THE 92687 WorldBank IN INDIA VOL 13 / NO 2 SEPTEMBER 2014 INSIDE Skilled jobs – the best way to transform rural lives 1-5 Is that surgery really Skilled jobs help rural necessary? 6-8 Development Dialogue: youth in Tamil Nadu fulfil Labor reforms in India 9-10 ICR Update 11-15 long-cherished dreams Recent Project Approvals & Signings 16-17 World Bank Group President B orn and raised in a thatched one-room hut in rural Tamil Nadu, 22 year-old Enita now spends her day amidst mounds of brightly colored lace, sewing fancy lingerie for the high-fashion stores of western visits India 18-19 New Additions to the Public capitals. A hint of jasmine fills the air and lilting Bollywood music keeps Information Center 20-31 time with the gentle hum of machines on the air-conditioned factory floor. Contact Information 32 Enita’s life stands in marked contrast to her mother’s. The older woman About the photograph: still toils under the harsh Indian sun doing strenuous manual labor under Young women working at a a government-sponsored employment program. The vast gulf between lingerie manufacturing unit in Kanchipuram district, the women’s lives is a harbinger of the change that is sweeping across Tamil Nadu large parts of Tamil Nadu in just one generation. Photo courtesy: Shaju John The young woman’s manufacturing job has turned the family’s fortunes around. In four years, she has put together a handsome dowry for her older sister and is now paying the college expenses for her younger sibling. “Had I remained at home, I would have been married by now and had two children,” Enita said. Instead, she is proud of being the family’s chief breadwinner after her father, a farm laborer, died leaving a penniless wife and three daughters. “Once my younger sister is on her feet, I’ll save for my own dowry,” Enita said brightly. Like her peers, she is certain that the dowry will help her find A t first, poor rural families were reluctant to send their daughters to work in manufacturing industries far away. Now these working girls enjoy a a better match in the marriage market new respect in their villages and have become role and give a good start to her wedded life models for others to follow. thereafter. Once their 3-month period of intensive training is Enita’s story is far from unique in this rapidly complete, boys with a primary education will have growing industrial belt around Chennai. It the skills to work as masons on the most complex plays out time and again in the lives of the construction sites in India or abroad using the latest 1,200 or so young women who share the technology. dorm with her at Intimate Fashion, a lingerie ● The lack of employable skills keeps poor rural manufacturer in Kanchipuram district, youth trapped in poverty as well as in the lives of the thousands ● The project is helping boys and girls build skills of others working in similar garment and connect with new job opportunities manufacturing units nearby. ● Since 2005, the project has helped place some The girls’ wages help fulfil small aspirations 240,000 young people in skilled employment; and long-cherished dreams. Most families 46 percent of them are girls first spend on better food, or replace thatched huts with brick-and-mortar homes. While the younger girls usually hand their ATM cards to their mothers, the older women put aside their earnings to give their children the best education they can, often forfeiting simple comforts like buying a fridge despite the searing tropical heat. 2 The World Bank in India • September 2014 Skilled jobs – the best way with better-paying jobs in the new economy through job fairs and recruitment drives. to transform rural lives It also makes it easier for employers to find “Skilled jobs are enabling poor rural families steady workers in one of the state’s most to change their lives forever,” said R.V. industrialized regions, where attrition rates Shajeevana, additional project director for the have touched all-time highs. “Earlier, most of World Bank-supported rural livelihoods project our workers came from the villages around, in the state. “But while landless laborers want and company buses fetched them from a their children to move out of penurious lives in 30 km radius,” said Malarvannan Fernando, agriculture, they don’t know how to go about the human resources head at the lingerie it and lack the skills to do so.” manufacturer. This is where the World Bank-supported “But since 2005, when industries like Samsung, project – aptly named ‘Pudhu Vaazhvu’ Nokia etc. set up here, it has become extremely or ‘new life’ in Tamil – comes in. In a win- difficult to find good workers because people win situation, the project draws on its vast can get jobs close to home. Our buses now database of poor rural youth, focusing first cover a 90 km radius, and our dorm girls come on school drop-outs, and links them up from as far as 350 km away.” The World Bank in India • September 2014 3 undergoing three months of intensive training in masonry. Once the training is complete, Kumar – who has a primary education – will be able to work on the most complex construction sites in India or abroad using the latest technology. Until then, Kumar is enjoying wearing the first pair of shoes he has ever owned. Dr. M.V. Venkatesan, the institute’s principal, emphasizes the importance of developing modern-day skills among India’s rural youth: “Skills training is essential if India is to compete in today’s globalized world. The Girls in the garment industry earn Rs. 6,000 project works by reaching out to the most a month in addition to free food, travel, needy. They are the ones who will benefit the medical expenses, plus overtime, bonuses most and are likely to stay on in the 7 trades and other small perks – a substantial sum for we teach – carpenters, electricians, bar- impoverished rural families. benders, welders among them.” Once their 3-month period of intensive Till date, the project has helped place some training is complete, boys with a primary 240,000 young people in skilled employment education will have the skills to work as across a broad range of industries; 46 masons on the most complex construction percent of them have been girls. sites in India or abroad using the latest technology. Shaping generations to come Training the boys Most girls in the garment industry who live in lodgings provided by their employers will The boys too have a host of new economic work for four years or so until they marry and opportunities. At engineering major Larsen dorm living is no longer feasible. Employers & Toubros’s training institute in neighboring therefore offer spoken English and other Thiruvallur district, twenty three year old classes so that the girls, once used to Selva Kumar, from a poor tribal family, is earning, can continue to work in the future. 4 The World Bank in India • September 2014 The working years change the girls forever. “They are confident, can speak up for themselves, and look back on this as one of the happiest times in their lives. They are also more aware of their health and personal hygiene, and tend to marry later, have fewer children, and space out their pregnancies,” said Shajeevana, explaining how the girls’ experience is reshaping social norms and impacting future generations. (Change background colour as n Not surprisingly, mothers, grandmothers, and aunts wish they too had had these opportunities when they were young. The World Bank in India • September 2014 5 Forum for Knowledge Exchange Is that surgery really necessary? Ensuring the medical necessity of care The World Bank’s forum for knowledge exchange between India’s major public health insurers – the Government Sponsored Health Insurance Schemes (GSHIS) is part of a series conceptualized by the World Bank’s India health team in collaboration with the World Bank Institute. The event was co-organized with the Ministry of Health and Family Welfare. M edical overuse has become an epidemic worldwide. It is estimated to cost $250- 300 billion annually in the U.S alone. Overuse Similarly, the treatment for cardiovascular disease shows unwarranted variations. Studies conducted across 23 countries is evident in India too. Hospitalization rates in found that the use of angiography in Europe, private voluntary health insurance are two to for example, showed a 13-fold range of three times the national average. variation. In the US alone, unnecessary medical care costs $250-300 billion annually Policy, regulatory and insurance based by conservative estimates. Another growing solutions, including the creation of a strong danger is the worldwide overuse of antibiotics primary care system, are required to stem this that is causing a surge in hard-to-treat bugs. trend. Prescribing unnecessary medical tests, procedures, hospitalizations and surgeries has ‘Medical overuse’, as it is known, is emerging become an epidemic worldwide. The rates of as a serious issue in India too, especially as caesarian sections, for instance, vary widely. more people can afford to pay for medical While globally the C section rate in public interventions due to increasing access to hospitals is 10 percent, it reaches an alarming insurance cover. For instance, individuals in 98 percent in Brazil’s private hospitals, and 40 India with private voluntary health insurance percent in private hospitals worldwide. are two to three times more likely to be 6 The World Bank in India • September 2014 hospitalized than the national average. Many is a faculty member at the Harvard Medical of these interventions deliver only marginal School and president of the Lown Institute, benefits and can actually harm the patients, a