A partnership with academia

Building knowledge for trade and development

    • Subjects include: different sources of public and private sector funding, the role of the international community (e.g. Official Development Assistance (ODA) and initiatives such as Aid for Trade), development banks and private sector development finance; issues related to debt e.g. analysis of debt crises, debt management, debt sustainability, debt relief initiatives, linkages between trade and debt.
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        2004 Development and Globalization: Facts and Figures (English)
        Report by UNCTAD/GDS Division, 2004, 119 pages
        Categories: Commodities, Finance for Development, Trade Policy Analysis and Trade Data Sources

        This publication provides data on major economic trends in developing countries: finance and debt, international trade in commodities and manufactures, investment, information and communication technology.

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        Aid for Trade : A Failing Grade in LDCs? (English)
        Policy brief by UNCTAD, 2012, 4 pages
        Categories: Finance for Development, Trade Related Capacity Building

        The Aid for Trade programme was launched at the 2005 World Trade Organization (WTO) Ministerial meeting in Hong Kong (China). Its reported aims are to bring greater coherence to existing trade-support programmes and to generate additional funds to assist developing countries to build supply capacity and trade-related skills, so that they can adjust to the post-Doha trading environment. There are some positives to take on the first of these aims but despite the expectation of supplementary resources (‘additionality’), much of the programme has been a repackaging of existing trade-related aid flows. This has worrying implications for the future of the scheme and for the developmental impact of aid more generally.

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        Aid for Trade at a Glance 2009: Maintaining Momentum (English)
        Report by WTO / OECD, 2009, 318 pages
        Categories: Finance for Development, Trade Related Capacity Building

        The report presents the results of the second monitoring exercise of the Aid-for-Trade Initiative and documents its success so far. It examines trends and developments, and presents a comprehensive analysis of donor and partner country engagement. In addition, it addresses the regional dimension of aid for trade and showcases three cross-border infrastructure projects. Moreover, the report provides country factsheets that help assess the outcomes and impacts of aid for trade. The outlook is clearly affected by the current global economic crisis. However, aid for trade must remain an essential component of development assistance.

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        Aid for Trade, Infrastructure, and the Growth Effects of Trade Reform: Issues and Implications for Caribbean Countries (English)
        Working paper by Moreira, Emmanuel Pinto/World Bank, 2010, 45 pages
        Categories: Finance for Development, Trade Facilitation, Trade Policy Analysis and Trade Data Sources

        This paper examines how aid-for-trade programs can help to magnify the growth benefits that developing countries can reap from trade reform and global integration, with a special emphasis on the Caribbean region. The first part discusses various rationales for trade-related aid, viewed both as a compensatory scheme (aimed at cushioning the impact of revenue cuts and adjustment costs) and a promotion scheme (aimed at alleviating supply-side constraints). In the latter case, particular attention is paid to the role of infrastructure as a constraining factor on trade expansion. The second part discusses the relevance of aid-for-trade arguments for Caribbean countries and identifies a number of specific issues for the region. The third part illustrates the potential growth effects of aid-for-trade programs with simulation results for the Dominican Republic -- a country where infrastructure indicators remain relatively weak. The results illustrate the potentially large growth benefits that a temporary and well-targeted aid-for-trade program can provide to countries of the region.

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        Aid for Trade: Resource Materials for Trade Development (English)
        Report by UNECE, 2013, 35 pages
        Categories: Finance for Development, Trade Related Capacity Building

        This publication provides information about the resources available, free of charge, from the United Nations Economic Commission for Europe (UNECE) that can be used to support Aid-for-Trade projects. The resources include international conventions, publications, standards and training materials, and are available to all interested stakeholders in Aid for Trade: countries, bilateral donors, development banks, international organizations and non-governmental organizations. They are developed by country-nominated experts and the UNECE secretariat under the supervision of a wide range of intergovernmental bodies.

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        Aid, private capital flows and external debt: a review of trends (English)
        Report by Least Developed Countries Program, 2000, 28 pages
        Categories: Finance for Development, International Financial System

        What: Based on the Least Developed Countries report from 2000, this is a clear and detailed presentation of external finance and how it contributes to finance development. Who: This document is a good introduction to the problem of external finance for anyone studying or teaching the subject. How: Could be used as a basis for a lecture on development finance.What: Based on the Least Developed Countries report from 2000, this is a clear and detailed presentation of external finance and how it contributes to finance development. Who: This document is a good introduction to the problem of external finance for anyone studying or teaching the subject. How: Could be used as a basis for a lecture on development finance.

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        ASEAN Investment Report 2016 (English)
        Report by UNCTAD, 2016, 276 pages
        Categories: Finance for Development, Investment

        With the theme “Foreign Direct Investment and MSME Linkages”, this latest edition examines the drivers and motivations that underpin investments in ASEAN. It takes a closer look at MNE activities and operations in the ASEAN region. Specifically, it examines the case of two important sources of FDI to ASEAN, that of Korea and the United States, with useful insights on the approaches taken, and the success and challenges faced. An additional feature of this year’s report is the study and analysis on the investment activities of micro, small and medium enterprises (MSME) in ASEAN – namely on their linkages and internationalization strategies – why and how they do so. The Report analyses the role of ASEAN MSMEs in realizing the goals of the ASEAN Economic Community and in improving the overall investment environment. The Report is prepared under a technical cooperation arrangement between the ASEAN Secretariat and the United Nations Conference on Trade and Development (UNCTAD).

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        Assessing the Financial Vulnerability to Climate-related Natural Hazards (English)
        Working paper by Mechler, Reinhard; Hochrainer, Stefan; Pflug, Georg; Lotsch, Alexander; Williges, Keith/World Bank, 2010, 35 pages
        Categories: Finance for Development

        National governments are key actors in managing the impacts of extreme weather events, yet many highly exposed developing countries - faced with exhausted tax bases, high levels of indebtedness, and limited donor assistance - have been unable to raise sufficient and timely capital to replace or repair damaged infrastructure and restore livelihoods after major disasters. Such financial vulnerability hampers development and exacerbates poverty. Based on the record of the past 30 years, this paper finds many developing countries, in particular small island states, to be highly financially vulnerable, and experiencing a resource gap (net disaster losses exceed all available financing sources) for events that occur with a probability of 2 percent or higher. This has three main implications. First, efforts to reduce risk need to be ramped-up to lessen the serious human and financial burdens. Second, contrary to the well-known Arrow-Lind theorem, there is a case for country risk aversion implying that disaster risks faced by some governments cannot be absorbed without major difficulty. Risk aversion entails the ex ante financing of losses and relief expenditure through calamity funds, regional insurance pools, or contingent credit arrangements. Third, financially vulnerable (and generally poor) countries are unlikely to be able to implement pre-disaster risk financing instruments themselves, and thus require technical and financial assistance from the donor community. The cost estimates of financial vulnerability - based on today's climate - inform the design of"climate insurance funds"to absorb high levels of sovereign risk and are found to be in the lower billions of dollars annually, which represents a baseline for the incremental costs arising from future climate change.

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        A BRICS Development Bank: a Dream Coming True? (English)
        Working paper by Griffith-Jones, Stephany, 2014, 28 pages
        Categories: Emerging Economies and South South Cooperation, Finance for Development

        BRICS leaders have approved creating a new development bank which would fund long-term investment in infrastructure and more sustainable development. This paper documents the scale of unmet needs in these areas in developing and emerging economies and estimates the likely level of loans that this new development bank could make, under different assumptions. The paper also highlights the complementary role that such a bank would play with existing development banks and shows its importance for enhancing the influence of BRICS and other developing countries in the international development architecture.

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        Climate Change and Developing Country Agriculture: An Overview of Expected Impacts, Adaptation and Mitigation Challenges, and Funding Requirements (English)
        Article by Keane, Jodie; Page, Sheila; Kergna, Alpha and Kennan, Jane/UNCTAD, 2009, 61 pages
        Categories: Commodities, Finance for Development, Trade and Environment

        Agricultural trade flows depend on the interaction between trade policy and inherent comparative advantage. Not only is the agricultural sector highly vulnerable to climate change, it is also one of the sectors most distorted and heavily influenced by a wide range of local, regional, national and international trade policies. The increased stress to the system brought about by climate change makes reform in global agricultural policies arguably even more important. Even if the most ambitious climate change mitigation measures are adopted, global temperatures are likely to increase by at least 2 degree C since pre-industrial levels by the end of this century, if not sooner; the intensity and frequency of extreme climatic conditions are expected to increase and the predictability of normal rainy seasons, decrease.6 Poor countries with a large rural economy depend on agricultural exports for their fiscal and socio-political stability; climate change could potentially jeopardise agricultural export earnings unless alternatives can be sought or climate proof investments are made. But what are the alternative sources of export earnings? Given the potential impact of climate change on agricultural production, this document sets out to assess how producers might adapt, particularly in relation to new markets for agricultural products and services related to climate change mitigation efforts.

