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Views from the Center

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The Political Paradox of Cash Transfers

Rigorous evaluations show giving poor people cash is a very effective policy. But polls show poor Tanzanians would rather have government services.

This is part II in our blog series about poll results from Tanzania on managing the country’s newfound natural gas wealth. Read part I on fuel subsidies and stay tuned for part III on transparency.

How to Turn Citizens into Owners of National Wealth

This post, co-authored with Alan Gelb, was originally published in Financial Times: This is Africa

On November 28 Anadarko Petroleum doubled the estimate of its massive Mozambique gas discovery. If this proves correct, Mozambique will become a major gas exporter and can expect a hefty windfall.

Mozambique is not alone. Per square mile, proven sub-soil assets in poor countries — notably in Africa — are only about one quarter of those in better-explored, rich countries. Not surprisingly, high prices and new technologies are driving new oil, gas, and mineral discoveries across the developing world. Billions of dollars will be pumped into countries like Uganda, Liberia, Papua New Guinea, Mongolia and Bolivia. While this should be good news, it also raises concerns.

If There Was Ever a Case for Oil2Cash, It’s Post-Qaddafi Libya

The idea of cash transfers—or just giving money to the poor—is gaining ground quickly. The use of conditional cash transfers as a way to assist the poor have shown pretty impressive results in Mexico and Brazil, leading to lots of other copycat programs in dozens of countries. Iran, and now India, are replacing inefficient and costly subsidies of basic goods with cash payments.