “results.” Evidence suggests that these countries are undergoing a demographic and economic transition, hence emigration pressure will likely remain for the coming decades. Yet there is much an entity like USAID, the United States’ largest development agency, can do to moderate the short-run drivers of irregular migration such as violence, climate shocks, lack of economic opportunity, and inaccessibility of legal migration pathways. In this policy paper, we outline the available evidence within these areas that is directly pertinent to irregular migration and identify key evidence gaps to be filled by future research and evaluation. We conclude by outlining five recommendations for how USAID can ensure its work is evidence-based and contributes to new learning, supporting policymakers in this field for decades to come.
Topic:
Development, Immigrants, USAID, Influence, and Migrants
Political Geography:
Central America, North America, Honduras, Guatemala, El Salvador, and United States of America

168. Mapping China’s Multilateralism: A Data Survey of China’s Participation in Multilateral Development Institutions and Funds

Author:
Scott Morris, Rowan Rockafellow, and Sarah Rose
Publication Date:
11-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
A considerable body of recent research attempts to shed light on China’s bilateral aid and finance flows, but there have been fewer efforts focused on China’s participation in multilateral development channels. As a result, China’s role across the landscape of multilateral institutions and funds is poorly understood, even as China has emerged as a leading donor within many of these entities. Part of China’s increased multilateral engagement reflects its economic growth, with shareholding and assessed contributions based largely on economic size. But the government of China’s policy choices are also revealed, in part, through its patterns of voluntary funding, cooperation agreements, and influence through personnel instated in leadership positions. By collating data on China’s financial and non-financial engagement with multilateral development banks and other financial institutions, sector-based vertical funds, and the development entities of the United Nations, among others, this paper seeks to provide a clear picture of China’s role in the multilateral development system and the evolution of that role over the past decade. This assessment brings to light the weight of China’s voting power across the multilateral development banks, the extent to which Chinese firms benefit from procurement opportunities in multilateral institutions, and the degree to which China has achieved a singular position of being a large-scale donor and recipient in the multilateral system.
Topic:
Development, International Cooperation, Hegemony, and Multilateralism
Political Geography:
China and Asia

169. Navigating the Straits: Pull Financing for Climate and Development Outcomes

Author:
Ranil Dissanayake
Publication Date:
11-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
An increasing share of official development assistance is being used for climate-related activities. This trend is continuing despite the lack of comprehensive cost-effectiveness evidence to guide spending decisions and continuing concerns that few applications are effective or efficient mechanisms for either climate or development outcomes. This represents both a waste of scarce resources and a missed opportunity. This paper proposes that a well-designed pull financing mechanism, which identifies specific problems for which it will pay a pre-specified price for solutions that can scale up, has the potential to navigate these problems. When they work, a pull instrument can solve problems at scale at low cost by incentivizing private innovators to produce a socially beneficial product that people want to buy and use. However, the design challenges associated with them are not trivial: firstly, the identification and selection of technologies or problems for which the pull financing facility would be a sufficiently large portion of the market to shift incentives for innovators or producers (for technologies that exist but have not been taken up widely yet); and secondly, the ability to design contracts that incentivize socially beneficial innovation that are bought and used. This paper sets out the case for pull financing for climate and development activities, the challenges that need to be addressed to do it well, criteria for judging potential applications of pull financing and an initial indication of some sectors to which pull financing may be applied.
Topic:
Climate Change, Development, Environment, and Finance
Political Geography:
Global Focus

170. Translating Results-Based Financing from Theory to Operational Reality: Lessons from the Practical Application of RBF at the European Commission

Author:
Rachel Silverman
Publication Date:
10-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
esults-based financing (RBF) is one of several broad approaches to finance official development assistance (ODA) “that attempt[s] to connect at least a portion of payment to the verified achievement of results.” Despite some relatively high-profile programs and pilots—and broad interest and curiosity—RBF approaches have yet to penetrate the routine operations of large institutional grant- and contract-based funders, many of which are governed by complex bureaucracies, restrictive financial regulations, and deeply entrenched, risk-averse corporate cultures. The European Commission (EC) is one large and influential donor that has shown a long-standing interest in RBF approaches but is still in initial phases of implementation. Informed by a research partnership between the Center for Global Development (CGD) and EC Commission Directorate-General for International Partnerships (INTPA), this Policy Paper reflects on the experience and lessons learned in attempting to operationalize RBF at scale within a large funder of ODA, with important implications for the broader international development community. Starting at the macro level, it considers the institutional prerequisites for adoption of RBF within a donor agency—in this case, the European Commission/INTPA. It then zooms into the project-level design and negotiation process, including the choice of implementing partner (in this case a United Nations agency) and political and technical stumbling blocks. It concludes with a discussion of remaining challenges for broader use.
Topic:
Development, International Cooperation, Regional Cooperation, and Finance
Political Geography:
Europe

171. Are Development Finance Institutions Good Value for Money?

Author:
Paddy Carter
Publication Date:
10-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
Finance institutions take money from foreign aid budgets to invest in private enterprises. How much should they be given? We can make some progress on that question by looking at the return on investment in the form of higher real incomes for workers and customers, and comparing that to a cash transfer benchmark. There is considerable uncertainty, but what evidence we have suggests returns on investment are in a range that compares well to that benchmark. There is also a diversification argument that because we don’t know which of the things that aid can finance will ultimately prove most important for poverty eradication, aid allocation should hedge its bets. A low single digit percentage of aid allocated to increase the quantity and quality of private investment in low- and middle-income countries seems reasonable.
Topic:
Development, Foreign Aid, Finance, Investment, and Institutions
Political Geography:
Global Focus

