Bhutan | World Bank

Status of projects in execution (SOPE) - FY09 : South Asia region - Bhutan

The Status of Projects in Execution (SOPE) report for FY09 provides information on all International Bank and Rural Development (IBRD)/International Development Association (IDA) projects that were active on June 30, 2009. The report is intended to bridge the gap in information available to the public between the project appraisal document, disclosed after the Bank approves a project, and the implementation completion report, disclosed after the project closes. In addition to the project progress description, the FY09 SOPE report contains project level comparisons of disbursement estimates and actual disbursements, and a table showing the loan/credit/grant amount and disbursements to date for all active projects.

Bhutan - Report on the Observance of Standards and Codes (ROSC) : accounting and auditing

Bhutan has registered rapid economic growth in the recent past. But the private sector's contribution to this growth has not been significant. Recognizing that the private sector can play an important role as an engine of growth, the Royal Government of Bhutan (RGoB) mapped out strategies to encourage the private sector to participate in the Kingdom's growth. An important strategy outlined under Bhutan's Tenth Five-Year-Plan (10FYP) is to enhance employment opportunities by encouraging private sector development, which will broaden the employment base. This strategy is also in line with another major 10FYP objective of vitalizing industry, in which the private sector is envisaged to play a major role. Bhutan's financial sector has hitherto been very small and underdeveloped, owing to the lack of adequate development in the private sector and the small size of the economy. The RGoB assessed that the lack of a clear institutional framework is one the major factors responsible for the slow growth and weak performance of industries in Bhutan, notably in the manufacturing and trade sectors. It is against this backdrop that the World Bank at the invitation of the RGoB has undertaken an assessment of accounting and auditing practices in the Kingdom of Bhutan with respect to the International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) and the International Standards on Auditing (ISA) issued by the International Federation of Accountants (IFAC). This assessment is positioned within the broader context of the country's institutional framework and capacity needed to ensure compliance with international standards and to improve the quality of financial reporting in the country. These recommendations are aimed at achieving corporate financial reporting practices of international standards and to help create a world-class working environment for professional accountants and auditors in Bhutan.

Bhutan - Development Policy Financing for Institutional Strengthening Program

The Royal Government of Bhutan (RGoB) has made significant progress in implementing its medium-term program of institutional and policy reforms anchored in its Ninth Five Year Plan (9FYP).The World Bank has supported the RGoB's development efforts through two budgetary operations. The First Development Policy Grant (DPG1) provided US$15 million in budget support in FY06 to help the RGoB meet selected development goals, and contributed to deepening the policy dialogue. Based on continued good progress on the medium-term reform program, a Second Development Policy Grant (DPG2) for US$12 million was approved in May 2007, and was linked to strengthening the reform program and quickening the pace of implementation. Both operations have closed, and have satisfactorily achieved their development objectives. Section two of this paper summarizes the recent economic, social, and political developments in Bhutan. Section three describes the key elements of the RGoB's overarching reform agenda and its distinctive development vision, anchored in the tenth five year plan, which are highlighted in its own program in a medium-term framework. Section four discusses the Bank's engagement in Bhutan. Section five presents the specific components of Bhutan's policy and institutional reforms that constitute critical actions for the Development Policy Financing for Institutional Strengthening (DPFIS). Section six outlines implementation arrangements.

Bhutan - Joint IDA-IMF staff advisory note on the poverty reduction strategy paper

Bhutan has made substantial socio-economic progress in recent years, supported by major improvements in governance arrangements. Economic growth has been robust, while inflation remained moderate. The poverty headcount ratio fell dramatically, from 36 percent in 2000 to 23 percent in 2007. Other social indicators have also registered appreciable improvement, and Bhutan is on track to meet (or has already met) most of its Millennium Development Goals (MDGs). This impressive progress has been achieved against the backdrop of Bhutan's momentous transition to democracy. The strategic objectives identified by the Royal Government of Bhutan (RGoB) for achieving this goal are: (i) revitalizing industry; (ii) strengthening national spatial planning; (iii) synergizing rural-urban development; (iv) expanding strategic infrastructure; (v) investing in human capital; and (vi) fostering an enabling environment through good governance. The core principles of Bhutan's development planning are reflected in its distinctive vision of Gross National Happiness (GNH). These have focused on achieving broad based and sustainable growth, improving the quality of life, ensuring the conservation of the natural environment, preserving the country's rich culture, and strengthening good governance.

Bhutan - Third Development Policy Grant Project

Doing business 2010 : Bhutan - comparing regulation in 183 economies

Doing Business 2010 is the seventh in a series of annual reports investigating regulations that enhance business activity and those that constrain it. Doing Business presents quantitative indicators on business regulations and the protection of property rights that can be compared across 183 economies, from Afghanistan to Zimbabwe, over time. This paper presents the summary Doing Business indicators for Bhutan. The paper includes the following headings: introduction and aggregate rankings, starting a business, dealing with construction permits, employing workers, registering property, getting credit, protecting investors, paying taxes, trading across borders, enforcing contracts, closing a business, and Doing Business 2010 reform.

Findings from the Bhutan learning quality survey

The education sector in Bhutan has been growing steadily since the 1960s and concomitantly the literacy rates of the population have also been steadily going up over time. The mostly mountainous country regards education as central to its national development. Every cohort has seen an increasing share of children going to school and the education system now strains to keep up with the speed with which enrolment has expanded over the last ten years, in-line with Bhutan's commitment to meet the education Millennium Development Goals (MDGs). This report is structured as follows: section two presents the background and context of Bhutan's education system; section three discusses previous theoretical and empirical literature on education quality; section four describes the sampling design methodology, the sample and empirical methodology used in this study; section five presents findings on students' actual knowledge in three subjects and their corresponding scaled scores; section six presents the results of multivariate regression analysis for estimating school, teacher and child related correlates of learning outcomes; section seven profiles teachers in grades two and four and the education process; and section eight concludes with brief summary, discussion of policy implications, and recommendation for future research.

Bhutan - First and Second Development Policy Grant Projects

Ratings for the First and Second Development Policy Grant Projects (DPG1 & 2) for Bhutan were as follows: outcomes were satisfactory, the risk to development outcome was low or negligible, the Bank performance was satisfactory, and the Borrower performance was highly satisfactory. Some lessons learned included: despite the small size of Bhutan and the high costs of operations, it was recognized that it was important and worthwhile to sustain a close engagement, as there are strong impacts of Bank interventions in a small economy. Accordingly, DPG2 sought to deepen the engagement for wider and longer-lasting impacts. Efforts to support institutions and capacity building were seen to be worthwhile, in order to consolidate progress made on various reform efforts. Accordingly, DPG2 saw a stronger support for capacity building initiatives, with parallel Institutional Development Fund (IDF) grants and other measures. Identifying good indicators upfront to gauge progress can be difficult, especially in a country with limited capacity and data. The DPG experience also shows the difficulty in finding suitable indicators of progress, when attribution is difficult. The follow-up operations will pay closer attention to this issue. Achievement of the development objectives is more likely when the upfront actions supported under such operations are part of the borrower's overall Plan objectives and goals. Accordingly, the follow-up DPG program will align closely with the Tenth Plan.

Bhutan - Third Development Policy Grant Project

Status of projects in execution (SOPE) - FY08 : South Asia region - Bhutan

The Status of Projects in Execution (SOPE) report for FY08 provides information on all International Bank and Rural Development (IBRD)/International Development Association (IDA) projects that were active on June 30, 2008. The report is intended to bridge the gap in information available to the public between the project appraisal document, disclosed after the Bank approves a project, and the implementation completion report, disclosed after the project closes. In addition to the project progress description, the FY08 SOPE report contains project level comparisons of disbursement estimates and actual disbursements, and a table showing the loan/credit/grant amount and disbursements to date for all active projects.

Doing business 2009 : country profile for Bhutan - comparing regulation in 181 economies

Doing Business 2009 is the sixth in a series of annual reports investigating regulations that enhance business activity and those that constrain it. Doing Business presents quantitative indicators on business regulations and the protection of property rights that can be compared across 181 economies, from Afghanistan to Zimbabwe, over time. This paper presents the summary Doing Business indicators for Bhutan. The paper includes the following headings: introduction, starting a business, dealing with licenses, employing workers, registering property, getting credit, protecting investors, paying taxes, trading across borders, enforcing contracts, and closing a business.

Bhutan : Country environmental safeguard review

The country environmental safeguard review provides an overall assessment of Bhutan's environmental safeguard system. The study is not intended to be comprehensive or prescriptive. It is meant to provide a broad overview of some key legal, policy, and institutional challenges and highlight some options for possible future action. The following points identify the broad focus of the review: (i) identify critical gaps in Bhutan's policies and regulations for environmental safeguard management and specific measures to reach equivalence with international best practice (equivalence analysis); (ii) evaluate Bhutan's capacity and commitment to implement its environmental policies and regulations and assess specific actions that are necessary to strengthen institutional capacity and improve outcomes (acceptability assessment); and (iii) prioritize options for enhancement of Bhutan's environmental safeguard systems, particularly critical actions needed to keep pace with economic development and Royal Government of Bhutan (RGOB) commitment to decentralize decision making to the district level. This review recognizes that the differences between Bhutan's system and the corresponding Bank policies identified in the equivalence analysis could be readily addressed by revisions to the relevant code of environmental practices or by the introduction of additional codes of practices, which is within the administrative authority of the National Environmental Commission (NEC). Others can be bridged on a systemic basis through legal or regulatory measures and, in particular, through the development of new legislation for safety of dams, which will then make Bhutan's environmental safeguard policies fully equivalent with the corresponding Bank policies.

Bhutan - Institutional Capacity Building Project for Procurement

The objective of the Institutional Capacity Building Project for Procurement aims to improve procurement outcomes as a direct result of progressively establishing an improved national public procurement system in Bhutan. There are three components to the project. The first component is the creation of a people development strategy. It focuses on establishing the benchmarks, standards, and competencies required for a potential body of procurement professionals and to establish a qualifications and training regime to support the future development of the body of procurement professionals. The second component is the implementation of the people development strategy. It focuses on the priorities for delivery of procurement training and education. These include: (i) delivery of training and education opportunities to support in-service development of public servants, delivered jointly by Royal Institute of Management (RIM) and the project consultants; and (ii) development of teaching staff from RIM and Royal University of Bhutan (RUB) by the consultants so that delivery of procurement training and education can be strengthened in Bhutan. Finally, the third component is the mainstreaming of people development strategy: building the "body of knowledge". It focuses on embedding and mainstreaming of the people development strategy to Bhutanese partner organizations. Activities will focus on: (a) continued delivery of In-service training and education to stakeholders delivered by RIM; and (b) starting delivery of other procurement education to include pre-service qualifications or modules which are integrated into the RUB/Bhutanese education framework. In this final component, the project will also look to develop the body of knowledge and procurement practice in Bhutan through the creation of networks, communities of practitioners, events, and conferences focusing on key procurement topics and case studies.

