Why do some countries reduce poverty faster than others?

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By Antonio Savoia, Global Development Institute and Effective States and Inclusive Development Centre, University of Manchester and M Niaz Asadullah, Faculty of Economics and Administration, University of Malaya; Global Development Institute, University of Manchester


This blog is part of an ongoing series evaluating various facets of Development in Transition. The 2019 “Perspectives on Global Development” on “Rethinking Development Strategies” will add to this discussion


poverty-DiT.jpgCan poverty be eradicated is the biggest question for development. Progress in poverty reduction was a central success with the Millennium Development Goals (MDGs): Estimates suggest that as many as one billion people were lifted out of poverty. Since poverty reduction remains important for the more ambitious Sustainable Development Goals (SDGs), it seems that the time is right to identify why poverty has been reduced so much and why some countries have seen a greater reduction than others.

Our research1 presents new evidence on what facilitates poverty reduction. We find that in more effective states, or in countries with greater state capacity, income poverty has been reduced at a significantly faster speed, and those countries are much more likely to achieve MDG 1 of halving poverty. Our estimates suggest that countries with the highest state capacity can reduce income poverty at up to twice the speed of countries with the weakest capacity.

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Building Trust: How the development community can engage the private sector

By Janet Longmore, Founder & CEO, Digital Opportunity Trust

Giant puzzle pieces

Fundamental to my organisation’s success in delivering local impact against several of the Sustainable Development Goals (SDGs) has been developing an ecosystem of global and local in-country partners. And critical to this ecosystem is private sector participation: Corporate partners bring a different lens on what we do, a welcome push for innovation, creative approaches and efficiencies, and a business-like approach and priority to sustainability. Through mutual trust, we are now co-designing new initiatives that lead to positive impact for development and businesses.

I am a strong advocate for engaging the private sector in effective development. The private sector is often a strong and effective contributor to local development in the countries, cities and towns in which its offices are located and where its employees live, generously supporting local services. The challenge now is to extend local purpose and responsibility from “down the street” to a global perspective within the SDG framework. I advocate for this on the Business Leaders’ Caucus of the Global Partnership (1).

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It is time for a new finance paradigm in development

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By Arthur R Wood, Founding Partner, Total Impact Advisors; Convenor, Project1800.org


This blog is part of an ongoing series evaluating various facets of Development in Transition. The 2019 “Perspectives on Global Development” on “Rethinking Development Strategies” will add to this discussion


On 27 November 1095, Pope Urban declared the crusades ostensibly a religious call, but one that reinforced the power of the spiritual over the temporal. To support the crusades, the church built a financial institution by leveraging the Templars under the Papal bull Omnes Datum Optimum, creating a monastic banking system that gave birth to such financial innovations as letters of credit, banking and, by extension, fiduciary products like trusts.

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Turning a commitment into actions

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By Mario Cerutti, Chief Institutional Relations & Sustainability Officer, Lavazza Group


To learn more about countries’ strategies for economic transformation, follow the 10th  Plenary Meeting and High-Level Meeting of the OECD Initiative for Policy Dialogue on Global Value Chains, Production Transformation and Developmentin Paris, France on 27-28 June 2018.


logo TOward2030At the beginning of 2017, Lavazza launched ‘’Goal Zero’’ – a call to collective action amongst our many stakeholders to pursue the 17 Global Goals of Agenda 2030 for Sustainable Development. The company decided that co-operation, instead of going it alone, is fundamental for any significant results. Still, we faced the question of how to engage different stakeholders in one all-encompassing plan. For Lavazza, answering this means engaging our different stakeholders – employees, youth, suppliers and the surrounding community – using tailored communications tools. We believe that only a strong commitment originating from within Lavazza can, in turn, fuel external communications. So, here’s how we are proceeding:
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Multilateral action for sustainable development: How to build on the strength of ODA?

By Jorge Moreira da Silva, Director, Development Co-operation Directorate and Charlotte Petri Gornitzka, Chair, Development Assistance Committee

Multilateral wheelIn the backlash against globalisation and multilateralism and despite tightening national budgets, OECD countries’ combined Official Development Assistance (ODA) remains strong. While some criticise recently-released ODA figures for stagnating, steady commitment has been undeniable.

Indeed, ODA has remained politically resilient, steadily increasing since the turn of the century and doubling since 2000. In 2017, net ODA stood at USD 146.6 billion or 0.31% of gross national income (GNI). While this aggregate figure reflects a slight drop of 0.6% compared to 2016, previous figures were artificially high due to the refugee crisis that increased donor spending within their own borders. That spending subsided this year, and when in-country refugee costs are excluded, ODA increased by 1.1% from 2016 in real terms.

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Small actions for big impact: Lessons from Canada

By Jacqueline Théoret, Executive Director, Strategic Communications, International Development Global Affairs Canada and Co-Chair of the OECD Development Communication Network (DevCom)

global-goals-logo-shareWe cannot hope to achieve the Sustainable Development Goals and build the more peaceful, inclusive and prosperous — the better — world they envision without engaging people everywhere and inspiring them to take concrete action. The 2030 Agenda for Sustainable Development states that it is “of the people, by the people, and for the people.” But, so far “the people” do not seem to be aware of it.

In Canada, nearly 60% of people surveyed in 2017 knew nothing about the Sustainable Development Goals, or SDGs. Worse still: 73% of the 19% of Canadians who said they were aware of the SDGs were unable to say anything at all about them. 1

Globally things are not much better: only 28-45% of people have heard of the SDGs, but that does not mean that they understand anything about them. Only about 1% of people in 24 countries say they know the SDGs “very well.” 2

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What youth need: A greater focus on job quality

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By Niall O’Higgins, Senior Research Specialist, Youth Employment Programme, International Labour Organisation (ILO)


Learn more about this timely topic on the upcoming
OECD Global Forum on Development
Register today to attend


women-africaFor young people, successful entry into the world of work – that is, successful transition from education to employment – means more than simply finding a job. Successful transition occurs only when young people find decent work. What is actually meant by this has been the subject of much debate for a number of years; but its essence is encapsulated in the ILO’s notion of freely chosen and productive employment.

While it can be hard to define precisely what ‘decent work’ looks like, it is fairly clear what it is not. It is not informal employment. It is not work that provides insufficient income to meet basic needs. It does not involve excessive working time or any form of compulsion. Typically, it does involve some degree of job security, protection from arbitrary dismissal, access to social protection, such as health insurance and pension schemes, and freedom of association.
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