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        Climate Change, Disaster Risk, And The Urban Poor- Cities Building Resilience for a Changing World
        Study by The World Bank, 2012, 322 pages
        Categories: Finance for Development, Trade and Environment

        This study analyzes the key challenges facing the urban poor, given the risks associated with climate change and disasters, particularly with regard to the delivery of basic services, and identifies strategies and financing opportunities for addressing these risks.

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        Commodity Dependence and Development: Suggestions to Tackle the Commodities Problem (English)
        Report by South Centre; ActionAid, 2008, 33 pages
        Categories: Commodities, Competition Policy, Finance for Development

        This report has the objective to provide solutions for the commodities problem in developing countries. Causes and implications for the commodity problem are analysed such as price volatility and market concentration, followed by a case study on market concentration in the coffee sector and policy recommendations.

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        Compendium on Debt Sustainability and Development (English)
        Report by UNCTAD, 2009, 223 pages
        Categories: Finance for Development

        Debt sustainability, which concerns the feasibility for a country of meeting its debt related financial obligations during a period beginning with the present, has proved an elusive concept This is not surprising in view of its dependence on an intrinsically uncertain future Interest in the conditions for debt sustainability builds on an earlier tradition of work on debt management where the focus was on country risk and on the likelihood and consequences of debt default.

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        The Concept of Odious Debt in Public International Law (English)
        Discussion paper by Howse, Robert, 2007, 31 pages
        Categories: Finance for Development, International Economic Law

        What: The odious debt concept seeks to provide a moral and legal foundation for severing, in Whole or in part, the continuity of legal obligations where the debt in question was contracted by a prior “odious” regime of a country and was used in ways that were not beneficial or were harmful to the interests of the population. The paper examines the odious debt doctrine largely in the context of selected, relevant past or ongoing political transitions; the possibility of ex ante declaration of debt as “odious” is, however, discussed briefly in chapter V in relation to private and governmental creditors. How: The paper can be used as a reference for the issue of odious debt in classes on international law. Who: Faculty teaching international law.

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        The Concept of Odious Debt: Some Considerations (English)
        Working paper by Nehru, Vikram; Thomas, Mark /World Bank, 2008, 44 pages
        Categories: Finance for Development, International Economic Law

        Despite the popularity of the term among advocates of debt forgiveness, there is little agreement on a workable definition of "odious" debts and there are but few examples where the concept has been invoked in law to justify non-payment of sovereign debts. Most often, these have been cases when a successor state or government has refused to honor certain debts contracted by its predecessor state or government. Repudiating sovereign debts on broader grounds - such as that money may have been misused by the borrower or that results were not as hoped for at the outset of lending - would create real risks not only of reduced financial flows to poorer countries as a result of the danger of ex post challenges to lenders' claims, but also of moral hazard and lack of project ownership. This paper presents a discussion of the extant legal and financial environment facing developing country sovereign borrowers and develops a proposed approach within this environment to address issues of concern underlying the concept of odious or illegitimate debt. The authors make the case for focusing attention on codes of conduct along the lines of the Equator Principles and on refining forward-looking attempts to increase aid effectiveness and recover stolen assets.

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        Coordinating Public Debt Management with Fiscal and Monetary Policies: an Analytical Framework (English)
        Working paper by Togo, Eriko /World Bank, 2007, 37 pages
        Categories: Finance for Development, Macroeconomic Policy

        This paper proposes a sovereign asset and liability management framework for analyzing the interrelationships between debt management, fiscal and monetary policies. It illustrates the consequences of uncoordinated policy mix and extends Sargent and Wallace (1981 and 1993) by including debt management. Examples of policy games played by fiscal, monetary, and debt management authorities reinforce the importance of policy separation and coordination to prevent domination by one authority over another which could lead to inconsistent policy mix.

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        A Cross-Country Analysis of Public Debt Management Strategies (English)
        Working paper by Melecky, Martin /World Bank, 2007, 42 pages
        Categories: Finance for Development, Macroeconomic Policy

        This paper analyzes results of a survey on debt management strategies conducted by the Banking and Debt Management Department of the World Bank. The analysis focuses on (1) whether a public debt management strategy exists in a given country, (2) whether it is made public, and (3) in which form it is imparted. The paper analyzes the distribution of the latter characteristics over different regions, income groups, and levels of indebtedness using graphical analysis. Using regression analysis, it investigates the extent to which basic economic factors can explain the characteristics of public debt management strategies across countries.

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        Debt relief, the new policy conditionality and poverty reduction strategies (English)
        Report by UNCTAD, 2000, 36 pages
        Categories: Finance for Development, International Financial System

        Based on the LDCs report from 2000, this document is a detailed analysis of HIPC initiative and its relationship with poverty reduction strategies and conditional policies. Of interest to anyone who needs to understand modalities, changes and implications of debt relief on poverty reduction. This resource provides a high quality analysis of HIPC initiative with data, examples and case studies. Key text to understand debt mechanisms.

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        Domestic and External Public Debt in Developing Countries (English)
        Discussion paper by Panizza, Ugo/UNCTAD, 2008, 26 pages
        Categories: Finance for Development

        Analysis of public debt in developing countries has traditionally focused on external debt. However, in recent years, several developing countries adopted aggressive policies aimed at retiring public external debt and substituting it with domestically issued debt. This paper discusses alternative definitions of external and domestic debt and then introduces a new dataset on domestic and external public debt. It uses this dataset to describe recent trends in the composition of public debt in developing countries and discusses the reasons for these trends. The paper also identifies possible challenges and opportunities arising from the new debt management strategy adopted by several emerging and developing countries and points out that there are conceptual and practical issues with the traditional external/domestic debt dichotomy. In doing so, the paper discusses possible trade-off between domestic and external borrowing and points out that while the switch towards more domestic borrowing can play a positive role in reducing the risks of sovereign finance, policymakers should not be too Complacent.

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        Do Remittances Reduce Vulnerability to Climate Variability in West African Countries? Evidence from Panel Vector Autoregression (English)
        Discussion paper by Couharde, Cécile, Davis, Junior, Generoso, Rémi, 2011, 31 pages
        Categories: Finance for Development, Macroeconomic Policy, Migration and Development

        In this paper, we empirically examine the role of remittances in smoothing the GDP fluctuations induced by precipitation variability and both meteorological and natural shocks. To this end, we use a panel VAR to empirically study six West African countries from 1983 to 2009. Our evidence suggests that remittances are an important element of macroeconomic stability especially for those countries most vulnerable to precipitation variability. The estimated orthogonalized impulse responses show on one hand, that meteorological shocks and declining precipitation have both adverse consequences on GDP per capita. On the other hand, remittances are characterized by counter-cyclical patterns in cases of precipitation variability and climate shocks. Remittances inflows in the selected countries (countries of emigration) are also heavily dependent on economic shocks in host countries.

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        Economic Development in Africa 2004 - Debt Sustainability: Oasis or Mirage? (English)
        Report by UNCTAD, 2004, 98 pages
        Categories: Finance for Development

        What: Debt sustainability is basically a relative concept. The questions that beg for a response are: what level of debt is sustainable for countries in which the vast majority of the population lives on under $1 a day per person? Have debt sustainability criteria been based on internationally recognized benchmarks such as those of the MDGs, or on objectively and theoretically verifiable criteria? What is the relationship between Africa's total external debt stocks and the actual amount of debt serviced? Is complete debt write-off a moral hazard or a "moral imperative"? The report tries to put these and other related issues in perspective and makes a number of recommendations on how to deal with Africa's debt. Who: For teachers, students and researchers studying Africa's debt problems, poverty reduction and development challenges. How: Can be used as a background reading or for research work on debt sustainability and development in Africa.

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        Economic Development in Africa 2006- Doubling Aid: Making the “Big Push” Work (English)
        Report by UNCTAD, 2006, 6 pages
        Categories: Globalization and Development Strategies, Finance for Development

        What: The 2006 report on Economic Development in Africa addresses the question of how \\"doubling aid to Africa\\" could substantially contribute to economic and social development in the region. It provides readers with a comprehensive historical overview of models of foreign aid and identifies flaws in the current aid system. The report suggests revisiting the \\"big push\\" development strategy first put forward in the 1950\\'s, and highlights the importance of coherence and quality aspects in aid supply on the donor-side, as well as the role of policies pursued by recipients. A new architecture of aid should ensure a stronger focus on developing productive capacities, and respond to local and regional needs instead of imposing conditionalities. A reduction of unnecessary competition among donors and a greater multilateralization can help to make aid more efficient. How: Can be used as an entry reading into the aid literature and contributes one position to the ongoing discussion. Who: Researchers and lecturers in international development economics dealing with aid issues.

