Sector/Thematic Studies

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http://hdl.handle.net/10986/2110

Economic and Sectoral Work are original analytic reports authored by the World Bank and intended to influence programs and policy in client countries. They convey Bank-endorsed recommendations and represent the formal opinion of a World Bank unit on the topic. This set includes the sectoral and thematic studies which are not Core Diagnostic Studies. Other analytic and advisory activities (AAA), including technical assistance studies, are included in these sectoral/thematic collections.

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Mobilizing Private Finance for Nature: A World Bank Group Paper on Private Finance for Biodiversity and Ecosystem Services

(World Bank, Washington, DC, 2023-09-25) World Bank Group

Biodiversity and ecosystem services, or nature for short, underpin many aspects of economic activity and are deteriorating at an unprecedented level, with potentially far-reaching implications for economies worldwide. Sustained ecosystem damage can trigger regime shifts and generate systemic impacts on human well-being and economies. For example, the degradation of natural ecosystems has been associated with an increase in the probability of emerging infectious diseases. The COVID-19 pandemic is likely an example of how the disturbance of ecosystems can have systemic consequences. As biodiversity is often seen as a public and therefore open access good, its conservation, restoration, and sustainable use rely heavily on scarce public sector finance. Simultaneously, governments are spending vast amounts to promote economic activities that are potentially harmful to biodiversity. This paper argues that governments and regulators, supported by financial institutions and multilateral development banks (MDBs), hold the key to mobilizing private finance at the scale needed to transform the way we build, produce, and consume to protect nature while fostering sustainable poverty reduction. The analysis looks at two key approaches to mobilizing private finance for biodiversity. First, it assesses opportunities for financing green, that is, the financing of projects that contribute, or intend to contribute, to the conservation, restoration, and sustainable use of biodiversity and its services to people. Second, it looks at greening finance, that is, directing financial flows away from projects with negative impact on biodiversity and ecosystems to projects that mitigate negative impact, or pursue positive environmental impact as a co-benefit. Despite growing innovation in both categories, significant challenges to scaling up private finance remain. These include policies that exacerbate the underpricing of biodiversity; lack of data, measurement, and reporting standards; and issues with biodiversity investment opportunities, which tend to be small scale and noncommercial, making private sector financing a challenge. The paper provides a set of recommendations for governments, regulators, companies, financial institutions, and MDBs. These are synthesized into a set of big five approaches to mobilize private finance for biodiversity: environmental fiscal reforms to realign incentives with sustainable practices; national biodiversity data provision and planning; the establishment of a Taskforce on Nature-related Financial Disclosures (TNFD) to support biodiversity reporting; the establishment of a Nature Action 100 to drive change in the companies whose activities most threaten biodiversity; and the provision of catalytic, concessional capital for biodiversity funds and projects.
Addressing Care to Accelerate Equality

(World Bank, Washington, DC, 2023-08) Ahmed, Tanima ; Devercelli, Amanda ; Glinskaya, Elena ; Nasir, Rudaba ; Rawlings, Laura B.

The care economy is essential in daily life and a driver of economic growth, human capital development, and employment. Gender is a defining characteristic of the care economy. Women spend 3.2 times more time on unpaid care work than men and constitute the majority of the care workforce. Disproportionate unpaid care responsibilities and a lack of access to quality, accessible, affordable care services impede women’s economic participation and affect their overall well-being. Investments in the care sector are essential to accelerate equality and could generate up to 299 million jobs worldwide by 2035. Globally, the need for care services is high. Worldwide, 43 percent of all children below primary-school-entry age—350 million children—need childcare but do not have access to it. The need for eldercare is also growing as the population continues to age and face chronic health conditions. The World Bank actively supports countries in addressing this care crisis. This thematic policy note reviews many of the issues, evidence, and lessons learned.
Plastic Waste in Road Construction: A Path Worth Paving? Application of Dry Process in South Asia

(World Bank, Washington, DC, 2023-05-24) Patil, Pawan ; Stankevich, Natalya ; Tsydenova, Nina ; Diana, Zoie

As global plastic waste continues to grow, the global community is coalescing to reduce plastic waste. Some stakeholders are also exploring new options to use plastic waste as partial substitute for raw material. The use of plastic waste as a bitumen modifier in road construction, referred to here as ‘plastic roads’, is one option being explored. We reviewed the scientific literature, news articles, and patents; conducted a cost-effectiveness analysis; and interviewed representatives from private companies and independent, scientific researchers to determine the existing knowledge gaps regarding the (1) technology feasibility, including engineering performance; (2) environmental issues; (3) occupational health; (4) economic viability; and (5) industry standards surrounding plastic roads. We found that many companies are starting to implement or pilot this technology worldwide though key gaps in engineering performance, such as cracking resistance, remain. The environmental issues reviewed also have research gaps, including the generation of hazardous air pollutants during production; microplastics and nanoplastics generation during use; and leaching of additives from plastic waste during use. Industry standards for the use of plastic waste in road construction are lacking. In addition, there is prevailing uncertainty in the economic viability of the technology. As a result of these key research gaps, the Ways Forward section presents a roadmap for short- and longterm research priorities.
R&D Policy and the Role of Research Institutions in Fostering Green Innovation in Poland

(World Bank, Washington, DC, 2023-05-18) Ambasz, Diego ; Sanchez-Reaza, Javier ; Zuniga, Pluvia

