Attention presidential transition teams: the Rethinking US Development Policy team at the Center for Global Development strongly urges you to include these three big ideas in your first year budget submission to Congress and pursue these three smart reforms during your first year.
Many developing countries have made progress in political openness and economic management but still struggle to attract private sector investments. Potential investors to these countries have many concerns that can broadly be classified into high costs and high actual or perceived risks. Drawing on insights from existing guarantees offered by bilateral development agencies, national governments, utility companies, and even shopping malls, we suggest that Service Performance Guarantees can be part of the solution, offering investing firms the opportunity to purchase insurance against a wider range of risks than is currently possible and establishing a partnership of donors and recipient governments, accountable to their investor clients.
In 2012, the Center for Global Development (CGD) convened the Working Group on Food Security, bringing together 22 experts in food policy, nutrition, agriculture, and economic development from around the world. The group’s task was to review pressing challenges to agricultural development and food security and take stock of the Rome-based United Nations food agencies charged with addressing them. The working group decided to focus on the largest of those agencies—the Food and Agriculture Organization (FAO)—and has two key recommendations.
Since the 2010 earthquake, there has been very little direct procurement of goods or services from local businesses, missing a huge opportunity to spur long-term growth. Local procurement not only purchases immediately needed goods or services but helps grow the private sector, create jobs, and encourage entrepreneurs. Spending more money locally can multiply the effect of US assistance.
The transparency and accountability of US spending in Haiti needs to be improved. Despite the large amount of public money disbursed for earthquake recovery in Haiti, it is nearly impossible to track how the money has been spent and what has been achieved.
The authors assess the World Bank’s private sector interventions in African fragile states. They summarize and analyze project-level data from IDA, IFC, and MIGA, and introduce a new framework which may assist in the design and implementation of projects in fragile states.
The Commander’s Emergency Response Program in Afghanistan: Five Practical Recommendations (CGD Brief)
The U.S. military has become substantially engaged in economic development and stabilization and will likely continue to be for some time to come. This brief takes U.S. military involvement in development as a given and concentrates on five recommendations for it to operate more efficiently and effectively.
This CGD Brief, based on the book Africa's Private Sector by Vijaya Ramachandran, Alan Gelb, and Manju Kedia Shah, shows how investing in infrastructure and improving access to education can help bring about a broad-based business class in Africa.
Why should the United States care about economic growth in Africa? Because it is the right thing to do and the smart thing to do. Helping to spur economic growth in Africa promotes our values, enhances our security, and helps create economic and political opportunities for the people of the continent. Public interest in Africa is higher than ever—witness consumer movements such as Product Red—and bipartisan political support recently renewed funding for the President’s Emergency Plan for AIDS Relief (PEPFAR). Several new opportunities now exist for U.S. firms to compete and benefit from a win-win partnership with the region.
In this CGD Brief, Todd Moss and Vijaya Ramachandran analyze the survey results of 300-400 manufacturing firms in Kenya, Tanzania and Uganda. Their main finding? Foreign firms perform better than local firms in generating jobs, increasing the productivty of their workers, and in skills transfer.