Publication:
Economic Impacts of Inadequate Sanitation in Bangladesh

Loading...
Thumbnail Image
Files in English
English PDF (2.95 MB)
1,214 downloads
English Text (335.91 KB)
183 downloads
Published
2012-01
ISSN
Date
2014-03-24
Author(s)
DeFrancis, Marc P.
Editor(s)
Abstract
This study estimates the nonmonetary, financial, and economic costs of poor sanitation in the areas of health, drinking water, and domestic water, as well as user preference and welfare. Financial costs refer to the direct financial expense paid in monetary terms by someone, such as changes in household and government spending and real income losses for households. Nonmonetary costs consist of both longer-term financial impacts (such as less educated children, fewer children, and loss of working people due to premature death or relevant morbidity), and nonfinancial implications, such as the value of loss of life, time-use of adults and children, and intangible impacts. Bangladesh has made inadequate progress toward the sanitation-related millennium development goal (MDG) target. The country's financial commitment and political priority for sanitation also has shown inadequate progress (Water-Aid, 2008). Therefore, to mitigate the adverse effects of poor sanitation and hygiene practices, intervention is necessary. The aim of this study is to provide concrete evidence of the impact poor sanitation has on the population and the environment and, consequently, on the economy. This study provides estimates of the current and long-term effects of poor sanitation, which cover not only the negative impacts of poor sanitation but also the potential gains that different sanitation interventions could achieve. Policy makers and water and sanitation advocacy organizations are the target audience of this study.
Link to Data Set
Citation
DeFrancis, Marc P.; DeFrancis, Marc. 2012. Economic Impacts of Inadequate Sanitation in Bangladesh. Water and Sanitation Program;. © http://hdl.handle.net/10986/17349 License: CC BY 3.0 IGO.
Associated URLs
Associated content
Report Series
Other publications in this report series
Journal
Journal Volume
Journal Issue

Related items

Showing items related by metadata.