Massachusetts based group that works leading to unnecessary suffering, especially to increase access to healthcare and limit among the frail and elderly. unnecessary treatments. Soon, many more people will be able to This was the first time in India that such afford healthcare as the government ramps a broad range of stakeholders – including up medical coverage for poor households. senior policymakers, health insurers, industry Therefore India urgently needs to learn from leaders and academicians from across the the experience of other countries and build country had come together for this purpose. in checks against this hazard, especially as it allocates a growing share of scarce public What has led to overuse? resources for medical insurance. High levels of unwarranted medical “This is a critical time for India since interventions have led to a groundswell of the country is in the midst of building a international activity to identify and reduce healthcare system which will set conditions this hazard. Many factors that drive this trend for decades to follow,” said Somil Nagpal, have been identified globally. These include: senior health specialist with the World Bank the culture of ‘more medical intervention is in India. better’; the slavish use of medical technology even when it is not necessary; defensive To draw attention to this crucial issue, the medicine or ‘playing it safe’ by prescribing World Bank devoted one session at its eighth additional tests or treatment; failure to forum for knowledge exchange between counsel the patients adequately about the India’s major public health insurers for finding risks and benefits of treatment and the other ways to ensure the medical necessity of care. options available; aggressive marketing of “Our goal must be to do much for the patient, services by hospitals, pharmaceutical firms and as little as possible to the patient,” and the medical device industry; incentives said Dr Vikas Saini, setting the stage for the inherent in the way providers are paid for discussions with a quote from his mentor, the their services; and the growing demand by nobel laureate Dr. Bernard Lown. Dr. Saini patients for medical interventions. The World Bank in India • September 2014 7 There is also a growing recognition of the and public reporting of variations in practice unnecessary costs this imposes on the and outcomes will help create transparency. economy. For instance, it often leads to For regulators, surveillance for insurance overinvestment in tertiary care and expensive fraud, and the systematic assessment of medical technologies, at the expense of costs and effectiveness before introducing investments in the primary healthcare system, coverage for new drugs or technology, also a more cost-effective means of care and called Health Technology Assessment (HTA), prevention. In addition, it causes neglect of was suggested. the social factors contributing to ill health, like access to safe drinking water and sanitation. The policy options suggested included implementation of clinical guidelines to Possible solutions promote consistency, and a change in the way doctors and health care providers At the conference, the high-level panel are remunerated so that they neither over- of experts proposed possible solutions: prescribe tests and procedures nor under- create a strong primary care system that prescribe them. promotes preventive healthcare and reduces unnecessary referrals to specialists; increase Moreover, India needs to leverage available public awareness about the dangers of data and invest in HTA to help preempt overuse so that patients understand that unnecessary care, and optimize the utilization ‘more’ treatment is not always ‘better’ of resources. treatment; and place greater emphasis on A concerted effort against medical overuse, professional ethics during medical education. involving all stakeholders in the sector, which For insurers, there needs to be greater is already happening elsewhere in the world, attention to prior authorization, although is equally relevant in India. The discussions in it is critical to also ensure that patients the World Bank’s forum were a catalytic effort (Change background colour as needed) are not denied required medical care. A towards this cause, and the enthusiastic change in payment systems would ensure support of the country’s health sector that providers are not incentivized for more luminaries augurs well for this becoming a interventions. A review of utilization patterns sustained movement. 8 The World Bank in India • September 2014 Development Dialogue Which labor reforms will make a difference? There is merit in simplifying India’s labor regulations. With 44 national laws and hundreds of state-level amendments, the cost of compliance may simply be too high. Moreover, such complexity almost invites corrupt behavior by both labor inspectors and firm managers, says Martin G. Rama, World Bank’s Chief Economist for the South Asia Region L abor policy reform is a priority for India’s new government. Recently, Vasundhara Raje, chief minister of Rajasthan, announced secondary education. For them, the hope is formal employment in light manufacturing industries or in modern retail. changes to three pieces of labor regulation. Whether India’s labor regulation has impeded Almost at the same time, the ministry of the creation of more formal jobs in labor- labor called for opinions on how to amend a intensive sectors has been hotly debated. number of labor-related legislations. The World Development Report 2013: Jobs With almost one million entrants to the undertook a thorough review of empirical workforce every year, India needs huge job analyses on the effects of minimum wages, creation. Not any jobs, but those that will take mandated benefits, social insurance and India’s aspiring youth to middle-class living collective representation around the world. standards. The picture that emerged was one of a So far, creation of modern, formal sector jobs “plateau” with a cliff at each end. Both has been confined to dynamic sectors like extreme flexibility and extreme rigidity are business processing outsourcing. associated with poor economic outcomes. The review also highlighted that more “pro- But these jobs cannot absorb such numbers. labor” regulation tends to benefit workers And they are out of reach for the majority who have a job at the expense of capital of young people with less than complete owners. The World Bank in India • September 2014 9 But it also tends to favor male middle-aged Moreover, firms are obliged to pay wages workers over women and younger workers. during the sometimes endless period of Interestingly, South Asia is well-represented dispute proceedings. There is merit in at both ends of the “plateau”. The Rana Plaza simplifying India’s labor regulations. With tragedy in Bangladesh is an example of the 44 national laws and hundreds of state- damage triggered by the neglect of basic level amendments, the cost of compliance health and safety standards. India appears to may simply be too high. Moreover, such be off the other cliff. But this is not so across complexity almost invites corrupt behavior the board. by both labor inspectors and firm managers. Minimum wages represent about 28 per cent But revamping such a massive legal of average wages in India, compared to 29 architecture could easily become per cent in China and Vietnam, 34 per cent in controversial, as was the case before. Even Malaysia and 38 per cent in Brazil. Work hours if the revamping were to succeed, it is bound are capped at 48 per week, the same as in to be a lengthy process and the demographic Malaysia and Vietnam, but substantially above wave will not be waiting. India needs jobs the 40 allowed in China and Russia. And paid now! Hence, our practical suggestion: to maternity leave—at 12 weeks—is shorter exempt all new formal sector hires, regardless than in most comparator countries: Colombia of firm size, from the restrictive aspects of (14 weeks) and Brazil (17); only in Malaysia is Chapter V in the Industrial Disputes Act. maternity leave shorter. India stands out in its This would give peace of mind to those procedures to dismiss workers. currently employed—and the trade unions The issue is not the level of severance representing them—that their contracts are pay. Firms are required to pay separated not being affected. It should also reassure workers half a month’s pay for every year firms that they can expand without being of continuous employment, less than in stuck with redundant labor if things go wrong. comparator countries. But only India requires And it will give newly-hired workers the same firms to seek government permission before other benefits as formal sector workers: dismissing individual workers. Complex, (Change background colour as needed) minimum wages, length of the work week, time-consuming and non-transparent dispute paid maternity leave, etc. This should be a resolution procedures add to dismissal costs. reform without losers, hence without enemies. And norms are far stricter for firms with And it can be adopted without delay. 100 workers or more. Large firms must notify workers three months before This article was originally published in the dismissal, regardless of the worker’s tenure. Economic Times on 4 July, 2014. 