This book argues that the transition to low-carbon transport ensures lower transport costs and a stronger development impetus of the sector for the future. The report shows how policies can be organized to generate revenues that can cover much or all of the transition cost.
Liberia has been influenced by the Ebola crisis since 2014, but the economy is now recovering quickly. Still, significant challenges lie ahead. Agriculture, an important sector that employs approximately half of the labor force, still has a weak growth trajectory. Many rural people are not well connected to markets and live below the poverty line. To use limited resources effectively, strategic planning and prioritization of public investment are essential. Particularly, the Ebola crisis revealed the vulnerability of the country's transport connectivity and health systems. This book analyzes the country's transport connectivity, identifying the existing bottlenecks and possible economic potentials. By taking advantage of the country's first-ever georeferenced road network data, the analysis casts light on various aspects of connectivity, such as rural accessibility, market access, access to port and health facilities and multimodal connectivity, including cabotage. It is shown that transport connectivity is crucial to increasing agricultural production, stimulating agglomeration economies, and supporting people's access to health care services. Significant resources are likely to be required to meet the existing gap. The book estimates the financial needs by development objective and discusses important policy issues, including the possibility of public-private partnerships to finance transport infrastructure.
Botswana's successive currency devaluations and recent move from a fixed to a crawling peg exchange rate regime raise the question of whether the exchange rate might be misaligned with economic fundamentals. This paper, applying the behavioral equilibrium exchange rate (BEER) approach, analyzes the behavior of the real exchange rate for the period 1985-2004. It finds that the pula was undervalued in the later 1980s but overvalued in recent years. Some policy lessons from experiences in other countries with crawling peg arrangements are therefore considered in the context of Botswana.
Infrastructure is crucial for developing countries and needs enormous investment. Efficiency in its provision is all the more important at a time in which available resources are shrinking. In this brilliant book Estache and Iimi consistently bring together elements from many fields of economics and analyze a large amount of original data to provide guidance towards efficient infrastructure provision. They convincingly make the case that competitive, transparent public procurement is the best way ahead; and highlight the many subtle issues involved in designing effectively competitive procurements, a daunting task for such large projects and in countries with weak institutions and high risk of corruption. The book is a must-read for anyone who studies or works on these very important issues." Giancarlo Spagnolo, Professor of Economics, University of "Rome Tor Vergata" "Public provision of infrastructure will remain the dominant paradigm for many countries and many types of infrastructure services. As such, improving public procurement is central to our ability to cost-effectively provide services to the 1.5 billion individuals that still do not have access to electricity, and the many more who live without safe water or lack access to reliable transport infrastructure. Effective public procurement is also at the heart of the growth agenda as developing countries are struggling to provide their growing economies with the infrastructure they need despite tight fiscal conditions. This book provides us with new insights on how to effectively and efficiently use scarce public resources. This extremely useful and insightful book offers policy-makers a wealth of suggestions to make their procurement systems smarter and an effective tool for development." Marianne Fay, Chief Economist, Sustainable Development Network, The World Bank
Port Development and Competition in East and Southern Africa analyzes the 15 main ports in East and Southern Africa (ESA) to assess whether their proposed capacity enhancements are justified by current and projected demand; whether the current port management approaches sufficiently address not only the maritime capacity needs but also other impediments to port efficiency; and what the expected hierarchy of ports in the region will be in the future. The analysis confirms the need to increase maritime capacity, as the overall container demand in the ports in scope is predicted to begin exceeding total current capacity by between 2025 and 2030, while gaps in terms of dry and liquid bulk handling are expected even sooner. However, in the case of many of the ports, the issue of landside access—the ports’ intermodal connectivity, the ease of international border crossing, and the port-city interface—is more important than the need to improve maritime access and capacity. The analysis finds that there is a need to improve the operating efficiency in all of the ESA ports, as they are currently less than half as productive as the most efficient ports in the matched data set of similar ports across the world, in terms of efficiency in container-handling operations. Similarly, there is a need to improve and formalize stakeholder engagement in many of the ports, to introduce modern management systems, and to strengthen the institutional framework to ensure the most efficient use of the infrastructure and to be able to attract private capital and specialist terminal operators. Finally, given the ports’ geographic location and proximity to main shipping routes, available draft, and the ongoing port-and-hinterland development, the book concludes that Durban and Djibouti are the most likely to emerge as the regional hubs in ESA’s future hub-and-spoke system.
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