172. Some Unpleasant ODA Arithmetic

Author:
Ranil Dissanayake and Atousa Tahmasebi
Publication Date:
10-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
Official development assistance is supposed to be designed to prioritise the economic development and welfare of developing countries. The OECD’s Development Assistance Committee is a club of wealthy donor countries which collaborate to set rules and norms to this effect. However, digging into the official data submitted by donors to the OECD reveals some unpleasant truths. We use data on every funding line reported by donors to the OECD between 2006 and 2019 to investigate the pattern and distribution of commitments and disbursements of ODA to developing countries, and discover that ODA is targeted poorly within the group of eligible developing countries; that this group of eligible countries is gradually expanding to include more relatively wealthy places; that aggregate ODA flows are organized and structured sub-optimally; and that ODA responds more to arbitrary income classifications than it should. We suggest informational and incentive reforms in response. These findings also suggest limits to what realistic reform of ODA can achieve, and, consequently, the importance of non-aid development policy for outcomes in developing countries.
Topic:
Development, International Cooperation, Foreign Aid, and Welfare
Political Geography:
Global Focus

173. Convergence, Development, and Energy-Intensive Infrastructure: Getting Africa to High-Income Status

Author:
Vijaya Ramachandran
Publication Date:
10-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
The structural changes in an economy that accompany its growth to high-income status have been predictable in Europe, the United States, and Asia, characterized by declining employment in agriculture and rising levels of urbanization driven by jobs in the modern industrial sector. As agricultural productivity rises, the share of people employed in agriculture declines, and both urbanization and employment in manufacturing increase. Food prices fall relative to wages, causing the share of income spent on food to decline to very low levels. Asian countries have followed a similar path, although at a much faster pace. Africa, however, is different. Despite a high share of the population in urban areas, most African countries have yet to see significant increases in agricultural productivity that might drive industrial growth and jobs. In most African countries, the rising share of urban population has not been matched by increases in agricultural productivity, falling food prices, or the emergence of a viable industrial sector. Available evidence shows that agricultural yields in Africa are low and food is costly, while the share of employment in agriculture remains high. For the process of structural transformation to get underway, African countries must manufacture of fertilizer, develop better methods of water control, improve transportation, and invest in cold storage. Each of these interventions requires significant amounts of energy, including energy from fossil fuels. And they are not replaceable—countries have managed structural transformation in different ways but, to date, none have leapfrogged the process.
Topic:
Agriculture, Development, Energy Policy, and Infrastructure
Political Geography:
Africa

174. How Effectively Is the Asian Development Bank Responding to COVID-19? An Early Assessment

Author:
Azusa Sato, Rakan Aboneaaj, and Scott Morris
Publication Date:
08-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
In 2020, the Asian Development Bank (ADB) joined efforts by other multilateral development banks (MDBs) to rapidly scale up support to developing countries to address COVID-19. Beyond headline numbers, there has been less focus on how ADB’s support was distributed by country income group, sector, modality, and product. Using an updated dataset on commitments and disbursements between 2018 and end of December 2020, we compare “pre-crisis” and “crisis period” trends. We overlay ADB data on other publicly available datasets reflecting population size, mobility levels, and government fiscal stimulus to evaluate the responsiveness and size of ADB support vis-à-vis other MDBs. Our findings show ADB’s response was most significant in the countries that most needed support—low income economies with sharp GDP declines and limited fiscal response capacity. The health and public sector management sectors had significant surges in commitments, and impacted the modality used. While there was a rise in grant and concessional financing in 2020, non- concessional loans and sovereign operations still dominated during the crisis period. We suggest further work on how these changes impact development outcomes, with a view to recalibrating the bank’s strategies in some sectors and products in the medium term.
Topic:
Development, Finance, Pandemic, COVID-19, and Banking
Political Geography:
Asia

175. A Review of Multilateral Development Banks’ Investments in Childcare

Author:
Megan O'Donnell, Kelsey Ross, and Shelby Bourgault
Publication Date:
08-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
The COVID-19 pandemic has led to an unprecedented increase in unpaid care work all over the world, causing women to leave the workforce, reversing decades of progress on gender equality, and resulting in increased focus and empathy around the global childcare crisis. Recognizing a gap in the evidence regarding multilateral development banks’ current (and historical) investments in childcare solutions, in this paper we seek to establish a baseline, exploring the extent to which MDBs have invested in childcare over time, across geographies, and through various sectors and activities. Using project data from eight multilateral development banks’ project databases, we compiled all projects with a childcare component from 2000 to June 2021. Our analysis explores best practices across institutions, identifies gaps and areas for improvement, and makes recommendations for how MDBs can increase and improve investments in childcare.
Topic:
Development, Multilateralism, Banks, Pandemic, COVID-19, and Childcare
Political Geography:
Global Focus

176. Binding Constraints on Digital Financial Inclusion in Indonesia: An Analysis Using the Decision Tree Approach

Author:
Firman Witoelar, Teguh Yudo Wicaksono, and Carlos Mangunsong
Publication Date:
07-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
Despite the concerted efforts of the Indonesian government to increase financial inclusion and the e-commerce–led growth of digital payment services, a large proportion of the country’s population remains financially excluded. Much of the growth and innovation has mainly benefited those already financially included. To understand this outcome, we use the decision tree approach developed by Claessens and Rojas-Suárez (2020), focusing on one of the products with the largest potential to increase financial inclusion in the country: e-money. Our analysis finds that a crucial binding constraint on the expansion of e-money services is a regulatory framework that creates an unlevel playing field between banks and nonbank providers of digital financial services. Regulatory restrictions applied to nonbanks on cashout services, agent recruitment, and know-your-customer processes are at the core of the problem. In addition, a perception of low benefits from the usage of formal financial services results in a lack of the critical mass of customers necessary to ensure the profitability of agents, particularly in remote and rural areas, and thus the expansion of e-money services. We also find other constraints that are not binding at the national level but are binding for some specific groups. The low provision of digital infrastructure in rural areas outside Java is one of them. In addition, constraints such as low trust in providers, though not binding, should be addressed in order to maximize the gains that could be obtained from relaxing the binding constraints.
Topic:
Development, Finance, Digitalization, and Digital Finance
Political Geography:
Indonesia and Oceania

177. Exploring How the US International Development Finance Corporation Can Support Health Sector Investments: Is the Glass Half Full or Half Empty?