10 The World Bank in India • September 2014 ICR Update T his is a short summary of the Implementation Completion Reports (ICR) of recently- closed World Bank projects. The full text of the ICR is available on the Bank’s website. To access this document, go to www.worldbank.org/reference/ and then opt for the Documents & Reports section. Rajasthan Health Systems Development Project Context Rajasthan Health Systems Rajasthan is below the national average Development Project on most health indicators. Communicable Approval Date: 11 March, 2004 diseases and prenatal and maternal mortality accounted for about 50 percent Closing Date: 30 September, 2011 of the deaths in the state. There was Total Project Cost: US$M 95.32 insufficient integration of health, family welfare and disease control programs. Lack Bank Financing: US$M 75.72 of adequate and trained manpower and Implementing Department of weak management of human resources Agency: Medical, Health was a statewide concern, especially in the and Family Welfare, Government of tribal and hard-to-reach areas. Furthermore, Rajasthan investment in the health sector had been declining for decades. Outcome: Moderately Satisfactory Objectives Risk to Development Moderate The objective was to increase access to Outcome: health care by upgrading healthcare facilities Overall Bank Moderately for poor (BPL) and underserved communities Performance: Satisfactory in remote areas as well as improve the effectiveness of health care through Overall Borrower Moderately strengthened institutional development. Performance: Satisfactory The World Bank in India • September 2014 11 Beneficiaries Surveys of patient perceptions from 2008 The project targeted households below the and 2011 suggest relatively stable patient poverty line (BPL) and scheduled tribes perceptions, with some deterioration in (ST). About 28 district hospitals, 23 sub- the perception of nurses’ performance, in district hospitals, 185 community health contrast to the expectation that the project centers, and 2 block-level primary health would improve patient satisfaction. Between centers were identified for renovation and 2005 and 2011, the average number of interventions such as training, health care maternal deaths per facility fell dramatically waste management and health management by about one third. Overall, there was information services (HMIS) improvement. strong evidence of improvements in the This was expected to directly benefit an quality and effectiveness of care over the additional 3 million patients annually through project period. the improvement and expansion of facilities. The project contributed to the strengthening of institutional capacity at many levels. Achievements Working in close collaboration with the Based on data from 238 project facilities, NRHM (National Renewal Health Mission) access to secondary care services by and the Ministry of Health and Family Welfare disadvantaged groups showed steady (MoHFW) helped build their capacity. progress over the project implementation period. The percentage of BPL patients Lessons Learnt receiving treatment more than doubled ● Capacity of the staff handling procurement between 2006 and 2011. issues in project management units and The proportion of the 185 project-supported procurement support agencies needs to Community Health Centers (CHC) that be more rigorously assessed. undertook more than ten deliveries a month ● Human resource constraints, both at increased dramatically from a baseline of 60 project management and at facility level, percent in 2006 to 96.6 percent in June 2011, need to be explicitly considered in project well exceeding the target of 90 percent. The preparation. proportion of staff positions filled in project ● Monitoring and evaluation arrangements facilities exceeded the 90 percent target for should receive more priority so that nurses/ANMs (at 117 percent), as well as for project performance can be correctly lab technicians (91.5 percent), but not for measured. doctors (64.3 percent). 12 The World Bank in India • September 2014 Emergency Tsunami Reconstruction Project Context Achievements The tsunami of December 26, 2004 caused At the time of credit closing, many activities extensive and severe damage along a 2,260 both in Tamil Nadu and Puducherry were km stretch of coastline in Andhra Pradesh, making good progress in implementation. Tamil Nadu, Puducherry, Kerala, as well as in Andaman & Nicobar Islands. An estimated In Tamil Nadu 2.7 million people were affected by the ● About 4,500 ready built tenements were disaster. The majority was from fishing purchased and made available to the communities (80 percent), the remainder tsunami-affected people. worked in agriculture (15 percent), and small ● In 18 tsunami-affected town panchayats and micro enterprises (5 percent). covering 57 habitations, the infrastructure Objectives works – reconstruction of public buildings, roads, street lighting, and electricity The main objective of the project was to connections – were completed. About support the efforts of the Governments of 40,000 tsunami-affected people benefited. India, Tamil Nadu and Puducherry to revive livelihoods and promote recovery in the Emergency Tsunami Reconstruction tsunami-affected areas in the short-term Project and to reduce the vulnerability of coastal communities to a range of natural hazards Approval Date: 3 May, 2005 such as cyclone, storm surge, flood and Closing Date: 31 December, 2011 tsunami over the longer term. Total Project Cost: US$M 186.5 Beneficiaries Bank Financing: US$M 161.53 The expected beneficiaries of the project included people whose houses were Implementing Government of Agency: Tamil Nadu, destroyed or damaged by tsunami (Tamil Government of Nadu & Puducherry), and those living in Puducherry vulnerable houses (Tamil Nadu); Tsunami- affected families who depended for Outcome: Moderately their livelihoods on fisheries, agriculture, Unsatisfactory horticulture, and animal husbandry; and Risk to Development Tamil Nadu: coastal communities who did not have Outcome: Negligible to Low access to evacuation shelters and early Puducherry : High warning systems in Tamil Nadu. Overall Bank Moderately The project was restructured three times Performance: Unsatisfactory during implementation and finally closed in Overall Borrower Moderately December 2011 instead of the scheduled Performance: Unsatisfactory date of April 30, 2008. The World Bank in India • September 2014 13 ● Roads, drains, water supply connections possible in Nochikuppam due to a lack of and public buildings were provided in five community consensus. tsunami-affected municipalities. In the Restoration of Livelihoods component, ● Electricity connections in houses and the Fisheries Department undertook the street light connections were completed in modernization of fishing harbors, opening 200 tsunami-affected villages. of selected river bar mouths, establishing ● Repair of damaged dwellings was fish landing centres and installing a tube completed in two districts. ice plant. Substantive time was taken in obtaining various statutory clearances. Livelihoods of tsunami-affected families were In the Vulnerability Reduction of Coastal restored through the following: Communities (VRCC) component, about ● Agriculture: Through formation of self- 4,200 houses out of the planned 14,500 help groups, various activities were houses were completed. Preparation for completed: sand-cast agricultural lands evacuation shelters, evacuation routes were reclaimed, agriculture machinery, and early warning systems started but no equipment, and drip irrigation sets were construction took place at the time of the supplied, planned small-scale surface closure of this project. water harvesting/storage structures were completed, training programs on livelihood In Puducherry restoration and public awareness were Under the housing reconstruction component, conducted. About 13,500 farmers about 1,750 houses were planned. Out of benefited from these programs. these, 300 houses at Nallavadu, a relocation ● Horticulture: About 670 ha of horticultural site, was at an advanced stage of completion. lands were reclaimed with the participation Of the remaining, about 550 houses were of about 170 SHGs. completed through beneficiary-driven ● Animal Husbandry: Equipment for approach, which has established itself as surgical, diagnostic, breeding, and a viable alternative particularly for in-situ laboratory purposes for treating livestock housing reconstruction. were given to government veterinary dispensaries. In the Livelihood Restoration component, fisheries-related activities – work shelters, fish ● Forestry: With community involvement, markets, and fishing harbors – were initiated about 5,400 ha of forest shelter belts but not completed. As a result, the objective and mangroves were established and of improving livelihood opportunities of maintained. potential beneficiaries was not achieved. Housing and related infrastructure to the Lessons Learnt tsunami-affected in Chennai was provided through the following: ● Time-frame planning has to be realistic. ● Construction of about 3,600 tenements ● A simple project design is preferable. along with water supply and sewerage ● There should be flexibility in project design works was completed. and frequent review. ● About 2,500 temporary shelters were ● Greater emphasis should be placed on constructed at Marina. Of these, 1,200 implementation coordination. shelters are occupied by residents who ● All components must be simultaneously agreed for the construction of permanent implemented. tenements. ● Local support team is a must. ● In the Marina Reconstruction Scheme, ● A new project should have been activities were possible only in one of the considered as an alternative to (Change background colour as needed) two identified locations: (a) Nochikuppam- Nochinagar and (b) Dommingkuppam- restructuring. Selvarajapuram. In the first location, ● Decision on credit closure/extension about 600 