  • Publication
    Uganda - Environmental Sanitation : Addressing Institutional and Financial Challenges
    (World Bank, 2010-02-01) World Bank
    Over the past 10 years the government of Uganda has endeavored to increase latrine coverage and promote hygiene with a view to improving health outcomes. In 1997, in the Kampala declaration for sanitation, leaders from all of Uganda's districts pledged to improve sanitation. Then in 2001, three ministries, the Ministry of Water, Lands, and Environment; the Ministry of Education and Sports; and the Ministry of Health, signed a memorandum of understanding to clarify institutional responsibilities with respect to sanitation and hygiene and to improve implementation at the district and local levels. The three ministries agreed to put in place institutional arrangements to prioritize resources for excreta-related sanitation and hygiene programs. Although the main focus of this report is on excreta-related sanitation and hygiene, the 2006 joint sector review for water and sanitation also requested clarification of existing mandates for two specific aspects of environmental sanitation, namely solid waste management and drainage and asked whether these two issues should be included in the memorandum. Accordingly, this report also explores the institutional issues linked with municipal solid waste management and urban drainage. Because of limitations of time and scope, it examines these particular issues only in Kampala.
  • Publication
    Economic Impacts of Sanitation in Cambodia : A Five-Country Study Conducted in Cambodia, Indonesia, Lao PDR, the Philippines, and Vietnam Under the Economics of Sanitation Initiative
    (Jakarta, 2008-02) World Bank
    The sanitation impact study, initiated by the World Bank water and sanitation program, aims to generate sound evidence on the negative impacts of existing sanitation and hygiene conditions and the potential benefits of improvements in sanitation and hygiene in Cambodia. In this study, quantitative assessment is conducted on the economic impacts of poor sanitation and hygiene on health, water resource, tourism and other welfare impacts. In addition to the quantitative evaluation, the study also discusses the effects of poor sanitation on various qualitative dimensions including health-related quality of life, intangible user preferences, life decisions, and the quality of the surrounding environment. The analysis focused on a narrow definition of sanitation, related to human excreta. However, there were instances in which sanitation as it relates to gray water and solid waste were also included. In measuring the impacts, the study uses a peer-reviewed methodology developed specifically for this study, which draws on established methods and, where these do not exist, develops new approaches to capture the impacts of poor sanitation. For improving policy interpretation of the results, the study distinguishes between financial and economic impacts, and presents for rural/urban areas and different geographical groupings at zonal level. Overall, the study finds that poor sanitation leads to economic losses. These economic losses are equivalent to 7.2 percent of the Cambodia's Gross Domestic product (GDP) in 2005. This amount is roughly equivalent to the contribution of the fishery sector, to the GDP, or twice the contribution of the forestry sector.
  • Publication
    Sanitation Finance in Rural Cambodia
    (World Bank, Washington, DC, 2012-02) Robinson, Andy
    This document presents the findings of a study on sanitation finance in Cambodia conducted for the Water and Sanitation Program (WSP) with support from the Asian Development Bank (ADB). The overall objective of the assignment was to consider sustainable sanitation financing options with a focus on promoting access for the poorest. This guidance note contains an introduction on sanitation financing and subsidies, stating the cases for subsidies as well as some of their practical pitfalls. The study used data (as of late 2009) from two case studies of rural sanitation finance in Cambodia to illustrate the practical issues, sup-plemented by preliminary data from two sanitation marketing projects. The study also examined the potential use and effectiveness of (hardware) subsidies, conditional cash transfers (CCTs), and other financing approaches relevant for sanitation improvement. The document ends with recommendations for improved sanitation finance, including practical suggestions for sanitation programs in Cambodia. These recommendations bear particular relevance for the ADB's Second Rural Water Supply and Sanitation Sector Project, which commenced in 2010.
  • Publication
    What Does It Take to Scale Up Rural Sanitation?
    (World Bank, Washington, DC, 2012-07) Perez, Eduardo; Cardosi, Jason; Coombes, Yolande; Devine, Jacqueline; Grossman, Amy; Kullmann, Craig; Kumar, C. Ajith; Mukherjee, Nilanjana; Prakash, Manu; Robiarto, Amin; Setiwan, Deviariandy; Singh, Upneet; Wartono, Djoko
    Over the last 30 years, most rural sanitation projects have had pockets of success, but were small in scale and could not be scaled up. Learning how to expand on the successes of small-scale projects to increase access at large scale has been an enduring challenge. Project outcomes often fail the sustainability test once external funding ceases, and the benefits, even if sustained, remain limited to project areas. Despite growing political will to do more about rural sanitation, the lack of evidence and examples of effective and sustainable large-scale rural sanitation programs has constrained governments and development partners. In an attempt to help address these issues, starting in 2007, the World Bank's Water and Sanitation Program (WSP) provided technical assistance to help governments design, plan, implement, and monitor national rural sanitation programs that start at scale and are sustainable. This initiative was carried out in three countries, India, Indonesia, and Tanzania. To increase the supply of sanitation products and services, efforts were made to build the capacity of local builders, manufacturers, and suppliers of sanitation products and services. In addition, in all three countries, national governments have developed, reformed, or improved national sanitation policies to become demand-responsive, and local governments have strengthened their capacity to facilitate community-led efforts to stop open defecation and to support the local private sector to build improved sanitation facilities.
  • Publication
    Sanitation and Externalities : Evidence from Early Childhood Health in Rural India
    (World Bank, Washington, DC, 2014-01) Briceno, Bertha; Andres, Luis A.; Chase, Claire; Echenique, Juan A.
    This paper estimates two sources of benefits related to sanitation infrastructure access on early childhood health: a direct benefit a household receives when moving from open to fixed-point defecation or from unimproved sanitation to improved sanitation, and an external benefit (externality) produced by the neighborhood's access to sanitation infrastructure. The paper uses a sample of children under 48 months in rural areas of India from the Third Round of District Level Household Survey 2007-08 and finds evidence of positive and significant direct benefits and concave positive external effects for both improved sanitation and fixed-point defecation. There is a 47 percent reduction in diarrhea prevalence between children living in a household without access to improved sanitation in a village without coverage of improved sanitation and children living in a household with access to improved sanitation in a village with complete coverage. One-fourth of this benefit is due to the direct benefit leaving the rest to external gains. Finally, all the benefits from eliminating open defecation come from improved sanitation and not other sanitation solutions.