Author:
Julia Kaufman, Janeen Madan Keller, and Rachel Silverman
Publication Date:
07-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
Health sector investments present an opportunity for the US International Development Finance Corporation (DFC), under the Biden-Harris administration, to demonstrate meaningful global leadership and refocus on its development mandate, driving broader health benefits and contributing to global economic recovery. DFC’s early days have been defined by a mixed record, notably in the health sector. Still, in the context of the pandemic’s health and economic impacts, the agency is well positioned to help strengthen pandemic preparedness and expand equitable access to health products and innovation in low- and middle-income countries. Through investments to build private sector manufacturing and delivery capacity, DFC can help stem and reverse these losses and insure against future health crises. This policy paper explores how DFC can strategically invest in health while balancing sometimes competing policy imperatives related to health equity, commercial viability, and foreign policy interests. We first provide an overview of the development finance landscape in the health sector and select DFC health-focused investments to date. We then suggest three high-impact engagement opportunities in the health sector for DFC to consider, including building regional manufacturing hubs for health supplies; providing R&D incentives for biotechnology; and supporting robust supply chains for health-adjacent services and delivery models. Lastly, we outline key principles to guide future DFC health sector investments, such as compatibility with long-term universal health coverage goals, a learning agenda for development effectiveness, and health-specific considerations for additionality and co-financing.
Topic:
Development, Health, Finance, and Investment
Political Geography:
North America and United States of America

178. Identifying Binding Constraints on Digital Payment Services in Ethiopia: An Application of a Decision Tree Framework

Author:
Getnet Alemu, Tadele Ferde, and Alejandro Fiorito
Publication Date:
07-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
While several comparable countries in sub-Saharan Africa have seen a significant increase in financial inclusion, mainly driven by digital financial services, Ethiopia still performs poorly. Even digital payment and transfer services, which lower-income and less literate segments of the population could benefit from, are rarely used. Given the low development level of Ethiopia, numerous supply and demand factors could explain this disappointing outcome. We use a decision tree framework to isolate and analyze potential constraints to find which are binding—that is, which constraints limit the expansion of digital payment services in Ethiopia. Our analysis indicates that supply-side problems are pervasive, and we find that competition problems in the essential digital infrastructure market and in the financial sector are responsible for the inadequate provision of digital payment services in Ethiopia. However, the root cause of inadequate competition, and therefore of low financial inclusion through digital payment services, is institutional deficiencies. The two key institutional deficiencies are the lack of capacity of regulatory and supervisory institutions, and the unwillingness of the central government to enable and promote competition. The dominance of public enterprises, Ethio Telecom and the Commercial Bank of Ethiopia, has kept the prices of digital payment services high, particularly for low-income populations, as fees charged for undertaking low-value transactions are very high and the cost of digital infrastructure (mobile phones and plans) is also substantial. Unless these institutional binding constraints are removed, digital payment services in Ethiopia, and digital financial services more generally, will hit a very short ceiling that limits their enormous potential to improve livelihoods in the country.
Topic:
Development, Finance, Digital Economy, and Digitalization
Political Geography:
Africa and Ethiopia

179. Incentivising Investment in Human Capital through the European Fund for Sustainable Development

Author:
Mikaela Gavas and Samuel Pleeck
Publication Date:
05-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
As the EU prepares to significantly scale up its deployment of blended finance, guarantees, and other risk-sharing tools aimed at stimulating investment in developing countries, and, in the face of spiralling needs as a result of COVID-19, this paper analyses how the EU could use its development budget to incentivise private investment in human capital. The paper provides three contributions. First, it gives an overview of the allocation of the EU’s external investment to date. Second, based on interviews with stakeholders, it documents cases of private investment in health and education while exploring some of the barriers to a higher share of investment in these sectors by the EU and its development finance partners. Finally, it puts forward a set of proposals for how to steer greater European external investment through the European Fund for Sustainable Development Plus (EFSD+) toward human capital.
Topic:
Development, Regional Cooperation, European Union, Investment, Human Capital, and Sustainability
Political Geography:
Europe

180. An Analysis of the Binding Constraints on Digital Financial Inclusion in India Using a Decision Tree Methodology

Author:
Nandini Harihareswara and Howard Miller
Publication Date:
04-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
The past decade has seen significant innovation and growth in the volume and value of digital payments in India. However, we find that the associated gains have been heavily concentrated in favor of wealthier and urban customers and have had less impact on lower income and rural populations. While some customers now have a far greater selection of quick, cheap, and convenient digital payments methods, as much as 65 percent of the population remains effectively excluded. Using a decision tree framework, we test a range of factors on the supply and demand sides that could be binding constraints on further digital finance penetration. We find that an unlevel playing field in favor of the (primarily state-owned) banking sector results in a lack of effective competition that could be inhibiting greater innovation and outreach in favor of lower-income and marginalized people. This unlevel playing field is potentially a function of institutional weakness combined with the nexus of control of the government and the banking sector, which is reinforced by the position of the National Payments Corporation of India. This control may also be viewed by the government as necessary to protect economic stability in a very dynamic market. To the extent that institutional deficiencies are the root cause of regulatory barriers to the entry of new providers and the scope of digital financial services offered, they are a binding constraint on advancing digital financial inclusion. Under this market structure, the outreach and inherent business models of digital payments and transfers do not provide sufficient perceived benefits to attract large segments of the population. Further, a lack of trust in providers combines with the perception of low benefits to generate an additional binding constraint, preventing the market from reaching a critical mass at which the bulk of the population would have the means and the incentives to use the system. Therefore, the market remains at an equilibrium below its potential.
Topic:
Development, Governance, Finance, and Digitalization
Political Geography:
India and Asia