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        Economic Development in Africa 2007 - Reclaiming Policy Space: Domestic Resource Mobilization and Developmental States (English)
        Report by UNCTAD, 2007, 123 pages
        Categories: Finance for Development, Globalization and Development Strategies

        What: The report urges African countries to rely more on domestic resource mobilization for their financial needs thus claiming ownership of their development processes and addressing their genuine priorities. It is informative in terms of actual and theoretical examples of beneficial macroeconomic state interventions, particularly in the African context and when it comes to development financing. How: The report can be used as background material for macroeconomics classes and may spark research ideas in the area of domestic resources mobilization. Who: Faculty engaged in teaching macroeconomics or in research on domestic resource mobilization.

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        Economic Development in Africa 2007: Reclaiming Policy Space: Domestic Resource Mobilization and Developmental States - Overview (English)
        Summary by UNCTAD, 2007, 11 pages
        Categories: Finance for Development, Globalization and Development Strategies

        What: The report urges African countries to rely more on domestic resource mobilization for their financial needs thus claiming ownership of their development processes and addressing their genuine priorities. It is informative in terms of actual and theoretical examples of beneficial macroeconomic state interventions, particularly in the African context and when it comes to development financing. How: The report can be used as background material for macroeconomics classes and may spark research ideas in the area of domestic resources mobilization. Who: Faculty engaged in teaching macroeconomics or in research on domestic resource mobilization.

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        Economic Development in Africa Report 2010. South-south Cooperation: Africa and the New Forms of Development Partnership. (English)
        Report by UNCTAD, 2010, 128 pages
        Categories: Emerging Economies and South South Cooperation, Finance for Development

        The Economic Development in Africa Report 2010 examines recent trends in the economic relationships of Africa with other developing countries and the new forms of partnership that are animating those relationships.\\n The report discusses the variety of institutional arrangements that are guiding and encouraging these new economic relationships. It provides up-to-date information on African trade with other developing countries outside Africa, as well as on official financial flows and foreign direct investment into Africa from those countries. Finally, it assesses important policy issues that arise from the new relationships in each of these areas.\\n The report places the new relationships and multiplying partnerships within the context of South–South cooperation.

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        Economic Report on Africa 2006: Capital Flows and Development Financing in Africa (English)
        Report by UNECA, 2006, 220 pages
        Categories: Finance for Development, Macroeconomic Policy

        What: The Economic Report on Africa (ERA) is the flagship publication of the UN Economic Commission for Africa (UNECA) based in Addis Ababa, Ethiopia. The 2006 edition of the ERA places capital flows at the centre of the debate on development financing and examines how external capital can help countries accelerate growth and reduce poverty. Main recommendations include: promoting regional financial integration, establishing mechanisms for monitoring and managing capital flows to minimize the risks of financial instability, designing strategies to increase the contribution of the Diaspora to economic development, and development partners should honour their commitments with regard to the Monterrey Consensus. ERA 2006 points out that with appropriate capital management strategies, African economies could absorb higher external capital with minimal adverse effects. How: Background reading on Africa's recent performance and on financing for development in the African context. Who: Policy makers, researchers and lecturers dealing with African economic development.

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        Economic Report on Africa 2006: Capital Flows and Development Financing in Africa - Overview (English)
        Summary by UNECA, 2006, 30 pages
        Categories: Finance for Development, Macroeconomic Policy

        What: The Economic Report on Africa (ERA) is the flagship publication of the UN Economic Commission for Africa (UNECA) based in Addis Ababa, Ethiopia. The 2006 edition of the ERA places capital flows at the centre of the debate on development financing and examines how external capital can help countries accelerate growth and reduce poverty. Main recommendations include: promoting regional financial integration, establishing mechanisms for monitoring and managing capital flows to minimize the risks of financial instability, designing strategies to increase the contribution of the Diaspora to economic development, and development partners should honour their commitments with regard to the Monterrey Consensus. ERA 2006 points out that with appropriate capital management strategies, African economies could absorb higher external capital with minimal adverse effects. How: Background reading on Africa's recent performance and on financing for development in the African context. Who: Policy makers, researchers and lecturers dealing with African economic development

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        Economic Report on Africa 2008 : Africa and the Monterrey Consensus (English)
        Report by UNECA, 2008, 202 pages
        Categories: Finance for Development

        The Economic Report on Africa (ERA) is the flagship publication of the UN Economic Commission for Africa (UNECA)based in Addis Ababa, Ethiopia. The 2008 edition is the second in the series that is published in collaboration with the African Union. In the first part, the ERA highlights recent economic and social developments in Africa, including global trends that have a major influence on the continent. The second part focuses on a particular theme, this time The Monterrey Consensus. The report finds that substantial progress has been made in a few areas, especially with regard to debt relief, however, progress is still slow in the areas of social and human development. Based on these findings the report advocates for innovative economic strategies to to broaden the growth base and maximize the impact of growth on poverty reduction.

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        The Emerging of a Multilateral Forum for Debt Restructuring: The Paris Club, Discussion Paper No. 192 (English)
        Discussion paper by Cosio-Pascal, Enrique /UNCTAD, 2008, 40 pages
        Categories: Finance for Development, International Financial System

        This paper describes the evolution of intergovernmental relationships on debt rescheduling. It starts describing some experiences that aroused in the 18th Century and which negotiations were carried out, in many occasions, with the help of gunboat diplomacy. The settlement of liabilities that were created at the aftermath of the two 20th Century World Wars, which were – at least for some countries –- not exactly debt but war reparations, gave some insights in how to deal with these problems allowing the debtor country to find its own path to get out of the debt overhang. The settlement of these foreign liabilities may give some guidelines for dealing with debt restructuring in more general cases The creation of the Paris Club – which is a very civilized way to settle debt defaults compared to gunboat diplomacy – is analyzed and described here: first its emergency as an ad hoc transitory institution and later its evolution toward its definitive establishment in the international financial system landscape. It is also suggested that for a combination of events, which included the launch in Evian of the G-8’s so-called Evian Approach for the Paris Club, as well as the lack of support of some major industrialized countries to the implementation of a Sovereign Debt Restructuring Mechanism (SDRM), the Paris Club has become the only feasible international intergovernmental debt restructuring mechanism in spite of numerous shortcomings embodied in it. On this basis, some improvements of the actual mechanism are proposed, without precluding the possibility of the implementation of a more equilibrated SDRM in the future.

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        Enhancing the Role of Domestic Financial Resources in Africa's Development (English)
        Book by UNCTAD, 2009, 68 pages
        Categories: Competitiveness, Finance for Development

        Apart from the limited reforms to liberalize the financial sector and some attempts to increase public revenue through the introduction of consumption taxes such as VAT (value added tax), many African countries have not considered domestic resource mobilization as an important vehicle for increasing development finance. This handbook is expected to help fill this lacuna. It has been prepared as part of the United Nations Conference on Trade and Development (UNCTAD) secretariat’s project on “Developing local capacities for the identification of growth opportunities through resource mobilization”, financed by the United Nations Development Account (Fifth Tranche). The objective of the project is to strengthen the capacity of African countries to identify and utilize efficiently non-debt-creating domestic resources in order to meet the Millennium Development Goals (MDGs), especially the first goal of halving poverty rates by 2015.

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        The External Debt Contentious, Six Years After the Monterrey Consensus (English)
        Discussion paper by UNCTAD, 2008, 44 pages
        Categories: Finance for Development

        This paper has three objectives. It discusses the main developments and new issues that have arisen after the Monterrey Conference. It critically reviews the Monterrey Consensus on external debt. It provides a set of recommendations for reviewing the implementation of the Monterrey Consensus, to take place in Doha, Qatar, in December 2008. In doing so, the paper discusses the shortcomings of standard debt sustainability exercises; it presents new results on the additionality of debt relief; and discusses the need for developing new financial instruments and institutions aimed at reducing the risks of sovereign and external borrowing. The paper also briefly discusses issues related to the definition of external debt and touches on the odious debt debate.

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        The Financial and Economic Crisis of 2008-2009 and Developing Countries (English)
        Book by UNCTAD, 2010, 340 pages
        Categories: Emerging Economies and South South Cooperation, Finance for Development, International Financial System

        Most analyses of the financial and subsequent economic crisis, including those by leading international institutions like the International Monetary Fund, have focused on OECD countries. This can give the (mistaken) impression that the developing world, even sub-Saharan Africa, has been less severely affected by the crisis and is recovering relatively quickly. Most developed countries’ governments are preoccupied with their domestic problems. This collection of papers puts the South on centre stage. It examines how the countries of the South were affected by the global economic and financial crisis and how they responded, what lessons the South could learn and what policy agenda needs to be pushed forward to better support the interests of developing countries, least developed countries as well as emerging-market economies.