Bhutan - Additional Financing for the Education Development Project

This project paper seeks to provide an additional grant in an amount of US$1.6 million to the Additional Financing for the Education Development Project for Bhutan. The additional grant will help finance costs associated with a financing gap for the construction o f two additional schools, to bring the total number o f schools under the project to 28, approximately the same as the project's original target of 29. Additional financing will allow for the construction of an additional two schools. Additional classroom blocks at these and other schools being constructed under the project will allow the project to achieve its overall target of an additional 10,000 student places at the primary and secondary school levels. The project is expected to achieve its original target of an additional 10,000 student places (3,000 at the primary level, and 7,000 at the secondary level), despite a reduction in the total number of schools to be built, given that additional classroom blocks have either been constructed or are planned at a number of schools built under the project. The project key changes being include: (a) project funds will be deposited in advance into the designated account maintained in Ngultrum's, to be opened at the Bank of Bhutan; and (b) replenishments into the designated account will be based on interim unaudited financial reports and will be processed by department of public accounts on a quarterly basis. The interim unaudited financial reports will provide information on expenditure made in the previous quarter and forecast for two subsequent quarters. Quarterly disbursements will made based on these financial reports, providing funds for two subsequent quarters after adjustment for past disbursements.

Bhutan - Additional Financing for the Education Development Project

Bhutan - Institutional Capacity Building Project for Procurement Project

Bhutan - Institutional Capacity Building Project for Procurement

Bhutan - Second Urban Development Project

‘CLIMATE SMART’ WORLD WITHIN REACH, SAYS WORLD BANK

2009-09-15T21:45:00.000Z

Contact
Erik Nora
(202) 458-4735
enora@worldbank.org

South Asian Countries Face Daunting Climate-Related Development Challenges

WASHINGTON, September 15, 2009 – If developed countries act now, a ‘climate-smart’ world is feasible, and the costs for getting there will be high but still manageable, says a new World Bank report released today. High-income countries also need to act quickly to reduce their carbon footprints and boost development of alternative energy sources to help tackle the problem of climate change.

World Development Report 2010: Development and Climate Change, released in advance of the December meetings on climate change in Copenhagen, says that advanced countries, which produced most of the greenhouse gas emissions of the past, must act to shape our climate future. Developing countries can shift to lower-carbon paths while promoting development and reducing poverty, but this depends on financial and technical assistance from high-income countries. A key way to do this is by ramping up funding for mitigation in developing countries, where most future growth in emissions will occur.

“The countries of the world must act now, act together and act differently on climate change,” said World Bank President Robert B. Zoellick. "Developing countries are disproportionately affected by climate change – a crisis that is not of their making and for which they are the least prepared. For that reason, an equitable deal in Copenhagen is vitally important.”

Countries need to act now because today’s decisions determine both the climate of tomorrow and the choices that shape the future. Countries need to act together because no one nation can take on the interconnected challenges posed by climate change, and global cooperation is needed to improve energy efficiencies and develop new technologies. Countries need to act differently, because we cannot plan for the future based on the climate of the past.

Developing countries will bear most of the costs of the damage from climate change. Many people in developing countries live in physically exposed locations and economically precarious conditions, and their financial and institutional capacity to adapt is limited, says the report. Already, policymakers in some developing countries note that an increasing amount of their development budget is being diverted to cope with weather-related emergencies.

Geography coupled with high levels of poverty and population density make countries in the South Asia region particularly vulnerable to climate change. The report says that that global warming of 2 degrees Celsius above pre-industrial temperatures — the minimum the world is likely to experience — could result in permanent reductions in GDP of 4 to 5 percent for South Asia.

The region’s water resources are likely to be affected by climate change, through its effect on the monsoon, which provides 70 percent of annual precipitation in a four-month period, and on the melting of Himalayan glaciers, particularly in the western end of the range.

Rising sea levels are also of important concern in South Asia, which has long and densely populated coastlines, agricultural plains threatened by saltwater intrusion, and many low-lying islands. In more severe climate-change scenarios, rising seas would submerge much of the Maldives and inundate 18 percent of Bangladesh’s land.

Agricultural productivity is one of many factors driving the greater vulnerability of developing countries. Extrapolating from past year- to- year variations in climate and agricultural outcomes, yields of major crops in India are projected to decline by 4.5 to 9 percent within the next three decades, even allowing for short- term adaptations. The report says the implications of such climate change for poverty — and GDP — could be enormous given projected population growth and high dependence of livelihoods on rain-fed agriculture in the South Asia region.

At the same time, the report notes that 1.6 billion people in the developing world lack access to electricity. In India alone, more than 400 million people do not have electricity. Those developing countries—whose average per capita emissions are a fraction of those of high-income countries—need massive expansions in energy, transport, urban systems, and agricultural production. Increasing access to energy and other services using high-carbon technologies will produce more greenhouse gases, hence more climate change.

India faces tremendous challenges in substantially altering its emissions path given its relatively efficient economy and limited endowment of clean energy resources and for carbon storage sites, the report says. India relies heavily on coal, which accounts for 53 percent of its commercial energy demand. Large potential exists, however, for improving energy efficiency and reducing transmission and distribution losses.

The report finds, however, that existing low-carbon technologies and best practices could reduce energy consumption significantly, saving money. For example, the report notes that it is possible to cut energy consumption in industry and the power sector by 20–30 percent, helping reduce carbon footprints without sacrificing growth. In addition, many changes required to reduce emissions of greenhouse gases also deliver significant benefits in environmental sustainability, public health, energy security, and financial savings. Avoided deforestation, for instance, preserves watersheds and protects biodiversity, while forests can effectively serve as a carbon sink.

With costs of renewable energy declining over the past two decades, wind, geothermal, and hydro power are already or nearly cost- competitive with fossil fuels, the report says. Thanks to innovation and technology diffusion, wind is now powering the first stages of what could become an energy revolution. And although most installed wind capacity is in Europe and the United States, the pattern is shifting. In 2008, India and China each installed more wind capacity than any other country except the United States and together they host nearly 20 percent of the world’s capacity.

Solving the climate problem requires a transformation of the world’s energy systems in the coming decades. Research and Development investments on the order of US$100 - $700 billion annually will be needed—a major increase from the modest $13 billion a year of public funds and $40 billion to $60 billion a year of private funds currently invested.

Developing countries, particularly the poorest and most exposed, will need assistance in adapting to the changing climate. Bangladesh, for example, is among the world’s most exposed countries to rising sea levels. Bangladesh is already doing much to reduce the vulnerability of its population. It has invested in a highly effective community-based early warning system for cyclones and a flood forecasting and a response program drawing on local and international expertise. But the scope of possible adaptation is limited by resources — its annual per capita income is $450.

Climate finance must be greatly expanded, since current funding levels fall far short of foreseeable needs. Climate Investment Funds (CIFs), managed by the World Bank and implemented jointly with regional developing banks, offer one opportunity for leveraging support from advanced countries, since these funds can buy-down the costs of low-carbon technologies in developing countries.

“Developing countries face 75-80 percent of the potential damage from climate change. They urgently need help to prepare for drought, floods, and rising sea levels. They also need to intensify agricultural productivity, contain malnutrition and disease, and build climate-resilient infrastructure,” said Justin Lin, World Bank Chief Economist and Senior Vice-President, Development Economics.

The current financial crisis cannot be an excuse to put climate on the back burner, the report warns. While financial crises may cause serious hardship and reduce growth over the short- to medium-term, they rarely last more than a few years. The threat of a warming climate is far more severe and long-lasting.

The earth’s warming climate is making the challenge of development more complicated, even as one in four people still live on less than $1.25 a day, and over a billion people do not have sufficient food to meet their daily basic nutritional needs.

“Grappling with climate shocks that are already hampering development will not be easy. But promising new energy technologies can vastly reduce future greenhouse gas emissions and prevent catastrophic climate change. We also need to manage our farms, forests, and water resources to ensure a sustainable future,” said Rosina Bierbaum, WDR co-director and Dean of the University of Michigan’s School of Natural Resources and Environment.

“The good news is that a climate-smart world is within reach if we work together now to overcome inertia, keep costs down, and modify our energy, food, and risk management systems to ensure a safer future for everybody,” said Marianne Fay, WDR co-director and Chief Economist for Sustainable Development at the World Bank.

“There are real opportunities to shape our climate future for an inclusive and sustainable globalization, but we need a new momentum for concerted action on climate issues before it is too late,” said Robert B. Zoellick, World Bank Group President.

The World Bank Group’s "Strategic Framework for Development and Climate Change" puts emphasis on including mitigation and adaptation initiatives in its lending, while recognizing that developing countries need to encourage economic growth and reduce poverty.

The number of World Bank-financed studies that help client countries plan and implement low-carbon growth strategies are also growing, and the Bank Group’s energy financing is increasingly turning towards renewable energies and energy efficiency. Over the past three years, approximately two-thirds of the Bank Group’s total energy financing was in the area of non-fossil fuels whereas around one-third was for fossil fuels, of which half was for natural gas.

Access the report: http://www.worldbank.org/wdr2010
The World Bank’s climate change blog is at: http://blogs.worldbank.org/climatechange

World Bank Grant Competition Supports Innovative Approaches to Address Undernutrition in South Asia

2009-08-02T09:10:53.000Z

Contacts:

In Dhaka: Mehrin A. Mahbub (880-2) 8159001-28 Ext. 4251

mmahbub@worldbank.org

In Washington: Benjamin Crow (202) 473 5105

bcrow@worldbank.org

Dhaka, August 2, 2009 ─ Civil society organizations from across South Asia will gather in Dhaka this week to take part in a grant competition – the Development Marketplace (DM) – where they will display some of the best and most innovative ideas on how to improve nutrition in the region. The competition is hosted by the World Bank and is designed to showcase and fund such innovative approaches, focusing especially on children under two years of age and pregnant women.

Titled “Family and Community Approaches to Improve Infant and Young Child Nutrition,” the DM event will bring together 60 civil society organizations from Afghanistan, Bangladesh, India, Nepal, Pakistan, and Sri Lanka who will compete for 20 grants of up to US$40,000 each to implement their ideas.

“The scale of the undernutrition problem in South Asia is alarming,” said Isabel M. Guerrero, World Bank Vice President for the South Asia region. “Around 45 percent of South Asian children are undernourished, which is 60 percent higher than the undernutrition rate of Sub-Saharan Africa. We have all seen the devastating effect of poor nutrition. It robs a child of a chance to succeed and live a healthy, productive life and contribute to national development. We hope this Development Marketplace initiative will raise awareness of the problem and arm people with knowledge and information that can help transform nutrition programs.”

This Development Marketplace was launched in February 2009 by reaching out to communities across South Asia seeking proposals for local, small-scale projects with the potential to be scaled up and replicated. In just over three months, almost 1,000 civil society organizations from across the region submitted proposals.

“This DM event will showcase innovative approaches that can be incorporated into local and national nutrition strategies and programming,” said Andrea Vermehren, World Bank Senior Social Protection Specialist. “Importantly, it will highlight the need to empower women within their families and communities to address the socio-cultural determinants of undernutrition.”