181. How Do Development Agencies Support Climate Action?

Author:
Rachael Calleja
Publication Date:
03-2021
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
This paper explores how development agencies are integrating climate action into development portfolios in response to calls to scale-up climate engagements in alignment with both the Sustainable Development Goals and the Paris Agreement. Using data compiled on all 30 members of the Organisation for Economic Co-operation and Development’s Development Assistance Committee (OECD-DAC), this paper maps and analyzes trends in both the scale and usage of official development assistance allocated to support climate activities and the tools and approaches used to integrate climate across development activities. This paper shows that while climate has become a key priority for development agencies, there remains scope for deepening integration by improving monitoring and reporting of climate and development results, integrating climate considerations across the life cycle of projects, and searching for complementarities across agencies.
Topic:
Climate Change, Development, Environment, and Green Transition
Political Geography:
Global Focus

182. Household Food Waste Developments: A Comparison of Progress in the European Union and the United States

Author:
Sara Zaat
Publication Date:
01-2021
Content Type:
Working Paper
Institution:
Institute of European Studies (IES), UC Berkeley
Abstract:
The importance of addressing worldwide food waste in terms of combatingclimate change andalleviating food insecurity should not be overlooked(Food and Agriculture Organization of the United Nations[FAO],2011; Food and Agriculture Organization of the United Nations[FAO],2013). According to the FAO, around one-third of certainfood in the worldgoes unconsumedevery year, resulting in a loss of resources, including greenhouse gases (GHGs)(FAO, 2011; FAO, 2013). Considering the world will likely haveoverninebillion people by 2050 (United Nations, Department of Economic and Social Affairs, 2019; United Nations, Department of Economic and Social Affairs, Population Division, 2019), wasting good food is an increasingly egregious act; accordingly, theSustainable Development Goals ofthe United Nations include responsibly using food (United Nations, n.d.). One of the United Nations’ specific goals for 2030 is to “halve per capita global food waste at the retail and consumer levels and reduce food losses along production and supply chains, including post-harvest losses” (United Nations, n.d., Goal 12 targets section, para. 3).It is especially important to addresshouseholdfood waste in higher-income countries, where consumers are often a largecontributor (FAO, 2011).Which of suchcountries can lead efforts to addressthis harmful, household-level consumer food waste and support under-resourced communities? This Paper will discusssome ofthefood waste research, interventions, and reduction resolutionsin the United States (US) and in countries in the European Union (EU)to better understandfood waste in these countries.
Topic:
Development, Food, European Union, Waste, and Household
Political Geography:
Europe, North America, and United States of America

183. Fiscal Policy Letter No5: Improving Financial Inclusion To Broaden The Tax Base In Cameroon

Author:
Jean-Cedric Kouam and L.B. Bongbinsin
Publication Date:
07-2021
Content Type:
Working Paper
Institution:
The Nkafu Policy Institute
Abstract:
For several months, Cameroon has been facing the ravages of the pandemic caused by the coronavirus. To stop the spread of the virus, the Cameroonian authorities in April 2020 announced a series of fiscal easing measures to help companies and households in difficulty. Estimated at more than 114 billion CFA francs according to the Director-General of Taxation, the decisions taken have profoundly impacted public finances. Indeed, well before the pandemic, the country was already facing a high risk of external debt overhang (IMF, 2018) and immense security challenges in the North and the Anglophone regions. Despite this constraining socioeconomic and political context, the state must find the necessary and sufficient resources to ensure its proper functioning and territorial integrity. This fiscal policy letter proposes through analyzes a way for the government of Cameroon to increase its tax revenues in the coming years without penalizing growth: improving financial inclusion. The goal is to eliminate all constraints that exclude the most disadvantaged from full participation in the financial sector. The letter is structured around six key points. First, we provide an overview of Cameroon’s financial inclusion situation. Second, we analyze the factors that explain economic agents’ access to financial services, the transmission mechanisms between the financial and formal sectors, and the barriers to financial inclusion in Cameroon. Our results show that a deepening of the financial system would likely positively affect tax mobilization in Cameroon. Estimates show that a 10% increase in financial assets would lead to a 1.87% increase in tax revenue, equivalent to CFAF 49.70 billion – based on the level of tax revenue projected in the 2021 budget law. Similarly, a 10% increase in the number of secure servers – better access to the internet – would lead to a 1.1% increase in tax revenue, equivalent to CFAF 30.62 billion. This improvement in access to financial services for all economic agents – households, businesses – requires the public authorities to make the current regulations more flexible and increase the banking network’s density. This includes the development of payment systems, the construction of quality infrastructures, the definition of mechanisms to limit massive illicit capital flight, and the multiplication of consumer/investor protection guarantees.
Topic:
Development, Infrastructure, Governance, Finance, and Tax Systems
Political Geography:
Africa and Cameroon

184. Youth Participation In the Local Development Plan In Yaoundé 4: Issues and Roles

Author:
Sonwa Momo Berenice Kylian
Publication Date:
08-2021
Content Type:
Working Paper
Institution:
The Nkafu Policy Institute
Abstract:
Africa is a continent with a predominantly young population. The media and development experts around the world speak of it as a great wealth. Cameroon is one of those countries whose youth is the “driving force”. Lawn°2004/017of 22 July 2004 on the orientation of decentralisation in Cameroon, taken up by Law n°2019/024 of 24 December 2019 on the General Code of Decentralised Territorial Authorities, is quite explicit on the contribution of the population, and in particular young people, to their local development. For the voice of these young people to have a large-scale impact, coordination is needed. In this respect, youth organisations (associations) are likely to provide relevant solutions. This is the case of PIJEDECA (Independent Youth Platform for Democracy and Active Citizenship), which has been working for nearly five (5) years in mobilising youth around social, economic, democracy, citizenship and human rights issues. The ADEV (Association of Development Actors), for its part, “has been working for more than three years with women and young people in Cameroon society. “ From the outset, it is necessary to indicate what an association is in order to identify its role and its challenges in local development. Article 2 of Law No. 90/053 of 19 December 1990 on the freedom of association in the Republic of Cameroon provides that “association is the agreement by which persons pool their knowledge or activities for a purpose other than sharing profits”. This shows that the association has a collective function and does not aim at individual interest. It is in this pooling of skills that youth associations can effectively contribute to the development of their Decentralized Territorial Authorities (CTD). For the Confederation of Youth Organisations (COJ), “”a voluntary association of natural or legal persons that contributes to the development by young people of their personal skills in order to help them become active, responsible and critical citizens within society”. ». These organisations must be supported by young people who are committed to the development of a community, a territory, without neglecting the great contribution of volunteering. Several studies have been carried out on the contribution of young people to the development of their communities both in Cameroon and abroad. This is why it is important to specify the roles and issues of these youth associations in the commune of Yaoundé 4. In view of the above, what could be the roles and stakes of youth organisations in the development of Yaoundé 4? To answer this question is certainly to seek to establish a direct link between the civic commitment of these youth associations and their contribution to the development of Yaoundé 4.
Topic:
Development, Youth, Local, Participation, and Civic Engagement
Political Geography:
Africa and Cameroon