tenements were completed should be taken in advance. in Nochinagar and no construction was 14 The World Bank in India • September 2014 Chlorofluorocarbon Production Sector Gradual Phaseout Project (ODSIII) Context Achievements India was required to stop chlorofluorocarbon The government responded to the incentives (CFC) production by 2010, and being the in promoting accelerated phase-out under second largest CFC producer in the world the Montreal Protocol and completed the 100 after China, India’s achievement was seen percent production phase-out as of August as a major milestone in achieving the global 1, 2008, which was 17 months ahead of environmental objective with regards to schedule. It should be noted that, although helping restore the stratospheric ozone layer. CFC production was successfully phased- out, the government was unable to meet the requirement of documenting the CFC stockpile destruction and equipment dismantling. The total production volume of the four manufacturers in any given year was always within the annual production target, ensuring compliance with production targets, in accordance with the Quota Order. Lessons Learnt ● Staff continuity contributed to smooth implementation. ● More structured coordination between various multilateral and bilateral agencies (Change background colour as needed) enhances effectiveness. ● Project management unit needs to have greater and full autonomy. Photo courtesy: NASA Objective Chlorofluorocarbon Production Sector The objective of this project was to support Gradual Phaseout Project (ODSIII) India’s CFC production phase-out as Approval Date: 9 June, 2000 mandated by the Montreal Protocol (MP). Closing Date: 31 December, 2011 Beneficiaries Total Project Cost: US$M 88.54 The primary beneficiaries were the four CFC Montreal Protocol US$M 87.47 producers in India - SRF Limited (Rajastan), Investment Fund Gujarat Fluorochemicals Limited (GFL) (Grant): (Gujarat), Navin Fluorine Industries (NFI) (Gujarat), and Chemplast Sanmar Limited Implementing United Nations Agency: Environment Program, (CSL) (Tamil Nadu). Based on the CFC Ministry of Phase-out Annual Program, these enterprises Environment & received compensation tied to CFC Forests production phased-out targets. Outcome: Satisfactory The Ozone Cell at the Ministry of Environment Risk to Development Low or Negligible and Forests (MoEF) and the project Outcome: management unit in the MoEF benefited from institutional strengthening and stronger Overall Bank Satisfactory Performance: Management Information Systems (MIS). Overall Borrower Satisfactory Performance: The World Bank in India • September 2014 15 Recent Project Approvals Neeranchal National Watershed Project T he World Bank Board of Executive Director’s has approved a $178.50 million credit for the Neeranchal National Watershed currently implementing watershed programs such as the IWMP, including the central Department of Land Resources (DoLR) and Project to improve watershed management the State Level Nodal Agencies (SLNAs) for in rural rainfed areas. more effective planning, implementation, monitoring and evaluation of their programs. The project will be implemented over a six-year period and will provide technical It will support the preparation of integrated assistance to the Government of India’s science-based, participatory watershed national Integrated Watershed Management plans with a greater focus on water Program (IWMP), which is the second largest management. These plans will guide watershed program in the world after China. investments to improve more efficient use of water for agriculture, recharge local The project will strengthen the capacity groundwater, and enhance the convergence of key national and state level institutions of various programs in order to ensure more effective use of public resources. The project will support IWMP activities in selected sites in the states of Andhra Pradesh, Chhattisgarh, Gujarat, Jharkhand, Madhya Pradesh, Maharashtra, Odisha and Rajasthan. (Change background colour as needed) It will cover about 400 sub-watersheds of about 5,000 ha each and reach approximately 482,000 farmer households and 2 million people. 16 The World Bank in India • September 2014 Recent Project Signings Odisha Disaster Recovery Project National Highways Interconnectivity Improvement Project T he Government of India and the World Bank have signed a $500 million loan agreement for the National Highways Interconnectivity Improvement Project to help improve the national highway network’s connectivity with economically lagging and remote areas. The project will focus on three low-income states – Rajasthan, Bihar and Orissa – and on less developed regions in the states of Karnataka and West Bengal. The agreement for the project was signed by Nilaya Mitash, Joint Secretary, Department T he Government of India, the Government of Odisha and the World Bank have signed a $153 million credit agreement of Economic Affairs, Ministry of Finance, on behalf of the Government of India; and Michael Haney, World Bank’s Operations to help the state build disaster resilient Adviser in India, on behalf of the World Bank. houses, improve the slums and city level infrastructure as well as strengthen its It will upgrade and widen about 1,120 km capacity for disaster risk management, of existing single/intermediate lane National following a severe cyclone that hit the state Highways to two-lane in Bihar, Orissa and last year. Rajasthan and in less developed regions of Karnataka and West Bengal. Other key The credit agreement for the project was components of the project include enhancing signed by Nilaya Mitash, Joint Secretary, the institutional capacity of the Ministry of Department of Economic Affairs, Ministry Road Transport and Highways (MoRTH) to of Finance, on behalf of the Government better manage the highway network. of India; Upendra Nath Behera, Additional (Change background colour as needed) Chief Secretary, Department of Finance, The project will also strengthen road safety Government of Odisha, on behalf of the management systems with the objective of Government of Odisha; and Michael Haney, reducing fatalities and serious injuries from Operations Adviser for World Bank in India, road accidents in the country. on behalf of the World Bank. World Bank assistance has been sought in rebuilding fully damaged houses, slum improvements, and capacity building of the disaster risk management institutions. In the Ganjam district of Odisha alone, about 90,000 houses were partially or fully damaged along the coastal areas, many of them mud/thatched houses belonging to poor fishermen, farmers and landless. (Change background colour as needed) Another key component of this project will be to improve urban infrastructure in Berhampur, the largest city in Ganjam district. The World Bank in India • September 2014 17 World Bank Group President Jim Yong Kim visits India W orld Bank Group President Jim Yong Kim visited India last month (July 2014) to learn more about the new government’s Bank Group will be ready to provide financial support worth $15-18 billion over the next three years,” President Kim said. development priorities. In his first meeting with Prime Minister Narendra Modi, President Discussions with the Prime Minister and Kim assured that the World Bank Group will other officials focused on the government’s bring increased financial and knowledge plans to re-ignite growth by investing in resources to help India return to the path infrastructure to create jobs; providing quality of sustained high growth needed to bring education and skills training to 8 million prosperity to millions, especially the poor young people who enter the labor force each living in the lower income states. year; and better equipping the 10 million people who leave rural areas for towns and “A large proportion of the world’s poor live in cities each year for jobs. India and we will give all our support to the government as it strives to create jobs and He also visited the Bank-supported Tamil build prosperity for its people. The World Nadu Empowerment and Poverty Reduction World Bank Group President with Prime Minister Narendra Modi (left) and Finance & Defence Minister Arun Jaitley (right) 18 The World Bank in India • September 2014 Left & below: The President interacting with community members in Kanchipuram district, Tamil Nadu Center: The President with Project which is helping women and other “I met young people whose parents are Tamil Nadu vulnerable groups’ transition into urban farmers or agricultural laborers. Giving them Chief Minister livelihoods once they move from their villages basic job skills and connecting them to the J. Jayalalithaa into towns and cities. He met with young men right employers has allowed these young and women from rural areas who are being people to pull themselves and sometimes trained to take up jobs in manufacturing their entire families, out of extreme poverty,” industries. said Kim. “We often talk about the goal of removing poverty in a generation; I can now say I saw that happening.” The project has helped place 240,000 people in steady jobs; 46 percent of these are young women. World Bank Group assistance to India between July 2013 and June 2014 was $6.4 billion. This comprised $2 billion from International Bank for Reconstruction and Development (IBRD), $3.1 billion from International Development Association (IDA), and $100 (Change background colour as needed) million from the Clean Technology Fund that the World Bank Group administers. During that period, the International Finance Corporation (IFC) committed $1.2 billion in India. The World Bank in