Many prominent organizations have partnered with the World Bank to support the South Asia Regional Development Marketplace, including UNICEF, World Food Programme, Bill and Melinda Gates Foundation Gates Foundation, PepsiCo, the Micronutrient Initiative (MI), GTZ (Germany), and the Global Alliance for Improved Nutrition (GAIN).

The Development Marketplace is a competitive grant program that uses a participatory process to identify and support grassroots initiatives with innovative approaches to solving challenging development issues. Since 1998, the DM has awarded more than $54 million in grants.

For more information about the South Asia Development Marketplace, please visit: www.worldbank.org/nutritiondm2009

For more information about the World Bank’s work in South Asia, please visit http://www.worldbank.org/sar

World Bank Group Directs US$6.6 billion to Help South Asia Overcome Poverty, Boost Growth amid Global Crisis

2009-07-02T21:12:14.000Z

Contact:

World Bank: Dale Lautenbach

(202) 473-3405

WASHINGTON, DC, July 2, 2009 – The World Bank Group committed US$6.6 billion in fiscal year 2009 (July 1, 2008 – June 30, 2009) to South Asia, focusing especially on reviving growth and protecting the poor amid the global economic crisis. This is an increase of US$1.1 billion over the previous year.

The Bank Group invested in 89 projects to promote economic growth, fight poverty, and assist private businesses, including nearly US$2 billion in infrastructure financing, a critical sector to provide the foundation for rapid recovery from the crisis and job creation.

Much of the Bank’s support focused on helping South Asian countries cope with the impact of the global economic crisis. For example, the Bank provided US$500 million to support the Government of Pakistan’s program to regain and maintain economic stability and steer the economy back onto a higher growth path. In India, a US$400 million loan was extended to improve access to finance for India’s Small and Medium Enterprises (SMEs) which face serious challenges in accessing adequate and timely financing on competitive terms.

“South Asian countries have been hard hit by a series of crises—food, then the fuel crisis, followed by the global financial crisis,” said Isabel M. Guerrero, World Bank Vice President for South Asia. “In response to the impact of these successive crises much of our work has been refocused to provide rapid financial assistance and policy advice to reverse the slowdown in growth and investment and to protect the poor and most vulnerable people.”

Globally, the World Bank Group committed US$58.8 billion in fiscal year 2009, up 54 percent from fiscal year 2008. Commitments from the International Bank for Reconstruction and Development (IBRD)—which provides financing, risk management products, and other financial services to countries—rose sharply in FY09 to $32.9 billion for 126 operations, from US$13.5 billion the previous year. Commitments from the International Development Association (IDA), which provides interest-free loans and grants to the world’s 79 poorest countries, totaled a record US$14 billion in FY09, up 25 percent from US$11.2 billion in FY08.

“Requests for assistance from the World Bank Group rose sharply this year, and we expect this to continue well into 2010, as the pace of recovery is far from certain,” said World Bank Group President Robert B. Zoellick. “Millions of people are still suffering, and we must continue to help countries safeguard priority expenditures, including on essential infrastructure, investment in human capital, and social safety nets, or we will further jeopardize hard-fought gains over recent years in overcoming poverty.”

Within South Asia, India was the largest borrower from IBRD and IDA, accounting for US$2,242 billion. Pakistan was the second largest borrower with US$1,609 million (IDA), followed by Bangladesh at US$1,096 million (IDA).

IBRD and IDA Lending in South Asia (Amounts in millions of US dollars)
	IBRD	IDA	IBRD/IDA
Afghanistan		197	197
Bangladesh		1,096	1,096
Bhutan		20	20
India	1,286	956	2,242
Maldives		3	3
Nepal		139	139
Pakistan		1,609	1,609
Sri Lanka		122	122
Total	1,286	4,142	5,428

Key to the Bank’s strategy in South Asia is scaling up existing programs that are delivering results. For example, in fiscal year 2009 the Bank approved US$250 million for the Pakistan Poverty Alleviation Fund (PPAF), a program the institution has supported since 2000. During this time, PPAF has facilitated the formation of 80,000 community organizations and provided 1.9 million micro-credit loans and 16,000 community infrastructure schemes. Similarly in Afghanistan, the Bank committed US$75 million to Afghanistan’s National Solidarity Program, a rural development initiative that has reached over 22,000 villages—about 68 percent of the rural population.

The International Finance Corporation (IFC), which makes equity investments, and provides loans, guarantees, and advisory services to private-sector business, committed close to US$1.2 billion in 47 projects in FY09 in South Asia. A third of the commitments this year were in infrastructure to support the acute financing needs of the sector in the region. A quarter of the program focused on the financial sector and the balance in manufacturing, agribusiness, health, and education sectors. In response to the scarcity of trade financing after the global economic slowdown, the region committed US$100 million in trade finance facilities to support local enterprises. As many as 15 projects in the region have a climate change component.

Paolo M. Martelli, Regional Director for IFC South Asia, said, “IFC's priority has always been to stand by our clients in the private sector. In difficult times, our role becomes even more critical. This year, IFC focused on the region's needs in infrastructure, on renewable, and clean production projects with significant development impacts."

IFC’s strategy in the South Asia region supports inclusive growth by increasing access to infrastructure and finance, focusing on low-income, rural, and fragile regions and making climate change central to its work, targeting areas where IFC can make the biggest difference. Through its advisory work, IFC addresses critical areas such as business environment reform, sustainable supply chains, access to finance, infrastructure, energy efficiency, and clean production.

The Multilateral Investment Guarantee Agency (MIGA), the Bank Group’s political risk insurance agency, is also supporting development in South Asia. In Pakistan, MIGA guarantees totaling US$1.74 million supported the establishment of Kashf Microfinance Bank (KMB) to make financial services available to the majority of unbanked population. Over the next five years, KMB will reach 1 million small depositors and 350,000 entrepreneurs through a network of over 100 branches across Pakistan. The network will be supplemented by 300 service posts closer to low income communities.

“As the leading international institution promoting foreign direct investment in emerging and transition economies, MIGA can help investors mitigate risks in these uncertain times and play an important role in helping countries attract FDI,” said Izumi Kobayashi, MIGA’s Executive Vice President. “MIGA can act as a stabilizing influence in the market.”

For more information about the World Bank’s work in South Asia, visit http://www.worldbank.org/sar

For more information about IFC’s work in South Asia, visit http://www.ifc.org/southasia/

For more information about MIGA, visit www.miga.org

The project Bhutan Development Policy Grant/Credit for Institutional Strengthening has changed to Closed

2009-06-30T04:00:00.000Z

The project Bhutan Development Policy Grant/Credit for Institutional Strengthening has changed to Closed. To see more information, see the project information in the World Bank project database

The project Bhutan Development Policy Grant/Credit for Institutional Strengthening has changed to Active

2009-05-27T04:00:00.000Z

The project Bhutan Development Policy Grant/Credit for Institutional Strengthening has changed to Active. To see more information, see the project information in the World Bank project database

World Bank Provides Further Support to Help Strengthen Institutional Development in Bhutan

2009-05-26T20:59:19.000Z

Contacts:

In Washington: Benjamin Crow

(202) 473 5105

bcrow@worldbank.org

WASHINGTON, May 26, 2009 ─ The World Bank today approved a credit and a grant totaling $20.22 million to support in the Royal Government of Bhutan’s (RBoB) medium-term reform program aimed at sustaining and accelerating socioeconomic development.

The Development Policy Financing for Institutional Strengthening Credit and Grant (DPGIS) will help strengthen institutions to: (a) promote good governance through sound fiscal and public financial management and procurement, and strong accountability institutions; (b) foster dynamic labor markets, ensure skills match, and generate employment; and (c) expand access to infrastructure in an environmentally sustainable manner.

“Bhutan is a top performer in the region, and has deepened its reform program through its successful transition to democracy” said Ananya Basu, Senior Economist and Task Leader for the operation. “This operation will support the Royal Government in advancing its development priorities as stated in its Tenth Five Year Plan.”

The Bank has supported two previous development policy operations. The first Grant provided US$15 million in budget support in FY06 to help the government meet selected development goals, and contributed to deepening the policy dialogue. Based on continued good progress on the medium-term reform program, a second Grant for US$12 million was approved in May 2007, and was linked to strengthening the reform program and quickening the pace of implementation. Both operations have closed, and have satisfactorily achieved their development objectives.

The Royal Government of Bhutan recently finalized its Tenth Five Year Plan, which has been adopted as the Poverty Reduction Strategy Paper (PRSP). The Plan identifies key development objectives and lays out key elements of the Government’s reform program for the next five years. The overall objective of the Plan is to reduce the poverty headcount rate from 23.2 percent in 2007 to 15 percent by the end of the Plan period.

The current Country Assistance Strategy (CAS), which is coming to a close, was closely aligned with Bhutan’s Ninth Five Year Plan. This operation, as well as a new Country Assistance Strategy which is planned for the next fiscal year, will consolidate reforms as envisaged under the PRSP and also respond with flexibility to the RGoB’s request for assistance to the fledgling democracy to undertake new policy actions in priority areas.

The US$11.12 million credit, from the International Development Association, the World Bank’s concessionary lending arm, has 40 years to maturity with a 10-year grace period; it carries a service charge of 0.75 percent. The US$9.1 million grant is also from the International Development Association.

For more information on the Bank’s work in Bhutan, please visit:

http://www.worldbank.org.bt

Bhutan: Development Policy Financing for Institutional Strengthening

2009-05-26T20:10:34.000Z

IDA Credit: US$ 11.12 million equivalent

TERMS: Maturity = 40 years; Grace = 10 years

IDA Grant: US$ 9.10 million equivalent

Project Description: The Development Policy Financing for Institutional Strengthening aims to help implement the Royal Government of Bhutan’s medium-term program of institutional and policy reforms anchored in its Ninth Five Year Plan. The main policy areas supported by the proposed operation are: (i) good governance, including sound fiscal and public financial management and procurement, and strong accountability institutions; (ii) labor markets and employment, including skills match and private sector development; and (iii) access to infrastructure in the form of roads, hydropower, and Information and Communication Technology.

Media Contact

Erik Nora

(202) 458-4735

enora@worldbank.org

For more project information, please visit:

http://web.worldbank.org/external/projects/main?pagePK=64283627&piPK=73230&theSitePK=40941&menuPK=228424&Projectid=P111222

For more information, please visit the Projects website.

The project Avian Influenza Control Project has changed to Closed

2009-05-05T04:00:00.000Z

The project Avian Influenza Control Project has changed to Closed. To see more information, see the project information in the World Bank project database

HIV and AIDS Pose Serious Risk to Economic and Social Development in South Asia, Despite Low Infection Rates

2009-02-27T15:00:00.000Z

Media Contact:
In Washington: Erik Nora (202) 458 4735
enora@worldbank.org

WASHINGTON, DC, February 27, 2009 ─ HIV and AIDS can pose a serious economic and social development risk to countries in South Asia unless prevention programs, targeting vulnerable groups at high risk of infection, are scaled up, says a World Bank report released today.

The report, titled “HIV and AIDS in South Asia: An Economic Development Risk,” argues that, even if the overall prevalence rate is low (up to 0.5 percent), there is high and rising HIV prevalence among vulnerable groups at high risk for HIV infection, including sex workers and their clients, and injecting drug users and their partners. Without increasing prevention interventions among those at highest risk, these concentrated epidemics can further escalate.

