Ideas to Action:

Independent research for global prosperity

Publications

 

An image of the the world map with pins located on several countries.
December 8, 2020

Some Thoughts on Country Platforms

Here are five questions that the G20 IFA Working Group might want to answer if it is to harness the energy of the enthusiasts and quell the skepticism of the cynics.

An image of stacked money
May 6, 2020

Making the IMF’s Special Drawing Rights Work for COVID-19 Economic Relief

Many prominent people have advocated that the IMF undertake an “SDR allocation” to assist countries in dealing with the global financial crisis brought about by the COVID-19 pandemic. If IMF shareholders show some leadership and bureaucratic flexibility, there are ways to allay the American government’s concerns and quickly get liquidity in the hands of countries who desperately need it.

The cover of the note
April 14, 2020

Eight Principles for the DFI Crisis Response

DFIs are not central banks. They do not drive monetary policy stances and overall lending conditions in their countries of operations. Rather, during economic and other shocks, they must find ways to restart or boost financial intermediation for direct and systemic impact on target populations, sectors, and countries. But they must do so with an eye on their own balance sheets.

Image of money and financial symbols
March 27, 2020

What to Do When You Can’t Prove DFI Additionality

“Additionality” is central to claims of impact by development finance institutions (DFIs). At its core is the notion that DFIs are necessary to solve a market failure by providing capital, risk mitigation, or some other benefit to a market that is not delivering these services strictly through private actors. But what exactly constitutes additionality, how do we know when it is real, and how can we measure it?

Cover image of IFC Capital Increase Note
March 4, 2020

Why Congress Should Authorize the IFC Capital Increase

In May 2018, the shareholders of the International Finance Corporation (IFC)—the private sector arm of the World Bank—agreed to increase its paid-in capital by $5.5 billion as part of the $13 billion capital increase for the World Bank Group (WBG). The US administration agreed to the increase but declined to contribute to the additional capital. But for the increase to take effect, Congress must authorize it. Thus far, it has not done so. Why?

Cover Image the sorting hat
February 6, 2020

The Subsidy Sorting Hat

In the Harry Potter novels, a magic hat decides which of four school houses new pupils should join. Development finance institutions (DFIs) need something like that when trying to decide which private firms to subsidise, although applicants only need sorting into two groups: firms that are doing something socially valuable and which genuinely require a subsidy, and firms that are merely trying their luck to get a subsidy for a project they would undertake in any case.