The diagnostic and analysis presented in this report unveils a complex and challenging picture of Polish R&D capacity and its technological preparedness to engage and deliver green-innovation solutions for regions and industries. The report pinpoints opportunity areas to catch up, as well as the competences that Poland can leverage to address capacity and preparedness challenges. Policy goals should, therefore, ensure that actions by the state, research centers, universities, private sector, and all agents in the innovation eco-system help meet environmental and sustainable development commitments.
Jobs, Food and Greening: Exploring Implications of the Green Transition for Jobs in the Agri-food System

(World Bank, Washington, DC, 2023-05-16) Nico, Gianluigi ; Christiaensen, Luc

The agri-food system (AFS) employs about one third of the global workforce and contributes about one third of global greenhouse gas (GHG) emissions. This together with its large exposure to the effects of climate change and environmental degradation makes what happens in AFS central to the green transition and its implications for jobs and the structural transformation. Microeconomic evidence suggests that the adoption of climate smart agricultural practices will increase labor requirements, at least in the short run and at lower levels of incomes, when its mechanization is still limited. Econometric macro-model-based simulations suggest however that especially substantial investment in climate friendly agricultural R&D as well as soil and water preserving practices and market integration will more than offset the negative effects of climate change and even accelerate the structural transformation, especially in Sub Saharan Africa. Overall, the findings underscore the tremendous potential of increasing agricultural and climate friendly R&D investment for brokering an environmentally sustainable structural transformation. Repurposing of agriculture’s current US$ 638 billion support package towards supporting more climate friendly practices, including to overcome the time lag between the moment of investment and the realization of the benefits, provides an important policy entry point.
Gender-Responsive Tourism in Cabo Verde: Ensuring Better, Safe, and More Jobs for Women

(Washington, DC, 2023-04-19) World Bank

This report is the result of an assessment of the gender dimensions of current tourism development in Cabo Verde. The report’s recommendations aim to ensure the project has a gender-responsive approach that positively impacts gender equality in the tourism and blue economy sectors. The report was drawn up to understand what constraints are preventing increased economic empowerment of women in the tourism sector in selected sites, assess the nature of these constraints, and propose recommendations and actions that would fit under the project.
Institutional and Procurement Practice Note on Cloud Computing: Cloud Assessment Framework and Evaluation Methodology

(Washington DC, 2023-03-16) World Bank

Despite widespread awareness on the benefits of cloud computing, authorities in most of the World Bank’s client countries have not explored the opportunity of adopting cloud computing solutions. Task teams are finding it difficult to provide relevant advice to the counterparts and address their concerns. Most authorities have identified risks of moving to cloud computing: Will their data be safe? Will they have sovereign control over access to data stored offshore? Will privacy be protected? These risks are real. Due to an inadequate assessment framework to identify and assess these risks, the typical response of most client governments is to develop a government’s cloud (G-Cloud or GovCloud). This seems logical for more sensitive or mission critical data. However, this is not enough. Adopting a hybrid cloud model, which leverages the cloud services from the private sector to work in conjunction with the G-Cloud can offer immense opportunities to save costs, improve security, enhance performance, and strengthen resilience in a post COVID-19 world. However, client governments need guidance to change their policy response on cloud computing - from the risk-avoidance to the one of risk-management. This note provides guidance on institutional and procurement arrangements and risk mitigation methodology for acquiring and managing public cloud solutions using a whole-of-government approach.
Data Classification Matrix and Cloud Assessment Framework: Cloud Assessment Framework and Evaluation Methodology

(Washington, DC, 2023-03-16) World Bank

This data classification matrix and cloud assessment framework supports the policy goals articulated in the World Bank’s Institutional and procurement practice note for cloud computing services in the public sector. The framework is intended to support World Bank client countries, practitioners, and multilateral and bilateral development partners to manage the risks of acquiring public cloud solutions. These suggestions are based on good practices identified in the practice note. The framework first offers a data classification scheme for government data and personally identifiable information (PII) of citizens that governments and their contractors handle based upon the confidentiality, integrity, and availability security objectives. The framework then suggests cloud security requirements corresponding to each proposed data classification level. These security requirements are based upon international standards and good practices identified in the practice note. The framework also offers a checklist for procuring agencies seeking to procure cloud services.
The Business Case for Gender-Responsive Climate-Smart Mining

(Washington, DC, 2022-08-08) International Finance Corporation

Transitioning to a low-carbon economy is critical to the sustainability of the planet. A recent World Bank report found that increasing demand for clean energy technologies can increase demand for minerals such as graphite, lithium, and cobalt by nearly 500 percent by 2050. Even though the authors expect recycling rates to go up in the future, mining will still be required to supply critical minerals: the shift to a low-carbon future will be mineral-intensive, and mining will remain a critical industry. It is in this context that the World Bank Group established the climate-smart mining initiative (CSM), which is sustained by a partnership between industry and country governments. The initiative supports the sustainable extraction, processing, and recycling of the minerals and metals that are needed for low-carbon technologies. The concept is built upon four pillars: (i) climate mitigation; (ii) climate adaptation; (iii) reducing material impacts; and (iv) creating market opportunities.
CivicTech: Transparency, Engagement, and Collaboration for Better Governance

(Washington, DC: World Bank, 2022-07-17) World Bank

As economies and societies become increasingly digital, governments around the World are prioritizing the use of digital technologies and data to increase the participation and engagement of civil society in public matters. At the same time, citizen’s rising expectations and demands require public sectors to strengthen civil society engagement. Digital technologies and data have the potential to increase substantially the tools that governments have available to further involve citizens in policy and service design and delivery. This how-to-note provides advice on how to use digitalization to strengthen the engagement between the governments and citizens, with various examples of what CivicTech is and why it is an important element of the GovTech approach.