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CEMAC Economic Barometer, November 2024, Vol 7
(Washington, DC: World Bank, 2025-01-03) World Bank
The CEMAC Economic Barometer is a semi-annual World Bank publication that presents a snapshot of recent developments and the economic outlook of the CEMAC region, followed by a brief assessment at the country level. It includes a focused technical section on a theme of regional relevance. This edition’s special topic provides policy options for the CEMAC countries to address challenges in the forestry sector, such as effectively designing fiscal instruments, improving forest governance, and increasing financial and technical support from the international community. It highlights how fiscal instruments can incentivize sustainable forestry and generate government revenue.
Regional Poverty and Inequality Update Latin America and the Caribbean: October 2024
(Washington, DC: World Bank, 2024-12-20) World Bank
This brief summarizes the main trends related to poverty and inequality in Latin America and the Caribbean (LAC) using the latest round of harmonized household surveys from the Socio-Economic Database for Latin America and the Caribbean (SEDLAC) created by the World Bank and the Centro de Estudios Distributivos, Laborales y Social (CEDLAS). This brief was produced by the Poverty and Equity Global Practice in the Latin America and Caribbean Region of the World Bank.
Sex-disaggregating Tax Administrative Data: Experience from Colombia’s Tax and Customs Authority
(Washington, DC: World Bank, 2024-12-06) Gamboa, Luis Fernando; Reyes, Luis Carlos; Tribin, Ana Maria; Komatsu, Hitomi
This Knowledge Note aims to document National Tax and Customs Authority's (DIAN’s) experience in sex-disaggregating income taxpayer data and provide examples of the use of disaggregated data for policy analysis. It offers lessons for other revenue authorities and government agencies planning to sex-disaggregate and analyze administrative tax data. It summarizes the institutional strategies, methodologies used, and challenges encountered in this process based on interviews with experts and government officials. We use the term “sex” to mean biological sex at birth unless explicitly stated otherwise.
Paraguay Poverty and Equity Assessment: Strategies to Boost Inclusive Growth and Poverty Reduction
(Washington, DC: World Bank, 2024-11-01) World Bank
Paraguay has achieved remarkable progress in reducing poverty over the past two decades. Through dedicated efforts and effective policies, the country halved its poverty rate from 51.4 percent in 2003 to 24.7 percent in 2022. Simultaneously, it cut extreme poverty by half, reaching 5.6 percent. According to World Bank estimates, Paraguay’s middle class has also experienced significant growth, expanding from 24.8 percent of the population in 2003 to 41.6 percent in 2022. Since 2014, however, the pace of poverty reduction has slowed, with most gains concentrated in the 2003–13 period. Economic growth, the primary driver of Paraguay’s poverty reduction, has decelerated in recent years. This slowdown was accompanied by a decrease in job creation and stagnation in real labor incomes. Moreover, a series of adverse shocks between 2019 and 2022, including the COVID-19 pandemic, high inflation, and a sequence of droughts that affected the agricultural sector, further eroded some of the progress made. Despite these challenges, Paraguay has begun to show signs of recovery. In 2023, the country witnessed a 2.8 percentage point reduction in moderate poverty and a decrease of 1.2 percentage points in extreme poverty. This report identifies four main structural barriers hindering poverty reduction in Paraguay and proposes priority policy options that can be implemented to address the country’s pressing socioeconomic challenges and disparities. This Paraguay Poverty Assessment, in conjunction with the Country Economic Memorandum (CEM) and the Country Climate and Development Report (CCDR), provides a comprehensive analysis of Paraguay’s development challenges. By offering insights and policy recommendations based on this analysis, these reports collectively aim to promote inclusive and sustainable growth in Paraguay.
Equatorial Guinea Economic Update, 2nd Edition: Designing Fiscal Instruments for Sustainable Forestry
(Washington, DC: World Bank, 2024-10-29) World Bank
This is the second edition of the Economic Update for Equatorial Guinea. This World Bank report presents recent economic developments in Equatorial Guinea, the medium-term economic outlook and risks as well as structural challenges (Chapter 1), followed by a detailed exploration of a specific topic (Chapter 2). This edition focuses on fiscal instruments for sustainable forestry, examining the current socio-economic context of forest policy in Equatorial Guinea. In particular, it discusses the role and current use of forest-related fiscal instruments, and proposes options and trade-offs in the design of forest related fiscal policy reforms to adequately capture resource rents, promote forest based value-addition and employment, mitigate deforestation and forest degradation. The objectives of the Equatorial Guinea Economic Update are to: (i) strengthen the analytical underpinnings of the policy dialogue; and (ii) contribute to an informed debate on policy options to enhance macroeconomic management and development outcomes.