Overall, the number of people living with HIV and AIDS in South Asia is about 2.6 million, of whom the lion’s share is in India. AIDS accounts for 1.5 percent of all deaths in South Asia and about 2 percent of all deaths in India. These numbers of deaths are comparable to the numbers from diabetes, tuberculosis, and measles.

The report finds the impacts of HIV and AIDS in South Asia on the aggregate level of economic activity to be small. For India, the effect on GDP (0.16 percent) corresponds to a one-off loss of about 1.5 weeks of GDP growth. However, the direct welfare costs of increased mortality and lower life expectancy are more substantial, accounting for 3 percent to 4 percent of GDP in India and Nepal, respectively

“Even in the low HIV prevalence countries of South Asia, there cannot be any room for complacency,” said Mariam Claeson, World Bank HIV and AIDS Coordinator for South Asia. “While the impact of HIV and AIDS on economic growth is small in South Asia, the welfare cost on households is by no means negligible. HIV and AIDS also have an enormous disproportionate impact on vulnerable and often marginalized people at highest risk of infection, and on poor households with less access to information, preventive services and treatment.”

The economic impact on individual households affected by the disease is substantial, the report says. In a household study on India, 36 percent of people living with HIV and AIDS who were able to retain their employment nevertheless reported an income loss, which averaged about 9 percent. Among those who lost their employment (about 9 percent), the income loss was severe, at about 66 percent.

Many of the adverse development impacts of HIV and AIDS arise from its uneven impact on different population groups. Access to prevention and treatment, for example, is strongly linked to socioeconomic factors such as gender, education, and wealth. And, people’s ability to cope with the financial effects of HIV and AIDS differs strongly. For example, the report finds that HIV and AIDS have a disproportionate economic impact on HIV-positive widows who face the double burden of living with HIV and AIDS and the low socioeconomic status of women.

“This analysis shows that failure to contain the epidemic at low levels may have serious economic consequences,” said Sadiq Ahmed, World Bank's Acting Chief Economist for the South Asia Region.

Access to antiretroviral treatment (ART) is low in South Asian countries, even compared to countries in other regions with much higher infections rates. The report says the fiscal cost of treatment could be very high if South Asian countries fail to contain the epidemic.

Access to effective treatment is vitally important to mitigate the health and economic impacts of HIV and AIDS, the report says. At the same time, the medical costs of treatment can put a substantial proportion of the population living with HIV and AIDS at risk of poverty, especially in a region where most health services are paid for out of pocket. This underscores the crucial role of effective prevention.

With the exception of Sri Lanka, three-quarters or more of health expenditures in South Asia are financed privately and little are covered by third-party payers like insurance agencies. With the limited ability of many households to pay catastrophic health expenses associated with HIV and AIDS, and the negative externalities associated with poor adherence, the report argues for a large and critical role for the public sector in the provision of ART.

# # #

To read the report, visit http://go.worldbank.org/YHRC95J2J0

For more about the World Bank’s work in HIV and AIDS in South Asia, visit
http://www.worldbank.org/saraids

The project Bhutan Trust Fund for Statistical Capacity Building has changed to Closed

2009-01-01T05:00:00.000Z

The project Bhutan Trust Fund for Statistical Capacity Building has changed to Closed. To see more information, see the project information in the World Bank project database

Consultations on the Bank Web Site

2008-12-09T15:37:38.000Z

Dear reader,

A few years ago, the World Bank’s Web site was noted as a leader among development organizations’ websites. As technology has rapidly advanced and user expectations evolved, our Web site too needs to change and adapt.

You come to our Web site because you are looking for the latest information on development. Our project information, data and research assist you in tackling your challenges or keeping up on the Bank’s activities.

Now we’re catching up. We are revamping our Web site and expanding our online capabilities to better satisfy our business needs and meet audience demands.

We’re examining all aspects of the site—content, technology, business needs and audience demands—to figure out what needs to stay, be improved or be removed.

This is a complex undertaking. We are currently gathering information to determine requirements for our future site.

Through our open online consultation, we are looking for comments from anyone who wishes to discuss their information needs and any difficulties they encounter with the site. The online consultation period ends on December 31, 2008.

All feedback we receive will inform the future design and functionality of the Web site by informing Bank management on audience needs.

Our ultimate goal is to make the Web site better support the institution’s mission of fighting global poverty and helping countries develop.

Your feedback will bring us closer to this goal.

Thank you,

Angie Gentile
Managing Editor, www.worldbank.org

The project Development Policy Grant 3 is now in the pipeline.

2008-11-12T05:00:00.000Z

The project Development Policy Grant 3 is now in the pipeline. To see more information, see the project information in the World Bank project database

Global Food and Fuel Crisis Will Increase Malnourished by 44 Million

2008-10-08T17:30:00.000Z

Contacts:
In Washington :Carl Hanlon 202-473-8087; chanlon@worldbank.org;
Philip Hay 202-473-1796
phay@worldbank.org

WASHINGTON, October 8, 2008 – High food and fuel prices will increase the number of malnourished people around the world in 2008 by 44 million to reach a total of 967 million, a report from the World Bank says.

While food and fuel price increases may have moderated in recent months, prices remain much higher than previous years and show few signs of declining significantly, according to the report entitled “Rising food and fuel prices: addressing the risks to future generations”. Poor families around the world are being pushed to the brink of survival, causing irreparable damage to the health of millions of children. As families cut back on spending, there are also grave risks for the educational performance of poor children.

“While people in the developed world are focused on the financial crisis, many forget that a human crisis is rapidly unfolding in developing countries. It is pushing poor people to the brink of survival,” said World Bank Group President Robert B. Zoellick. “The financial crisis will only make it more difficult for developing countries to protect their most vulnerable people from the impact of rising food and fuel costs.”

The report, due to be presented on Sunday to the Development Committee at the Annual Meetings of the World Bank and IMF, says the food and fuel crisis could have long term effects on poor people and countries. Malnourished children cannot develop into healthy adults and become productive members of society who can contribute to the growth needed to lift themselves and their country out of poverty.

The report says priority should be given to a series of targeted measures. These include:

Making existing targeted cash (or near cash) transfer programs more generous;
Getting nutrition to infants and pregnant women;
expanding so-called ”in-kind” food distribution programs including school feeding and the distribution of fortified calorically dense food;
using fee waivers, lifeline-pricing and other forms of targeted subsidies for poor users/consumers; and
introducing additional measures to prevent children from dropping out of school, such as fee waivers, subsidies for school inputs, or cash transfers.

The report also argues that allocating the necessary amount of budget to finance an expansion of safety net programs may require pruning less-priority spending in other areas. But it notes that well-designed safety net programs do not have to be prohibitively expensive to be effective. Some of the most successful programs in the world cost well under 1 percent of Gross Domestic Product. Moreover, investing in safety net programs now will give governments new tools to address not just the current crisis, but future ones as well.

In May, the World Bank launched a $1.2 billion rapid financing facility to help poor countries cope with the food crisis. Since then, around US$850 million has been committed to finance seeds, plantings, and feeding programs. In April, Zoellick called for a New Deal for Global Food Policy that included short, medium and long-term measures to provide immediate help to poor people and farmers while increasing food production.

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For more information on the Bank's work in nutrition, please visit: www.worldbank.org/nutrition

and for more on social safety nets, click here: www.worldbank.org/safetynets

World Bank Group Directs US$5.5 Billion to Overcome Poverty, Enhance Growth in South Asia

2008-09-16T16:58:37.000Z

Contacts:
World Bank - Washington: Benjamin Crow (202) 473-5105
bcrow@worldbank.org
IFC - New Delhi: Minakshi Seth +91 11 4111 1000
mseth@ifc.org
MIGA – Washington: Farah Imrana Hussain (202) 473-2540
fhussain@worldbank.org

WASHINGTON, DC, September 16, 2008 – The World Bank Group extended loans, credits, grants, equity investments, and guarantees totaling over US$5.5 billion to South Asia in fiscal year 2008. The funding supports 79 new projects designed to overcome poverty and boost growth through practical plans enhancing the business and investment environment and empowering poor people.

Contributing to this strong support was: US$1.491 billion from the International Bank for Reconstruction and Development (IBRD), which provides financing, risk management products and other financial services; US$2.756 billion from the International Development Association (IDA), which provides interest-free loans and grants; US$1.26 billion from the International Finance Corporation (IFC), which makes equity investments and provides loans, guarantees, and advisory services to private-sector business in developing countries; and US$36.6 million from the Multilateral Investment Guarantee Investment Agency (MIGA), the group’s political risk insurance agency.

“Last year posed profound economic, political and social challenges for countries in South Asia and the world,” said Isabel M. Guerrero, World Bank Vice President for South Asia. “The increase in world fuel and food prices, especially for rice and wheat, the two main staples in South Asia, has had a dramatic impact on poor people. As demonstrated by our large funding program in the last fiscal year, we remain deeply committed to helping the countries in the region overcome these urgent challenges. At the same time, I am heartened to see that strong growth continues to bring tangible results in the fight against poverty.”

Globally, the World Bank Group committed US$38.2 billion in fiscal year 2008, up 11 percent from fiscal year 2007. An important contribution during the fiscal year was the Bank Group’s response to the food price crisis. It created a US$1.2 billion rapid financing facility with the first grants approved in FY08. More funds have subsequently been approved in the current financial year, including a US$8 million grant for Afghanistan, which supports the rehabilitation of around 500 small, traditional irrigation schemes which are critical to the recovery of the country’s agriculture sector.

“In a year that saw rising food and fuel prices become the harsh new reality, the $38.2 billion provided by the World Bank Group to developing countries helps create development solutions so people can have the opportunity and means to improve their lives,” said World Bank Group President Robert B. Zoellick.

India was the largest borrower from IBRD and IDA, accounting for US$2.154 billion, or nearly 10 percent of total lending from these two institutions. Within South Asia, Bangladesh was the second largest borrower with US$753 million (IDA), followed by Pakistan at US$545 million (IDA/IBRD), and Nepal at US$380 million (IDA).

IBRD and IDA Lending in South Asia (Amounts in millions of US dollars)
	IBRD	IDA	IBRD/IDA
Afghanistan		250.0	250.0
Bangladesh		753.5	753.5
Bhutan		3.1	3.1
India	1,317.0	837.0	2,154.0
Sri Lanka		140.9	140.9
Maldives		20.9	20.9
Nepal		379.6	379.6
Pakistan	173.6	371.3	544.9
Total	1,491.6	2,756	4,246.9

Many of the Bank’s projects in the last fiscal year supported existing programs that are delivering results. For instance, in Nepal the Bank approved a US$100 million grant for to the second phase of the Poverty Alleviation Fund, which has reached more than 900,000 rural Nepalese in 25 districts. It also extended additional financing of US$75 million to the Pakistan Poverty Alleviation Fund, which has touched the lives of more than 2.5 million people in about 5,000 villages.

