Todd Moss, Caroline Lambert, and Stephanie Majerowicz offer a well-argued explanation of how oil-to-cash transfers could help countries overcome the corruption, economic volatility, and lack of government accountability that too often plague countries with rich resources but weak institutions.
This brief is a summary of the book Oil to Cash: Fighting the Resource Curse through Cash Transfers (Washington, DC: Center for Global Development, 2015).
Bringing US Development Finance into the 21st Century: Proposal for a Self-Sustaining, Full-Service USDFC
The imperative for US development finance has increased significantly due to a number of factors over the last decade. There is growing demand for private investment and finance from businesses, citizens, and governments in developing countries. Given the scale of challenges and opportunities, especially in promoting infrastructure investments and expanding productive sectors, there is an increasingly recognized need to promote private sector-based solutions.
Balancing Energy Access and Environmental Goals in Development Finance: The Case of the OPIC Carbon Cap
The international community has ambitious goals for responding to climate change and increasing global access to energy services. To date, these agendas have been viewed to be largely complementary. However, policy makers are now facing more explicit interactions between environment, energy, and economic and social development objectives and associated trade-offs.
On February 27th, senior fellow and Chief Operating Officer Todd Moss testified before the House of Representatives Subcommittee on Energy and Power regarding the US role in promoting international access to energy.
Maximizing Access to Energy: Estimates of Access and Generation for the Overseas Private Investment Corporation’s Portfolio
We conservatively estimate that more than 60 million additional people in poor nations could gain access to electricity if the Overseas Private Investment Corporation were allowed to invest in natural gas projects, not just renewables.
Building a Think-and-Do Tank: A Dozen Lessons from the First Dozen Years of the Center for Global Development
CGD turned 12 years old in the fall of 2013. This essay is an effort to distill what we think we have learned in the past dozen years.
A strengthened OPIC—more efficiently deploying existing tools at no additional budget cost—would (1) increase US commercial access in emerging economies, (2) reflect economic, social, and political priorities in developing countries, (3) promote flagship US initiatives during austere budget conditions, and (4) support stability in fragile or frontline states.
After 33 years in power, Robert Mugabe is running for yet another term. To put this in perspective, jump forward to the year 2041 and imagine that President Obama is still President, has deployed the FBI, CIA, and US Marines to crush his domestic opponents, and is then running again for another term. Unthinkable? That’s the situation in Zimbabwe today. This is therefore a timely opportunity to shape U.S. policy, not only because Zimbabwe is facing a critical juncture, but also because I am increasingly concerned our government may be sleepwalking down the wrong path. Before making recommendations for U.S. policy, let me make three analytical points.
This paper lists—and attempts to address—the most serious objections to Oil-to-Cash. The response to many objections is to ask about a plausible counterfactual (how do cash transfers compare to the alternative policy options?). Others warrant a clearer articulation of available evidence or ways to mitigate real worries through smart program design.
Nowhere Left to Hide? Stock Market Correlation, Regional Diversification, and the Case for Investing in Africa - Working Paper 316
Overall, regional indices have become increasingly correlated with the S&P 500 index. Africa lags behind this trend some, and that lag could present opportunities for investors and policymakers.
Reliance on natural resource revenues, particularly oil, is often associated with bad governance, corruption, and poverty. Worried about the effect of oil on Alaska, Governor Jay Hammond had a simple yet revolutionary idea: let citizens have a direct stake. Thirty years later, Hammond’s vision is still influencing oil policies throughout the world.
The Future of IDA Working Group shows how IDA could adapt to changing circumstances. By 2025, IDA-eligible countries will be half as large in number and one-third as large in population; they will also be almost exclusively African and much lower performing economically. The working group explores the options available to IDA, from small tweaks to the status quo to bold alternatives for the future.
No Longer Poor: Ghana’s New Income Status and Implications of Graduation from IDA - Working Paper 300
Ghana’s rapid economic growth and the recent GDP rebasing exercise put Ghana suddenly above the income limit for IDA eligibility. This paper considers the implications of the country’s new middle-income status.
Direct Redistribution, Taxation, and Accountability in Oil-Rich Economies: A Proposal - Working Paper 281
To enhance efficiency of public spending in oil-rich economies, this paper proposes that some of the oil revenues be transferred directly to citizens, and then taxed to finance public expenditures. The argument is that spending that is financed by taxation—rather than by resource revenues accruing directly to the government—is more likely to be scrutinized by citizens and hence subject to greater efficiency.
This brief on the General Capital Increase is one of a suite of policy briefs that provides basic background information and practical analysis of the financial and governance issues facing the international financial institutions.
Debt can bring about disaster, as in Greece or with your deadbeat son; but it can also be a the engine of growth and prosperity.
By 2025, the number of IDA client countries will likely shrink substantially and primarily be smaller in size and overwhelmingly African. This working paper predicts how these changes will impact IDA's operational and financial models and recommends the World Bank begin addressing the implications of these developments sooner rather than later.