Connect with us

Newsdesk

Digital economy can put citizens in control of finance

Newsroom

Published

on

Congolese refugee, Henriette Kiwele Kiyambi, develops Natural Beauty app at the App Factory in Dzeleka refugee camp in Malawi, part of the Connectivity for Refugee project, a UNHCR and Microsoft sponsored program. UNHCR/Tina Ghelli

A UN taskforce set up to look into the risks and benefits of the digital economy, has concluded that it could have a transformational impact on sustainable development, and empower citizens, both as taxpayers and investors.

The report, “People’s Money: Harnessing Digitalization to Finance a Sustainable Future”, was released by the UN Secretary-General’s Task Force on Digital Finance on Wednesday. 

The Task Force, led by UN development chief Achim Steiner, and made up of senior figures from the tech sector, financial institutions, governments, and UN bodies, was set up by UN Secretary-General António Guterres in 2018, to improve understanding of the benefits and risks of the fast-moving financial technology (fintech) and digital finance sectors.

The initiative is part of the UN chief’s strategy to support financing for the 2030 Agenda, the UN’s blueprint for a better future, for people and the planet. The financing needs for the Agenda, Mr. Guterres said in 2018, are in the order of between $5 and $7 trillion per year. The shift to digital, conclude the authors of the People’s Money report, could provide the means to meet those projected costs.

“Digital technologies, which are revolutionizing financial markets, can be a game-changer in meeting our shared objectives”, said Mr. Guterres in response to the launch of the report. “The Task Force on Digital Financing of the Sustainable Development Goals provides leadership to harness the digital revolution.”

The COVID-19 acceleration effect

During the COVID-19 pandemic, the popularity of digital tools has grown rapidly, and demonstrates the potential of digital finance to provide relief for millions around the world, support businesses and protect jobs and livelihoods. 

Speaking to UN News, Mr. Steiner outlined the acceleration effect of the pandemic. “Things that we anticipated would happen over the next few years, have happened in weeks. The pandemic has allowed governments to see the importance of overcoming traditional limitations, and identifying and reaching the most vulnerable.”

Examples include digital cash transfers, which have helped millions of people in Pakistan, the connection of schools to broadband, and governments and parliaments connecting remotely in ways that are now common practice, he added.

The widespread adoption of smartphones, continued Mr. Steiner, puts powerful digital tools in the hands of more than a billion people, allowing them to work, socialize, and manage their finances. He emphasized the importance of remodelling the financial system, to underscore the fact that the trillions of dollars’ worth of investment flowing around the world, ultimately come from ordinary people.

“Citizens are the owners of this wealth, which is made up of pensions, and savings. The Task Force was keen to bring back the notion that the citizen is at the centre of the economy. Citizens need greater transparency, and to have a say over where their pension contributions go. And, as well as returns for investors, we also need to see public purpose benefits. Digital finance is a significant opportunity for citizens to re-engage, because this is a way to address major challenges, such as climate change.”

Digitalization is a choice

The report identifies five ways for harnessing digitalization, which cover much of global finance. Firstly, the huge amounts of money flowing around the world needs to be invested in a way that supports the Sustainable Development Goals of the 2030 Agenda. Public finances need to be more effective and accountable. Savings need to be invested for long-term development projects, using digital tools. And there needs to be more financing for small and medium-sized businesses, which are crucial for generating employment and income.

A key message of the report is that digitalization, and the way that it is used, is a choice, not an inevitability. There are considerable digital risks, such as increased exclusion, discrimination and inequalities. The five action areas point the way for governments to use digitalization for good.

Continue Reading
Comments

Newsdesk

Most countries failing to protect women from COVID-19 economic and social fallout

Newsroom

Published

on

Photo: ILO

The COVID-19 pandemic is “hitting women hard”, but most nations are failing to provide sufficient social and economic protection for them, the head of the UN gender empowerment agency said on Monday.

And women have often become victims of domestic violence “locked down with their abusers, as unpaid caregivers in families and communities, and as workers in jobs that lack social protection”, adds the Executive Director of UN Women, Phumzile Mlambo-Ngcuka.

New data released by gender agency and the UN Development Programme (UNDP) taken from the COVID-19 Global Gender Response Tracker, reveal that most countries are not doing enough to protect women and girls from the economic and social fallout being caused by the virus.

Lacking support

The analysis signals that one-fifth of the 206 countries analyzed, or 42 States, had no gender-sensitive measures in place to respond to the pandemic.

And only 25 countries have introduced measures aimed at tackling violence against women and girls (VAWG), support unpaid care and strengthen women’s economic security. 

These may include helplines, shelters or legal support to counter the surge in violence; cash transfers directly targeted at women; or childcare services and paid sick leave.