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        Financial Liberalization and Economic Policy Options: Brazil 1994-2003 (English)
        Presentation by Maria Alejandra Caporale Madi, 2004
        Categories: Finance for Development, Macroeconomic Policy

        What: The paper focuses on the consequences of financial liberalization and recessive macroeconomic adjustment in Brazil covering the period from 1994 to 2003. The orthodox therapy has proved to create a "financial trap", reinforcing the inability to achieve sustainable economic development. Emphasis is given to the crucial economic issues in the agenda of President Cardoso (1995-2002). Finally, the continuity of the "financial trap" after President Lula's election and the challenges to develop a long-term financial system are discussed. Who: Relevant for anyone teaching or studying financial liberalization and its consequences in Brazil. How: Can be used for a background reading as a case study on financial liberalization.

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        Financial Regulation and Management of the Legal Risk. the Case of Alternative Investment Funds in the Eu. (English)
        Working paper by Michele Barbieri, 2018, 48 pages
        Categories: Finance for Development, International Financial System

        The last decade has witnessed a sharp increase of the regulatory requirements applicable to investment funds, in an attempt to ensure that their operations do not undermine financial stability but, on the contrary, might be beneficial to economic growth both in developing and developed countries. The increase of fund regulation, and of its complexity, has made it imperative for investment funds to develop appropriate systems and tools to properly manage legal risks. The paper presents a methodology that may be used to identify, in the alternative fund management industry, which are the main legal risks arising in each phase of the fund lifecycle. Furthermore, the paper indicates how these legal risks could be properly detected and mitigated.

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        Financial Transactions Tax: Panacea, Threat, or Damp Squib?
        Working paper by Honohan, Patrick; Yoder, Sean/World Bank, 2010, 37 pages
        Categories: Finance for Development

        Attempts to raise a significant percentage of gross domestic product in revenue from a broad-based financial transactions tax are likely to fail both by raising much less revenue than expected and by generating far-reaching changes in economic behavior. Although the side-effects would include a sizable restructuring of financial sector activity, this would not occur in ways corrective of the particular forms of financial overtrading that were most conspicuous in contributing to the crisis.

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        Financing an Inclusive and Green Future: A Supportive Financial System and Green Growth for Achieving the Mdgs in Asia and the Pacific (English)
        Report by ESCAP, 2010, 132 pages
        Categories: Competitiveness, Finance for Development, Globalization and Development Strategies

        The report focuses first on the Millennium Development Goals, warning that the region is off track on many crucial indicators, including child and maternal mortality. But it also shows that the Goals are still within reach, given sufficient determination and financial resources. Just as important, it identifies potential sources for those funds – at the national, regional and international levels including changing spending priorities. It also looks further ahead, showing how Asia and the Pacific can take the lead in developing a new financial architecture that will best support the Millennium Development Goals.

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        Financing for Development (English)
        Book by UNCTAD, 2008, 68 pages
        Categories: Finance for Development, International Financial System

        The present publication is part of UNCTAD´s contribution to the Follow-up International Conference on Financing for Development to Review the Implementation of the Monterrey Consensus. The first part of the publication captures the outcome of the deliberations which transpired during the forty-fifth executive session of the Trade and Development Board, held on 13 November 2008. The report of the debate reflects the concerns of member States about the implementation of the Monterrey Consensus, especially the anxiety from the severe setback the global financial crisis was going to have on the development process. The second part of the publication contains an issues note, which reviews from UNCTAD´s development perspective, the six core aspects of the Monterrey Consensus. These range from mobilization of domestic resources for development, to flows of official development assistance, to coherence of the international monetary and financial systems. It may be pointed out that all these issues fell squarely within the domain of the work programme specified under the Accra Accord. The Annex to the note provides analysis of the current global financial crisis, the impact of which is being increasingly felt in the developing world, particularly in its most vulnerable segments.

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        Financing Global Climate Change Mitigation (English)
        Report by UNECE, 2010, 193 pages
        Categories: Finance for Development, Globalization and Development Strategies, Trade and Environment

        This report is one of the first outputs of the Global Energy Efficiency 21(GEE21) project, launched by the United Nations Economic Commission for Europe (ECE) in December 2008 at COP-14 in Poznan(Poland). The GEE21 project is designed to develop a more systematic exchange of experience on capacity building, policy reforms and investment project finance among countries of the other regionsof the world through their UN Regional Commissions in order to promote self-financing energy efficiency improvements that raise economic productivity, diminish fuel poverty and reduce environmental air pollution such as greenhouse gas emissions.

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        Financing Innovative Development - Comparative Review of the Experiences of UNECE Countries in Early-Stage Financing (English)
        Article by UNECE, 2007, 118 pages
        Categories: Enterprise Development, Finance for Development

        The Comparative Review focuses on the provision of early-stage equity financing to innovative technology-based enterprises with a view to identifying policy options and recommendations to facilitate the access of these enterprises to early finance. The UNECE region includes countries at very different levels of their innovative capability, which is reflected in the various degrees of maturity of the venture capital industry and the scope of the policy initiatives adopted in this area. This Comparative Review makes a contribution to transnational learning, that is to say, the transfer of good experiences and best practices across the whole UNECE region. In particular, in accordance with CECI mandate, it aims to facilitate the ongoing policy efforts on financing innovative enterprises in the catch-up economies of the region by promoting a better understanding of the international experiences.

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        Financing Mechanisms for Information and Communication Technologies for Development
        Study by Townsend, David; Yan, Yin; Wu, Dong/ UNCTAD, 2010, 35 pages
        Categories: Finance for Development, Science and Technology

        This paper presents observations and trends that have occurred in the key areas identified by the Task Force on Financial Mechanisms (TFFM) and Tunis Agenda, in terms of development of ICT opportunities and financing, and then identifies key challenges and opportunities going forward, for addressing continuing gaps and new conditions in ICT development policy and financing.

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        Financing the Climate Mitigation and Adaptation Measures in Developing Countries (English)
        Discussion paper by UNCTAD, 2009, 26 pages
        Categories: Finance for Development, Investment, Trade and Environment

        Climate funding currently available under the United Nations Framework Convention on Climate Change (UNFCCC) and the Kyoto Protocol is less than $10 billion per year, most of it through Clean Development Mechanism (CDM). Additional funding is provided by the World Bank and by bilateral aid programmes, but the annual total of all existing multilateral and bilateral climate funding is less than $15 billion. This is too small, by an order of magnitude, to meet the needs for climate investments in developing countries. Streamlined and improved institutional arrangements, such as a much-simplified replacement for CDM, will be needed.

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        Governance and Anti-corruption Reforms in Developing Countries: Policies, Evidence and Ways Forward (English)
        Discussion paper by Khan, Mushtaq H., 2006, 38 pages
        Categories: Finance for Development, Globalization and Development Strategies

        International institutions and in particular the World Bank and the IMF are rightly giving a great deal of attention to issues of governance in developing countries, and particularly corruption. This paper identifies a number of different structural drivers of corruption that operate because of the poor fiscal capacities and structurally weak property rights of developing countries. These imply that aggregate corruption is likely to be high in all developing countries, but successful countries have institutions and governance capabilities that enable them to “manage” the structural drivers in ways that allow economic development and in turn create the conditions for a sustained improvement in good governance. In contrast, other developing countries lack these institutions and capabilities and suffer from poor economic prospects and political instability to varying extents.

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        Highlights of Recent Trends in Global Infrastructure: New Players and Revised Game Rules (in UNCTAD's Transnational Corporations (Vol. 17, No.1) (English)
        Note by Ryan J. Orr and Jeremy R. Kennedy, 2008, 36 pages
        Categories: Finance for Development, Investment

        This article highlights recent trends in global infrastructure, focusing on new sources and sponsors of funds and their objectives as they relate to foreign direct investment in developing countries and regions. It also discusses the role of new geopolitical strategic investors such as China and addresses the implications of these developments for research, government policy and company strategy. It concludes by providing an overview of the implications of these developments for project sponsors, construction and engineering firms, pension funds and micro lenders, as well as for the multilateral institutions. The article finally highlights the areas where additional research is needed to ascertain the future characteristics of international infrastructure financing.

