Africa: data, finance, digitalization & localization Mahmoud - - PowerPoint PPT Presentation

Achieving the SDGs in Africa: data, finance, digitalization & localization

@wbg2030 worldbank.org/sdgs Georgetown University January 23rd 2019 Mahmoud Mohieldin Senior Vice President World Bank Group

Table of f contents

I) African Perspectives II) The opportunity of the SDGs III) Supporting the SDG Agenda ✓Data ✓Finance ✓Implementation

❖Digitalization ❖Localization

Total countries: 52 FDI to Africa: $42 billion (Out of total $1.43 trillion) FDI outflow from Africa: $12.1 billion

Source: International Monetary Fund, 2018 https://www.imf.org/external/datamapper/datasets/WEO/1 World Investment Report, UNCTAD, 2018 https://unctad.org/en/PublicationsLibrary/wir2018_en.pdf

African Perspectives

GDP share of world: 2.75% GDP per capita (Current prices, U.S. dollars per capita): $1,890 Population: 1.3 billion Share of total population: 17.33%

China: 1.38 billion India: 1.33 billion

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Africa GDP compared to China and India

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CommodityPrices ▪ Africa is a net commodities exporter and is deeply affected by lower commodityprices

Main challenges affecting Africa

Poverty ▪ Poverty is falling more slowly in Africa than

• ther regions

▪ Absolute number of poor has increased dueto high population growthrate Sluggish Growth ▪ Growth continues to strengthen, reaching an estimated 3.5 percent in 2018, but is still below potential ▪ Commodity exporters are experiencing the sharpest declines in growth Currency Depreciation andDebt ▪ The strong US dollar has put pressureon currencies across the region ▪ This has increased inflation and led to higher debt burdens Fragility andConflict ▪ Africa hosts a third ofthe world’s displaced population ▪ The region has seen an increase in non-traditional forms of conflict that target civilians ClimateVulnerability ▪ Africais the lowest carbon emitter but is more vulnerable to climate change than other regions ▪ Climate change threatens natural capital, physical capital, and humancapital Source: African Economic Outlook 2019, African Development Bank

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The SDGs present a major opportunity for transformation

Global development agendas serve as a guide for countries to determine their national development path

MDGs (2000-2015) SDGs (2016-2030)

Goals/ Targets/Indicators

8/21/60 17/169/~230

Priority Areas

Human Development Holistic: Economic, Social, Environmental

Scope

Developing Countries Universal

With underachieved MDGs, the SDGs require more work

Improvementsinhealth,nutrition,andeducation,butmuchremainstobedonetomeettheMDGsin Africa. ▪ Thecontinent achievedmorethan70percentof theprogress requiredby2015onseveralindicators:prevalenceof undernourishment(83 percent); infantmortalityratio(72 percent);under-5mortalityrate(81 percent);andaccess to safedrinkingwater (78 percent). ▪ Despiteprogress,thecontinentstill lagsbehindotherregionsin reducingextremepovertyandachievinggenderparityin schoolsand access to sanitation. TheSDGsarethenextstepintheglobaleffortstotransformdevelopmentwithamoreambitiousagenda. ▪ T

• achieve their promise, SDG

srequire major commitments regarding policy and institutional reform as well as delivering on the Addis Ababa Financingfor DevelopmentAgendawhichaimsto convertbillions to trillions,mobilizingnewresourcesfor development,private business and finance inparticular.

100% 59% 100% 62% 33% 33% 51% 74%72% 80%81% 65% 60% 78% 16%

10% 0% 30% 20% 50% 40% 60% 70% 80% 100%

89%

90%

83%

Extreme poverty Prevalence of Primary completion Ratio ofgirls to Mortality rate, Mortality rate, Maternal mortality Access to safe Access to basic (population below undernourishment rate, total (% of boys in primary and infant (per 1,000 live under-5 (per 1,000) ratio (modeled drinking water (% of sanitation facilities estimate, per population with (% of population 1.25 day, 2005 PPP) (% of population) relevant age group)secondary education births) (%) 100,000 live births) access) with access)

Distance to2015 goal, % Global and Africaprogress towardthe MDGs varies Developing countries, weighted bypopulation

100%

Distance to the goal achievedglobally (%) Distance to the goal achieved S S A(%)

Source: WDI October 2015 data and Development Economics, World Bank staff calculations.