India • September 2014 19 New Additions to the Public Information Center T his is a select listing of recent World Bank publications, working papers, operational documents and other information resources that are now available at the New Delhi Office Public Information Center. Policy Research Working Papers, Project Appraisal Documents, Project Information Documents and other reports can be downloaded in pdf format from ‘Documents and Reports’ at www.worldbank.org India Publications Publications may be consulted and copies of unpriced items obtained from: Rural Road Development in India: An assessment The World Bank PIC of distribution of PMGSY project benefits in three The Hindustan Times House (Press Block) states by gender and ascribed social groups 18-20, Kasturba Gandhi Marg Available: on-line New Delhi – 110 001, India The World Bank, South Asia Sustainable Development Tel: +91-11-4294 7000, Ext. 753 Unit Website: www.worldbank.org English; 29 pages Facebook: www.facebook.com/WorldBankIndia Email: indiapic@worldbank.org Published June 12, 2014 by World Bank Report No.: 88698 PRINCIPAL DISTRIBUTOR In 2000, the Government of India launched the Pradhan Viva Books Pvt Ltd Mantri Gram Sadak Yojana (PMGSY) with the primary objective of providing all-weather road connectivity 4737/23 Ansari Road, Daryaganj (with necessary culverts and cross-drainage structures New Delhi – 110 002 operable throughout the year), to eligible unconnected Tel: +91-11-4224 2200 habitations in rural areas. Fax: +91-11-4224 2240 Email: vivadelhi@vivagroupindia.net This report summarizes findings based on data collected as part of the primary survey, coupled with Other Preferred Stockist in India findings from the qualitative survey which included Anand Associates focus group discussions (FGDs). 1219 Stock Exchange Tower 12th Floor, Dalal Street Mumbai – 400 023 Food security and nutrition in tribal areas Tel: +91-22-2272 3065/66 By Varun Singh, Sonam Sen and Meera Chatterjee Email: thrupti@vsnl.com Website: www.myown.org Available: on-line Fax: +91-11-2610 0573 (New Delhi) The World Bank, Knowledge & Information Services Fax: +91-80-4128 7582 (Bangalore) (ITSKI) English; 136 pages Allied Publishers Pvt Ltd Published June 10, 2014 Tel: +91-22-2261 7926/27 by World Bank Email: mumbai.books@alliedpublishers.com Report No.: ACS9269 Website: www.alliedpublishers.com This study seeks to examine how National Rural Bookwell Livelihoods Mission or NRLM may be leveraged to 24/4800 Ansari Road, improve food and nutrition security (FNS) in tribal Daryaganj areas, preferably in a manner that would enhance New Delhi – 110 002 the effectiveness of the program’s core livelihoods Tel: +91-11-2326 8786; 2325 7264 focus. More broadly, the objective is to strengthen the Email: bookwell@vsnl.net capacity of the Government of India (GoI) to deliver (or support) effective FNS interventions in tribal and backward areas. 20 The World Bank in India • September 2014 The primary focus of this work is operationally oriented and institutionally weak power sector agencies prevent toward identifying entry points for NRLM to address the flow of electricity across borders. tribal malnutrition as it expands into states with larger This book examines why the barriers to regional trade tribal communities, particularly Jharkhand and Odisha. and cooperation have been so difficult to overcome, evaluates the potential economic and poverty reduction gains for greater regional integration, and eGovernance in the North East: Reducing Public proposes concrete policies, institutional strengthening Administration Constraints (PACs) to improve measures, and investments that South Asian countries service delivery – options and recommendations may pursue to tap into these unexploited benefits. to support reform planning of the Government of Complementary avenues to regional integration Assam include: collective action by businesses, especially Available: on-line in smaller countries, strengthening of supra-national The World Bank, Governance & Public Sector (SASGP) institutions, and regional leadership by India. English; 32 pages Published June 2, 2014 by World Bank Report No.: ACS2740 India: Policy Research Working Papers The Government of Assam (GoA) is engaged in a process of improving services to citizens. The focus WPS6987 on better services to citizens is in line with the National Integrating border regions: Connectivity and e-Government Plan (NeGP), with a number of existing competitiveness in South Asia and anticipated Union Acts, and with recently passed By Massimiliano Cali, Thomas Farole, Charles Kunaka acts in Assam, especially the Assam Right to Public and Swarnim Wagle Services Act of 2012. Deeper regional integration can be beneficial especially The GoA is fully aware that progress on service delivery for regions along international borders. It can open up will require attention to both vertical and horizontal new markets on opposite sides of borders and give connectivity, and it intends to develop a Strategic consumers wider access to cheaper goods. This paper Action Plan which focuses on these critical elements. uses data from five contiguous districts of India, Nepal, The policy dialogue with the Government of Assam and and Bangladesh in the northeast of the subcontinent review of relevant documents reveal general agreement to measure the degrees of trade complementarity on main public administration constraints (PAC’s) between districts. The paper illustrates that the regions to service delivery. The report proposes a gradual are underexploiting the potential of intraregional reform approach. It provides a detailed diagnostic of commerce. Price wedges of up to 90 percent in some constraints identified in Assam, and proposes actions important consumption products along with measures to address each of the constraints. of complementarity between households’ production and consumption suggest the potential for relatively large gains from deeper trade integration. South Asia Publications Breaking Down Barriers to Regional Trade and WPS6975 Cooperation in South Asia Managing quantity, quality, and timing in Indian cane sugar production: Ex post marketing permits By David Gould and Martin Rama or ex ante production contracts? Price: $29.95 By Sandhyarani Patlolla, Rachael E. Goodhue and South Asia Development Forum Richard J. Sexton English; Paperback; 208 pages Published June 1, 2014 by World Bank Private sugar processors in Andhra Pradesh use an ISBN: 978-1-4648-0024-5 unusual form of vertical coordination. They issue SKU: 210024 ‘permits’ to selected cane growers a few weeks before harvest. These permits specify the amount of cane South Asia is one of the most dynamic regions in the to be delivered during a narrow time period. This world, but it is also one of the least integrated. While article investigates why processors create uncertainty trade within South Asia has been growing, it has among farmers using ex post permits instead of ex grown more slowly than trade with countries outside ante production contracts. The theoretical model the region. The gains from greater integration through predicts that ex post permits are more profitable commerce, power trade, and river basin management than ex ante contracts. The use of ex post permits could be enormous. creates competition among farmers to increase cane Tariff and especially non-tariff barriers undermine trade quality, which increases processor profits and farmer in goods and services. Poor infrastructure connectivity costs. Empirical analysis supports the hypothesis that The World Bank in India • September 2014 21 farmers operating in private factory areas have higher rules are undermined by a parallel modus operandi unit production costs than do their counterparts who in which desirable posts are often determined by patronize cooperatives. political connections and side payments. The evidence suggests an institutional environment in which formal rules of accountability are trumped by a parallel set of WPS6958 accountabilities. These systems appear so entrenched The anatomy of failure: An ethnography of a that reforms have borne no significant effect. randomized trial to deepen democracy in rural India By Kripa Ananthpur, Kabir Malik and Vijayendra Rao WPS6944 Welfare dynamics measurement: Two definitions of Programs that induce citizen participation to improve a vulnerability line and their empirical application the quality of government at the local level are the By Hai-Anh H. Dang and Peter F. Lanjouw subjects of large amounts of funding and intense debate. This paper combines a randomized control trial Little research currently exists on a vulnerability of a citizenship training and facilitation program in rural line that distinguishes the poor population from the India, with an in-depth, four-year ethnography of the population that is not poor but that still faces significant intervention to understand the underlying mechanisms risk of falling back into poverty. This paper attempts of change. The quantitative data show no impact from to fill this gap by proposing vulnerability lines that the intervention. Household and village survey data can be straightforwardly estimated with panel or from 100 treatment and 100 control villages show cross-sectional household survey data, in rich- and considerable improvement across a wide variety of poor-country settings. These vulnerability lines offer a governance and participation indicators over time, but means to broaden traditional poverty analysis and can the differences in the changes between treatment and also assist with the identification of the middle class control villages are not