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        The Impact of the Financial and Economic Crisis on Debt Sustainability in Developing Countries
        Note by UNCTAD, 2009, 24 pages
        Categories: Finance for Development, International Financial System

        This paper is prepared in response to a request by the former President of the General Assembly H.E. Miguel d´Escoto dated 6 July 2009 for UNCTAD to prepare a paper on the impact of the crisis on debt sustainability. Furthermore, this paper is a contribution to the follow up of the United Nations Conference on the World Financial and Economic Crisis and its Impact on Development held in June 2009. The paper is divided into three parts. The first part (Section 2) describes the impact of the crisis on developing countries. It shows that this crisis has demonstrated, once again, the vulnerability of developing countries to exogenous shocks and that the global downturn raises concerns with regard to the capacity of developing countries to weather the storm without laying the foundations for a debt crisis in the years to come. In this context, it is essential for policy makers to be aware of key determinants of debt sustainability and how they have evolved over the last two years. However, debt sustainability should not be viewed as simply the capacity to continue servicing debt obligations without taking into account the fact that higher debt serving costs necessarily mean fewer funds available for fighting poverty and meeting MDGs. The second part of the paper (Sections 3) shows that developing countries suffer debt crises with debt levels which, for the standard of the advanced economies, are relatively low (a phenomenon often referred to as debt-intolerance). The paper rejects the conventional wisdom that this phenomenon is due to poor policies or institutions and argues that the key determinants of debt intolerance are the economic and debt structure of developing countries. The third part of the paper (Section 4) discusses international and domestic long-term policies aimed at reducing the probability of debt crises. This section also points out that, even with better policies, debt crises and sovereign defaults are bound to happen and that the cost of such crises could be attenuated by putting in place an international debt resolution mechanism which would allow a speedy, equitable and transparent debt restructuring process.

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        Improving the competitiveness of SMEs in developing countries (English)
        Book by UNCTAD, 2002, 156 pages
        Categories: Enterprise Development, Finance for Development

        What: Access to finance has been identified as a key element for SMEs to succeed in their drive to build productive capacity, to compete, to create jobs and to contribute to poverty alleviation in developing countries. Without finance, SMEs cannot acquire or absorb new technologies nor can they expand to compete in global markets or even strike business linkages with larger firms. This publication contains a background study which describes a number of innovations used by leading banks to improve the profitability of lending to SMEs. Who: Useful for teachers and students studying on improving SMEs' competitiveness. How: Can be used as a background reading for courses on access to finance for enterprise development.

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        International Government Debt (English)
        Discussion paper by Panizza, Ugo; Sturzenegger Federico; Zettelmeyer Jeromin/ UNCTAD, 2010, 28 pages
        Categories: Finance for Development

        This paper presents a non-technical survey of the modern literature on international government debt. In doing so, it aims to match predictions made by theoretical models with the existing empirical evidence and to identify the models that best explain the real world experience of sovereign debt and sovereign default. The paper starts by describing how the levels and structure of international government debt have evolved during the last 40 years. Next, it reviews economic theories of sovereign debt, whose defining characteristic is the impossibility of enforcing repayment and discusses recent attempts to reconcile the theory with the evidence. Finally, the paper discusses the role of debt structure and presents two alternative views on the relationship between debt structure and crises.

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        The Least Developed Countries 2010: Towards a New International Development Architecture for LDCs (English)
        Report by UNCTAD, 2010, 298 pages
        Categories: Finance for Development

        As discussed in previous LDC Reports, the LDCs have remained marginal in the world economy owing to their structural weaknesses and the form of their integration into the global economy. Unless both these aspects are directly addressed, they will remain marginal and their vulnerability to external shocks and pressures will persist. The basic message of this Report is that for achieving accelerated development and poverty reduction in LDCs, there is need not only for improved international support mechanisms (ISMs) which are specifically targeted at the LDCs but also for a new international development architecture (NIDA) for the LDCs. The Report proposes five major pillars for the NIDA: finance, trade, commodities, technology, and climate change adaptation and mitigation.

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        The Least Developed Countries Report 2004, Ch. 1: Recent Economic Trends (English)
        Report by UNCTAD, 2004, 24 pages
        Categories: Finance for Development

        What: A thorough overview of the background, consequences and political implications of Africa's debt crisis with a focus of the Highly Indebted Poor Countries Initiative (HIPC). Divided into 4 chapters looking at the key issues involved in the HIPC, eligibility and sustainability, debt after debt-relief and new approaches to attaining sustainable debt. Who: Relevant to development economists or anyone interested in both HIPC and wider debt issues and their impact on development. How: In its entirety, could be used as background reading. Discreet chapters could also be of relevance for specific discussions or assignments. Chapter 4 on new approaches provides ideas for alternative policy approaches.

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        The Least Developed Countries Report 2004, Part 1, Chapter 1: Recent Economic Trends (English)
        Report by UNCTAD, 2004, 24 pages
        Categories: Finance for Development, International Financial System

        What: A thorough overview of the background, consequences and political implications of Africa's debt crisis with a focus of the Highly Indebted Poor Countries Initiative (HIPC). Divided into 4 chapters looking at the key issues involved in the HIPC, eligibility and sustainability, debt after debt-relief and new approaches to attaining sustainable debt. Who: Relevant to development economists or anyone interested in both HIPC and wider debt issues and their impact on development. How: In its entirety, could be used as background reading. Discreet chapters could also be of relevance for specific discussions or assignments. Chapter 4 on new approaches provides ideas for alternative policy approaches.

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        The Least Developed Countries Report 2009: The State and Development Governance (English)
        Report by UNCTAD, 2009, 209 pages
        Categories: Globalization and Development Strategies, Finance for Development

        This year's report suggests LDCs should focus their macroeconomic policies long-term on boosting the productive capacities of their economies and on establishing the infrastructure -- such as roads, bridges and electricity supply -- that empowers such progress. It adds that they should nurture and steer their fledgling private banking sectors into investing in productive activities instead of government portfolios and real estate.

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        The Least Developed Countries Report 2010: Towards a New International Development Architecture for Ldcs (overview) (English)
        Outline by UNCTAD, 2010, 52 pages
        Categories: Finance for Development, Trade and Poverty

        As discussed in previous LDC Reports, the LDCs have remained marginal in the world economy owing to their structural weaknesses and the form of their integration into the global economy. Unless both these aspects are directly addressed, they will remain marginal and their vulnerability to external shocks and pressures will persist. The basic message of this Report is that for achieving accelerated development and poverty reduction in LDCs, there is need not only for improved international support mechanisms (ISMs) which are specifically targeted at the LDCs but also for a new international development architecture (NIDA) for the LDCs.

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        Least Developed Countries Report 2012 - Harnessing Remittances and Diaspora Knowledge to Build Productive Capacities
        Report by UNCTAD, 2012, 190 pages
        Categories: Finance for Development, Migration and Development

        The Least Developed Countries Report 2012 focuses on the issue of remittances from a wider perspective. It examines the potential role of migrants or diasporas at large from LDCs as sources of development finance and also as channels of knowledge transfer and as facilitators of trade and market access opportunities in the host countries. The Report identifies policies, including policy lessons from other countries, that LDCs may wish to consider in designing policy frameworks for harnessing remittances and diaspora knowledge to build productive capacities.

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        Least Developed Countries Report 2012 - Harnessing Remittances and Diaspora Knowledge to Build Productive Capacities - Overview
        Summary by UNCTAD, 2012, 27 pages
        Categories: Finance for Development, Migration and Development

        The Least Developed Countries Report 2012 focuses on the issue of remittances from a wider perspective. It examines the potential role of migrants or diasporas at large from LDCs as sources of development finance and also as channels of knowledge transfer and as facilitators of trade and market access opportunities in the host countries. The Report identifies policies, including policy lessons from other countries, that LDCs may wish to consider in designing policy frameworks for harnessing remittances and diaspora knowledge to build productive capacities.

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        Low-Income Countries' Access to Private Debt Markets (English)
        Working paper by Hostland, Doug /World Bank, 2009, 34 pages
        Categories: Finance for Development

        Private debt flows to developing countries surged to record levels over the period 2003-07. A few low-income countries have gained access to the international bond market but the bulk of the flows have continued to go to just a few large middle-income countries. Most low-income countries still heavily depend on concessional loans and grants from the official sector to meet their financing needs. The paper provides an overview of low-income countries' access to cross-border bank lending and bond issuance in the international market over the past few decades. It highlights some stylized facts that characterize salient features of low-income countries' experience in external borrowing from the private sector and discusses the various factors that influence governments' and corporations' decisions to seek external financing along with creditors' decisions to provide the financing. The paper concludes by assessing the prospects for low-income countries' access to private debt markets over the medium term.

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        Managing Risk and Creating Value with Microfinance (English)
        Report by Goldberg, Mike, Palladini, Eric, 2010, 147 pages
        Categories: Finance for Development

        This report presents issues directly related to microfinance institutional sustainability. The first part includes chapters on risk management systems, good governance, interest rates, and micro-insurance. The second part is devoted to topics in new product development and efficient delivery methodologies such as housing microfinance, micro-leasing, disaster preparedness products and systems as well as new technologies. The objectives of the report is to strengthen microfinance institutions (MFIs) by disseminating innovative approaches in risk management; to promote a South-South exchange of experiences and greater ties between MFIs and government regulators, and to highlight the Bank's ability to mobilize international technical expertise in microfinance.

