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Algeria Economic Update, Fall 2024: A Holistic Framework for Sustained Export Growth
(Washington, DC: World Bank, 2024-12-04) World Bank
This Algeria Economic Update reports on the main recent economic developments and policies. It places them in a global and longer term context and assesses the implications of these developments and policy changes for Algeria’s economic prospects. The report is intended for a broad audience, including policymakers, business leaders, financial market participants, and the community of analysts and professionals working in/on Algeria. The report is divided into three chapters. Chapter 1 presents macroeconomic developments in Algeria over the year 2023 and the first half of 2024, while Chapter 2 describes the short- and medium-term outlook for the Algerian economy, and Chapter 3 presents macroeconomic considerations in support of non-hydrocarbon export development. This report is based on data available on October 30, 2024.
Leveling the Playing Field: Addressing Structural Inequalities to Accelerate Poverty Reduction in Africa
(Washington, DC: World Bank, 2024-12-02) Sinha, Nistha; Inchauste, Gabriela; Narayan, Ambar; eds.
Structural sources of Africa’s inequality are rooted in laws, institutions, and practices that create advantages for a few but disadvantages for many. They include differences in living standards that come from inherited or unalterable characteristics, such as where people are born and their parents’ education, ethnicity, religion, and gender. They also arise from market and institutional distortions that privilege some firms, farms, and workers to access markets, employment, and opportunities while limiting access for the majority and limiting earning opportunities. "Leveling the Playing Field: Addressing Structural Inequalities to Accelerate Poverty Reduction in Africa" argues that policies to address high levels of structural inequality in Africa are also at the heart of what is needed to accelerate progress in reducing extreme poverty. There is nothing inevitable about structural inequality. Economies that put up barriers to opportunities can also remove and replace them with policies that create a level playing field. Indeed, across the world, countries where opportunities are distributed more fairly grow faster and have lower poverty incidence. Broadening access to opportunities represents one of Africa’s key prospects for raising productivity and earnings and accelerating poverty reduction. Leveraging the most recent data available for the region, "Leveling the Playing Field" provides recommendations aimed at improving the productive capacity of the poor, the ability of poor individuals to use their capacities for well-paying job opportunities, and the design of fair fiscal policies.
Tunisia Economic Monitor: Equity and Efficiency of Tunisia Tax System - Fall 2024
(Washington, DC: World Bank, 2024-11-14) World Bank
The Tunisian economy experienced a modest growth of 0.6 percent in the first half of 2024, following zero growth in 2023. By the end of 2024, Tunisia is projected to be the only country in its region with a real GDP still below pre-pandemic levels. The limited recovery in agriculture, coupled with declines in the oil and gas, garments, and construction sectors, hindered economic growth. Below-average rainfall restricted agricultural growth, which only recovered a third of the significant losses from the first half of 2023. The garment sector suffered due to reduced demand from the European Union, Tunisia's main export market. Oil and gas production continued its decade-long decline due to a lack of new investments, and the construction sector was impacted by limited domestic demand and challenging external financing conditions.
International Centre for Settlement of Investment Disputes (ICSID) 2024 Annual Report
(Washington, DC: World Bank, 2024-11-05) International Centre for Settlement of Investment Disputes
The International Centre for Settlement of Investment Disputes (ICSID) has evolved significantly over the past fifteen years. Demand for ICSID’s services has grown in concert with an increase in foreign investment and an expanding network of international investment agreements. By leveraging new technologies and modernizing procedural rules, ICSID has ensured world-class quality and efficiency in its case administration services. The sustained growth in membership has been a testament to the value States place in ICSID as the only global institution dedicated to international investment dispute settlement. The 2024 fiscal year (FY2024) saw strong demand for ICSID’s services, with the second-highest number of registered and administered cases in ICSID’s history. Also notable over the fiscal year was the sustained progress in enhancing the diversity of arbitrators, conciliators, and ad hoc committee members appointed to ICSID cases. This includes: a record 49 nationalities were represented amongst the appointments made in FY2024; 29 percent of all appointments involved women; 50 percent percent of first-time appointees involved nationals of low- or middle-income economies. Additional highlights in FY2024 include a record number of concluded proceedings, as ICSID continues to work with tribunals and parties to reduce the time of cases. Also, for the first time, a Regional Economic Integration Organization - the European Union was a party to an ICSID proceeding.