statistically significant. The or resilient population groups. Empirical illustrations detailed qualitative data from a 10 percent subsample are provided using panel data from the United States allow us to unpack the reasons why the intervention (Panel Study of Income Dynamics) and Vietnam “failed,” highlighting the role of variations in the quality (Vietnam Household Living Standards Survey) for the of facilitation, lack of top-down support, and difficulties period 2004-2008 and cross-sectional data from India with confronting the stubborn challenge of persistent (National Sample Survey) for the period 2004-2009. inequality. The estimation results indicate that in Vietnam and India during this time period, the population living in poverty and the middle class have been falling and WPS6953 expanding, respectively, while the opposite has been Parallel systems and human resource management occurring in the United States. in India’s public health services: A view from the front lines Other Publications By Gerard La Forgia, Shomikho Raha, Shabbeer Shaik, Sunil Kumar Maheshwari and et.al. Urban China: Toward Efficient, Inclusive, and There is building evidence in India that the delivery Sustainable Urbanization of health services suffers from an actual shortfall By the World Bank in trained health professionals, but also from Development Research unsatisfactory results of existing service providers Center of the State Council working in the public and private sectors. This study Price: $49.95 focusses on the public sector and examines de facto English; Paperback; 624 institutional and governance arrangements that may pages give rise to well-documented provider behaviors such Published July 29, 2014 by as absenteeism, which can adversely affect service World Bank delivery processes and outcomes. The paper considers ISBN: 978-1-4648-0206-5 four human resource management subsystems: SKU: 210206 postings, transfers, promotions, and disciplinary practices. The four subsystems are analyzed from the Urban China is a joint research report by a team perspective of front line workers, that is, physicians from the World Bank and the Development Research working in rural health care facilities operated by two Center of China’s State Council which was established state governments. Physicians were sampled in one to address the challenges and opportunities of post-reform state that has instituted human resource urbanization in China and to help China forge a new management reforms and one pre-reform state that model of urbanization. The report takes as its point has not. The findings are based on quantitative and of departure the conviction that China’s urbanization qualitative measurement. The results show that formal can become more efficient, inclusive, and sustainable. 22 The World Bank in India • September 2014 However, it stresses that achieving this vision will quality, affordability, efficiency, sustainability, and require strong support from both government and the applications. markets for policy reforms in a number of area. The report proposes six main areas for reform: first, The Little Data Book on Private Sector amending land management institutions to foster Development 2014 more efficient land use, denser cities, modernized agriculture, and more equitable wealth distribution; Price: $19.95 second, adjusting the hukou household registration World Development Indicators system to increase labor mobility and provide English; Paperback; 244 pages urban migrant workers equal access to a common Published June 10, 2014 standard of public services; third, placing urban by World Bank finances on a more sustainable footing while fostering ISBN: 978-1-4648-0179-2 financial discipline among local governments; fourth, SKU: 210179 improving urban planning to enhance connectivity The book provides data for more than and encourage scale and agglomeration economies; 20 key indicators on the business fifth, reducing environmental pressures through more efficient resource management; and sixth, improving environment and private sector development in a single governance at the local level. page for each of the World Bank member countries and other economies with populations of more than 30,000. The 200 country pages are supplemented by aggregate Learning from Megadisasters: Lessons from the data tables by regional and income groupings. Great East Japan Earthquake Edited by Federica The Little Green Data Book 2014 Ranghieri, Mikio Ishiwatari Price: $34.95 By World Bank English; Paperback; Price: $19.95 388 pages World Development Indicators Published June 26, 2014 English; Paperback; 248 pages by World Bank Published June 18, 2014 ISBN: 978-1-4648-0153-2 by World Bank SKU: 210153 ISBN: 978-1-4648-0175-4 SKU: 210175 The book consolidates a set of 36 Knowledge Notes, research results of a joint The Little Green Data Book is a study undertaken by the Government of Japan and the pocket-sized ready reference on key environmental World Bank. These notes highlight key lessons learned data for over 200 countries. Key indicators are in seven thematic clusters – structural measures; organized under the headings of agriculture, forestry, nonstructural measures; emergency response; biodiversity, oceans, energy, emission and pollution, reconstruction planning; hazard and risk information and water and sanitation. For the second year, the and decision making; the economics of disaster risk, Little Green Data Book presents a new set of ocean- risk management, and risk financing; and recovery and related indicators, highlighting the role of oceans in relocation. economic development. The Little Data Book on Information and Analyzing Markets for Health Workers: Insights Communication Technology 2014 from Labor and Health Economics By World Bank By Barbara McPake,Anthony Price: $19.95 Scott and Ijeoma Edoka World Development Indicators Price: $29.95 English; Paperback; 244 pages Directions in Development - Published June 10, 2014 by World Human Development Bank English; Paperback; ISBN: 978-1-4648-0177-8 96 pages SKU: 210177 Published June 23, 2014 This Little Data Book presents tables by World Bank for over 213 economies showing the most recent ISBN: 978-1-4648-0224-9 national data on key indicators of information and SKU: 210224 communications technology (ICT), including access, This publication is part of the Bank’s multiyear The World Bank in India • September 2014 23 program to enhance its knowledge of HRH policies. Published August 6, 2014 by World Bank The program’s ultimate objective is to strengthen ISBN: 978-1-4648-0276-8 knowledge and capacity to collect evidence, analyze, SKU: 210276 and evaluate the effectiveness of HRH interventions in The International Benchmarking Network for Water the context of a country’s health system strengthening and Sanitation Utilities of the World Bank’s Water strategy. It specifically addresses the theoretical and and Sanitation Program (IBNET) has been involved in empirical evidence on health labor markets in low- and water sector monitoring since 1997. It has set a global middle-income countries. standard for performance assessment of utilities, with The book provides an overview of the key issues when information from more than 4,400 utilities from 135 attempting to apply economics to the analysis of health countries. workers’ labor markets. This edition of the Blue Book summarizes the water sector status from 2006 to 2011. It adopts the ‘IBNET Apgar’ consolidated scoring system, which assesses The Eurasian Connection: Supply-Chain Efficiency a utility’s health based on indicators that reflect the along the Modern Silk Route through Central Asia utility’s operational, financial, and social performance, By Cordula Rastogi, and a Water Utility Vulnerability Index (WUVI), a Jean-Francois Arvis dynamic version of Apgar. Price: $29.95 Directions in Development – Trade Resource Financed Infrastructure: A Discussion on English; Paperback; a new form of Infrastructure Financing 128 pages By Havard Halland, John Published June 23, 2014 Bearsdworth, Bryan Land by World Bank ISBN: 978-0-8213-9912-5 and James Schmidt SKU: 19912 Price: $29.95 World Bank Studies The book revisits trade and transport connectivity English; Paperback; 113 through countries in Central Asia along the old pages Silk Route, drawing from knowledge from project Published May 23, 2014 by implementation and field research. It takes the modern World Bank perspective of supply-chain efficiency and logistics ISBN: 978-1-4648-0239-3 performance, which depends not only on infrastructure SKU: 210239 but also on markets and policies. This report, consisting of a study prepared by global It suggests that the policy focus should not be on only project finance specialists Hunton & Williams LLP and physical trade routes. Rather, it stresses the focus on comments from six internationally reputed economists supply-chain reliability and proposes policy packages and policy makers, provides an analytical discussion of and enabling implementation practices, consistent resource-financed infrastructure (RFI) contracting from across countries in the region in areas such as a project finance perspective. transportation, customs and border clearance, trade, or transit. It also highlights the complementarity of the The report is meant as a forum for in-depth discussion current initiatives, including the recent development of and as a basis for further research into RFI’s role, the Eurasian Customs Union, or the rising of trade and risks, and potential, without any intention to present investment from China. a World Bank-supported view on RFI contracting. It is motivated by the conviction