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        Market Entry for Commodities: The Role of Trade and Investment Finance (English)
        Working paper by UNCTAD secretariat, 2004, 22 pages
        Categories: Commodities, Finance for Development

        An analysis on the difficulty of developing countries' producers entering international commodity markets and on the role of finance as a requisite to establish and maintain competitiveness. This paper studies the impacts of obstacles to obtaining commodity finance on developing countries and gives a few recommendations on the role of governments, international organizations and civil society. Of interest to anyone interested in commodity issues and particularly in Africa. The paper gives examples of successful countries in agricultural finance (The Philippines, India, and Zambia)

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        MDG Report 2012: Assessing Progress in Africa Toward the Millennium Development Goals (English)
        Report by AUC, UNECA, AfDB, UNDP, 2012, 184 pages
        Categories: Finance for Development, Globalization and Development Strategies, Trade and Poverty

        This report looks at the situation in Africa three years to the MDG 2015 deadline. It shows that progress has been made in primary school enrolment, gender parity in primary school enrolment, the proportion of seats held by women in national parliament and HIV and AIDS prevalence rates. It notes a slow decline in child mortality and highlights important gains in the areas of health and education, but these are hindered by poor quality and access. In spite of this progress, Africa still faces the challenges of addressing pervasive income inequalities, creating decent jobs, access to health and sanitation services. The report concludes by presenting the emerging perspectives on the post-2015 agenda.

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        Measuring Financial Access Around the World (English)
        Working paper by Kendall, Jake; Mylenko, Nataliya; Ponce, Alejandro/World Bank, 2010, 67 pages
        Categories: Finance for Development

        This paper introduces a new set of financial access indicators for 139 countries across the globe and describes the results of a preliminary analysis of this data set. The new data set builds on previous work using a similar methodology. The new data set features broader country coverage and greater disaggregation by type of financial product and by type of institution supplying the product -- commercial banks, specialized state run savings and development banks, banks with mutual ownership structure (such as cooperatives), and microfinance institutions. The authors use the data set to conduct a rough estimation of the number of bank accounts in the world (6.2 billion) as well as the number of banked and unbanked individuals. In developed countries, they estimate 3.2 accounts per adult and 81 percent of adults banked. By contrast, in developing countries, they estimate only 0.9 accounts per adult and 28 percent banked. In regression analysis, they find that measures of development and physical infrastructure are positively associated with the indicators of deposit account, loan, and branch penetration.

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        Multilateral Indexed Loans And Debt Sustainability
        Discussion paper by Alessandro Missale, Emanuele Bacchiocchi, 2012, 50 pages
        Categories: Finance for Development, International Financial System

        This study focuses on the potential for introducing indexation on loans provided by multilateral lenders to low income countries (LICs) and examines whether a reform of their lending policy is feasible and economically justified. It provides new evidence for a group of 40 international development association (IDA) countries over the 1990–2010 period for three types of debt: (i) foreign currency loans indexed to real gross domestic product (GDP); (ii) foreign currency loans indexed to the dollar value of exports; and (iii) inflation-indexed loans denominated in local currency. The study finds that both GDP indexation and domestic currency lending are feasible policies. However, the analysis shows that ‘one size fits all solution’ does not exist to the problem of stabilizing the debt ratio, making a reform of multilateral lending, desirable to all LICs, difficult to implement.

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        The New Microfinance Handbook : A Financial Market System Perspective (English)
        Book by Ledgerwood, Joanna, 2013, 532 pages
        Categories: Finance for Development

        The new edition of Microfinance Handbook takes a market systems approach to financial inclusion, oriented by client needs. The book addresses the wider financial ecosystem, moving beyond the traditional meaning of microfinance to inclusive financial systems, with a particular focus on understanding the needs of poor households. It reflects the multidisciplinary intersection of finance, technology, and development with specified topics such as mobile operators, microfinance institutions and community networks.

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        Orderly workouts for cross-border private debt (English)
        Presentation by Steven Radelet, 2000, 22 pages
        Categories: Finance for Development

        What: This paper examines a variety of proposals for international versions of the three basic components of a debt workout: a debt payments standstill, provisions for new finance, and the framework for restructuring. The paper addresses the question as to how standstills and workout arrangements can be designed that would help stop a panic and an overshooting of capital withdrawals from emerging markets, and subsequently provide a framework to close insolvent firms and reorganize more viable enterprises. Who: Useful for teachers and students focusing on international private sector debt and cross-border bankruptcies. How: Can be used as a background reading for courses on international debt and bankruptcy issues.

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        Paths to 2015: MDG Priorities in Asia and the Pacific (English)
        Report by ESCAP, ADB and UNDP, 2010, 70 pages
        Categories: Finance for Development

        Impending deadlines tend to focus the mind. Back in 2000 the year 2015, which is the target date for the Millennium Development Goals, seemed some way off. Now two thirds of the way towards the finishing line, it is beginning to look uncomfortably close. The year 2010 is therefore an appropriate point to take stock – to assess some of the likely outcomes on present trends, identify some of the weakest areas of performance,and identify priorities for action.This 2010/11 report refreshes the signals to reflect the latest information from the United Nations MDG database to assess which countries and subregions are likely to miss or achieve the Goals. But rather than addressing a new theme, this more concise report attempts to encapsulate and update the discussions and recommendations of the earlier reports. The report Paths to 2015 emphasises the inter relationships between MDGs by identifying some overall priorities and opportunities that countries can consider for achieving all the goals. Then it focuses specifically on three areas: hunger and food security; health and basic services – areas where the Asia-Pacific region as a whole appears to be falling short; and on improvement of basic infrastructure which is often neglected but is critical if the region is to achieve the MDGs.

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        The Potential Impact of the Aid for Trade Initiative (English)
        Discussion paper by Page, Sheila/UNCTAD, 2006, 54 pages
        Categories: Finance for Development, Trade Related Capacity Building, WTO Issues/Multilateral Trading System

        What: The paper analyzes the situation of the Aid for Trade initiative and gives recommendations for the actors involved. The initiative marked international acceptance of the limitations of trade as a tool for development for some countries, as they need infrastructure, institutions, technical capacity, and investment in order to trade, and to respond to liberalization. Aid for Trade as an issue in the Doha Round was driven by the need to find benefits for all countries. By the time the Round stalled, it had acquired sufficient support to go forward independently of the Round. When it was part of the negotiations, there was pressure to define a new structure for trade aid, outside normal aid mechanisms and parallel to those for other international concerns such as health or the environment. Without the need to secure developing countries’ support for a trade settlement, there is now a risk that it will be absorbed into normal aid programmes. The paper argues that to ensure that Aid for Trade reflects trade priorities and decisions made in the WTO; countries must require donors and the international financial institutions to accept priority for trade and the obligation of coherence with the WTO. How: Background information for policy-making in the area of multilateral trade. Who: Trade policy-makers, particularly from developing countries.

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        Practical Solution for Cameroonian SMEs Financing Issue / Solutions Pratiques Au Problème De Financement Des Pme Au Cameroun (English)
        Policy brief by Christian Lambert NGUENA, 2013, 5 pages
        Categories: Enterprise Development, Finance for Development, Policy Reviews and Briefs

        Le rôle des petites et moyennes entreprises (PME) dans la lutte contre le chômage et la relance de l’activité économique n’est plus à démontrer. Le Cameroun souffre jusqu’à nos jours d’un secteur privé à plus de 90 % constitué de PME peu viables faute de financement, situation qui tend à s’accentuer avec l’avènement des crises financières. L’essor des PME demande donc la mise en oeuvre d’un mécanisme efficace pour leur financement, pierre angulaire de leur santé et de leur épanouissement. Fort de ce constat, ce policy brief, basé sur une étude, propose différentes actions que les acteurs peuvent engager pour résoudre le problème de déficit de financement dont souffrent les PME camerounaises. Ainsi : • L’État devrait développer et maintenir une politique d’assainissement et de facilitation des mécanismes de financement des PME ; • Les promoteurs des PME et entrepreneurs devraient remettre en cause et corriger leurs comportements préjudiciables à la recherche de financement ; • Et enfin les institutions financières devraient, à l’instar de l’État, faciliter le processus de financement des PME.

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        Proposal Required for Obtaining Capital Resources Focused on Small and Medium Enterprises Located in the Province of Guayas by Issuing Equity Tools Throughout the Ecuadorian Stock Market. (Spanish)
        Article by Renato Garzon, Mauricio Garzon, Mao Garzon, 2016
        Categories: Commodities, Finance for Development, Investment

        The following article looks forward to develop a new proposal focused in incrementing production and export oriented activities focused on Small and Medium Enterprises (SMES) located in the province of Guayas, coastal region of the Republic of Ecuador. The proposal involves raising new capital throughout the issue of equity documents negotiated in stock markets based in Guayaquil and Quito. In order to accomplish the proposal, a group of fellow researchers obtained a sample and gathered primary market data threw individual surveys. The information obtained, helped to construct variables such as how SME finance the acquisition of fixed/productive assets, amount of earnings generated in a year basis, products and services exported to countries where the Ecuadorian Government do have a Trade Office among other variables.