Users also downloaded

Showing related downloaded files

  • Publication
    Argentina Country Climate and Development Report
    (World Bank, Washington, DC, 2022-11) World Bank Group
    The Argentina Country Climate and Development Report (CCDR) explores opportunities and identifies trade-offs for aligning Argentina’s growth and poverty reduction policies with its commitments on, and its ability to withstand, climate change. It assesses how the country can: reduce its vulnerability to climate shocks through targeted public and private investments and adequation of social protection. The report also shows how Argentina can seize the benefits of a global decarbonization path to sustain a more robust economic growth through further development of Argentina’s potential for renewable energy, energy efficiency actions, the lithium value chain, as well as climate-smart agriculture (and land use) options. Given Argentina’s context, this CCDR focuses on win-win policies and investments, which have large co-benefits or can contribute to raising the country’s growth while helping to adapt the economy, also considering how human capital actions can accompany a just transition.
  • Publication
    Lebanon Economic Monitor, Fall 2022
    (Washington, DC, 2022-11) World Bank
    The economy continues to contract, albeit at a somewhat slower pace. Public finances improved in 2021, but only because spending collapsed faster than revenue generation. Testament to the continued atrophy of Lebanon’s economy, the Lebanese Pound continues to depreciate sharply. The sharp deterioration in the currency continues to drive surging inflation, in triple digits since July 2020, impacting the poor and vulnerable the most. An unprecedented institutional vacuum will likely further delay any agreement on crisis resolution and much needed reforms; this includes prior actions as part of the April 2022 International Monetary Fund (IMF) staff-level agreement (SLA). Divergent views among key stakeholders on how to distribute the financial losses remains the main bottleneck for reaching an agreement on a comprehensive reform agenda. Lebanon needs to urgently adopt a domestic, equitable, and comprehensive solution that is predicated on: (i) addressing upfront the balance sheet impairments, (ii) restoring liquidity, and (iii) adhering to sound global practices of bail-in solutions based on a hierarchy of creditors (starting with banks’ shareholders) that protects small depositors.
  • Publication
    Classroom Assessment to Support Foundational Literacy
    (Washington, DC: World Bank, 2025-03-21) Luna-Bazaldua, Diego; Levin, Victoria; Liberman, Julia; Gala, Priyal Mukesh
    This document focuses primarily on how classroom assessment activities can measure students’ literacy skills as they progress along a learning trajectory towards reading fluently and with comprehension by the end of primary school grades. The document addresses considerations regarding the design and implementation of early grade reading classroom assessment, provides examples of assessment activities from a variety of countries and contexts, and discusses the importance of incorporating classroom assessment practices into teacher training and professional development opportunities for teachers. The structure of the document is as follows. The first section presents definitions and addresses basic questions on classroom assessment. Section 2 covers the intersection between assessment and early grade reading by discussing how learning assessment can measure early grade reading skills following the reading learning trajectory. Section 3 compares some of the most common early grade literacy assessment tools with respect to the early grade reading skills and developmental phases. Section 4 of the document addresses teacher training considerations in developing, scoring, and using early grade reading assessment. Additional issues in assessing reading skills in the classroom and using assessment results to improve teaching and learning are reviewed in section 5. Throughout the document, country cases are presented to demonstrate how assessment activities can be implemented in the classroom in different contexts.
  • Publication
    Morocco Economic Update, Winter 2025
    (Washington, DC: World Bank, 2025-04-03) World Bank
    Despite the drought causing a modest deceleration of overall GDP growth to 3.2 percent, the Moroccan economy has exhibited some encouraging trends in 2024. Non-agricultural growth has accelerated to an estimated 3.8 percent, driven by a revitalized industrial sector and a rebound in gross capital formation. Inflation has dropped below 1 percent, allowing Bank al-Maghrib to begin easing its monetary policy. While rural labor markets remain depressed, the economy has added close to 162,000 jobs in urban areas. Morocco’s external position remains strong overall, with a moderate current account deficit largely financed by growing foreign direct investment inflows, underpinned by solid investor confidence indicators. Despite significant spending pressures, the debt-to-GDP ratio is slowly declining.
  • Publication
    World Development Report 2006
    (Washington, DC, 2005) World Bank
    This year’s Word Development Report (WDR), the twenty-eighth, looks at the role of equity in the development process. It defines equity in terms of two basic principles. The first is equal opportunities: that a person’s chances in life should be determined by his or her talents and efforts, rather than by pre-determined circumstances such as race, gender, social or family background. The second principle is the avoidance of extreme deprivation in outcomes, particularly in health, education and consumption levels. This principle thus includes the objective of poverty reduction. The report’s main message is that, in the long run, the pursuit of equity and the pursuit of economic prosperity are complementary. In addition to detailed chapters exploring these and related issues, the Report contains selected data from the World Development Indicators 2005‹an appendix of economic and social data for over 200 countries. This Report offers practical insights for policymakers, executives, scholars, and all those with an interest in economic development.