that if countries are to continue to either seek RFI or receive unsolicited The IBNET Water Supply and Sanitation Blue Book RFI proposals, there is an onus on public officials to 2014: The International discern bad deals from good, to judge unavoidable Benchmarking Network trade-offs, and to act accordingly. for Water and Sanitation Utilities Databook Income Support for the Poorest: A Review of By Alexander Danilenko, Experience in Eastern Europe and Central Asia Caroline van den Berg, Berta Macheve and L. Joe By Emil Tesliuc, Lucian Pop, Margaret Grosh and Moffitt Ruslan Yemtsov Price: $29.95 Price: $35.00 English; Paperback; Directions in Development - Human Development 166 pages English; Paperback; 24 The World Bank in India • September 2014 220 pages the Financing of Terrorism (AML/CFT) international Published June 26, 2014 standards, but also supports a country’s overall by World Bank financial inclusion objectives. This study focuses ISBN: 978-1-4648-0237-9 on how best to implement the recommendations of SKU: 210237 the Financial Action Task Force (FATF) in a manner that does not unduly compromise financial inclusion This study reviews the role objectives. and workings, with their strengths and weaknesses of last-resort income Sticky Feet: How Labor Market Frictions Shape the support (LRIS) programs in Impact of International Trade on Jobs and Wages Eastern Europe and Central Asia. It draws on a combination of household survey By Claire H. Hollweg, Daniel and administrative data for a large group of countries Lederman, Diego Rojas and and detailed case studies for a smaller number of Elizabeth Ruppert Bulmer countries that span the spectrum of the income range Price: $29.95 in the region. Directions in Development – Trade The study also suggests that currently the role of last English; Paperback; resort income support programs within the overall 120 pages social protection systems of the region is often too Published June 26, 2014 small and that their eligibility thresholds should be by World Bank revised and indexed, so that the programs continue ISBN: 978-1-4648-0263-8 to serve a meaningful swath of the low income SKU: 210263 households in each country. Moreover the programs can be used as the nexus to weave together a variety This report presents an estimation strategy for capturing of income supports and services for low income mobility costs when only net flows of workers between households. industries are observed, generating cross-country estimates for 47 developed and developing countries. The main findings of the report are that: labor mobility Making Remittances Work: Balancing Financial costs in developing countries are high; foregone Integrity and Inclusion trade gains due to frictions in labor mobility can also By Emiko Todoroki, be substantial; workers bear the brunt of adjustment Wameek Noor, Kuntay Celik costs; mobility costs and labor market adjustments to and Anoma Kulathunga trade-related shocks vary by industry, firm type, and Price: $35.00 worker type; entry costs are significantly higher for Directions in Development - formal than for informal employment; trade reforms Human Development increase economy-wide wages and employment; and English; Paperback; workers displaced by plant closings are likely to face 264 pages relatively long adjustment periods. Published June 19, 2014 by World Bank ISBN: 978-1-4648-0109-9 Universal Health Coverage for Inclusive and SKU: 210109 Sustainable Development: A Synthesis of 11 Country Case Studies Remittances are a critical source of external financing for many developing countries, and probably the most By Akiko Maeda, Edson stable source of primary or additional income for many Araujo, Cheryl Cashin, households in those countries. Despite the 2008-09 Joseph Harris, Naoki international financial crisis, remittances continue to Ikegami and Michael R. show resilience and growth. Remittances fell by only Reich 5.5 percent in 2009, while foreign direct investment Price: $25.00 flows declined by 40 percent and private debt and Directions in Development - portfolio equity flows by 46 percent (World Bank 2011). Human Development English; Paperback; This study aims to assess current practices, draw 72 pages lessons learned, and assist policy makers in designing Published July 3, 2014 an effective regulatory and supervisory framework by World Bank governing Remittance Service Providers (RSPs) that ISBN: 978-1-4648-0297-3 not only meets the Anti-Money Laundering/Combating SKU: 210297 The World Bank in India • September 2014 25 Countries as diverse as Brazil, France, Japan, Thailand, and Turkey have shown how Universal Health Coverage India Project Documents (UHC) can serve as vital mechanisms for improving the health and welfare of their citizens, and lay the Tamil Nadu Sustainable Urban Development Program foundation for economic growth and competitiveness Date 07 July 2014 grounded in the principles of equity and sustainability. Ensuring universal access to affordable, quality Project ID P150395 health services will be an important contribution to Report No. PIDC6141 (Project Information ending extreme poverty by 2030 and boosting shared Document (Concept Stage) prosperity in low-income and middle-income countries (LMICs), where most of the world’s poor live. ISDSC8456 (Integrated Safeguards Data Sheet) The book synthesizes the experiences from 11 countries – Bangladesh, Brazil, France, Ethiopia, Ghana, Indonesia, Japan, Peru, Thailand, Turkey and National Vector Borne Disease Control and Polio Vietnam – in implementing policies and strategies to Eradication Support Project achieve and sustain UHC. Date 27 June 2014 Project ID P094360 World Bank Group Support for Innovation and Report No. ICR3055 (Implementation Completion Entrepreneurship: An Independent Evaluation and Results Report) By World Bank Efficient & Sustainable City Bus Services Price: $29.95 Independent Evaluation Date 23 June 2014 Group Studies Project ID P132418 English; Paperback; Report No. PIDA6693 (Project Information 224 pages Document Appraisal Stage) Published June 9, 2014 ISDSA8724 (Integrated Safeguards by World Bank Data Sheet) ISBN: 978-1-4648-0136-5 SKU: 210136 E4577 (Environmental Assessment) 29.7 MW Karnataka Wind Power Carbon Finance The Independent Evaluation Group reviewed the Project investment portfolio in innovation and entrepreneurship Date 27 June 2014 interventions over the past decade across the World Bank Group. IEG found that this investment is Project ID P119295 substantial, but its effectiveness can be enhanced Report No. 89045 (Implementation Completion through broad, systemic efforts. Urgent action is and Results Report) required to enhance coordination, consultation, and linkages on innovation and entrepreneurship initiatives Neeranchal National Watershed Project across networks, sectors, and regions. Date 20 June 2014 Project ID P132739 Report No. PAD837 (Project Appraisal Document) Uttaranchal Rural Water Supply and Sanitation Project Date 08 June 2014 Project ID P083187 Report No. 88541 (Procurement Plan) Greening the Energy Mix in DVC Date 05 June 2014 Project ID P147818 Report No. ISDSC8329 (Integrated Safeguards Data Sheet – Concept Stage) 26 The World Bank in India • September 2014 From the Blogworld Using Open Data to drive innovation, collaboration and change in India By Vikas Kanungo – on Open Data and its critical role in economic development and growth. The World Bank’s team of information and communication technology (ICT) and open data experts help explore the potential for forecasting national and global trends, while also unlocking opportunities for innovation and improved performance. These consultations serve as a crucial starting point in planning, implementation and correction of many government, private sector and civil society initiatives. Since 2012, the Bank has organized a series of trainings on open data tools and online resources O pen Data has the potential to be a game- changing tool in poverty reduction and economic growth. The World Bank has been for users in government, economic research institutes, media, civil society, academia and the private sector. More than 3,000 stakeholders actively encouraging governments to become more have been trained already in 10+ major cities of transparent, more accountable to their citizens, less India. There is need to take this agenda forward susceptible to corruption and better at delivering especially in the low-income states where services. exposure to the Bank’s resources is lower. We often consult various partners – including Read more: http://tinyurl.com/la7jct8 governments, organizations and other implementers A Tale of Two Competitive Cities: What Patterns Are Emerging So Far? By Z Kulenovic of those lessons, adapting them to fit their own circumstances. The first two case studies – Bucaramanga, in Colombia’s Santander Department, and Coimbatore, in India’s State of Tamil Nadu – were carried out between April and June 2014. Although they’re on opposite sides of the globe, these two mid-sized, secondary cities have revealed some remarkable similarities. This may be a good moment to share a few initial observations. Bucaramanga and Coimbatore were selected for study because they outpaced their respective countries and other cities in their regions, in terms T he World Bank Group is pursuing a Competitive Cities Knowledge Base (CCKB) project, looking at how metropolitan economies can create jobs and of employment and GDP growth, in the period from 2007 to 2012. Faced with the same macroeconomic and regulatory framework as other Indian and ensure prosperity for their residents. By carrying Colombian cities, the