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        Responding to the Challenges Posed by the Global Economic Crisis to Debt and Development Finance
        Report by UNCTAD, 2010, 120 pages
        Categories: Finance for Development, International Financial System

        This report is submitted to the General Assembly in accordance with paragraph 4 of Assembly resolution. It includes a comprehensive analysis of the external debt situation and debt-servicing problems of developing countries and transition economies. It aims to describe new developments and key trends in external debt and related areas of development finance and to provide a basis for deliberation of related policy issues.

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        Responsible Sovereign Lending and Borrowing (English)
        Discussion paper by Buchheit, Lee C., Gulati, G. Mitu/ UNCTAD, 2010, 32 pages
        Categories: Finance for Development

        There are three reasons for attempting to reach a common understanding of the responsibilities of sovereign borrowers and their lenders. First, the flow of capital to sovereign debtors is exceptionally important to the world economy. Second, sovereign finance is uniquely unforgiving of mistakes. Third, the human cost of prodigal sovereign borrowing, reckless sovereign lending or incompetent sovereign debt restructuring is incalculable. This paper shows that a consensus about the responsibilities of sovereign borrowers and lenders, together with improvements in the way in which sovereign loans are planned, executed, documented and, when necessary, restructured, will directly affect the lives of most of the people that live on this planet.

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        The Role of the IMF in Debt Restructurings: Lending into Arrears, Moral Hazard and Sustainability Concerns (English)
        Discussion paper by Simpson, Lucio /University of Buenos Aires, 2006, 40 pages
        Categories: Finance for Development, International Financial System

        This paper will discuss the role that the IMF plays in sovereign debt restructurings and its views regarding the various components of the framework for crisis prevention and resolution, with a special emphasis on LIA policy and the issue of debt sustainability. Because the SDRM was originally intended to be one of the pillars of such framework and because of the consequences of the debate it generated, the first section examines the reasons that explain the failure of the SDRM project to make progress. The second section comments on the recent widespread adoption of CACs, to a large extent as a result of the threat posed by the possible implementation of the SDRM. Sections three to six deal with LIA policy. They explain the objectives and implications of LIA policy as well as its evolution over time, discussing the suitability of the criteria that regulate its implementation, how the policy has been applied in practice and the relevance of the moral hazard problems that it might generate. In section seven, and against the background of the trade-off between investor-friendliness and debt sustainability, the potential positive role that the IMF could play in debt restructurings is discussed and is contrasted with the Fund’s failed experience in Argentina and its bailout of Uruguay, which was clearly inconsistent with its own rules.

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        Scaling Up Finance for the Sustainable Development Goals - Experimenting with Models of Multilateral Development Banking (English)
        Report by UNCTAD, 2017, 28 pages
        Categories: Finance for Development, Investment

        This report discusses some of the new modalities MDBs have been adopting or considering for adoption to relax their lending constraints. It explores, in particular, the Asian Infrastructure Investment Bank (AIIB) model for scaling up as a new experiment that may provide significant sums of development finance, as well as inject new ideas for operational improvements in other banks. It focuses on AIIB’s articles of agreement and argues that such articles give the bank a potential institutional mechanism to become an important intermediary in channeling sizeable amounts of official (but also private) resources to development-oriented projects around the world.

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        Solidarity and the South: Supporting the New Landscape of Long-Term Development Finance (English)
        Report by UNCTAD, 2018, 27 pages
        Categories: Finance for Development

        This paper is structured in five sections. Part 1 introduces the many recent innovations in Southern-led development finance and their potential benefits, tempered with a reminder of lessons learned about the support these new institutions will need in the future. Part 2 charts the new landscape of development finance, identifying Southern-led and global mechanisms and resources that now potentially offer trillions of dollars' worth of support through foreign reserves, national development banks and sovereign wealth funds, southern regional banks and funds, plus the global multilateral World Bank and regional banks. It shows that the centre of gravity of development finance has moved firmly southwards. Part 3 assesses the extent to which the changes in bank ownership, mandates and governance means Southern-led banks are 'doing things differently', with respect to conditionality, scale and speed of loans. Amid these potentially positive developments. Part 4 warns that some things are not that different after all - including long-standing regional imbalances, the continued power of Credit Rating Agencies, and concerns about concessional lending. Part 5 concludes by suggesting how the development community can better support the new and expanded southern banks and funds, to build on their strengths and address their limitations.

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        Towards a new paradigm for development: Strategies, policies, and process (English)
        Presentation by Dr. Joseph E. Stiglitz, 2000, 30 pages
        Categories: Globalization and Development Strategies, Finance for Development

        What: This lecture sets out the foundations of an alternative paradigm to the well-documented failures of the Washington consensus, one which is based on a broad conception of development, offering a different perspective on the role of international assistance and the ways in which it should be delivered. It starts by describing this broader vision and then goes on to explain why not only the Washington consensus but also earlier development paradigms failed: they viewed development too narrowly. It identifies some of the key factors including recent events in East Asia and the Russian Federation that helped us to realize the inadequacies of the old approaches. It outlines the key principles and major components of a development strategy based on this broader vision of development. It concludes with some general observations, focusing on the importance of trade and the work of UNCTAD in furthering development based on this new paradigm. Who: For teachers and students of development strategies. How: Can be used as a background reading material on development approaches and issues.

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        Trade and Development Report 2008 - Commodity Prices, Capital Flows and the Financing of Investment (English)
        Report by UNCTAD, 2008, 234 pages
        Categories: Commodities, Finance for Development

        The Trade and Development Report series analyses current economic trends and major policy issues of international concern, and makes suggestions for addressing these issues at various levels. The 2008 issue, subtitled "Commodity Prices, Capital Flows and the Financing of Investment” highlights the paradox that the “capital poor” developing world is exporting capital to the “capital rich” developed countries. This "puzzle", which defies mainstream economic theory, is all the more intriguing as many capital-exporting developing countries have been achieving higher rates of investment and growth than those that continue to rely on net capital imports. Against this background the Report suggests to shift the focus in financial policies from households "putting more money aside" and imports of "foreign savings", to the reinvestment of profits and credit creation through the domestic banking system. As shown by an increasing number of countries in recent years, dependence on foreign capital inflows can often be avoided by policies aiming at a "competitive" exchange rate. In other cases, however, large increases in official development assistance are indispensable not only to foster the achievement of the Millennium Development Goals by 2015, but also to improve infrastructure and increase productive capacities, a condition for sustained growth, employment generation and poverty reduction beyond that date.

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        Trade and Development Report 2008 - Commodity Prices, Capital Flows and the Financing of Investment - Overview (English)
        Summary by UNCTAD, 2008, 18 pages
        Categories: Commodities, Finance for Development

        The Trade and Development Report series analyses current economic trends and major policy issues of international concern, and makes suggestions for addressing these issues at various levels. The 2008 issue, subtitled "Commodity Prices, Capital Flows and the Financing of Investment” highlights the paradox that the “capital poor” developing world is exporting capital to the “capital rich” developed countries. This "puzzle", which defies mainstream economic theory, is all the more intriguing as many capital-exporting developing countries have been achieving higher rates of investment and growth than those that continue to rely on net capital imports. Against this background the Report suggests to shift the focus in financial policies from households "putting more money aside" and imports of "foreign savings", to the reinvestment of profits and credit creation through the domestic banking system. As shown by an increasing number of countries in recent years, dependence on foreign capital inflows can often be avoided by policies aiming at a "competitive" exchange rate. In other cases, however, large increases in official development assistance are indispensable not only to foster the achievement of the Millennium Development Goals by 2015, but also to improve infrastructure and increase productive capacities, a condition for sustained growth, employment generation and poverty reduction beyond that date.

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        Trade and Development Report 2013 - Adjusting to the Changing Dynamic of the World Economy (English)
        Report by UNCTAD, 2013, 186 pages
        Categories: Finance for Development, Globalization and Development Strategies

        Overview of the world economy and financial situation in 2013 by major economic regions. It discusses their financial markets, commodity prices, growth and trade patterns. Discusses expected economic activity for the year which seems to have slowed down and has brought international trade into a halt. It also discusses the economic activity that developed and developing countries have had since the 2008 economic crisis.

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        Trade and Development Report 2013: Adjusting to the Changing Dynamic of the World Economy - Overview
        Summary by UNCTAD, 2015, 42 pages
        Categories: Finance for Development, Globalization and Development Strategies

        Overview of the world economy and financial situation in 2013 by major economic regions. It discusses their financial markets, commodity prices, growth and trade patterns. Discusses expected economic activity for the year which seems to have slowed down and has brought international trade into a halt. It also discusses the economic activity that developed and developing countries have had since the 2008 economic crisis.