Looking ahead in South Asia, the Bank will focus on cross-cutting reforms such as governance and fiscal management, and continue addressing deficiencies in the region’s investment climate, such as weak infrastructure, red tape, and corruption. It will also deepen its engagement in states where poverty is increasingly concentrated, such as Orissa and Bihar in India and Sindh in Pakistan.

IBRD lending in the past year focused on helping South Asia close its infrastructure gap, often cited as the greatest constraint to foreign investment. To help address the problem, the Bank provided a US$400 million loan for the Rampur Hydropower Project in the state of Himachal Pradesh that will provide renewable, low-carbon energy to India’s overstretched northern electricity grid. It also extended a US$600 million loan to the Power Grid Corporation of India, backed by a guarantee from the Government of India, designed to increase reliable power exchange between states.

IFC’s investment commitments in the South Asia region were US$1.26 billion for 37 projects in FY08, and it mobilized an additional US$28 million through structured and secure ties products. This year IFC enhanced its portfolio in the infrastructure sector, from 22 percent to 30 percent for South Asia as a whole. Investments ranged from power generation to natural gas, and from port services to a fund for developing public-private projects in the infrastructure sector. The manufacturing sector’s share is 21 percent and the financial sector is 20 percent.

Paolo M. Martelli, Regional Director for IFC South Asia, said: “IFC’s growing focus in the region in infrastructure and financially underserved markets and its efforts towards boosting rural growth and supporting reform are important steps in the larger goal of inclusive development.” IFC reaffirmed its commitment to contribute to the South Asia region’s economic growth by expanding its investments in private enterprises in the sectors where IFC is needed most. In the financial year ending June 30, 2008, private sector projects worth US$2.6 billion were supported as a result of IFC’s assistance to Bangladesh, Bhutan, India, Maldives, Nepal, and Sri Lanka.

Also active in the region is MIGA, which provided US$36.6 million in political risk insurance or guarantees in support of three projects in the region. Two of the projects were in Afghanistan—a priority for MIGA as a conflict-affected country—including a for-profit, national, and fully regulated microfinance bank that will provide financing and savings instruments to micro-enterprises in Afghanistan The MIGA-supported project—BRAC Afghanistan Bank—is expected to lower the costs of loans for smaller businesses and help expand economic opportunity for low-income populations in the country.

“Foreign direct investors can play a critical role in reducing poverty—by building roads, providing clean water and electricity, and above all, providing jobs,” said James Bond, MIGA’s Acting Executive Vice President. “We are committed to promoting socially, economically, and environmentally sustainable projects in the region to help address constraints in education, health services, financial sector development, and infrastructure.”

For more information about the World Bank’s work in South Asia, visit http://www.worldbank.org/sar

For more information about IFC’s work in South Asia, visit http://www.ifc.org/southasia/

For more information about MIGA, visit www.miga.org

The project Institutional Capacity Building Project for Procurement has changed to Active

2008-06-13T04:00:00.000Z

The project Institutional Capacity Building Project for Procurement has changed to Active. To see more information, see the project information in the World Bank project database

Kingdom of Bhutan: Institutional Capacity Building Project for Procurement

2008-06-10T22:33:53.000Z

WASHINGTON, June 10, 2008- The following project was approved today by the World Bank’s Board of Executive Directors:

IDA Grant: US$1.5 Million

PROJECT DESCRIPTION: The Institutional Capacity Building Project for Procurement aims to improve procurement outcomes as a direct result of progressively establishing an improved national public procurement system in Bhutan. The first component is the creation of a people development strategy. It focuses on establishing the benchmarks, standards, and competencies required for a potential body of procurement professionals and to establish a qualifications and training regime to support the future development of the body of procurement professionals. The second component is the implementation of the people development strategy. It focuses on the priorities for delivery of procurement training and education. Finally, the third component is the mainstreaming of people development strategy: building the "body of knowledge". It focuses on embedding and mainstreaming of the people development strategy to Bhutanese partner organizations.

For more information, please call Erik Nora at (202) 458-4735 or e-mail here at enora@worldbank.org

For project information, please visit:

http://web.worldbank.org/external/projects/main?pagePK=64283627&piPK=73230&theSitePK=40941&menuPK=228424&Projectid=P099126

For more information, please visit the Projects website.

World Bank Supports the Improvement of the Public Procurement System in Bhutan

2008-06-10T22:08:13.000Z

Contact:

In Washington, D.C.: Benjamin Crow (202) 473-5105

E-mail: bcrow@worldbank.org

Washington, DC, June 10, 2008—The World Bank today approved a US$1.5 million grant to the assist the Royal Government of Bhutan improve its national public procurement system.

The Institutional Capacity Building Project for Procurement will create an up-to-date national procurement system recognized by international partners as standard and adequate for all procurement whether for the national budget or donor-financed projects. The positive outcomes produced through more efficient, effective, fair, and transparent procurement, such as increased accountability, value for money, and budgetary savings, are expected to have an impact on achieving other goals, including rapid economic growth, promoting private sector growth, and improving quality of life.

“Procurement requires a variety of skills to enable procurement officers to use the framework of rules and regulations to make informed decisions and work to guarantee optimal results,” said Dimitri De Pues, task leader for the project. “This project will focus on building the capacity of national institutions in Bhutan responsible for training people on public procurement, thus making it sustainable and creating a professional procurement cadre of civil servants.”

The main objective of the project is to establish the standards required for a body of procurement professionals and to establish a qualifications and training program to support the future development of these professionals. This will be achieved through the creation and implementation of a People Development Strategy. By mainstreaming this strategy in Bhutanese partner organizations, the project will be made sustainable. The project will also look to further develop knowledge and procurement practice throughout the country through the creation of networks, communities of practice, events, and conferences focusing on key procurement topics and studies.

The Institutional Capacity Building Project for Procurement is consistent with the government’s Country Assistance Strategy, which is itself based on the government’s Ninth Five Year Plan, objective of strengthening the management of public resources by ensuring that the country has a proper legal framework in place for procurement which will, in turn, promote private sector development and employment. The US$1.5 million grant is from the International Development Association, the World Bank’s concessionary lending arm.

For more information about World Bank activities inBhutan, please visit:

http://www.worldbank.org/bt

For more information about the Institutional Capacity Building Project for Procurement, please visit:

http://web.worldbank.org/external/projects/main?pagePK=64283627&piPK=73230&theSitePK=306149&menuPK=306182&Projectid=P099126

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For more information, please visit the Projects website.

New Global Initiative Sets Out to Reverse Decline in Tiger Numbers

2008-06-09T15:45:38.000Z

Press Release: No.2008/357/EXC

Contacts:
In Washington:

World Bank:

Geetanjali Chopra: (202) 473 0243
gchopra@worldbank.org

National Zoo Public Affairs (202) 633-3055

International Tiger Coalition:

Sarah Janicke: (301) 442-3741

	Photos

WASHINGTON, June 9, 2008 ─ A worldwide alliance of tiger conservationists, scientists and celebrities have joined forces with the World Bank Group and the Global Environment Facility (GEF) to help save wild tigers.

Tiger numbers have declined from more than 100,000 a century ago to around 4,000 today. The decline is driven by a loss of prey and habitat due to uncontrolled development and poaching for the black-market trade in tiger skins and bones.

"Nothing short of global action will bring back wild tigers," said Grace Ge Gabriel, spokesperson for the International Tiger Coalition (ITC). “The ITC applauds the World Bank for focusing the eyes of the world on wild tigers and their needs."

The health of the tiger population is an indicator of biodiversity and a barometer of sustainability. Since tigers are at the top of the food chain, the conservation of wild tigers also means the preservation of the habitats in which they live and the prey populations that support them.

"Tigers occupy only 7% of their historical range and about 40% less than they did just a decade ago. Business-as-usual is not sustaining wild tigers today,” said John Seidensticker, Head, Conservation Ecology Center, Smithsonian's National Zoo. “All signs point to an impending tiger range collapse. I am pleased and encouraged that the World Bank and others are joining in our collaborative effort to find the ways and means so that wild tigers and no species are left behind in this time of unprecedented global economic expansion that threatens biodiversity"

The new Tiger Conservation Initiative, launched today at the Smithsonian’s National Zoo in Washington D.C., brings together many of the global experts who have been studying the decline of tiger populations and the many national and international NGOs which have been fighting to save tigers.

"Just as with many of the other challenges of sustainability—such as climate change, pandemic disease, or poverty—the crisis facing tigers overwhelms local capabilities and transcends national boundaries," said World Bank Group President Robert B. Zoellick. "This is a problem that cannot be handled by individual nations alone. It requires an alliance of strong local commitment backed by deep international support."

Harrison Ford, board member of Conservation International, who is putting his celebrity status behind the tiger initiative said: “By committing to help wild tigers, the World Bank is sounding its intention to be a global leader in biodiversity conservation. I commend this commitment and look forward to seeing it in action.”

The Tiger Conservation Initiative will start with a series of dialogues in tiger range countries to find out what has worked locally to protect the tigers. The World Bank and its partners will assess the financing needs of tiger conservation and work with governments and the private sector to find innovative funding sources and mobilize new resources for the species’ protection.

"The countries in the range of the tiger are amongst the most important for GEF globally in delivering global biodiversity benefits. By partnering with them in a major effort to conserve quality habitat, this initiative will be pursuing outcomes in conservation, ecosystem services, and livelihoods" said Monique Barbut, CEO and Chairman, Global Environment Facility.

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For more information on the Bank and its partners work regarding tigers, please visit http://www.worldbank.org/tigers

* The Tiger Conservation Initiative includes : Aaranyak, American College of Traditional Chinese Medicine, AMUR, Animal Welfare Institute, Animals Asia Foundation, Association of Zoos & Aquariums, Big Cat Rescue, Born Free Foundation, Born Free USA, British and Irish Association of Zoos & Aquariums, Care for the Wild International, Conservation International, Council of Colleges of Acupuncture and Oriental Medicine, David Shepherd Wildlife Foundation, Education for Nature – Vietnam, Environmental Investigation Agency, Global Tiger Patrol, Humane Society International, Humane Society of the United States, International Fund for Animal Welfare, International Trust for Nature Conservation, PeunPa, Phoenix Fund, Save The Tiger Fund, Species Survival Network, The Corbett Foundation, The Fund For The Tiger, Tigris Foundation, TRAFFIC, 21st Century Tiger, WildAid, Wildlife Alliance, Wildlife Conservation Nepal, Wildlife Conservation Society, Wildlife Trust of India, World Association of Zoos & Aquariums, World Society for the Protection of Animals, WWF, Zoological Society of London.

World Bank Joins Drive to Save Endangered Tigers

2008-06-09T13:53:22.000Z

Poaching and habitat loss are main culprits.
Tiger’s range has been reduced to 7% of its historic range.
76 ‘tiger conservation landscapes’ remain across 13 countries.
It has been shown that with protection tigers can recover.
Alliance stresses community involvement over punitive action.

June 9, 2008 – The tiger is in deep trouble.

The worldwide population of this awesome predator has shrunk from 100,000 to below 4,000 over the past century. Unless the threats from poaching and habitat loss are significantly reduced, experts say, the tiger could easily slip into extinction.