Panama Systematic Country Diagnostic
(Washington, DC: World Bank, 2024-10-22) World Bank
This Systematic Country Diagnostic (SCD) Update assesses the evolution of Panama’s development challenges and policy priorities since the publication of the SCD in 2015. During the last eight years, Panama has experienced three major changes in its economic and social landscape: (i) economic growth, though still high, has structurally slowed down, affecting job creation and employment quality; (ii) human capital formation has not improved substantially, and the country is struggling to address the significant deterioration in education and health indicators that occurred due to the COVID-19 pandemic; and (iii) the government has demonstrated an increasingly acute awareness of the country’s vulnerability to climate change. In addition, Panama’s income per capita had the highest level of convergence within the region, reflecting its strong economic performance over the last three decades. However, the country’s remarkable gains in per capita income have not been accompanied by a commensurate improvement in economic inclusion and institutional quality. In this context, the SCD Update begins by providing an overview of Panama’s recent growth dynamics and poverty trends, before analyzing the country’s development challenges and discussing key policy priorities for achieving sustainable, inclusive, and resilient growth.
Latin America and the Caribbean Economic Review, October 2024: Taxing Wealth for Equity and Growth
(Washington, DC: World Bank, 2024-10-09) Maloney, William; Zambrano, Jorge Andres; Vuletin, Guillermo; Beylis, Guillermo; Garriga, Pablo
The report highlights the progress made on inflation and, despite some resistance in the last mile, the resulting fall in interest rates that will ease pressures on debt service and investment. However, growth is projected to remain low, debt remains high, private and public investment is depressed, and the region appears to be missing the boat on nearshoring FDI. The need to generate more fiscal space, reduce the high corporate tax burden, and mitigate persistent inequality have moved wealth taxes to center stage. But traditional wealth taxes on financial assets face challenges due to the ease of moving and hiding assets which will be difficult to control without elusive global coordination. A viable alternative is a tax on real estate which is less mobile, easier to track, and less of a distortionary burden on economic activity, given the low initial rates. Property taxes also have the potential to reduce the excessive dependence of subnational governments on federal transfers. For property taxes to play a greater role, there must be improvements in property valuation which can be engineered through the use of digital platforms and centralized land registries.
The Future of Work in Central America and the Dominican Republic
(Washington, DC: World Bank, 2024-08-13) Moroz, Harry; Viollaz, Mariana
Technological progress has the potential to cause significant disruption in labor markets. This report examines the impact of computers, robots, AI, and improved ICT at work on labor markets in CADR. Advanced economies offer a model for how the future of work will look in Central America and the Dominican Republic (CADR), but important differences in development stages mean that the labor market impacts of technological progress are distinct now and are likely to continue to be in the near future. The report focuses on these technologies as the most likely to have shaped labor markets in the region in the recent past and the most likely to shape them in the near future. The report first examines how technological progress within the region is shaping what workers do and how they do it. The report goes beyond the analysis of susceptibility to automation to dissect the factors underlying recent labor market transformations and undercover the extent to which technological change has played a role in these transformations. The report also examines how technological progress outside of the region is shaping labor markets within it by investigating how robot adoption in the United States is affecting the demand for CADR workers in CADR countries and for CADR workers in the United States.
From Landlocked to Land of Opportunity: Paraguay Country Economic Memorandum
(Washington, DC: World Bank, 2024-07-09) World Bank
Paraguay has been a beacon of macroeconomic stability, but like the rest of the region, its average growth has moderated since 2013, which has affected the pace of poverty reduction. To accelerate growth and poverty reduction, it is important to continue to increase resilience against external shocks, productivity, and the sustainability of growth. Improving the quality and efficiency of public institutions, market efficiency, innovation, education, and infrastructure will promote economic productivity. Diversifying exports away from unprocessed commodities will strengthen economic resilience but will be a lengthy process. Meanwhile, the continued commitment to stable macroeconomic and fiscal policies, a deepened financial sector, and risk mitigation policies will increase economic resilience. Paraguay does not have to choose between profitability and sustainability: both are possible and complementary. Greener growth will yield a stronger, more prosperous economy.
CEMAC Economic Barometer, May 2024, Vol. 6
(Washington, DC: World Bank, 2024-07-02) World Bank
The CEMAC Economic Barometer is a semi-annual World Bank publication that presents a snapshot of (i) recent developments in and the economic outlook of the CEMAC region, and (ii) key development and reform priorities in the CEMAC region, followed by (iii) a brief assessment at the country level.