• Skip to main content
  • Skip to primary sidebar

Africa Horn Now

"We don't take sides; we help you see more sides."

Africa Horn Now

ካብ ውሽጢ ቤት ማእሰርታት ኤርትራ

Published: May 6, 2021

PBS: Escaping Eritrea … [Read More...] about ካብ ውሽጢ ቤት ማእሰርታት ኤርትራ

Developing nations’ demands for better life must be met, says World Bank head

April 13, 2017 By AHN

Larry Elliott | Tuesday 11 April 2017 | The Guardian

Jim Yong Kim says there is greater risk of war, terrorism and increased migration if aspirations of poorer countries are not met

World Bank president Jim Yong Kim at a news conference in Berlin.
World Bank president Jim Yong Kim at a news conference in Berlin. Photograph: Hannibal Hanschke/Reuters

Failure to meet the internet-inspired aspirations of people in poor countries runs the risk of creating the conditions for war, terrorism and increased migration, the president of the World Bank has warned.

Speaking in London ahead of the Bank’s spring meeting next week, Jim Yong Kimsaid an urgent development push was needed in order to meet the demands for a better life by those in developing countries, increasingly aware through their smartphones of how rich people lived.

The Bank is particularly worried about recent low growth in Africa and Kim said official aid money should be used to turn the billions of dollars provided by western countries into trillions of dollars of investment from the private sector.

“Aspirations, linked to opportunity, can breed dynamism and inclusive, sustainable economic growth,” Kim said, in a speech at the London School of Economics on Tuesday. “But I worry that if there’s no opportunity to achieve these aspirations, frustration may well lead to fragility, conflict, violence and eventually migration.

“We’re already seeing worrying trends – 2 billion people live in countries affected by fragility, conflict and violence. After a period of decline since the end of the Cold War, violent conflicts have increased rapidly since 2010. Terrorism incidents have increased by 120% since 2012.”

Kim said that an individual’s happiness was linked not just to their own income but also to the incomes of others. As internet coverage had expanded, the comparison was increasingly with people in rich countries.

“Keeping up with the Joneses used to be about keeping up with your neighbours. But it’s no longer only about the Joneses living around you – because of connectivity, the Joneses could be anywhere in the world.”

Kim said creating the right conditions for the private sector to invest was vital if the world was to meet the ambitious sustainable development goals by the target date of 2030.

The World Bank president believes that too much official aid has been spent on projects that the private sector could finance, and that instead of picking “low hanging fruit” official development assistance should be spent in more difficult areas.

He said the top priority should be to “systematically de-risk countries to enable private sector financing, while at the same time ensuring that these investments benefit poor countries and poor people. We should do this by crowding in the private sector whenever possible.”

Kim added that he wanted a “win-win” outcome, where the trillions of dollars earning little interest were used to fund projects such as solar power and transport infrastructure. Investors looking for more lucrative opportunities should be mobilised to help meet the “exploding aspirations” of people all over the world.

“This is a fundamental shift in our conception of who we are,” Kim said. “For too long, our first thought was how can we get the loan or the grant out of the door? But that’s often not what’s best for poor people and poor countries, and it’s not what’s best for the world. We need to have a different and difficult conversation about how we approach development finance.”

He singled out climate change as an area where urgent action was needed. He said time was running out and joint public-private action on both mitigating the impact of climate change and adapting to the changing environment was required immediately.

Filed Under: AHN NEWS

Primary Sidebar

A New Administration Won’t Heal American Democracy

Published: November 6, 2020

The Rot in U.S. Political Institutions Runs Deeper Than Donald Trump Larry Diamond | November 5, 2020 | Foreign … [Read More...] about A New Administration Won’t Heal American Democracy

Archives

  • May 2021
  • November 2020
  • October 2020
  • September 2020
  • August 2020
  • July 2020
  • June 2020
  • May 2020
  • April 2020
  • March 2020
  • June 2019
  • October 2018
  • September 2018
  • August 2018
  • July 2018
  • April 2018
  • March 2018
  • February 2018
  • January 2018
  • December 2017
  • November 2017
  • September 2017
  • August 2017
  • July 2017
  • June 2017
  • May 2017
  • April 2017
  • March 2017
  • February 2017
  • January 2017
  • December 2016
  • November 2016
  • October 2016
  • September 2016
  • August 2016
  • July 2016
  • June 2016
  • May 2016
  • April 2016
  • March 2016
  • February 2016
  • January 2016
  • December 2015
  • September 2015
  • August 2015
  • July 2015
  • June 2015
  • May 2015
  • April 2015
  • March 2015
  • February 2015
  • January 2015
  • November 2014
  • September 2014
  • August 2014
  • July 2014
  • May 2014
  • March 2014

Log In

Copyright © 2025 Africa Horn Now · WordPress · Log in