Tiger conservation groups, scientists and celebrities, including Harrison Ford, are partnering with the Global Environment Facility and the World Bank Group to help save wild tigers.

"Nothing short of global action will bring back wild tigers," said Grace Ge Gabriel, spokesperson for the International Tiger Coalition (ITC). “The ITC applauds the World Bank for focusing the eyes of the world on wild tigers and their needs."

As the Tiger Conservation Initiative was launched June 9 at the Smithsonian’s National Zoological Park in Washington – home to five Sumatran tigers – World Bank President Robert B. Zoellick explained the Bank’s involvement: "Just as with many of the other challenges of sustainability—such as climate change, pandemic disease, or poverty—the crisis facing tigers overwhelms local capabilities and transcends national boundaries. This is a problem that cannot be handled by individual nations alone. It requires an alliance of strong local commitment backed by deep international support."

Tigers need space, prey, water, and cover. In India, in some of the isolated forests where prey is plentiful, up to 10 tigers can survive per 100 square kilometers. But at the other end of their range, in Russia’s Far East, where prey is less plentiful, a single tiger needs up to 200 square kilometers of range to find adequate food.

The tiger’s range once covered much of Asia, but today it has been reduced to just 7 percent of that vast space. The habitat that’s left – 76 ‘tiger conservation landscapes’ in 13 countries – is steadily being converted to agriculture and urban uses, and fragmented by roads into blocks too small to sustain tiger populations.

Poaching is an even bigger threat to tigers. Despite worldwide bans and some increases in enforcement, a residual but very damaging trade in tiger parts continues. Tiger bones are used in potions and medicines, skins for wall hangings, rugs, and fashion, and meat for gourmet dishes. An adult male’s parts, including its penis and paws, can have a collective retail value ranging from US$10,000 to $70,000, according to a new report by the World Bank and Smithsonian’s National Zoological Park. Scientists say extinction of the tiger would not only rob the world of its most popular animal that has inspired legends and poetry, but upset the ecosystems of Asia’s forests.

To save the tiger, the World Bank proposes a Five-Point Plan of Action that stresses community engagement over earlier and failed punitive action:

Initiate a review of projects in tiger habitats to learn lessons from the past that can inform future engagement.
Facilitate country workshops and other platforms for partnership with NGOs, governments, and the scientific community at the national level to develop appropriate models of conservation.
Devise strategies and action plans in partnership with other organizations to address the illegal trade and other conservation needs.
Explore and develop alternative and new funding mechanisms for tiger conservation.
Offer to host a 2010 “Year of the Tiger” Summit. This would be an opportunity for all those involved in tiger conservation to review the status of tigers and their habitat.

New report on economic growth offers lessons on achieving sustained, high economic growth

2008-05-21T17:11:32.000Z

Contacts:

In Washington:

Maya Brahmam at +1-202-473-6231 or email at mbrahmam@worldbank.org

WASHINGTON, May 20, 2008 – The World Bank Group welcomes a new report by the independent Commission on Growth and Development, a global panel of eminent experts, which reveals important lessons from countries that have achieved high, long-term economic growth. The experts say the lessons learned could help policy makers in developing countries as they seek to set their countries on a steady growth path.

The Growth Report: Strategies for Sustained Growth and Inclusive Development says integration into the world economy, maintaining high rates of savings and investment, and committed, capable governments are among the key features of countries that have sustained growth rates above 7 percent for 25 uninterrupted years since World War II.

"This report underscores to the development community that one size doesn’t fit all." said World Bank Group President Robert B. Zoellick. I am especially pleased that it draws on input from first class practitioners and leaders who have hands-on pragmatic and practical experience of making inclusive development a success. This will help enrich the thinking and practice of the World Bank Group as well as others in the development field.” “

High, long-lasting growth is not easily achieved, but the report by some of the world’s top policy-makers and thinkers, believes it can be reproduced in developing countries, giving them a chance to reduce poverty and improve opportunity and quality of life for their citizens.

“We are acutely aware that there are no silver bullets to create long-running, inclusive growth, and that no single paradigm exists,” says Commission Vice Chair Danny Leipziger, who is also Vice President for Poverty Reduction and Economic Management at the World Bank. “While seeking to identify those key elements that can lead to long running and inclusive growth, the report is clear that policy makers will need to customize and experiment with polices rather than follow any rigid set of guidelines.”

Commission Chairman Michael Spence said: " What makes the report so unique is that it was prepared by policymakers, many from developing countries, who have been in the trenches themselves and have learned what works and why. It is these commissioners who are now providing their insights to the next generation of policymakers on ways to improve growth prospects and the quality of life in the poor parts of the globe."

Spence is one of two Nobel Laureates on the 21-member commission comprising leaders from business, government and academia. The Commissioners come from 18 countries that include a broad mix of developing, emerging and developed economies, as well as small island states and populous, large countries.

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To download full report click here:

http://www.growthcommission.org/

World Bank Broadens Transport Agenda

2008-05-21T17:00:00.000Z

Contacts
In Washington:
Roger Morier (202) 473 5675, rmorier@worldbank.org
Anna Piasecka (202) 458 7027, apiasecka@worldbank.org

WASHINGTON, D.C., May 21, 2008 – The World Bank Group today launched a new transport business strategy for 2008-2012 that will help partner countries establish the governance, strategies, policies and services to deliver transport for development in a way that is economically, financially, environmentally and socially sustainable.

Called Safe, Clean, and Affordable… Transport for Development, the business strategy strengthens the alignment of the transport sector approach with the Millennium Development Goals adopted by the United Nations in 2000. At the same time, it widens the directions and deepens the routes that will be taken to meet the evolving development agenda. It gives more attention to emerging trends, such as trade globalization, urbanization of populations; rising concerns about climate change, the increase in traffic congestion; and the recognition of access as a key to both economic opportunity and good governance.

“In striving to achieve its development objectives—and foremost to eradicate poverty—the World Bank Group is mobilizing the transport sector to the fullest possible extent,” said Katherine Sierra, World Bank Vice President for Sustainable Development. ”To that end, the transport business strategy aligns Bank Group instruments along a few key strategic directions that will pave the way to truly sustainable development, one where transport plays a crucial role.”

“In a world with rising levels of greenhouse gases, poor road safety, and the too-frequent spread of communicable diseases along international routes, transport must be looked at anew. A coherent way forward requires innovative thinking and cooperation among sectors to optimize the role of transport without jeopardizing personal and commercial mobility.”

The Bank Group consulted widely in preparing its new business strategy, seeking contributions from over 75 transport development partners, governments, professional institutions, civil society organizations, multilateral and bilateral donors, and putting an early draft on its external website for four months to elicit public comments.

Safe Transport
Acknowledging the importance of transport for achieving public health outcomes within the Millennium Development Goals, the strategy stresses the need to mitigate the spread of HIV/AIDS, and to address safety in all transport modes, especially road transport. It also addresses the safety issue in air transport which, although globally much safer, still shows a safety record significantly affecting growth and investment prospects in some regions, in particular Sub-Saharan Africa. Transport and supply-chain security has also become a major issue in ensuring fair access of developing country exports to developed markets, and needs to be addressed as a new global public good.

“Road crashes kill an estimated 1.2 million people a year and injure 50 million more, disproportionately affecting the poor,” said Anthony Bliss, Lead Road Safety Specialist, Program Coordinator for the World Bank’s Global Road Safety Facility. “We are placing special emphasis on road safety, extending our support to include not only road safety components embedded in road infrastructure projects, but also larger stand-alone projects to formulate national policies and strategies that would improve road safety across the board. We will also pursue cross-sectoral approaches, such as including pre-hospital components in road programs and road safety components in health programs.”

Clean Transport
Urban air pollution, 90 percent of it generated by motor vehicles, kills an estimated 800,000 people each year. Transport now produces approximately 15 percent of global greenhouse gas emissions. Reflecting the contribution of transport to the wider environmental aims of the Millennium Development Goals, the strategy encompasses the transport-energy-environment nexus, from the energy consumption to the emissions and climate change impact perspectives. Going forward, the World Bank Group will be working to help restrain transport energy consumption. It will be assessing and controlling transport projects emissions, favoring shifts to low carbon modes.

“We are setting guidelines for environmentally effective transport planning and decision making,” said Jamal Saghir, Director, Energy, Transport and Water Department and Chair of the Transport Sector Board. “We are seeking ways to mitigate the effects of transport on the climate—and the effects of climate change on transport asset. We intend to build climate change issues into transport project appraisals where appropriate.”

Affordable Transport
An estimated 1 billion people in low-income countries lack access to an all-weather road. Affordable transport can enhance mobility and inclusion. It can promote social, economic, and political integration, by keeping a country together despite geographic disparities, by overcoming potential disputes over access to resources, and by defusing the seeds of conflict that sometimes arise from feelings of isolation.

Marc Juhel, Sector Manager for Transport stressed the fact that affordability concerns not only the rural and urban poor, but also the whole freight economy, aiming at improving competitiveness to foster stronger economic growth:

“The strategy stresses the need for better knowledge and control of transport costs, for both passengers and freight, on domestic and regional, urban and rural settings. The implementation of an effective urban transport strategy, reaching out to the growing urban poor population, is a key element of this approach. On the freight side, the cooperative work on trade and transport facilitation—in particular on customs and transit issues—will be strengthened.”

World Bank contribution to transport over previous decade
Since the Bank’s 1996 transport strategy, Sustainable Transport, was endorsed by the World Bank’s Board of Directors, the Bank Group has committed around US$42 billion for more than 530 dedicated transport operations and transport components in over 500 non-transport specific projects in more than 100 client countries. Lending in fiscal year 2007 (July 1, 2006 – June 30, 2007) reached over US$5 billion, amounting to 20 percent of World Bank Group new annual commitments.

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View the transport business strategy—Safe, Clean, and Affordable… Transport for Development at: http://www.worldbank.org/transport

The project Additional Financing to Bhutan EDP has changed to Active

2008-05-20T04:00:00.000Z

The project Additional Financing to Bhutan EDP has changed to Active. To see more information, see the project information in the World Bank project database

Bhutan: Education Development Project (Additional Financing)

2008-05-13T22:19:15.000Z

WASHINGTON, May 13, 2008- The following projects were approved today by the World Bank’s Board of Executive Directors:

IDA Grant: US$ 1.6 million

PROJECT DESCRIPTION: The additional financing will support the original project’s objectives that were to support Bhutan's five-year education development program to expand access to primary and secondary education, and improve educational quality at all levels. The project will help to finance costs associated with a financing gap for the construction of two additional schools, to bring the total number of schools under the project to 28, approximately the same as the project’s original target of 29.

For more information, please call Benjamin Crow (202) 473 5105 or email bcrow@worldbank.org

For more information, please visit the Projects website.

World Bank Group President Appoints Vice President of Institutional Integrity

2008-05-05T18:00:00.000Z

Contacts:
In Washington: Carl Hanlon (202) 473 8087
chanlon@worldbank.org

WASHINGTON, D.C. May 5, 2008 – World Bank Group President Robert B. Zoellick has named South African Leonard McCarthy to head the Bank’s Department of Institutional Integrity (INT). McCarthy has earned international recognition for investigations and prosecutions of individuals engaged in corruption as head of South Africa’s Directorate of Special Operations.