185. Water and Federalism: Working with States for Water Security

Author:
Srinivas Chokkakula, Avani Kapur, and Arkaja Singh
Publication Date:
12-2021
Content Type:
Working Paper
Institution:
Centre for Policy Research, India
Abstract:
India’s poor water security indicators are partly a result of the poor translation of federal spirit in governing its water resources. The limited scholarship on the subject recognizes the vacuum in federal water governance and the weak articulation of Centre’s role to work with states in pursuing India’s long-term development and security goals. Besides, coherent federal responses are critical to address the new governance challenges and emerging risks such as those linked to climate change, floods, dam safety, etc. Yet the national discourse on water federalism is dominated by interstate river water disputes. The study breaks new grounds by going beyond the narrow frame to engage comprehensively with the idea of water federalism in India. It explores the range of policy, institutional, legal and financial instruments for improved water governance. Conceptualised as the Centre’s leverage, the study investigates into these instruments to explore opportunities for the Centre to work with states for improved outcomes. Using mixed methods of qualitative and quantitative approaches, the study looks at the transforming Indian federal state from two contrasting viewpoints: the shifting stakes of the Centre and states in water resources development; and the converging forces of development goals and security concerns. The analysis is supported by case studies of Maharashtra, Punjab and Karnataka states revealing the diverse territorial imaginations and priorities of water resources development and, their implications for national water security. It also examines the experiences of central schemes through intergovernmental fiscal transfers and federal water governance practices internationally to incentivize states’ progressive pathways in water resources management. Identifying federal consensus-building about the Centre’s role and autonomous institutional architecture for data as the two foundational pillars, the study makes concrete recommendations to improve federal governance for long-term development and water security.
Topic:
Security, Development, Water, and Federalism
Political Geography:
South Asia and India

186. Free Trade as an Anchor for Sustainable Development

Author:
Sundjo Fabien and Sunjo Tata
Publication Date:
12-2021
Content Type:
Working Paper
Institution:
The Nkafu Policy Institute
Abstract:
Does trade enhance or jeopardize sustainable development? This brief answers this question by debunking the myth that protectionism is a driver of sustainable development. It then outlines the ways in which free trade can lead to sustainable development. This brief finds that free trade is a boon for GDP growth, value chains, and better productivity. It will equally lead countries to specialize and become more competitive. This brief pithily finds that free trade will anchor sustainable development if countries synchronize trade facilitation measures and lower non-tariff barriers such as indiscriminate checks at land borders.
Topic:
Development, International Trade and Finance, Sustainable Development Goals, Free Trade, and Sustainability
Political Geography:
Africa

187. The Institutional Context of Humanitarian Helping in Contemporary Italy

Author:
Adriano Profeta, Lisa Ann Richey, and Maha Rafi Atal
Publication Date:
05-2021
Content Type:
Working Paper
Institution:
Centre for Business and Development Studies (CBDS), Copenhagen Business School
Abstract:
Italy was itself a recipient of foreign aid and has now become a donor engaged in multiple forms of humanitarian helping abroad and at home. The institutional context of humanitarian helping in Italy is constituted by a moving constellation of relationships between the state, the church, and the nonprofit sector. As we see the changing institutional context for Italian nonprofits with decreasing public solidarity, negative discursive framing, and the need to diversify fund-raising channels, Italian businesses are being sought out for partnerships between profit and nonprofit actors (De Marchi and Martinez 2020). As in other donor countries, there has been a weakening of public trust in the traditional aid sector of Italian nonprofits combined with recently decreasing national funding for humanitarian helping abroad. These trends have led to an increasing need for nonprofits to pivot their fund-raising campaigns toward individuals and social networks such as Facebook (De Carli, 2019c). Today, the interface for “helping” brings together government legislation, state bodies, for-profit organizations, nonprofit organizations, the church, and individuals. To begin to understand the interface of humanitarian helping and the trends in Italy today, this working paper documents and explains the history of Italian cooperation for development and humanitarian helping. The next section will explore changes in perceptions of non-state helping and doing good. The third section will turn to government-based helping in contemporary Italy to understand the formal structures shaping humanitarianism and international development. The fourth section examines the institutional organization of the contemporary development cooperation system that links actors in helping interventions. Within this, we examine the public funding trends for development helping. Section five then examines the private funding available. Finally we conclude with some reflections on what this institutional context suggests for the mix of public and private helping abroad.
Topic:
Development, Humanitarian Aid, Foreign Aid, Public Sector, Private Sector, Non-profits, and Public-Private Partnership
Political Geography:
Europe and Italy

188. Biodiversity and Development: The evolution of Community Based Conservation and implications for Danish development cooperation