Senegal Country Climate and Development Report
(Washington, DC: World Bank, 2024-11-05) World Bank Group
Climate action offers an opportunity to safeguard development gains and accompany the ambitious transformation Senegal is embarking on to achieve its objective of reaching middle income status in the next decade. While the country was among the fastest growing economies in Sub-Saharan Africa (SSA), poverty reduction was slow, vulnerabilities persisted, and inequalities increased. In addition, overall productivity remained low, with lagging structural transformation, high informality, and low job creation. To attain its middle-income goal, Senegal must initiate a series of reforms for a productive, sustainable, and inclusive growth model, with climate considerations at the center given the country’s high vulnerability. Senegal’s high climate vulnerability is caused by the country’s coastal exposure and reliance on natural resources for food, jobs, and growth (partly a consequence of its slow structural transformation). With temperatures soaring, precipitation expected to decrease, and erosion threatening 75 percent of the coastline at term, Senegal’s population and assets are under high risk. The poorest are particularly vulnerable, with 55 percent of total households teetering on the edge of poverty because of recurrent shocks. Without action, annual economic losses could reach 3-4 percent of Gross Domestic Product (GDP) as soon as 2030 and further increase to 9.4 percent by 2050, wiping years of per capita income growth and eroding any potential human capital accumulation. Overall, climate change could push two more million Senegalese in poverty by mid-century. Building resilience and leveraging the low-carbon economy will help Senegal realizing its growth ambitions, contributing to a more productive, sustainable, and inclusive development pathway. The macro-economic analysis for this CCDR finds that adaptation measures in selected sectors could bring GDP gains of about 2 percent by 2030, and between 0.5 and 1 percent afterwards (for climate financing needs of about 0.9 percent of GDP in the period to 2030 and 0.1 percent afterwards). Adaptation could also reduce poverty headcount, with 40 percent less people pushed into poverty by climate change compared to no adaptation action. In addition, emission reductions could reach 20MtCO2e per year over the period to 2050, from interventions in forestry, improved cooking services, urban transport, waste management, and energy production. The energy transition provides an opportunity to meet both development and climate objectives, exceeding NDC targets and putting the country well on track for net zero by 2050, but significant downside risks remain, linked to delays in the deployment and financing availability for renewable generation and domestic gas. Senegal’s formidable renewable energy potential (chiefly around solar) offers the lowest cost generation option to meet rising energy demand while accelerating decarbonization. At term, the country could play a leading role in decarbonizing the region though export opportunities and bolster resilience across the regional grid. In the short term, given constraints to the fast deployment of renewables, the transitional use of domestic gas will help phase out expensive and high-emitting coal and Heavy Fuel Oil (HFO) generation, while balancing the electricity system and lowering the cost of electricity. Climate action will require a financing of US$8.2 billion over 2025-30 (in present value, at 6 percent per year), or 4.5 percent of discounted cumulative GDP over the same period, and US$10.6 billion over 2031-50 (in present value terms), or 2.0 percent of discounted cumulative GDP over the same period. Water security, sustainable (urban) transport, and the energy transition account for the largest share. Importantly, climate action is expected to bring significant benefits over time, beyond climate adaptation and mitigation – including health or jobs, (as in the primary sector, with 155,000 jobs created, of which 80 percent in agriculture). Many benefits could not be properly estimated, implying that the returns from climate action might well be underestimated.
