Abstract

The petroleum sector contributes substantially to the Nigerian economy; however, the potential benefits are diminished because of the existence of significant subsidies on imports of petroleum products. Subsidies on imported petroleum products are considered to be an important instrument for keeping fuel prices, and hence the cost of living, low. The costs of these subsidies, however, have risen dramatically in recent years along with increased volatility in world petroleum and petroleum product prices and increased illegal exportation of subsidized petroleum products into neighboring countries. Removing the subsidy on fuel is one of the most contentious socioeconomic policy issues in Nigeria today. In this paper, an economy-wide framework is used to identify the impact of removing the fuel subsidy on the Nigerian economy and investigate how alternative policies might be used to meet socioeconomic objectives related to fuel subsidies. The results show that although a reduction in the subsidy generally results in an increase in Nigeria’s gross domestic product, it can have a detrimental impact on household income, and in particular on poor households. Accompanying the subsidy reduction with income transfers aimed at poor households or domestic production of petroleum products can alleviate the negative impacts on household income. Document type: Book

Abstract

The idea of social inclusion has garnered considerable attention, especially in the context of two recent developments: the Sustainable Development Goals and the heightened attention to inequality. This paper reviews the manner and extent to which social inclusion is addressed in the first 17 Systematic Country Diagnostics (SCDs), which are ex ante, country-level assessments conducted by the World Bank Group, ahead of the preparation of its Country Partnership Frameworks. In addition to this primary purpose, the paper fulfils three other purposes. It allows for a broader reflection on the value of the social inclusion construct in macro-level diagnostics; it takes the opportunity to develop and refine a methodology to assess social inclusion and finally, it positions the narrative on social inclusion into the ongoing discourse on poverty, shared prosperity, inequality and the thinking around the implementation of the Sustainable Development Goals. It is therefore, a refined articulation of the idea of social inclusion in the context of global epistemological shif Document type: Book

Abstract

With this Cameroon economic update, the World Bank is pursuing a program of short, crisp and frequent country economic reports. These economic updates provide an analysis of the trends and constraints in Cameroon's economic development. Each issue, produced bi-annually, provides an update of recent economic developments, as well as a special focus on a topical issue. The economic updates aim to share knowledge and stimulate debate among those interested in improving the economic management of Cameroon and unleashing its enormous potential. This fourth issue of the Cameroon economic update is entitled 'stepping out into the world a special focus on trade facilitation'. It reviews the challenges and opportunities related to trade facilitation in Cameroon. The coverage is not meant to be exhaustive, but puts an emphasis on particular areas that would require the country's sustained attention: a transformative trade facilitation agenda around which all stakeholders could be mobilized.

Abstract

Botswana has been one of the most successful countries in the developing world over the last 40 years by many measures. Incomes have grown at a sustained pace, poverty has fallen, and the citizenry has become more educated. To be sure, poverty and income inequalities remain a problem, but rising standards of living have meant a better life for this generation of Batswana than any before it. The question facing the country leadership is whether this commendable performance can be sustained into the next generation. There are clouds on the horizon that cannot be ignored. Diamond earnings, the life blood of decades of prosperity, have flattened out. In per capita terms they are falling. Moreover, because revenues from diamonds going to the public sector have been falling for more than a decade, a growth model predicated upon an ever expanding state presence is not viable. Diamond earnings accruing to the state for subsequent redistribution have peaked. Employment and wages in the public sector have reached their natural limits as a share of Gross Domestic Product (GDP); recycling revenues from mining into the private sector, either directly or through the financial sector, has been inefficient with low social returns; and redistributive mechanisms to support social safety nets are also likely be approaching their limits. The country confronts the challenge of looking for new sources of growth outside of government.

Abstract

[Abstract:] Maritime transport stands out as a strategic sector; the increasing trend in maritime traffic makes it essential to reduce energy consumption and emissions through investment in energy efficiency. However, investments can be hindered by barriers, and drivers are necessary to reduce or overcome them and promote investment. Consequently, the purpose of this study is to analyze what factors influence investment decisions—and how they do so—when there are principal-agent problems in the shipowner–charterer relationship. The methodology is based on the following process: model and hypotheses formulation, variable definition, the creation of a study sample and statistical treatment through a descriptive analysis of variables and a binomial logistic regression model, all based on a state-of-the-art application. The results corroborate the hypotheses and indicate that principal-agent problems and split incentives, especially in time charter contracts, and a lack of verified information make the shipowners less likely to invest. Moreover, energy efficiency measures are less likely to be implemented in older vessels, possibly due to the difficulty associated with recovering the investment; they are more likely in larger and newer vessels, and regulation encourage their adoption. Furthermore, investment is more likely in vessels with verified information and high levels of both activity and harmful emissions. Improved knowledge in this field could help businesses and governments to act in a more sustainable manner, without detriment to an innovative and competitive sector. Consellería de Cultura, Educación e Ordenación Universitaria; ED481A-2015/224 Ministerio de Ciencia, Innovación y Universidades; RTI2018-100702-B-I00 Document type: Article