“Leonard McCarthy is recognized worldwide for his integrity, independence, and effectiveness in fighting corruption and strengthening good governance,” says Zoellick. “This is the first time that the Department of Institutional Integrity will be headed at the level of Vice President, and McCarthy brings to the post stature, skill, and tested experience. This post is critical for our work, reputation, and fiduciary duty. I am confident that he will bring effective leadership to our highest obligation to protect the Bank’s assets and hold people, businesses, and governments responsible if they steal from the poor.”

McCarthy’s work with South Africa's National Prosecuting Authority has included investigating and prosecuting high profile cases of financial crime, organized crime, and high-level corruption. He has worked closely with African governments and law enforcement officials across the globe to expose and prosecute transnational financial crime. McCarthy was formerly a Director of Public Prosecutions appointed by President Nelson Mandela.

An experienced trial lawyer, he has held numerous positions in government, including Investigating Director in the Office for Serious Economic Offenses, Deputy Attorney General in Cape Province and Senior Public Prosecutor. He holds a Bachelor of Laws Degree from the University of South Africa in Cape Town.

Following talks with the South African government, President Mbeki has agreed to release McCarthy from service, to take up the position at the World Bank on June 30, 2008.

“I am honored to receive this appointment and to be joining the World Bank, I believe strongly in its vision, said McCarthy. “President Zoellick has made clear to me the strong emphasis he places on INT’s role, its need for strong, highly skilled people who will both pursue investigations and integrate anti-corruption work into Bank projects across the world. I am committed to delivering results and building on INT’s work to strengthen financial due diligence and ensure that precious development resources benefit people who need them most.”

McCarthy was selected from a list of candidates assessed by an internal search committee with the addition of former Federal Reserve Chairman Paul Volcker, who led a review of INT last year. In his report Volcker called for greater attention to protect against corruption in designing and implementing Bank programs.

Mr. Volcker has welcomed the fact that: “the Bank is now implementing the recommendations of the Panel he chaired, importantly including elevating the head of INT to the level of vice president.”

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World Bank Marks World Press Freedom Day with Study on Broadcasting and Development

2008-05-02T12:30:00.000Z

Contact:

In Washington: Christopher Neal, (202) 473-2049

Cneal1@worldbank.org

MAPUTO, May 2, 2008—The World Bank marked World Press Freedom Day by launching a study outlining conditions under which radio, television and online broadcasting can fulfil a vital role in development by making governments accountable, and giving voice to the world’s poor.

“Huge numbers of people, including those who can’t read, have access to broadcast media,” said Kreszentia Duer, of the World Bank Institute (WBI), who presented the study, Broadcasting, Voice and Accountability, at a conference here on freedom of expression hosted by UNESCO. “In countries with strong oral traditions, community broadcasting can enable people to share information and raise issues with a large audience, and hold government officials to account. This makes broadcasting a powerful tool for enhancing governance and promoting development.”

The 400-page study, subtitled A Public Interest Approach to Policy, Law and Regulation, is the result of five years of research by six media experts, including Ms. Duer, Steve Buckley, president of the World Association of Community Broadcasters; Toby Mendel, ARTICLE 19, Global Campaign for Free Expression; Seán Ó Siochrú, founder of the Campaign for Communication Rights in the Information Society; Monroe E. Price, of the Annenberg School for Communication at the University of Pennsylvania; and Marc Raboy, of Canada’s McGill University.

The study reviews broadcasting practices and regulations around the world, and identifies those which produce an “enabling environment” for broadcasting that is free, independent and pluralistic. These characteristics are essential, the report says, for broadcasting to perform an effective role in giving people voice, and ensuring government accountability.

Drawing from their research, the authors propose standards on freedom of expression, access to information, use and misuses of defamation law, content rules and limits to free speech, and the regulation of journalists. The study also offers guidelines on best practice for broadcast regulators, as well as the respective roles of public service, community non-profit, and commercial private sector broadcasters, all of which, it argues, should be present in a healthy media environment.

Co-author Steve Buckley notes that increased movement towards democracy in developing countries opens the way to build broadcasting that serves the public interest.

“Countries that are opening their economies, democratizing, and decentralizing public service delivery are looking for guidance on how to involve citizens in decisions that affect them,” he said. “Broadcasting, enabled by the right regulation and conditions, can empower groups through bottom-up participation.”

The book cites countries that have developed systems to enhance the quality and diversity of media content, while fully respecting freedom of expression, and identifies ways in which government regulation can expand access to broadcast media. Community broadcasting, for example, can be encouraged through special licensing arrangements that guarantee fair and equitable access to radio frequencies and financial support.

“This book focuses on useful proactive approaches to setting up, sustaining, and governing broadcasting systems across the world,” said Ruth Teer-Tomaselli, UNESCO Chair in Communication for Southern Africa at the University of KwaZulu-Natal. “It’s based on sound scholarship and provides practical advice for policymakers, media scholars and broadcasters alike.”

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For more information, please visit:

http://web.worldbank.org/WBSITE/EXTERNAL/WBI/0,,contentMDK:21747844~pagePK:209023~piPK:207535~theSitePK:213799,00.html

To order: http://publications.worldbank.org/ecommerce/catalog/product?item_id=8100893

The project Additional Financing to Bhutan EDP is now in the pipeline.

2008-04-14T04:00:00.000Z

The project Additional Financing to Bhutan EDP is now in the pipeline. To see more information, see the project information in the World Bank project database

Progress toward nutrition, health, education, and other development goals off track in South Asia

2008-04-08T17:11:12.000Z

Contacts:
Washington: Merrell Tuck-Primdahl (202) 473-9516
Mtuckprimdahl@worldbank.org
Kavita Watsa (202)458-8810
Kwatsa@worldbank.org

Climate change, high food and oil prices complicate prospects, say WB, IMF

WASHINGTON, April 8, 2008 — A new World Bank-IMF report warns that most countries in South Asia will fall short on the Millennium Development Goals (MDGs), a set of eight globally agreed development goals with a due date of 2015. Though much of the world, including South Asia, is set to cut extreme poverty in half by then, prospects are gravest for the goals of reducing child and maternal mortality, with serious shortfalls also likely in primary school completion, nutrition, and sanitation goals.

“In this Year of Action on the MDGs, I am particularly concerned about the risks of failing to meet the goal of reducing hunger and malnutrition, the ‘forgotten MDG’,” said Robert B. Zoellick, President of the World Bank. “As the report shows, reducing malnutrition has a ‘multiplier’ effect, contributing to success in other MDGs including maternal health, infant mortality, and education.”

The Global Monitoring Report: MDGs and the Environment—Agenda for Inclusive and Sustainable Development stresses the link between environment and development and calls for urgent action on climate change. The report warns that developing countries stand to suffer the most from climate change and the degradation of natural resources. Arguably, few regions in the world are more at risk from climate change in terms of adverse impact on the poor than South Asia and the region faces a large potential health risk from climate change through increased malnutrition, diarrhea, and malaria. To build on hard-won gains, developing countries need support to address the links between growth, development and environmental sustainability.

“Developing countries need more foreign aid and domestic resources to reach the MDGs. High economic growth and a stable macroeconomic environment remain essential for reducing poverty and increasing investment in health and education.” said Dominique Strauss-Kahn, IMF Managing Director.

Progress toward the MDGs differs dramatically across countries, regions, and income groups, the report says. While most of the poverty reduction between 1990 and 2004 took place in East Asia and Pacific, South Asia would contribute the most to global poverty reduction in the next decade. However, South Asia is likely to fall seriously short in some areas, including primary education, gender parity in tertiary education, and child mortality goals. South Asia will likely not reach the goal of halving malnutrition rates. In fact, South Asia has the world’s highest incidence of child malnutrition and the child malnutrition rate in India is double the African average.

”Given South Asia’s recent, rapid economic growth, the lack of progress in reducing child malnutrition is all the more troubling,” said Shanta Devarajan, Chief Economist of the Bank’s South Asia Region. “It points to the need for a concerted effort to attack the problem at its roots—including better water, sanitation, pre-natal care for pregnant women, and nutrition and healthcare for newborns.”

With stronger efforts by the countries themselves and their development partners, most MDGs remain achievable for most countries, the report says. With this in mind, the report lays out an integrated six-point agenda, with strong, inclusive growth at the top. The agenda also calls for more effective aid; a successful outcome to the Doha round of trade talks; more emphasis on strengthening programs in health, education and nutrition; and financing and technology transfers to support climate change mitigation and adaptation.

“This year’s high level meetings in connection with the MDG halfway point provide an opportunity to agree on priorities for action and milestones for monitoring progress,” said Zia Qureshi, lead author of the report.

World Bank President Calls for Plan to Fight Hunger in Pre-Spring Meetings Address

2008-04-02T15:53:10.000Z

April 2, 2008—In a speech today, World Bank President Robert B. Zoellick called for a "new deal" to combat world hunger and malnutrition through a combination of emergency aid and long-term efforts to boost agricultural productivity in developing countries.

The "New Deal for a Global Food Policy" is part of a suite of initiatives Zoellick outlined to advance development in the face of skyrocketing food and oil prices. He also called for a global trade deal to be agreed as soon as possible, detailed an initiative to help countries manage their wealth earned from high energy and mineral prices in a more inclusive way, and encouraged sovereign wealth funds to create a "One Percent Solution" for equity investment in Africa.

Agricultural Assistance

The World Bank will nearly double agricultural assistance to US$800 million in Africa. Zoellick also urged wealthy nations to help the UN’s World Food Program meet some $500 million in emergency food needs.

"The United States, the European Union, Japan and other OECD countries must act now to fill this gap – or many more people will suffer and starve," Zoellick said in an address sponsored by the Center for Global Development in Washington.

Zoellick said the "New Deal for a Global Food Policy" is needed to combat the "forgotten" Millennium Development Goal of overcoming malnutrition. Only about a tenth of the resources directed at HIV/AIDS goes to fight malnutrition, which causes 3.5 million deaths a year in children under 5 and has long-lasting impacts on health and achievement.

"Hunger and malnutrition are a cause, not just a result, of poverty," said Zoellick.

The World Bank estimates 33 countries face social unrest because of soaring food and energy prices.

The New Deal requires a shift from traditional food aid to a broader concept of food and nutrition assistance, such as cash or vouchers that can help build local food markets and farm production,.and create a "Green Revolution" for Sub-Saharan Africa, said Zoellick.

"This New Deal should focus not only on hunger and nutrition, access to food and its supply, but also the interconnections with energy, yields, climate change, investment, the marginalization of women and others, and economic resiliency and growth," said Zoellick.

"Food policy needs to gain the attention of the highest political levels, because no one country or group can meet these interconnected challenges."

Zoellick said the World Bank Group can help by:

Backing emergency measures that support the poor while encouraging incentives to produce and harvest food
Offering access to technology and science to boost yields
Helping countries counter weather-related risks, such as drought
Facilitating land-titling, local currency financing, working capital, distribution and logistics, and support for services on which farmers rely

"Income gains in agriculture have three times the power in overcoming poverty than increases in other sectors, and 75 percent of the world’s poor are rural, with most involved in farming," said Zoellick.

