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June 2015

Digital IDs: A powerful platform for enhanced service delivery across all sectors

Mariana Dahan's picture
Lack of personal official identification (ID) prevents people from fully exercising their rights and isolates them socially and economically — voting, legal action, receipt of government benefits, banking, and borrowing are all virtually closed off. The widespread lack of ID in developing countries is a critical stumbling block to national growth.
 
Digital IDs can help provide access to
critical services, including health care.

Digital IDs, combined with the already extensive use of mobile devices in the developing world, offers a transformative solution to the problem — a simple means for capturing personal ID that can reach far more people, as well as and new, more efficient ways for government and business to reach and serve the population.
 
Given the importance of the topic, the 2016 World Development Report (WDR) includes a Spotlight on Digital Identity, which has been developed by the authors in collaboration with various stakeholders within and outside the World Bank Group.

The 2016 WDR — the World Bank's major analytical publication — aims to advance our understanding of how economic growth, equity of opportunity and public service delivery are being affected by rapid diffusion of digital technologies. This section in 2016 WDR focuses on critical aspects, such as benefits to developing countries and implementation arrangements for Digital ID programs.

What are we doing to promote family and prevent its extinction in development?

Leszek J. Sibilski's picture

Family from Anmu village, Zanskar, IndiaMost sociologists consider the family unit to be a fundamental building block of society. However, it is largely absent as a topic in international development goals. Should this be the case?

"The great danger for family life, in the midst of any society whose idols are pleasure, comfort and independence, lies in the fact that people close their hearts and become selfish." - Pope John Paul II
 
A recent report led by Stanford, Princeton, and Berkeley universities said vertebrates are disappearing at a rate 114 times faster than normal. These findings echo those of a similar report published by Duke University last year. One of the new study’s authors said: “We are now entering the sixth great mass extinction event.” The last such event was 65 million years ago, when dinosaurs were wiped out, in all likelihood by a large meteor hitting Earth.
 
In light of this apocalypse-like news, I would like to take a closer look at yet another endangered, but a bit more tangible element of life on planet Earth, namely, the family. As humankind, along with plants and animals approach what is being called the sixth great mass extinction, I wonder if it will be an event that humans go through en masse as loners, (the atomistic man as the only unit in society), or as people knit together by ties to a nuclear and extended family. I often think that the role of the family is too-often neglected and has been taken for granted in our day. The all-consuming drive and ambitious personal priority of the individual in today’s world makes me worry that families may one day go, and, as the family goes, so will go civilization.

Procurement data for better development outcomes

Joel Turkewitz's picture


Even marginal improvements in procurement efficiency can mean big savings. And that’s just a start.
 
The use of data and technology in procurement make it possible for governments to make informed decisions to maximize development impact. At the World Bank, the Public Integrity and Openness Practice is developing a set of Transformational Engagements, one of which focuses on Data Analytics, to catalyze better outcomes from procurement processes.
 
The engagement will use data analytics to solve pressing developmental problems. The plan is to combine work on addressing common data problems (how to digitize paper records, how to link different data records, how to present data findings in ways that are accessible and influential) with efforts at the country level. Powered by advanced data analysis, countries can undertake empirical-based examinations of when best value is achieved via procurement, or in which cases and sectors government contracting is promoting the development of competitive and dynamic private sectors.
 
Work undertaken within the Bank will be informed by the concurrent efforts of others who are exploring different approaches and different techniques to using data and data analytics to drive improved performance. The World Bank seeks to play a constructive role within a community of initiatives to harness the power of information to change how governments function, the relationship between government and non-governmental actors, and the lives of people. Committed to an inclusive process of learning-by-doing, the World Bank is dedicated to building partnerships with researchers, government officials, the private sector, and civil society.

The Things We Do: Regret can trip us up- before we’ve even begun

Roxanne Bauer's picture

Few people doubt the merits of pausing to "think things through" before making a decision. Without doing so, we fear we may end up making a decision that leads to harm and misfortune.  However, this process is itself a double-edged sword that can lead us astray.

Boy thinkingWe've all been forced to make tough decisions in life. From career progression and where to live to which route to take on a trip, we navigate life's choices by considering our options and weighing them against each other. In the context of these decisions, we attempt to predict the negative consequences from an action or decision and the likelihood that those consequences will actually occur. 

Regret- we seek to avoid it when we can

In a famous study on Regret Theory, Loomes and Sugden present the idea that in making decisions, individuals not only consider the knowledge they have and the resources at their disposal, but also the likely scenarios that will result from their choices.  They further suggest that the pleasure associated with the results of their choices depends not only on the nature of those results but also on the nature of alternative results. Individuals consider the regret their future selves may feel if they know they would have been better if they had chosen differently. Likewise, they consider the joy their future selves may feel if the consequences of their decisions turn out to be optimal. Thus, both a cause and a consequence of our desire to avoid losses (loss aversion) is our desire to avoid the pain of regret. 
 
