Connect with us

News

World Bank Signals Strong Support for Nepal’s Transition to Federalism

Published

on

The World Bank today signaled strong support for Nepal’s ambitious transition to federalism when its Board of Executive Directors approved a $200 million credit to improve public financial management.

The Fiscal and Public Financial Management Development Policy Credit is the first in a two-part program to support the Government of Nepal in establishing a framework for fiscal federalism and improved public financial management.

Nepal today is at a historic juncture as it transitions from a unitary to a federal democratic republic. Expectations are high that the new structure will deliver on greater equity and accountability,” said Qimiao Fan, World Bank Country Director for Bangladesh, Bhutan and Nepal. “This operation will help establish a fiscal framework that will ensure that the newly elected governments can deliver better services to all Nepali citizens.”

This operation will support implementation of the Intergovernmental Fiscal Arrangement Act; establishment of the National Natural Resources and Fiscal Commission; adoption of the Fiscal Responsibility and Budget Management Bill; strengthening of public financial management systems; improvements in budget execution; and reforms to improve revenue collection.

Commending Nepal for successfully concluding local, state and federal elections under the new constitutional framework, the Executive Directors welcomed the Bank’s strategic shift to supporting federalism to help avoid disruptions, improve service delivery and promote transparency and accountability. Directors encouraged the Bank to fully support Nepal’s transition to achieve inclusive development, especially in traditionally underserved areas, in coordination with other development partners.

This Development Policy Credit approved today is one of several components in the World Bank’s overall support on federalism in Nepal. Other support includes policy advice, new investment lending to improve service delivery and improve capacity, as well as restructuring of the existing portfolio to align with the new federal structure.

The World Bank also approved a $66 million credit to modernize Phase 2 of the Rani Jamara Kulariya Irrigation Scheme. The project will modernize sub-branches, tertiary canals and water courses so that irrigation water can reach farmer fields with optimal flows.  It will also help strengthen Water User Associations and provide agriculture production support.  During Phase 1, which closed in September 2017, the project upgraded intakes and feeder canals and initiated an agriculture development program.  Spread over a command area of 14,300 hectares, the project will benefit one of the poorest areas in the southwest of the Karnali basin in the Tarai.  Nearly half of the people benefitting from the project belong to the indigenous Tharu community.

The World Bank Group and Nepal

The World Bank Group (WBG) fielded its first economic mission to Nepal in 1963 to assess the country’s development prospects and challenges. It approved its first credit in 1969 for a telecommunications project. Since then, the World Bank has provided Nepal $4.75 billion in assistance ($3.48 billion in credits and $1.27 billion in grants). Nepal is eligible for concessional financing support from the World Bank’s International Development Association (IDA). During the IDA17 period (17th replenishment of IDA covering FY2015-2017), the World Bank committed $1.2 billion. This amount included additional financing of $300 million from the IDA Crisis Response Window to respond to the emergency needs after the 2015 earthquake. During IDA18 period (FY2018-2020), Nepal may access approximately $1.3 billion in IDA financing. This includes additional financing from the IDA Exceptional Risk Mitigation Regime financing window. The current portfolio comprises 22 active projects with a net commitment of $2.32 billion. In terms of the number of proj­ects, the energy sector makes up the largest share (5 projects) followed by agriculture and education (4 projects in each sector).

Continue Reading
Comments

Environment

UNEP West Asia launches the State of Food Waste Report

Published

on

Improved awareness, appropriate policies and a strong regulatory framework are needed to reduce food waste in West Asia, according to a new report, The State of Food Waste in West Asia, released by the UN Environment Programme’s Regional Office for West Asia.

The report, conducted in 12 countries in the region, sets out a comprehensive view of the current situation across the region, in which around 34% of the food served is wasted, with an estimation ranging from 100 to 150kg/cap of food waste occurring at the household stage, similar to levels in Western Europe and North America.

Countries in the region have unique cultural habits generating significant amounts of food waste over short periods. For instance, during the month of Ramadan, research shows that between 25% and 50% of the food prepared is wasted. The report also elaborates on the outcomes of a survey to assess the attitudes and behaviours that determine food waste in the region.

Collecting data on national food loss and food waste is key to understanding the scale of the problem, target hotspots, and assess policy actions. The report flagged that several countries in the region need consistent support in setting food waste baselines: only the Kingdom of Saudi Arabia has conducted a national food loss and waste baseline led by the Saudi Grains Organisation in 2019.

“This report is aligned with international efforts to meet Sustainable Development Goal 12 (SDG 12), which seeks to ensure sustainable consumption and production patterns. Target 12.3 calls for halving per capita global food waste at the retail and consumer level. Given the considerable amount of wasted food annually and its repercussions on food security, the environment, the economy, natural resources and livelihoods, our report sheds light on food waste in West Asia,” said Sami Dimassi, Regional Director and Representative for UNEP in West Asia.