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        Trade and Development Report 2015: Making the international financial architecture work for development (English)
        Also available in Chinese
        Report by UNCTAD, 2015, 221 pages
        Categories: Finance for Development, International Financial System

        This report reviews recent trends in the global economy and focuses on ways to reform the international financial architecture. It warns that with a tepid recovery in developed countries and headwinds in many developing and transition economies, the global crisis is not over, and the risk of a prolonged stagnation persists. The report also identifies some of the critical issues to be addressed in order to establish a more stable and inclusive international monetary and financial system which can support the development challenges over the coming years. It considers existing shortcomings, analyses emerging vulnerabilities and examines proposals and initiatives for reform.

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        Trade and Development Report 2015: Making the international financial architecture work for development - Overview (English)
        Also available in Arabic, Chinese, French, Russian, Spanish
        Summary by UNCTAD, 2015, 39 pages
        Categories: Finance for Development, International Financial System

        This report reviews recent trends in the global economy and focuses on ways to reform the international financial architecture. It warns that with a tepid recovery in developed countries and headwinds in many developing and transition economies, the global crisis is not over, and the risk of a prolonged stagnation persists. The report also identifies some of the critical issues to be addressed in order to establish a more stable and inclusive international monetary and financial system which can support the development challenges over the coming years. It considers existing shortcomings, analyses emerging vulnerabilities and examines proposals and initiatives for reform.

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        Trade Facilitation and Microfinance for Poverty Reduction in the Greater Mekong Subregion: A Case Study of Thailand
        Working paper by Cheewatrakoolpong, Kornkarum; Mallikamas, Sothitorn; Phupoxsakul, Kawin, 2013, 52 pages
        Categories: Finance for Development, Trade Facilitation

        This paper examines whether trade facilitation measures benefit the poor and explores the role of microfinance in supporting the utilization of the trade facilitation initiatives. The focus of the study is on the Economic Corridors and Cross Border Transportation Agreement, an Asian Development Bank programme to facilitate trade in the Greater Mekong Subregion. The paper shows that trade facilitation measures have brought about major improvements in transportation between Thailand and its neighbouring countries. This has helped considerably in promoting tourism, export activities, labour movement and investment activities. However, the poor and microenterprises still face many obstacles in taking advantage of such opportunities due to their inability to access financing as well as a lack of relevant skills and knowledge.

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        UNCTAD Policy Brief No. 16/2010: A Big Public Investment Push Needed in Least Developed Countries to Meet Millennium Development Goals (English)
        Policy brief by Unctad, 2010, 2 pages
        Categories: Finance for Development, Globalization and Development Strategies, Policy Reviews and Briefs

        The MDGs have reinvigorated the case for ODA by tying it to an ambitious strategy to reduce poverty and improve human welfare in the most disadvantaged countries and communities. Looking ahead, as argued in this policy brief, LDCs need to refocus their efforts on measures to better mobilize domestic resources, but this will in turn require a serious rethink by the international community of both its policy advice and its use of ODA.

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        UNCTAD Policy Brief No. 3/2012: Sovereign Debt Crisis : From Relief to Resolution (English)
        Policy brief by UNCTAD, 2012, 4 pages
        Categories: Finance for Development, Policy Reviews and Briefs

        The current discussion on sovereign debt has concentrated on the predicaments of Europe and other developed countries, which have accumulated new debt very rapidly in recent years.

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        UNCTAD Policy Brief No 4/2012: The Continuing Relevance of Development Banks (English)
        Policy brief by UNCTAD, 2012, 4 pages
        Categories: Emerging Economies and South South Cooperation, Finance for Development, Policy Reviews and Briefs

        The demand for the mobilization of domestic resources for social inclusion and in support of virtuous circles of investment, productivity increase and income growth has created pressures to direct flows of finance towards priority income groups and strategically important sectors. There is no doubt that commercial financial institutions are part of the required institutional environment. However, the potential contribution of these institutions is limited by widespread financial market failures, and by their procyclical lending patterns and focus on short-term profitability rather than long-term social welfare. National development banks (NDBs) partially or wholly owned by the state can offer an alternative.

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        UNCTAD Policy Brief No.7/2009 , Keeping ODA Afloat: No Stone Unturned (English)
        Policy brief by UNCTAD, 2009, 2 pages
        Categories: Finance for Development, Policy Reviews and Briefs

        If past experience is anything to go by, today’s financial crisis will deal a hard blow to official development assistance flows. It could take ODA years to recover, dampening prospects for achieving the MDGs by 2015. Keeping aid afloat – ensuring that aid flows are sustainable and predictable – is critical to helping developing countries cope and also to stabilizing global demand. This is a tall order, given the scale of the crisis. Fresh new thinking is often the only way out of desperate situations such as this. UNCTAD puts one option on the table in this policy brief. The proposal may strike some as ambitious, naive, or otherwise unviable. But today especially, every possible solution deserves consideration.

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        Using Commoditized Revenue Flows to Leverage Access to International Finance; with a Special Focus on Migrant Remittances and Payment Flows (English)
        Report by UNCTAD, 2006, 25 pages
        Categories: Commodities, Finance for Development, Migration and Development

        The field of finance for developing countries has changed in a revolutionary manner since the international debt crisis of the 1980s. The losses that international banks incurred discouraged them from continuing to lend on an unsecured basis to developing countries governments and private entities. But as demand for credit remained strong and profit margins were high, some of them rapidly developed new techniques for dealing with the risks. Many of these risk mitigation techniques relate to the field of structured finance - discussed extensively in earlier UNCTAD papers. One particular form of structured finance is future flow finance, in which the financier takes some form of control over the future export earnings of the borrower (thus, the financier no longer relies on the borrower´s willingness to reimburse, but rather, on its continuation in business). Most of the future flow finance for developing countries has been for commodity exports: the resulting products are easy to sell, minimum export flows are easily predictable, buyers are often large western companies and export prices are quite transparent. As this remains a rather specialized area in the banking industry (and those involved understandably first go for the easiest transactions), it is perhaps not surprising that many opportunities remain open. This paper focuses on the most recent forms of future flow finance, which are structured on the back of two commoditized revenue streams that have only been identified over the past ten years as providing the potential for underpinning hard currency credits: migrant remittances and trade payment flows. Deals structured around these flows have only been struck in a handful of countries, even though in principle, possibilities exist in most developing countries. It is hoped that this brief paper will help draw the attention of decision makers in governments and the financial sector to the opportunities that exist in this area, and that it provides a good insight in how to structure the related transactions.

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        World Investment Report 2006: FDI from Developing and Transition Economies - Overview (English)
        Summary by UNCTAD, 2006, 51 pages
        Categories: Finance for Development, Investment

        This year's World Investment Report looks specifically at the increase in FDI by developing countries' TNCs. The report examines the magnitude of this phenomenon and investigates its drivers and determinants. In particular, the report analyses its impact on global economic development and discusses policy responses for both home and host developing countries. As in previous years, the report also presents the latest data on FDI and traces its global and regional trends. The main finding is that FDI inflows increased considerably in 2005, including a surge of FDI in developing countries' commodity-producing sectors and maintained a high-level of FDI in developing countries' service sectors. While Asia remained the main magnet for FDI flows, followed by Latin America, FDI in Africa has also increased, albeit from a low level. A substantial Statistical Annex is also included, with data on FDI flows and stock for more than 200 economies. How: Standard source for data on TNC activities and FDI flows; in addition in-depth treatment of the activities of developing countries' TNCs that can be used in international investment courses. Who: Researchers and lecturers in the area of FDI or international economics more broadly.

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        World Investment Report 2008: Transnational Corporations and the Infrastructure Challenge (English)
        Report by UNCTAD - CNUCED, 2008, 411 pages
        Categories: Finance for Development, Investment, WTO Issues/Multilateral Trading System

        The Report explores how TNC participation in infrastructure has increased since the 1990s (although from a low level), and how this investment has helped mobilise further financial resources for investment. It also examines the policy environment and the challenges facing developing countries seeking to attract TNCs to infrastructure sectors, such as transport or electricity supply. As in previous years, the report also contains data on trends in FDI, which show that global inflows peaked in 2007 but appear to have been affected by the credit crisis in 2008, with TNCs cautious about investment commitments.

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        World Investment Report 2008: Transnational Corporations and the Infrastructure Challenge - Overview
        Report by UNCTAD, 2008, 43 pages
        Categories: Finance for Development, Investment

        This report explores how TNC participation in infrastructure has increased since the 1990s (although from a low level), and how this investment has helped mobilise further financial resources for investment. It also examines the policy environment and the challenges facing developing countries seeking to attract TNCs to infrastructure sectors, such as transport or electricity supply. As in previous years, the report also contains data on trends in FDI, which show that global inflows peaked in 2007 but appear to have been affected by the credit crisis in 2008, with TNCs cautious about investment commitments.

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