Publication: Generating Public Sector Resources to Finance Sustainable Development : Revenue and Incentive Effects
Date
2002
ISSN
Published
2002
Author(s)
Pagiola, Stefano
Martin-Hurtado, Roberto
Shyamsundar, Priya
Mani, Muthukumara
Silva, Patricia
Abstract
The paper discusses how developing
countries can generate some of the resources they need for
sustainable development. Developing country government
already spend significant amounts of resources on a variety
of activities, but the evidence suggests that sometimes,
there is substantial scope for them to generate additional
resources, and most importantly perhaps, to free substantial
amounts of resources which are currently being used
inefficiently. The paper attempts at setting the scope on
the magnitude of resources that might be generated, or freed
by a variety of public sector actions. It begins by
examining the potential to reform existing policies which
are not only costly, but often unsustainable, and
environmentally damaging. Then, it reviews means for
generating new financial flows, capturing greater share of
rents from natural resources, and instituting
"green" levies. Lessons suggest as a potential
source of additional revenues, the reform of subsidies,
making sub-sectors financially sustainable, reforms which in
turn reduce environmental damage, but considering reform
policies that would not inadvertently harm the poor. This
requires political will, good governance, capacity building,
and investment.
Citation
“Pagiola, Stefano; Martin-Hurtado, Roberto; Shyamsundar, Priya; Mani, Muthukumara; Silva, Patricia. 2002. Generating Public Sector Resources to Finance Sustainable Development : Revenue and Incentive Effects. World Bank Technical Paper;No. 538. © Washington, DC: World Bank. http://openknowledge.worldbank.org/entities/publication/e8cb073b-04fd-5bb0-a37b-1782b6aa007b License: CC BY 3.0 IGO.”