“Our regional office is committed to supporting countries in filling the gaps and scaling up initiatives that have been successfully implemented at the local level through a regional programme soon to be discussed with all the countries in the region,” he added.

The Food Waste report also highlights the potential of promoting sustainable lifestyles and empowering youth to positively impact at consumer level, raising awareness on the consequences on the environment, economy, and food security, as well as of promoting gender inclusive strategies across the food value chain.

Continue Reading

Development

Tanzania’s Economic Growth by Transforming Its Tourism Sector

Published

on

As Tanzania’s tourism sector recovers from the harsh effects of the COVID-19 (coronavirus) pandemic on businesses and employment, the latest World Bank economic analysis says the country also has a unique opportunity to revamp the tourism industry to drive inclusive growth over the long term, and promote climate adaptation and mitigation.

The 16th Tanzania Economic Update, Transforming Tourism: Toward a Sustainable, Resilient, and Inclusive Sector notes thatthe near-cessation of tourism activities globally due to the pandemic deeply affected Tanzania’s tourism sector. Economic activity in the sector contracted sharply in 2020, resulting in job losses and business shutdowns which has had negative knock-on effects for inter-related sectors. While partial recovery is underway, business revenues and derived taxes for government still remain below pre-pandemic levels.

“The latest news point to the fact that we are not out of the wood yet, as the third wave of COVID-19 with a more deadly variant seems to be spreading,” said Albert Zeufack, World Bank Africa Chief Economist. “The countries that have weathered the storm more successfully so far have moved quickly and decisively to protect their people, strengthen their health systems, safeguard human capital gains, increase intra-reginal trade, and embrace digitalization, therefore laying down the basis for much needed economic transformation.”

Amid the ongoing crisis, the report says Tanzania’s GDP growth decelerated to an estimated 2.0 percent in 2020. Surveys of businesses and households, conducted by the World Bank in collaboration with the National Bureau of Statistics between June 2020 and March 2021, revealed that business slowed across a wide range of sectors and sizes of firms, especially export-oriented sectors such as tourism and manufacturing, and job creation has deteriorated. Overall business performance and expectations indicators have partially rebounded but remain subdued, emphasizing the gravity of the shock and sluggish recovery. The slowdown in GDP growth and the deterioration of business sales and financial security is estimated to have increased the number of poor Tanzanians by 600,000 in 2020. Zanzibar’s economy was even more severely impacted with GDP growth slowing to an estimated 1.3 percent, driven by a collapse of the tourism industry.

This Economic Update spotlights the pandemic’s impact on the Tanzanian economy through the sharp decline in tourism in 2020 and sluggish recovery in 2021. It is a call to action to help the sector recover, ‘build forward better’ and support private sector development more broadly. This is a critical agenda to protect the welfare of poor and vulnerable households, attract new foreign and domestic investment, and support an employment-intensive recovery,” said Bill Battaile, World Bank Lead Economist for Tanzania.

The economic update proposes priorities for sustainable recovery for Tanzania’s tourism sector, including creating an efficient, reliable and transparent business environment, improving tourism information management system, ensuring affordable financial support to struggling businesses across the value chain, strengthen adherence to health and safety protocols and data transparency, and supporting nature-based landscape and seascape management through development of co-investment and partnership arrangements.

Continue Reading

Human Rights

Conflict, COVID, climate crisis, likely to fuel acute food insecurity in 23 ‘hunger hotspots’

Published

on

The combined effects of the drought, COVID-19 and the insecurity upsurge have undermined the already fragile food security and nutrition situation of the population of southern Madagascar. WFP/Tsiory Andriantsoarana

Life-saving aid to families on the brink of famine is being cut off in several countries by fighting and blockades, the UN’s Food and Agriculture Organization (FAO) and World Food Programme (WFP) said in a new report issued on Friday.

Of grave concern are 23 ‘hunger hotspots’ which over the next four months are expected to face an acute level of food insecurity due to the combined economic repercussions of COVID-19, the climate crisis and fighting. 

“Families that rely on humanitarian assistance to survive are hanging by a thread. When we cannot reach them, that thread is cut, and the consequences are nothing short of catastrophic,” warned David Beasley, WFP Executive Director. 

Supporting agriculture

Bureaucratic obstacles and a lack of funding also hamper the agencies’ efforts to provide emergency food assistance and enable farmers to plant at scale and at the right time.

“The vast majority of those on the verge are farmers. Alongside food assistance, we must do all we can to help them resume food production themselves,” said FAO Director-General QU Dongyu.

“So far, support to agriculture as key means of preventing widespread famine remains largely overlooked by donors. Without such support to agriculture, humanitarian needs will keep skyrocketing,” he added.