Trade Also Key to Lower Food Prices

Zoellick said the time was "now or never" to break the impasse in global trade talks. A "fairer and more open trading system" would encourage developing country farmers to expand production, he said.

"The poor need lower food prices now. But the world’s agricultural trading system is stuck in the past. If ever there was a time to cut distorting agricultural subsidies and open markets for food imports, it must be now."

An accord would give developing countries, big and small, more opportunities to become more productive and lower prices through trade. It would also infuse confidence in an economic system stressed by financial anxiety, he said.

However, "powerful voices across the political spectrum, including in my own country, are calling for, rationalizing, protectionism," Zoellick said. "This economic isolationism signals a defeatism that will reap the losses, not the gains, of globalization."

The trade talks are also a "critical test" for striking a global deal on climate change. "If negotiators of 150 economies cannot manage the political tradeoffs of the Doha Round to reap the clear benefits, it does not auger well for bringing developed and developing countries together on a new accord for climate change."

Sovereign Wealth Funds

Zoellick also outlined a plan to encourage emerging economies such as China, India and Brazil to invest about US$30 billion in African nations through government-sponsored wealth funds.

Such sovereign wealth funds currently hold about US$3 trillion in assets. They have come under scrutiny recently because of investments outside their own countries. Zoellick noted they need transparency and should be guided by best practices to avoid politicization, but "where some see sovereign funds as a source of concern, we see opportunity," said Zoellick.

The World Bank’s "One Percent Solution" involves creating the equity investment platforms and benchmarks to attract these investors, and allocating 1 percent of the assets to African growth, development and opportunity.

"This one percent could be the start of something much bigger, across more types of funds and countries, because the investment of wealth into equity for development offers opportunity, not something to fear."

Extractive Industries Initiative

Zoellick announced a new approach to help ensure that high energy and commodity prices translate into improvements in the lives of the poor.

The EITI++ builds on the transparency and good governance concepts of the existing multi-stakeholder Extractive Industries Transparency Initiative (EITI). EITI publicizes and verifies company payments and government revenues from oil, gas and mining. But many governments are emphasizing that transparent revenue reporting, while important, is not enough. The World Bank is therefore working with developing countries and other partners to frame a "comprehensive approach to supplement the original project."

EITI++ will include providing technical assistance to countries on the awarding of contracts, monitoring operations, collecting taxes, improving resource extraction and economic decisions, better managing price volatility, and investing revenues effectively in sustainable development.

An EITI++ approach will be launched in Guinea. "The successful development of Guinea’s rich resources can strengthen sustainable development for the entire region," Zoellick said.

"The EITI++ can advance inclusive and sustainable globalization by broadening the beneficiaries of resource development."

The project Institutional Capacity Building Project for Procurement is now in the pipeline.

2007-11-19T05:00:00.000Z

The project Institutional Capacity Building Project for Procurement is now in the pipeline. To see more information, see the project information in the World Bank project database

The project Avian Influenza Control Project is now in the pipeline.

2007-10-27T04:00:00.000Z

The project Avian Influenza Control Project is now in the pipeline. To see more information, see the project information in the World Bank project database

The project Bhutan Trust Fund for Statistical Capacity Building is now in the pipeline.

2007-10-27T04:00:00.000Z

The project Bhutan Trust Fund for Statistical Capacity Building is now in the pipeline. To see more information, see the project information in the World Bank project database

The project Bhutan - Sustainable Land Management Project is now in the pipeline.

2007-10-25T04:00:00.000Z

The project Bhutan - Sustainable Land Management Project is now in the pipeline. To see more information, see the project information in the World Bank project database

The Sustainable Land Management Project for Bhutan will strengthen institutional and community capacity for anticipating and managing land degradation. The project consists of the following components: (1) Pilot projects to demonstrate effective application of land degradation prevention approaches. (2) This component will support the scaling up of the pilots to six additional geogs (two in each of the pilot dzongkhags) based on the lessons learned from Component 1. (3) This component will bring lessons from Component 1 and 2 to inform national legislation and policy pertaining to watershed management, upland agriculture and livestock, forestry, urban planning and infrastructure development. (4) This component will further support Royal Government of Bhutan (RGoB's) efforts to strengthen and build capacity within the Ministry of Agriculture (MOA) to systematically and effectively coordinate a program of activities in order to help anticipate and manage land degradation in the country.

The project Decentralized Rural Development Project is now in the pipeline.

2007-10-25T04:00:00.000Z

The project Decentralized Rural Development Project is now in the pipeline. To see more information, see the project information in the World Bank project database

The Decentralized Rural Development Project seeks to improve market access, and increase the agricultural output for rural communities in selected areas of Bhutan. To this end, the project components are as follows. Component 1 - rural access and economic infrastructure - will finance local public goods, i.e. farm roads, power tiller roads, irrigation channels, which have already been identified at the local level as priorities for rural communities, as part of the 9th Five Year Plan (FYP). The second component - renewable natural resource centers - will finance the construction for, and programming of the so-called Renewable Natural Resources (RNR) Centers, as the focal point of the Ministry of Agriculture, to help farmers take advantage of productivity, and income gains, through demonstration, knowledge sharing, and capacity building. Finally, the third component - institutional strengthening - will finance capacity-building at the local-level administration, for planning aspects, and for the physical reporting of project implementation performance, to ensure the appropriate transfer of funds to the local level. In addition, capacity building will also be supported for an adequate environmental, and social screening and assessment.

The project RURAL ACCESS PROJECT is now in the pipeline.

2007-10-25T04:00:00.000Z

The project RURAL ACCESS PROJECT is now in the pipeline. To see more information, see the project information in the World Bank project database

The Rural Access Project for Bhutan aims to improve the access of rural communities to markets, schools, health centers, and other economic and social infrastructure, in order to improve the quality of life and productivity of rural communities. The project will also help strengthen institutional capacity for implementing environmentally friendly approaches to improve rural access, community involvement in rural roads selection and management, an improved infrastructure maintenance. There are three project components. The first builds new priority feeder roads and includes site preparation, earthworks, drainage construction, and road monitoring. The second component provides the Division of Roads (DOR) with necessary equipment, computers and accessories, survey equipment, and vehicles for immediate project implementation and supervision support, and in the long run to strengthen the technical and institutional capacity of DOR. The third component comprises six sub-components: Project management assistance and training; environmental and social assessment studies, which are required for all road constructed under this project; the introduction of a LACI-(Loan Administration Change Initiative) type format, and the funding of experts and related hardware and software; feeder road maintenance planning; the socio-economic evaluation of completed roads; and pre-investment studies for a follow-up project.

The project Bhutan - Urban Development Project is now in the pipeline.

2007-10-25T04:00:00.000Z

The project Bhutan - Urban Development Project is now in the pipeline. To see more information, see the project information in the World Bank project database

The Urban Development Project aims at improving the quality of life in Bhutan, through enhancement of basic urban services in selected secondary towns in the country. The project has two major components: 1) the institutional development component will strengthen the capacity of the Urban Development and Housing Division (UDHD) and the project towns in urban planning development, land use management and mapping, and planning/implementation of urban development investments, focusing on adequate operation and maintenance, in addition to appropriate project management and monitoring of the UDHD, and the project towns. This component will further support the National Environmental Commission (NEC), in the development of environmental guidelines for the urban sector, and, the UDHD, for environmental codes of practice regarding solid waste management; and, 2) the urban development component will consist of water supply investments and chlorination equipment, confined to the rehabilitation, and increased capabilities of existing systems, as well as the construction of some new schemes. The solid waste management program will include a public information campaign, and, comprehensive programs of training for waste management personnel will be provided. In addition, sanitation of septic tanks, and urban infrastructure, such as drains, urban roads, and civic facilities will be provided.

The project Calcium Carbide Project is now in the pipeline.

2007-10-25T04:00:00.000Z

The project Calcium Carbide Project is now in the pipeline. To see more information, see the project information in the World Bank project database

Bhutan is endowed with large-scale deposits of commercially exploitable limestone, dense and maturing forests that can provide wood for charcoal for use as a reductant, and substantial hydroelectric power potential which is beginning to be exploited. The project aims at utilizing these basic inputs for production of calcium carbide, mainly for export, to help Bhutan earn much-needed foreign exchange revenues for its economic development. The project would augment the country's limited industrial base, increase financial self-reliance and help train manpower in industrial production, mining and forestry. The project, with a capacity to produce 22,000 tons per year of calcium carbide, would be located at Pasakha in Southern Bhutan. The project would include: (i) a calcium carbide plant; (ii) limestone mining; (iii) forestry; and (iv) charcoal plants. In addition, the project provides for necessary infrastructure, technical assistance and training.

The project Education Project (02) is now in the pipeline.

2007-10-25T04:00:00.000Z

The project Education Project (02) is now in the pipeline. To see more information, see the project information in the World Bank project database

The Second Education Project will assist Bhutan in building and strengthening physical and institutional capacity to provide a higher quality basic education to more children, particularly from rural areas. The project's objectives are 1) to increase the number of graduates from basic education and provide enough entrants to existing training programs to fill labor demands; 2) to raise levels of learning; and 3) to strengthen the quality of management within the education sector. The project has four components. 1) Increasing and upgrading facilities for basic education by constructing new schools, substantially upgrading existing schools, and supporting decentralized construction; 2) expanding and improving teacher education; revising curriculum; and supporting central, district, and school-based in-service teacher-training programs; 3) improving learning processes by curriculum development, examining learning processes, revising existing examinations and introducing standardized tests, and developing resource centers, school networks, and the supplementary reading program; and 4) strengthening educational management and administration by further strengthening the professional skills of central staff and developing the capacity to introduce a decentralized school monitoring and supervisory system; strengthening district educational administration; and strengthening school level management through networks and headteacher training.

The project Environmental Conservation Trust Fund Project is now in the pipeline.

2007-10-25T04:00:00.000Z

The project Environmental Conservation Trust Fund Project is now in the pipeline. To see more information, see the project information in the World Bank project database

The project Forestry Project is now in the pipeline.

2007-10-25T04:00:00.000Z

The project Forestry Project is now in the pipeline. To see more information, see the project information in the World Bank project database

The forests of Bhutan represent the largest renewable resource in the country. The proposed project would develop within the Forest Department a capacity to operate an integrated logging and reforestation program to support the long-term development of forest plantation and locally-based wood industries. The project would include clearfelling and extraction of merchantable trees from degraded forests in preparation for establishing 2,800 ha of plantations in the Phuntsholing and Gaylegphug areas located in Southern Bhutan and where increasing degradation of natural forests presents significant risks of ecological damage.The project would also establish nurseries to support the plantation program and construct and maintain the necessary access roads. Technical assistance would help the Forest Department with project implementation and training of staff in log extraction, road construction and plantation establishment.

The project Technical Assistance Project is now in the pipeline.

2007-10-25T04:00:00.000Z

The project Technical Assistance Project is now in the pipeline. To see more information, see the project information in the World Bank project database