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Africa’s challenges are at the heart of the WBG priorities and the SDGs

Impact of Climate Change Fostering Inclusive Growth Getting Servicesto the Vulnerable Reducing Fragility Migration and Displacement Leveraging Resources for Development Links to WBG Corporate Priorities

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63% 38% 52% 88% 68% 87% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Basic water Basic sanitation Access to electricity SDG 6 SDG 7

SDGs 6 and 7

Africa World 39% 17.7% 33% 10.9% 10.7% 22% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

Poverty headcount ratio - $1.90 Prevalence of undernourishment Prevalence of stunting SDG 1 SDG 2

SDGs 1 and 2

Africa World

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Source: Staff calculations from World Bank WDI, 2018

How are African countries progressing on the SDGs?

18 African Countries have already presented their SDG implementation plans at the High Level Political Forum

5 10 15 Yes Some No Yes Concept No Budget in HLPF Incorp into natl budget

Financing

2 4 6 8 Yes Concept No Yes Some No Integrate SDGs into nat'l monitoring Review of state of data

Data

Source: Preliminary staff analysis of 2016-2018 VNR country reports

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Algeria Burkina Faso Cameroon Central African Republic Chad Congo (Republic of the) Cote d’Ivoire Eritrea Eswatini Ghana South Africa Timor-Leste Tunisia

13 more African countries are presenting VNRs in 2019

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Key pillars to support the achievement of the SDGs

Implementation: Digitalization & Localization DATA FINANCING

Ref: WBG/UN report to the UN CEB on the Lessons Learned from the MDGs; DC Lima paper on WBG’s role

• n SDGs; Disruptive

Tech and the WBG DC 2018 AMs paper. Ref: Spring Meetings 2015 Development Committee paper

• n Financing; Addis

2015 outcome document Ref: UN report on “A World that Counts”; WBG/MDBs/UN MoU on Data

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Data is the New Oil

Realizing the Data Revolution

Source: Who and what gets left behind? Assessing Canada’s domestic status on the sustainable development goals, Brookings, 2017

5 10 15 20 1 3 5 7 9 11 13 15 17

Seventy-eight of 169 SDG targets describe potentially assessable

• utcomes for Canada

Not able to assess Proxy target Canadian national target Quantified SDG target

Source: Japan Ministry of Foreign Affairs

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Improving Statistical Capacity

Statistical Capacity is a nation’s ability to collect, analyze, and disseminate high-quality data about its population and economy. Quality statistics are essential for all stages of evidence-based decision-making, including:

• Monitoring social and economic indicators
• Allocating political representation and government resources
• Guiding private sector investment
• Informing the international donor community for program design and policy formulation

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The Atlas of Sustainable Development Goals – a visual guide to data and development

• The Atlas of Sustainable Development Goals

presents maps, charts, and stories related to the 17 Sustainable Development Goals.

• The Atlas discusses trends, comparisons,

and measurement issues using accessible and shareable data visualizations. The data draws on the WDI. For each of the SDGs, relevant indicators have been chosen to illustrate important ideas.

1 6 16

17

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Financing for Development Landscape

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Finance will need to come from all sources

Big picture of developing countries' total resource receipts Tax revenues

1 2 3 4 5 6 7

FDI Net Inflows (% of GDP)

Low & middle income World Middle East & North Africa

Fintech

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Embracing the Digital Economy

Human Capital Index

Source: WDR 2019 Team http://documents.worldbank.org/curated/en/8162 81518818814423/pdf/2019-WDR-Report.pdf 21

Readiness to Change Index (1 of 2)

Source: 2017 Change Readiness Index, KPMG

Readiness to Change Index (2 of 2)

Source: 2017 Change Readiness Index, KPMG

Technological Readiness Ranking

Source: Preparing for Disruption, Technological Readiness Ranking, Economist Intelligence Unit http://www.eiu.com/Handlers/WhitepaperHandler.ashx?fi=Technological_readiness_report.pdf&mode=wp&campaignid=TechReadiness 24

Offers an assessment of how well prepared countries are for technological change, across three key categories:

• Access to the internet
• Digital economy

infrastructure

• Openness to innovation

Mobile Broadband Connectivity Status (2017)