Author:
Mikkel Funder and Marie Ladekjær Gravesen
Publication Date:
12-2021
Content Type:
Working Paper
Institution:
Danish Institute for International Studies (DIIS)
Abstract:
Loss of nature and biodiversity constitutes a major global crisis for environment and development and interacts closely with the climate crisis. After a period of limited attention, conservation is again rising on the agenda of development cooperation, especially in the context of Nature-based Solutions. There is a growing consensus that biodiversity goals can only be achieved by focusing more on conservation outside conventional protected areas. This offers new opportunities for both conservation and development, but it also poses a risk of ‘green grabbing’ whereby communities loose access to land and natural resources that are key for their survival and resilience. In the support to biodiversity conservation, attention to Community Based Conservation (CBC) is therefore critical. However, CBC approaches are not new and have not always worked. Future support to such approaches must therefore learn from the past and incorporate new directions. This DIIS Working Paper, written by Mikkel Funder and Marie Ladekjær Gravesen, DIIS, provides an overview of the evolution of community-based biodiversity conservation since the 1980s, where new approaches are heading, and what the overall lessons are so far. On this basis it provides recommendations for how Denmark’s development cooperation can support community-based conservation. The paper focuses on the socioeconomic and governance dimensions of community-based conservation and draws particularly on experiences from area-based conservation in the African setting. The study finds that: • CBC has developed and expanded but is not yet consolidated on the ground • Community rights to land and natural resources are critical for successful CBC • CBC must be better anchored in local livelihoods and economies • Economic compensation and income substitution is not enough in itself • A growing emphasis on CBC in ‘working landscapes’ offers potential • National associations and networks have been important platforms for CBC advocacy • There is a need to strengthen horizontal and vertical institutional links for CBC The paper recommends that Denmark should: Strengthen support to community-based conservation outside protected areas. Denmark can play an important role in helping to ensure that conservation in these spaces is done in the right and most effective way, i.e. that it benefits biodiversity while also strengthening the rights and livelihoods of communities. Integrate support to CBC with support to climate change adaptation and resilience. With the right approach, Ecosystem Based Adaptation offers good scope for protecting and improving the conditions for both biodiversity conservation and development. Support protection of the land- and governance rights of communities and indigenous peoples in biodiversity conservation. Denmark should (i) advance legal recognition and enforceable safeguards of rights-based approaches in the implementation of the CBD’s post-2020 global biodiversity framework; (ii) support practical application of the IUCN’s Natural Resource Governance Framework and standards for Nature Based Solutions; and (iii) prioritise multilateral and bilateral support to conservation initiatives that actively sustain and strengthen community land rights as part of the solution. Support CBC approaches that transcend the conventional separation between human production and conservation. This entails a broad approach to biodiversity conservation which goes beyond species protection in isolated islands of ‘wild nature’. A key emphasis should be on supporting CBC in ‘working landscapes’, i.e. strengthening existing sustainable production systems in crop farming areas, rangelands, forests, wetlands, urban areas etc. Support CBC schemes to become more firmly anchored in local resource use economies. Many conventional CBC schemes - especially in the African setting – are heavily dependent on international leisure markets such as tourism/hunting and on recurrent donor funding. This poses risks, as illustrated by the major funding concerns for African conservation following the Covid-19 epidemic. A more diversified strategy is needed. Facilitate bio-cultural approaches to the governance of biodiversity conservation. This means accepting a diversity of conservation values and that conservation will look different from place to place. It entails an approach in which CBC arrangements are tailored to the socio-ecological and cultural context - rather than following a universal model - but which also builds broader nested governance frameworks for negotiation, decision-making, conflict resolution and knowledge sharing. Alongside place-based conservation, it is critical to sustain and strengthen Denmark’s efforts to engage with the broader drivers of biodiversity loss at global and national levels. While CBC is critically important for conservation, it cannot on its own address wider drivers of biodiversity loss.
Topic:
Climate Change, Development, Natural Resources, and Land Rights
Political Geography:
Denmark

189. Migration and foreign aid: Drivers, desires and development

Author:
Ida Marie Savio Vammen, Lars Engberg-Pedersen, and Hans Lucht
Publication Date:
11-2021
Content Type:
Working Paper
Institution:
Danish Institute for International Studies (DIIS)
Abstract:
In the often heated European policy debates over migration, conflict, lack of development, population growth, and climate change are often described as the ‘root causes’ that make people seek refuge and a better life in Europe. However, recent research-based literature on the links between migration and development stands in stark contrast to such simplified assumptions. This new DIIS Working Paper explores the relationship between migration, development, and foreign aid. It builds on insights from both quantitative and qualitative studies focusing on Africa – especially West Africa – and is divided into three parts. It first examines the factors that underpin human mobility, then looks at contemporary African migration trajectories, and finally discusses how migration relates to foreign aid. The paper shows that irregular migration to Europe is limited and a result of economic progress, rather than poverty or conflict alone, thus making foreign aid an ineffective instrument to curb it. Furthermore, the paper argues that foreign aid initiatives often focus on externally defined root causes of migration and rarely attempt to understand locally determined drivers of migration. To better grasp how development policies and migration intersect, more in-depth research is needed.
Topic:
Foreign Policy, Development, Migration, Foreign Aid, and Inequality
Political Geography:
Europe and Denmark

190. Governing climate mobility: Scoping study of two localities in Ghana

Author:
Joseph Teye, Francis Jarawura, Lily Salloum Lindegaard, Nauja Kleist, Marie Ladekjær Gravesen, Philip Mantey, and David Quaye
Publication Date:
09-2021
Content Type:
Working Paper
Institution:
Danish Institute for International Studies (DIIS)
Abstract:
Climate change is expected by many to produce new and/or intensified mobility patterns, including migration and displacement. However, only limited research exists on the relationship between climate change and human mobility, specifically on the implications of increasingly intense slow-onset climate change, such as weather variability and extremes. This DIIS Working Paper provides initial data and analysis on climate, mobility and governance in Ghana as an input to the Governing Climate Mobility Research Programme. In parts of Ghana, temperature increases have now topped 1.5 ºC, weather patterns and seasons are shifting, and all of this is occurring on the backdrop of other environmental and agrarian changes. This paper documents such changes through multi-decadal analyses of temperatures and rainfall as well as vegetation change. However, it also links these changes, and how they are experienced locally, to existing governance and mobility dynamics in the programme’s case study areas in the Upper West Region and Eastern Region. For instance, the paper indicates how governance interventions, including failures, have affected agrarian livelihoods as seen in the deteriorating irrigation infrastructure in the Upper West Region, and how existing mobility patterns are linked to resource access and rural livelihoods. This working paper is a scoping study and therefore provides a detailed introduction to such environmental, socio-economic, governance and mobility dynamics in the study areas, as well as identifying key dynamics and possible linkages for further study. It builds on a previous GCM working paper that explores the historical linkages between climate, mobility and governance in Ghana.
Topic:
Climate Change, Development, Environment, Migration, and Mobility
Political Geography:
Africa and Ghana

