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The UK is in an influential and important position to influence development outcomes across the world. It remains the only country to meet both the targets to spend 0.7 percent of its national income on overseas aid and 2 percent on defence. It is also the largest “multilateral” aid donor—providing over a third more in aid through the multilateral system than the United States.
The UK has taken up several ideas developed or supported by CGD fellows. Recently, this includes the use of disaster risk insurance and cash transfers in humanitarian relief; committing to an improved trade for development regime after Brexit; pushing for humanitarian reform; using the CDI to assess policy coherence; and using development impact bonds and advanced market commitments.
If the UK leaves the EU (as unfortunately seems most likely), the single market, and customs union, it will need to decide on a new schedule of tariffs for imported goods from both Europe and other countries. One of the options being touted is the unilateral removal of tariffs on all goods, as Hong Kong and Singapore do. There are three main possible objections to this approach based on UK interests, and one for developing countries, none of which are entirely convincing.
The EU faces a substantial drop in its development resources following Brexit. Still, the amount will depend on how “hard” that exit is, and the UK’s ongoing involvement in voluntary EU-level arrangements. Here we assess the potential size of the Overseas Development Assistance (ODA) funding drop that EU institutions could face.
If the UK leaves the EU customs union, it will need new trade policies for poor countries as well as with major trading partners. This post kicks off a discussion of what that policy should look like by assessing which country currently has the best trade-for-development policy in the World.
Whatever you think about Brexit, it doesn’t make sense to secure Britain’s economic future by adding red tape. Theresa May’s government wants to tamp down net migration. That’s has opened space for some new self-defeating proposals.
Rory Stewart MP gave a wise speech about how Britain can play a role in global peace and stability. In my brief response to the Minister, I suggested twelve policies which are within our control which would help create conditions for stronger, more peaceful, more prosperous countries to thrive, and so reduce the risks of future conflict and instability. Here they are.
Love it or hate it, Brexit implies some of the biggest changes to European trade and development policy in a generation. Decisions made over the next three years will have important consequences for people living in developing countries, possibly for decades to come. That is why we are scaling up our work at CGD to assess the policy choices realistically and find new opportunities to improve development outcomes.
This paper considers new UK policy opportunities for global development that arise from Brexit. We look for the “triple win”: what policy opportunities, enabled or enhanced by Brexit, are good for the world, good for the UK, and also good for the UK process of negotiating out of the EU? In doing so, we find four clear winners and four runners-up.