Gabon Economic Update: Designing Fiscal Policies for Sustainable Forestry
(Washington, DC: World Bank, 2024-10-29) World Bank
The Gabon Economic Update is an annual World Bank publication that presents an overview of the evolving macroeconomic position in Gabon, followed by a detailed exploration of a specific topic in each edition. The first chapter analyzes recent economic developments, key development challenges, as well as the macroeconomic outlook and risks for Gabon’s future growth. It presents policy actions that could help strengthen fiscal and debt sustainability, contain food inflation, promote job creation, and sustain a resilient growth path. The second chapter of this year’s economic update has a special focus dedicated to fiscal policies for the forestry sector. This chapter analyzes how fiscal policy reforms for forestry can contribute to generating more fiscal revenues, creating more jobs, and promoting sustainable production methods. This report is based on data available as of May 2024.
Remarks by World Bank Group President Ajay Banga at the 2024 Annual Meetings Plenary
(Washington, DC: World Bank, 2024-10-28) Banga, Ajay
In his speech at the 2024 Annual Meetings Plenary, World Bank Group President Ajay Banga highlighted the organization's achievements over its 80-year history and outlined its future direction. He emphasized the dual focus on reconstruction and development, reflecting on the World Bank's origins and its evolving role in addressing global challenges such as poverty, climate change, conflict, and pandemics. Banga discussed the need for the World Bank to be faster, simpler, and more impact-oriented. He noted improvements in project approval times, streamlined processes, and enhanced collaboration with other multilateral development banks. He also highlighted the importance of measurable outcomes and increased lending capacity to maximize the institution's impact.
Central African Republic Country Climate and Development Report
(Washington, DC: World Bank, 2024-10-23) World Bank Group
The Central African Republic (CAR) Climate Change and Development Report (CCDR) provides an in-depth analysis of the country’s vulnerability to climate change and its implications for sustainable development. The report identifies key challenges, including frequent extreme weather events such as floods and droughts, deforestation, and weak institutional capacity. These challenges threaten the livelihoods of rural populations, exacerbate food insecurity, and hinder economic development. However, the CCDR also highlights significant opportunities for CAR to transition toward a more resilient and sustainable future. By promoting climate-smart agriculture, sustainable forest management, and renewable energy development, the country can mitigate the effects of climate change while unlocking new economic growth avenues. The report provides strategic recommendations to strengthen institutional capacities, integrate climate action into national development plans, and mobilize climate finance to support resilience-building initiatives. The CCDR serves as a roadmap for operationalizing climate action in CAR, calling for stronger governance, enhanced stakeholder engagement, and innovative financing mechanisms to help the country adapt to climate challenges while promoting sustainable development.
Djibouti Economic Monitor, Fall 2024: Strengthening the Sustainability and Equity of Public Finances
(Washington, DC: World Bank, 2024-10-22) World Bank
This edition of the Djibouti Economic Monitor (DEM) is part of a program of biannual reports analyzing Djibouti’s development trends and constraints. The aim of each issue is to present the country’s recent economic developments (chapter 1), as well as the medium-term economic outlook and the main risks that accompany it (chapter 2). This edition also includes two thematic chapters of interest to the public. The first deals with the redistributive effects and potential efficiency gains of Djibouti’s budgetary system (chapter 3). The second deals with the efficiency of public spending in the road sector (chapter 4). The ECB aims to share information and stimulate debate among those interested in and working to improve Djibouti’s economic management. It seeks to be accessible to non-specialists to be useful to a wide range of stakeholders.
Sub-national Differences in Human Capital in the CEMAC Region
(Washington, DC: World Bank, 2024-10-22) World Bank
Countries in the CEMAC region could strengthen their human capital by investing more in education, health and social assistance. A human capital index of between 0.27 and 0.46 suggests that residents of CEMAC countries achieve between a quarter and a half of their potential. In addition, sub-national analysis reveals significant disparities within the countries. Gaps between urban and rural areas, as well as other regional divergences, generate inequalities that can be mitigated by more strategic and efficient spending. This report presents heat maps for different dimensions of human capital available for the Central African Republic, Cameroon, Chad and the Republic of Congo. The analysis could not for Gabon and Equatorial Guinea, in the absence of recent sub-national data.