191. The Challenges of Governance, Development and Security in the Central Regions of Mali

Author:
Mamadou Bodian, Aurélien Tobie, and Myriam Marending
Publication Date:
03-2020
Content Type:
Working Paper
Institution:
Stockholm International Peace Research Institute
Abstract:
Since 2015 Mali’s central regions of Mopti and Ségou have become insecure hotspots at the confluence of interconnected challenges in terms of governance, development and security. Although international interventions involving a full range of actors and sectors are being increasingly reoriented towards these regions, the sustainability of the responses depends on their ability to draw on the needs and priorities of local communities. This SIPRI Insights is based on a study that combines both quantitative and qualitative data to provide an evidence-based analysis of local perspectives in Mopti and Ségou. It highlights how the people there understand and respond to the governance, development and security challenges they face.
Topic:
Security, Development, Governance, Conflict, and Peace
Political Geography:
Mali and Africa

192. Military Spending and Official Development Assistance in Recipient States: Is there a Relationship?

Author:
Nan Tian and Diego Lopes da Silva
Publication Date:
08-2020
Content Type:
Working Paper
Institution:
Stockholm International Peace Research Institute
Abstract:
Official development assistance (ODA) plays an important and complementary role in promoting development in low- and middle-income states. Previous research in the literature has shown that ODA can have unintended con­sequences by enabling recipient states to shift ‘freed-up’ resources away from activities now funded by ODA to other spending categories. This literature has argued that the ‘freed-up’ resources could be funding military spending. This SIPRI Insights on Peace and Security queries these con­clusions and contributes to the debate by placing the relation­ship between ODA and military spending in context. The results show that, for low-income states, armed conflict is a major explanatory factor in determin­ing the positive association between increases in ODA and increases in military spending. While the existence of armed conflict drives both higher military spending and the need for higher levels of ODA, peace helps to lower military spending and states’ reliance on external aid.
Topic:
Development, Military Spending, Conflict, Peace, and Sustainability
Political Geography:
Global Focus

193. The Geopolitics of Food Security: Barriers to the Sustainable Development Goal of Zero Hunger

Author:
Jiayi Zhou, Lisa Marie Dellmuth, Kevin M. Adams, Tina-Simone Neset, and Nina von Uexkull
Publication Date:
11-2020
Content Type:
Working Paper
Institution:
Stockholm International Peace Research Institute
Abstract:
Assessing the prospects for Zero Hunger—Sustainable Development Goal 2—requires an understanding of food security that goes beyond developmental or humanitarian issues, to include linkages with geopolitics. Geopolitical challenges cut across areas such as natural resources, trade, armed conflict and climate change where unilateralism and zero-sum approaches to security directly hamper efforts to eradicate hunger and undermine the frameworks that govern those efforts. The report provides an overview of how geopolitics interacts with these areas. Competition for agricultural resources can be both a cause and a consequence of geopolitical rivalry. International trade, while essential for food security, also creates vulnerabilities through supply disruptions—sometimes politically motivated. Armed conflict is a driver of food insecurity, which can itself feed into social unrest and violence. Climate change interacts with all three phenomena, reshaping both the physical landscape and political calculus. These overlapping linkages require further integrated policy engagement and analysis.
Topic:
Climate Change, Development, International Trade and Finance, Governance, Food Security, Geopolitics, and Peace
Political Geography:
Global Focus

194. Strategies for Including Women’s and LGBTI Groups in the Colombian Peace Process

Author:
José Francisco Alvarado Cóbar
Publication Date:
11-2020
Content Type:
Working Paper
Institution:
Stockholm International Peace Research Institute
Abstract:
In order to have a more nuanced understanding of inclusive peace processes, it is important to understand how civil society can connect to formal peace negotiations. The Colombian peace negotiation process is highly regarded as one of the most inclusive processes; involving civil society groups from diverse backgrounds, including both women’s and lesbian, gay, bisexual, transgender/ transsexual and intersex (LGBTI) groups. But how do these groups leverage influence among the main conflict actors, and what specific challenges and opportunities do they face? This paper applies a conflict resolution and negotiation framework to assess the involvement of women’s and LGBTI groups in the most recent Colombian peace negotiation process. In doing so, the suggested framework provides a practical application of conflict resolution and negotiation strategies that can further complement discussions on inclusion of marginalized groups in other peace negotiation processes.
Topic:
Security, Civil Society, Development, Gender Issues, Governance, Women, Negotiation, LGBT+, and Peace
Political Geography:
Colombia and South America

195. Pathways of Climate Insecurity: Guidance for Policymakers

Author:
Malin Mobjörk, Florian Krampe, and Kheira Tarif
Publication Date:
11-2020
Content Type:
Working Paper
Institution:
Stockholm International Peace Research Institute
Abstract:
Policymakers are increasingly concerned with the climate-related security risks—the adverse effects of climate change on peace and security. This SIPRI Policy Brief outlines four interrelated pathways between climate change and conflict: (a) livelihoods, (b) migration and mobility, (c) armed group tactics, and (d) elite exploitation. These illustrate the relationship between short- and long-term environmental changes linked to climate change; their impact on the root causes and dynamics of violent conflict; and the critical role of human action, reaction and inaction in mediating violent outcomes. As a policymaking tool, pathways help to identify and navigate the political space for mitigating violent conflict. They can support decision makers in navigating these complex relationships in conflict-affected and climate-exposed regions by integrating local context into analyses of the security and conflict risks of climate change. Pathways also help to facilitate policy planning in areas such as livelihoods, mobility, resource management and governance.
Topic:
Security, Climate Change, Development, and Peace
Political Geography:
Global Focus