Source: GDDDR analysis, based on ITU and TeleGeography data

Color Min. Max. 25 25 50 50 75 75 100 100 125 125 150 150

Growing digital divide: Limited and expensive broadband connectivity is slowing economic transformation in Africa and access to services

Average Price of 1GB relative to monthly Income

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And yet, these promises will remain unrealized for the 3.5B people still missing out due to lack of connectivity

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DIGITAL ECONOMY

Smart Agriculture Smart Energy eCommerce Digital Education Digital Health Industry 4.0 Digital Transport Digital Culture

Inclusive Growth Jobs Competitive Economy Efficiency

The scale and speed of disruption is affecting traditional sectors. Changing how we collect, store, access, analyze and present data. Improving production techniques to increase efficiency, affordability, and speed. Transforming how we interact with the world and deliver/ receive services. Digital economies require safeguards to ensure robust job markets, and possible downside risks

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1

DIGITAL SKILLS AND LITERACY DIGITAL PLATFORMS USAGE

• DIGITAL

INFRASTRUCTURE DIGITAL FINANCIAL SERVICES DIGITAL ENTREPRENEURSHIP

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Localization

Indonesia:

A program is being implemented to enhance the capacity of local governments to improve efficiency and effectiveness

• f local public spending.

Also implemented the PNPM program: community driven development

U.K. Midlands

Successful locally owned businesses help develop local markets, create innovation, success and redistribution in a self- reinforcing cycle

Colombia:

Localization of UrbanDevelopment

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1

2

2004: Official Government Portal launched Four areas of focus:

• Institutional development
• Governmental services
• Enterprise resource planning
• Establishing & integrating

national datasets Government Services Development Program: Digital services for speed delivery

sharing

governance, complaints & inquiries Needed: virtual decentralization & IT capacity-building at local levels

Egypt

31 Source: Elmassah & Mohieldin, 2019

Private initiative: MasterCard & IFC, using big data tools, achieved progress in promoting coverage of financial services to the poor in Sub-Saharan Africa

Ghana

Uses 2 terabytes of BD by mobile network operators Forecast potential users of DFC at local level Uptake of DFS in Ghana increased by 70,000

32 Source: Elmassah & Mohieldin, 2019

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Made government data, widely available to the public.

• National health
• Education
• Infrastructure
• Census surveys

Kenya Open Data Initiative (KODI)

• Enforced ICT standards in

government

• Promoted ICT literacy, capacity,

innovation & enterprises.

2013: Kenyan ICT Authority established

• New website (Kenya Government

Portal)

• E-citizens (engagement) platform
• Open data platform
• Network of ‘one-stop shops’ citizens

technical assistance with accessing e- government services (Ex. online tax returns)

2015: E- governance initiatives

Kenya

Source: Elmassah & Mohieldin, 2019

E-government services started in 2005

• “One-stop shop” solutions for citizens
• Citizens engagement in policy discussions

(Professional education) Government & OECD’s Open Government Project  Design and enact reforms using big data with public & civil society

Tunisia

The Big Data Hackathon in 2017  Encourage start-ups, educational institutions, to innovate

• n available big data

Tunisian E-government Society raises awareness

• n political, administrative functions and usages
• f IT platforms & information

34 Source: Elmassah & Mohieldin, 2019

Every African Individual, Business and Government (central and local) to be Digitally Enabled by 2030

Reaching the Moon

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• Launched in 2014. Youth competition on innovative ways to finance and implement development

solutions to help reach the SDGs.

• Partnership between the World Bank Group and the Wharton School, amongst others
• In 2017 the Ideas for Action (I4A) competition attracted over 700 proposals from 118 countries.
• Winning proposals :
• Top 10 will be published in a book
• Top 3 will participate in the WBG-IMF Annual Meetings
• The Wharton School offers top 10 winners training and opportunities to exchange knowledge
• Visit the website at http://www.ideas4action.org/; Follow us @Ideas4Action
• Call for proposals for the 2018 edition of I4A : Deadline February 28th

http://www.ideas4action.org/2018-competition/

Watch video of 2016 winners

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Mahmoud Mohieldin Senior VP

Thank You

worldbankgroup.org/sdgs

Follow us on twitter @WBG2030 Mahmoud-Mohieldin on

@wbg2030 worldbank.org/sdgs