“The COVID-19 crisis provides an opportunity for countries to transform existing economic models towards a renewed social contract that prioritizes social justice and gender equality”, said UNDP Administrator Achim Steiner. “This new gender response tracker can help accelerate policy reform by guiding on gaps in national efforts and funding and highlighting best practices”.

Breakdown

Across 135 countries, the tracker identified 704 measures to prevent and/or respond to VAWG. Of these, 63 per cent focused on strengthening essential services, such as shelters, helplines and other reporting mechanisms. 

However, only 48 countries, less than a quarter of those analyzed, treated VAWG-related services as an integral part of their national and local COVID-19 response plans – with very few adequately funding these measures.

At the same time, social protection, care crisis and jobs response has been largely blind to women’s needs, with only 177 measures in 85 countries explicitly aimed at strengthening women’s economic security, and just 60 taking action to support unpaid care and strengthen care services for children, older persons or persons with disabilities.

Varying responses

The tracker also shows that gender actions vary widely across countries and regions. 

According to the analysis, Europe is leading the response on addressing VAWG and unpaid care – accounting for almost 32 per cent of all violence measures and 49 per cent of all unpaid care measures. 

Meanwhile, the Americas has the largest number of measures aimed at strengthening women’s economic security, followed by Africa.

“The Global Tracker supports Governments in making the right policy decisions by sharing good practices and monitoring progress in care policies and measures to address violence against women”, said UN Women Executive Director Phumzile Mlambo-Ngcuka. 

Continue Reading

Tech News

Technological Revolution Accelerated by Coronavirus Crisis in Latin America

Newsroom

Published

on

Latin America and the Caribbean is in the midst of a “Fourth Industrial Revolution” of technological innovation which requires enhancing the productivity of the services sector, investing in human capital and rethinking labor regulations and social protection policies, according to a new World Bank report.

These policy priorities have become all the more urgent now that the COVID-19 pandemic is fueling the biggest contraction in economic activity since the great depression. Digitization has become more important to support economic activity at a time of social distancing and is accelerating this technological transformation, potentially putting jobs at risk across Latin America and the Caribbean (LAC).

According to Going Viral: COVID-19 and the Accelerated Transformation of Jobs in Latin America and the Caribbean employment transformations that were already apparent in the last few decades are bound to deepen, and the question in this context is how to recover from the crisis and build back better.

We need to rethink the future and not just try to get back to where we were before the pandemic,” said World Bank Vice President for Latin America and the Caribbean Carlos Felipe Jaramillo. “Governments need to find ways to support the creation of new jobs, train workers to be ready for these new jobs and support their citizens through this disruptive transformation.”

Premature deindustrialization and rapid technological innovation will require policies to support a smooth transformation of jobs that is socially acceptable. The region was already struggling with the end of the so-called “Golden Decade” (2003-2013) of rapid development and strong improvements in social indicators. Economic growth and poverty reduction had stalled. The pandemic has only made things worse.

While fears of mass “technological unemployment” are largely unfounded, many jobs are at risk due to lower external demand, a protracted period of quarantines and lockdowns, solvency problems for firms, and financial crises in some cases. In addition, the social unrest seen in 2019 is a warning. It is urgent to restore economic growth and create more and better jobs.

However, this “Fourth Industrial Revolution” of technological innovation means that further industrialization or re-industrialization will be limited in many developing countries. Low-paid, uneducated workers and those in high-contact activities typical of the informal sector are at highest risk of being replaced by machines. In addition, informal workers are harder to reach with essential social protection programs. The COVID-19 crisis could accelerate these changes, bringing the future much closer than anticipated.

With limited scope for employment growth in manufacturing, modernizing the services sector is a priority. This calls for  an emphasis on removing the distortions that prevent competition and innovation from occurring at a rapid pace.

Preparing workers for the changes is also fundamental. “Education offers the best insurance against the risks of automation,” said the report’s lead author Guillermo Beylis, Research Economist in the World Bank’s Office of the Chief Economist for Latin America and the Caribbean. “Workers will have to adapt to demand for cognitive or analytical skills, as well as interpersonal skills.”

Adult learning and re-training will be key as new automation technologies are adopted in LAC countries. The focus should be on policy reforms to increase productivity in the services sector, which already employs 60% of the workforce and will play an increasingly important role in the future.

Finally, a rethinking of labor regulations and social protection policies is needed. This involves flexible regulation of the emerging forms of work in a way that encourages employment and supports formalization, thereby expanding the coverage of social protection to larger segments of the population.

Continue Reading

Newsdesk

Progress on Sudan political transition, but challenges remain

Newsroom

Published

on

UN peacekeepers from Pakistan engage the local population in North Darfur, Sudan. Photo: UNAMID

Political developments in Sudan continue to move along a positive trajectory, while planning for a UN mission to assist the transitional government is progressing, the UN Security Council heard on Friday. 