196. Enhancing Inter-Firm Linkages through Clusters and Digitalisation for Productivity Growth

Author:
Vo Tri Tranh
Publication Date:
01-2020
Content Type:
Working Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
This paper examines the policies for industrial cluster development in Viet Nam. The first export processing zone was established in 1991. Since 1994, Viet Nam has focused more on developing domestic productive capacity and thus various types of industrial estates were established. The key actors in industrial cluster policy are the government, Prime Minister, ministries, provincial people’s committees, and management boards of industrial and economic zones. The choice of industrial estate is often determined by factors such as geographic location, land, labour, infrastructure, industry, business environment, and incentives. Viet Nam has provided various incentives to industrial estates of various types, but the scope and extent of preferential policy support for firms in general and those operating in industrial and economic zones are rather modest. The industrial estates have contributed significantly to attracting foreign direct investment, to exports, to productivity improvement, etc. Looking forward, Viet Nam needs further efforts on industrial cluster development, including development of statistics, analysis of cluster policy impacts, and provision of FTA-consistent incentives.
Topic:
Development, Industrial Policy, Governance, Leadership, and Management
Political Geography:
Asia and Vietnam

197. Foreign Direct Investment and Labour Market Dynamics in a Developing Country: Evidence from Indonesian Plant-Level Data

Author:
Toshiyuki Matsuura and Hisamitsu Saito
Publication Date:
02-2020
Content Type:
Working Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
This study examines the impact of inward foreign direct investment on the wages and employment of skilled and unskilled workers in Indonesian manufacturing plants. Entry of multinational enterprises affects local labour markets through spillovers as well as labour and product market competition. Our results show that spillovers increase the labour demand of local plants for unskilled workers, but increased wages due to severe labour market competition reduce the demand for skilled workers. We also find that product market competition causes resource reallocation from low- to high-productivity plants. Thus, attracting inward foreign direct investment effectively enhances aggregate productivity growth, but may retard the transition to skill-intensive production in Indonesian manufacturing.
Topic:
Development, Foreign Direct Investment, Manufacturing, and Labor Market
Political Geography:
Indonesia and Asia

198. Technology Imports and Employment in Developing Countries: Evidence from Viet Nam

Author:
Thu Thu Vu and Duc Anh Dang
Publication Date:
08-2020
Content Type:
Working Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
Advanced machines and technology replace workers through automation. However, capital–labour substitution need not reduce aggregate labour demand, as it induces simultaneous contrasting effects within industries. To explore these effects, we examine the relationship between employment in Vietnamese manufacturing firms and imported capital goods in 2011–2017. To solve the problem of potential endogeneity and measurement errors, we used Association of Southeast Asian Nations (ASEAN) imported capital goods as an instrument variable for imported capital goods in Viet Nam. We found that imported capital goods do not displace employment and even increase employment and labour productivity. The impacts of imported advanced technology are more pronounced in large firms. More imported technology increases labour productivity in state-owned enterprises and the number of workers in large firms and firms in industrial zones. However, the increase in the level of employment is lower in industries and firms intensively using machines.
Topic:
Development, Science and Technology, Employment, and Imports
Political Geography:
Asia and Vietnam

199. The Effects of Financial Inclusion on Development Outcomes: New Insights from ASEAN and East Asian Countries

Author:
Rajabrata Banerjee, Ronald Donato, and Admasu Afsaw Maruta
Publication Date:
09-2020
Content Type:
Working Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
This study empirically examines the effects of financial inclusion on economic development, – economic growth, education, health, and income inequality – in 20 Asian countries in the period 2004-2015. The financial inclusion index at an aggregate level is constructed using a hybrid methodology (reported in the previous paper) and we empirically examine its relationship with particular development outcomes. We then disaggregate the index into the three dimensions of financial inclusions – access, usage, and quality – and further into the top two indicators from each dimension based on principal component analysis scores (reported in the previous paper), to examine whether specific dimensions or indicators are more strongly associated with particular development outcomes than with others. Our results show that aggregate financial inclusion has a strong positive effect on all development outcomes and this effect improves for countries with lower political risk. At the dimension level, while usage is the only dimension impacting on economic growth, and access is the only dimension impacting on health outcomes, both usage and access influence education and income inequality. Moreover, the top ranked indicators in each dimension exert a far greater positive influence on development outcomes than the second highest ranked indicators. Our findings show that adopting a single blanket policy may not be appropriate to realise the full potential of financial inclusion in a less developed country. Policy prescriptions should therefore target specific dimension and indicators of financial inclusion to maximise the positive effect on development outcomes.
Topic:
Development, Health, Finance, and Fiscal Policy
Political Geography:
Asia

200. The Role of Innovation in Skill Development: Evidence from Small and Medium-Sized Enterprises in Viet Nam

Author:
Duc Anh Dang and Vuong Ahn Dang
Publication Date:
12-2020
Content Type:
Working Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
Using the Small and Medium Enterprise Survey in Vietnam and three proxies of innovation, we study the impact of firm innovation on on-the-job training in the manufacturing sector from 2007 through 2015. To address potential measurement errors and omitted variable problems, we use the average level of innovation in the same sector in other districts as an instrument for firms’ innovations. We find that firms provide additional training for existing workers when introducing new technology, and high-value-added firms provide additional training for existing workers. Moreover, government assistance may not be the main reason that encourages firms to provide training. The results also show that firms hire more skilled workers when implementing innovations.
Topic:
Development, Training, Innovation, and Skilled Labor
Political Geography:
Asia and Vietnam