Hotspot nations

The 23 hotspots identified are Afghanistan, Angola, Central Africa Republic, Central Sahel, Chad, Colombia, Democratic Republic of the Congo, Ethiopia, El Salvador together with Honduras, Guatemala, Haiti, Kenya, Lebanon, Madagascar, Mozambique, Myanmar, Nigeria, Sierra Leone together with Liberia, Somalia, South Sudan, Syrian Arab Republic, Yemen.

FAO and WFP have warned that 41 million people were already at risk of falling into famine. 2020 saw 155 million people facing acute food insecurity at crisis or worse levels in 55 countries, according to the Global Report on Food Crises.

This is an increase of more than 20 million from 2019, and the trend is only expected to worsen this year.

The report highlights that conflict, climate extremes and economic shocks, often related to the economic fallout of COVID-19, are likely to remain primary drivers of acute food insecurity for the August-November period this year.

Transboundary threats are also an aggravating factor in some regions. In particular, desert locust infestations in the Horn of Africa and African migratory locust swarms in Southern Africa.

Communities cut off

Humanitarian access constraints are another severe aggravating factor, increasing the risk of famine.

Countries currently facing the most significant obstacles preventing aid from reaching them include Afghanistan, Ethiopia, the Central African Republic, Mali, Nigeria, South Sudan, Somalia, Syria and Yemen.

“The road to zero Hunger isn’t paved with conflict, checkpoints and red tape. Humanitarian access isn’t some abstract concept.

It means authorities approving paperwork in time so that food can be moved swiftly, it means checkpoints allow trucks to pass and reach their destination, it means humanitarian responders are not targeted, so they are able to carry out their life- and livelihood-saving work,” said Mr. Beasley.

‘Highest alert’ hotspots

Ethiopia and Madagascar are the world’s newest “highest alert” hunger hotspots according to the report. Ethiopia faces a devastating food emergency linked to ongoing conflict in the Tigray region. 

Reaching those desperately in need remains an enormous challenge, with 401,000 people expected to face catastrophic conditions by September.

This is the highest number in one country since the 2011 famine in Somalia. Meanwhile, in southern Madagascar, 28,000 people are expected to be pushed into famine-like conditions by the end of the year.

This is due to the worst drought in 40 years, combined with rising food prices, sandstorms, and pests affecting staple crops.

The new highest alerts issued for Ethiopia and Madagascar add to South Sudan, Yemen, and northern Nigeria, which remain among the acute food insecurity hotspots of greatest global concern.

In a few areas, some of these countries are already experiencing famine conditions and significant numbers of people are at risk of falling into famine.

World’s worst

In Afghanistan, where acute food insecurity is becoming increasingly critical due to ongoing drought, there is rising conflict-driven displacement as well as high food prices and widespread unemployment fuelled by COVID-19.

Meanwhile, the already precarious situation in Haiti is expected to get worse as the country faces likely lower staple crop production due to lack of, or irregular, rainfall. It is also reeling from worsening political instability and food price inflation, and the impacts of COVID-19-related restrictions.

The report warns that humanitarian action is urgently needed to prevent hunger, famine and death in all 23 hotspots.

It provides country-specific recommendations covering both shorter-term emergency responses, as well as anticipatory actions to protect rural livelihoods and increase agricultural production, so at-risk communities can better withstand future shocks.

Continue Reading

Publications

Latest

Environment2 hours ago

UNEP West Asia launches the State of Food Waste Report

Improved awareness, appropriate policies and a strong regulatory framework are needed to reduce food waste in West Asia, according to...

Development6 hours ago

Tanzania’s Economic Growth by Transforming Its Tourism Sector

As Tanzania’s tourism sector recovers from the harsh effects of the COVID-19 (coronavirus) pandemic on businesses and employment, the latest...

Human Rights8 hours ago

Conflict, COVID, climate crisis, likely to fuel acute food insecurity in 23 ‘hunger hotspots’

Life-saving aid to families on the brink of famine is being cut off in several countries by fighting and blockades,...

International Law10 hours ago

Upholding Dharma by Mob lynching?

Label any Muslim a cow smuggler, accuse him of carrying beef and then lynch in the name of protecting religion....

business-upskilling business-upskilling
Reports12 hours ago

New Skills Development Key to Further Improving Students’ Learning Outcomes

Learning outcomes in Russia would benefit significantly from a focus on teaching new skills that are tailored to the modern...

East Asia14 hours ago

Belt & Road ABCs: Analysis of “One Belt – One Road” initiative

Understanding the foreign policy and geo-economic strategies of countries, especially in such a difficult time when national borders are closed...

Economy16 hours ago

The Politico-Economic Crisis of Lebanon

Dubbed as a failed state. The Middle Eastern country, also known as the ‘Lebanese Republic’, is already leading towards a...

Trending