Ambassadors met in person in the Economic and Social Council (ECOSOC) Chamber at UN Headquarters in New York, where they were briefed by UN political affairs chief Rosemary DiCarlo, and the head of UN Peacekeeping, Jean-Pierre Lacroix. 

“As the Secretary-General highlights in his report, Sudan’s political transition continues to move in the right direction”, said Ms. DiCarlo, speaking via video link.  

Developments on the political front 

After nearly a year of talks, the transitional Government of Sudan and two key armed movements from Darfur – the Sudan Revolutionary Front (SRF) alliance and the Sudan Liberation Movement/Minni Minnawi (SLM/MM) – initialed a peace agreement at the end of August.   

Signing is scheduled for 3 October, and the parties have agreed to a 39-month transitional period effective from that date.   

A faction from another group, the Sudan People’s Liberation Movement-North (SPLM-N), has also signed a declaration of principles agreement. 

Significant work ahead 

Ms. DiCarlo outlined other recent developments in Sudan, including the appointment of interim civilian governors in all 18 states, two of whom are women.   

She said the parties should be commended for persevering with the peace process, adding that “it is not too late” for others to join. 

“As we embrace the recent progress in the peace process, we are also mindful of the significant work ahead”, she cautioned.  

“The various accords and respective peace agreements on regional issues must be moulded into a single, coherent framework. Additionally, the parties and the Government must form a joint vision on the way forward and to uphold their respective commitments.” 

Goodwill into action 

For the UN’s peacekeeping chief, the initialling of the agreement marked an important milestone for Darfur, where years of brutal fighting have left some 300,000 people dead and millions of others displaced, according to UN estimates. 

Mr. Lacroix hoped the goodwill expressed by the parties will translate into lasting change on the ground, although some “key players” have yet to join the peace process.  

He urged the international community to work to bring all stakeholders on board. 

“Furthermore, the implementation phase which is now beginning will be just as crucial as the drafting of the agreement itself”, said Mr. Lacroix, who also briefed ambassadors via video-link. 

Among the key provisions is a 12,000-strong joint security force for Darfur, to be deployed within 90 days of the signing.  It will be made up of equal numbers of members of the Sudanese security forces and from the signatory armed groups. 

“As forces are deployed and resources are mobilized in support of the implementation, it is essential to ensure that local Darfuri communities feel ownership of the agreement and fully participate in the implementation,” he stressed. 

Progress on new UN mission 

Meanwhile, planning continues for the new UN Integrated Transition Assistance Mission in Sudan (UNITAMS), Ms. DiCarlo told the Council. 

UNITAMS will assist the political transition, and support implementation of peace accords in conflict areas, national-led peacebuilding efforts, and strengthening of human rights, among other tasks. 

“Gender issues are mainstreamed throughout the mandate of the mission, which will have dedicated gender expertise, including at the senior level, to implement our commitments to advance gender equality and the women, peace and security agenda”, said Ms. DiCarlo. 

UNITAMS is a follow-on to the African Union-United Nations Hybrid Operation in Darfur (UNAMID).  The Security Council authorized the establishment of the new mission in June and the start-up team is set to deploy to Sudan next month. 

Continue Reading

Publications

Latest

South Asia51 mins ago

A Way Forward – Neutralizing the Surge in Insurgency With Diplomatic Empathy in Kashmir

Nationalismis slowly losing its emancipatory value as the progressive inclusion of minority groups in public policy decision making has become...

Newsdesk3 hours ago

Most countries failing to protect women from COVID-19 economic and social fallout

The COVID-19 pandemic is “hitting women hard”, but most nations are failing to provide sufficient social and economic protection for...

South Asia5 hours ago

Regional Power politics and Pakistan foreign policy

“Under the shadow of Growing antagonism among Regional Powers, Pakistan needs to formulate  pragmatic foreign policy by staying between the...

Tech News7 hours ago

Technological Revolution Accelerated by Coronavirus Crisis in Latin America

Latin America and the Caribbean is in the midst of a “Fourth Industrial Revolution” of technological innovation which requires enhancing...

Newsdesk9 hours ago

Progress on Sudan political transition, but challenges remain

Political developments in Sudan continue to move along a positive trajectory, while planning for a UN mission to assist the...

International Law11 hours ago

Why Human Rights Abuses Threaten Regional and Global Security

Human rights scholars (Brysk, 2009, Mullerson 1997, Chirot and McCauley 2010) argue that discrimination against people on the basis of...

Europe13 hours ago

An Austro-Franco-German Proposal for a European Post Covid-19 Recovery Programme

The conference named “75 years of Europe’s Collective Security and Human Rights System”, which took place on the 1st of...

Trending