According to researchers, individuals exhibit “regret aversion” when they fear their decision will turn out to be wrong in hindsight. Sometimes, we engage in regret aversion before making a decision, leading us to hem and haw and lose out on opportunities. Other times, we engage in regret aversion after a decision is already made, leading us to hold on to losing assets or undesirable positions because we don’t want to admit our choice was not the best one. Many of the interventions that behavioral economists suggest, such as automatic enrollment, default options, and providing information to consumers, are set up to reduce the ex post regret individuals will face for not doing something that’s in their interest.

World Bank launches survey to assess the impact of de-risking on remittances

Massimo Cirasino's picture

An increasing number of anecdotal reports about banks’ de-risking remittances service providers and the negative impact these actions have had on the industry have been circulating within the international financial community over the last few years.

Different sources have for instance reported that banks are supposedly cutting off access to banking services to money transfer operators (MTOs) because generated revenue isn’t sufficient to offset the cost of complying with AML/CFT and other requirements.

MTOs are crucial to the international remittances industry and provide relevant services for many migrants and their families. They also help extend reach and access to remittances and other financial services since they operate in many remote locations where banks aren’t present.
 

Exploring Value for Money analysis in Low-Income Countries

Irene Portabales González's picture
The World Bank has identified 34 countries that qualify as Low-Income Countries (LICs) for 2015. LICs have a per capita income less than US$1,045 per year, while the world average is US$14,307. These countries face important infrastructure gaps that need to be addressed in order to support economic growth and reduce extreme poverty.
 
Cover of the "Value for
Money" report

Design: Sara Tejada

Public-Private Partnerships (PPPs) have been an important option to develop infrastructure and services.

However, challenges for preparing, procuring and monitoring PPP projects in LICs are huge. Challenges include weak institutional capacity, constraints in fiscal space, shallow capital markets, and lack of access to long-term financing.

Despite these challenges, LICs have made important efforts to implement PPP policies, laws and regulations. As a result, these countries closed 377 PPP deals between 1987 and 2013. Even with this considerable effort, LICs still have important infrastructure needs. This is a good start, but hardly enough to tackle the problem.

During the project selection stage, LIC governments have to discuss whether a particular project should be implemented under a PPP scheme or through traditional procurement. There are several reasons why governments decide to implement a PPP: to accelerate public investment programs, maximize the fiscal space or to try to avoid fiscal controls, for example.

At this key decision point, various options can be considered by governments, including a Value for Money (VfM) analysis.

Getting women to the top of the career ladder through education

Asif Islam's picture

In the face of significant social and cultural barriers, it is tempting to be cynical about a role for education in promoting women managers in developing economies. Consider the number of factors that could come in the way: nationally, cultural and social attitudes may discourage the career advancement of women, and at the firm-level, male-dominated informal networks and cultures can act as barriers. Furthermore, even if all these obstacles were somehow removed, the lack of good quality education itself, and skills mismatches can pose problems.
 
But, in spite of all this, education remains a crucial founding block for career success. After all, one needs an education in the first place to get to a point where these other factors can undercut the likelihood of career progression. Therefore, without access to education, one may stumble even before the climb up the career ladder begins.

What will you do with access to information?

Cyril Muller's picture
View full infographic here.

A new phase of openness began five years ago on July 1, 2010, when the World Bank launched its Policy on Access to Information, which provides access to any information in the Bank’s possession that is not on a list of exceptions. The policy has served as a catalyst and has created an ecosystem of transparency initiatives to make World Bank information and data available to the public. In the years since 2010, the Bank has applied the principles underpinning Access to Information to accompanying initiatives such as Open Data, the Open Knowledge Repository, Open Finances, and Open Contracting, among others. The spectrum of transparency and innovation even extends beyond these initiatives to include the World Bank’s vision on Open Government.

Open approaches are paramount to development. But while access to information and technology are important to the development process, they are only part of the equation in finding solutions. A crucial part of the process lies with global citizens who can – and do – utilize the information and data to engage with and better their communities.

From the Aspen Ideas Festival: Rachel Kyte on Climate Resilience & Opportunity

Rachel Kyte's picture
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At the Aspen Ideas Festival, World Bank Vice President and Special Envoy for Climate Change Rachel Kyte talks about climate resilience and how it can create opportunities for all people while protecting all people. Women and children make up a large number of the extreme poor, who are among those most at risk from the impacts of climate change.
 


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