Tag: Africa

 

Stop Spreading the Myth: Zambia is Not Losing $3 Billion to Tax Avoidance

Blog Post

If transparency in debates around matters of natural resource wealth, then so too does the way that figures get translated into public debates.  Earlier this month the Lusaka Times published a claim that multinational mining companies were “robbing Zambia of an estimated $3billion annually through tax evasion and illicit financial flows.” I have written about the Zambia Copper Billions before. I don’t think the figure is at all credible, and I am not the only one. Organisations that have allowed this myth to spread have not done any favours to the people of Zambia, and they have a responsibility to put it right. 

Can Manufacturing Kickstart Growth in Africa? – Podcast with Vijaya Ramachandran

Blog Post

China has long been the factory of the world. But as wages there rise, manufacturers are looking to other countries and regions. Meanwhile, African countries have a huge and burgeoning population of young people looking for jobs. So now many wonder—could Africa be the next big destination for manufacturers? And if not, then what? CGD senior fellow Vijaya Ramachandran joins the podcast to discuss a new CGD paper on that very question.

Can Sub-Saharan Africa Be a Manufacturing Destination?

Blog Post

A new paper coauthored by Alan Gelb, Christian Meyer, Divyanshi Wadhwa, and myself suggests that Africa is not, in general, poised to embark on a manufacturing-led take-off, stepping into the shoes of emerging Asia. Africa, including those countries that have come to be regarded as leaders in development, has high manufacturing labor costs relative to GDP as well as high capital costs relative to low-income comparators.

Another One Joins the DIB: OPIC Commits $2 Million to a Development Impact Bond on Cataract Surgery

Blog Post

OPIC recently announced it will invest $2 million in a Development Impact Bond (DIB) aimed at improving the availability and quality of cataract surgery services in Cameroon. Specifically, OPIC’s investment will support the Magrabi ICO-Cameroon Eye Institute, a new hospital with an efficiency and financing model based on the acclaimed Aravind Eye Hospitals, over several years. The OPIC news is particularly exciting for four reasons.

Publications

Our central question is whether African countries can break into global manufacturing in a substantial way. Our results suggest that for any given level of GDP, labor is more costly for firms that are located in Sub-Saharan Africa. However, we also find that there are a few countries in Africa that, on a labor cost basis, may be potential candidates for manufacturing—Ethiopia in particular stands out.

Can Outsourcing Improve Liberia's Schools? Preliminary RCT Results

Blog Post

Last summer, the Liberian government delegated management of 93 public elementary schools to eight different private contractors. Given the intense controversy around the program, the government—with some encouragement from our colleagues at Ark Education Partnership Group, who helped manage the program—agreed to randomize the allocation of schools during the pilot, and the three of us partnered with Innovations for Poverty Action (IPA) to evaluate its impacts.

Publications

After one year, public schools managed by private contractors in Liberia raised student learning by 60 percent, compared to standard public schools.

Publications

In the past decade, Ghana has experienced severe electricity supply challenges even though installed generation capacity has more than doubled over the period. The electricity supply challenges can be attributed to a number of factors, including a high level of losses in the distribution system as well as non-payment of revenue by consumers. Solving Ghana’s electricity challenges would require a range of measures.

Publications

After one year, public schools managed by private operators raised student learning by 60 percent compared to standard public schools. But costs were high, performance varied across operators, and contracts authorized the largest operator to push excess pupils and under-performing teachers into other government schools.