obvious question is: What did out case studies of economically successful cities these two cities do differently that enabled them to in each of the world’s six broad regions, the Bank grow faster? Group hopes to identify the “teachable moments” from which other cities can learn and replicate some Read more: http://tinyurl.com/pwn2z42 The World Bank in India • September 2014 27 Conservation and Economic Development: Is it a Forked Road? By Anupam Joshi bamboo thickets, gurgling streams, colorful birds, distant animal calls and the gentle fresh breeze. Sighting a tiger would only complete the experience. Will we? Won’t we, see one? In many ways, the experience of sighting a tiger reflects the challenge its very survival is facing! Will it? Won’t it, survive? But more importantly, will someone notice if it is not around? Fortunately, I was in Periyar Tiger Reserve in the southern Indian State of Kerala, a turnaround success story where the World Bank’s India Ecodevelopment Project significantly increased income opportunities for the locals, improved reserve management and encouraged community participation I t was getting dark and the mist engulfing the jungle made the challenge of spotting the stripes even harder. My guide, a trained local tribal youth, in co-managing the reserve. Though this happened a decade ago, even today the incomes are sustained and communities are closely engaged! But such success was excited and kept telling stories about the stories are few and far between. sights and sounds of the jungle. In all fairness, I had enjoyed the trek. Every turn or straight path Read more: http://tinyurl.com/nmj5lsk presented a beautiful landscape, majestic trees, Who are the bottom 40 percent? By Jos Verbeek Co-author: Eugenia Suarez Moran W ho are the bottom 40 percent of society? Where do they live? What do they do? What other characteristics do they have? These are just some of the questions we are hoping to answer as part of the World Bank Group’s new mission critical – to end extreme and chronic poverty by 2030 and boost shared prosperity. The renewed effort against poverty is needed as more than one billion people in the developing world continue to live in abject poverty (i.e. on less than $1.25 a day). Read more: http://tinyurl.com/k8n3xlv 28 The World Bank in India • September 2014 World Bank Policy Research Working Papers WPS 7002 WPS 6990 Eradicating poverty in fragile states: Prospects of Stylized facts on productivity growth: Evidence from reaching the “high-hanging” fruit by 2030 firm-level data in Croatia By Alison Burt, Barry Hughes and Gary Milante By Mariana Iootty, Paulo Correa, Sonja Radas and Bruno Skrinjaric WPS 7001 Predicting World Bank project outcome ratings WPS 6989 By Patricia Geli, Aart Kraay and Hoveida Nobakht Capital will not become more expensive as the world ages WPS 7000 By Maurizio Bussolo, Jamus Jerome Lim, Maryla Seeing is believing? Evidence from an extension Maliszewska and Hans Timmer network experiment By Florence Kondylis, Valerie Mueller and Siyao WPS 6988 Jessica Zhu Can tax simplification help lower tax corruption? By Rajul Awasthi and Nihal Bayraktar WPS 6999 Export performance and geography in Croatia WPS 6987 By Erhan Artuc, Mariana Iootty and Ana Florina Pirlea Integrating border regions: Connectivity and competitiveness in South Asia WPS 6998 By Massimiliano Cali, Thomas Farole, Charles Kunaka Aid is good for the poor and Swarnim Wagle By Yumeka Hirano and Shigeru Otsubo WPS 6986 WPS 6997 Mobile phone coverage and producer markets: The drivers of non-revenue water: How effective are Evidence from West Africa non-revenue water reduction programs? By Jenny C. Aker and Marcel Fafchamps By Caroline van den Berg WPS 6985 WPS 6996 Optimal transition from coal to gas and renewable Egypt: Inequality of opportunity in education power under capacity constraints and adjustment costs By Lire Ersado and Jeremie Gignoux By Oskar Lecuyer and Adrien Vogt-Schilb WPS 6995 WPS 6984 Strategic information revelation and capital allocation Budget rules and resource booms: A dynamic By Alvaro Pedraza Morales stochastic general equilibrium analysis WPS 6994 By Shantayanan Devarajan, Yazid Dissou, Delfin S. Go Strategic interactions and portfolio choice in money and Sherman Robinson management: Evidence from Colombian pension funds WPS 6983 By Alvaro Pedraza Morales Public and private investments in innovation WPS 6993 capabilities: Structural transformation in the Chilean Fiscal multipliers in recessions and expansions: Does wine industry it matter whether government spending is increasing By Mark A. Dutz, Stephen D. O’Connell and Javier L. or decreasing? Troncoso By Daniel Riera-Crichton, Carlos A. Vegh and Guillermo WPS 6982 Vuletin How to assess agricultural water productivity? WPS 6992 Looking for water in the agricultural productivity and Damming the commons: An empirical analysis of efficiency literature international cooperation and conflict in dam location By Susanne M. Scheierling, David O. Treguer, James F. By Sheila M. Olmstead and Hilary Sigman Booker and Elisabeth Decker WPS 6991 WPS 6981 International remittances and financial inclusion in Demystifying Dutch disease Sub-Saharan Africa By Naoko C. Kojo By Gemechu Ayana Aga and Maria Soledad Martinez WPS 6980 Peria How useful is inequality of opportunity as a policy construct? The World Bank in India • September 2014 29 By Ravi Kanbur and Adam Wagstaff WPS 6968 Evidence of development impact from institutional WPS 6979 change: A review of the evidence on open budgeting Trade flows and trade disputes By Cristina Ling and Dawn Roberts By Chad P. Bown and Kara M. Reynolds WPS 6967 WPS 6978 Ponzis: The science and mystique of a class of Evolving wage cyclicality in Latin America financial frauds By Julian Messina and Luca Gambetti By Kaushik Basu WPS 6977 WPS 6966 The dynamics of centralized procurement reform in Services, inequality, and the dutch disease a decentralized state: Evidence and lessons from By Bill Battaile, Richard Chisik and Harun Onder Indonesia By Audrey Sacks, Erman Rahman, Joel Turkewitz, WPS 6965 Michael Buehler and etc. Measuring the effect of internet adoption on paper consumption WPS 6976 By Luis Andres, Alejandro Zentner and Joaquin Why firms avoid cutting wages: Survey evidence from Zentner European firms By Philip Du Caju, Theodora Kosma, Martina Lawless, WPS 6964 Julian Messina and etc. The Brasilia experiment: Road access and the spatial pattern of long-term local development in WPS 6975 Brazil Managing quantity, quality, and timing in Indian cane By Julia Bird and Stephane Straub sugar production: Ex post marketing permits or ex ante production contracts? WPS 6963 By Sandhyarani Patlolla, Rachael E. Goodhue and Inequality is bad for growth of the poor (but not for Richard J. Sexton that of the rich) By Roy van der Weide and Branko Milanovic WPS 6974 The return of “patrimonial capitalism”: Review of WPS 6962 Thomas Piketty’s capital in the 21st century Estimation of normal mixtures in a nested error By Branko Milanovic model with an application to small area estimation of poverty and inequality WPS 6973 By Chris Elbers and Roy van der Weide Learning dynamics and support for economic reforms: Why good news can be bad WPS 6961 By Sweder van Wijnbergen and Tim Willems How survey-to-survey imputation can fail By D. Newhouse, S. Shivakumaran, S. Takamatsu and WPS 6972 N. Yoshida Inflation and indivisible investment in developing economies WPS 6960 By Maya Eden and Ha Nguyen The domestic segment of global supply chains in China under state capitalism WPS 6971 By Heiwai Tang, Fei Wang and Zhi Wang Can service be a growth escalator in low-income countries? WPS 6959 By Ejaz Ghani and Stephen D. O’Connell Money or ideas? A field experiment on constraints to entrepreneurship in rural Pakistan WPS 6970 By Xavier Gine and Ghazala Mansuri How regional integration and transnational energy networks have boosted FDI in Turkey (and may cease WPS 6958 to do so): A case study: How geo-political alliances The anatomy of failure: An ethnography of a and regional networks matter randomized trial to deepen democracy in rural India By Miguel Eduardo Sanchez Martin, Gonzalo Escribano By Kripa Ananthpur, Kabir Malik and Vijayendra Rao Frances and Rafael de Arce Borda WPS 6957 WPS 6969 The environmental implications of Russia’s Predicting bank insolvency in the Middle East and accession to the world trade organization North Africa By Christoph Bohringer, Thomas F. Rutherford, David By Pietro Calice G. Tarr and Natalia Turdyeva 30 The World Bank in India • September 2014 WPS 6956 By Joao Pedro Azevedo, Antonio C. David, Fabiano Containing volatility: Windfall revenues for resource- Rodrigues Bastos and Emilio Pineda rich low-income countries WPS 6944 By Anton Dobronogov and Octave Keutiben Welfare dynamics measurement: Two definitions of a WPS 6955 vulnerability line and their empirical application Contracting for the second best in dysfunctional By Hai-Anh H. Dang and Peter F. Lanjouw electricity markets WPS 6943 By Arina Nikandrova and Jevgenijs Steinbuks Insurance and inclusive growth WPS 6954 By Rodney Lester How business community institutions can help fight WPS 6942 corruption Does institutional finance matter for agriculture? By Avinash Dixit Evidence using panel data from Uganda WPS 6953 By Shahidur R. Khandker and Gayatri B. Koolwal Parallel systems and human resource management WPS 6941 in India’s public health services: A view from the front Carbon price efficiency: Lock-in and path lines dependence in urban forms and transport By Gerard La Forgia, Shomikho Raha, Shabbeer Shaik, infrastructure Sunil Kumar Maheshwari and et.al. By Paolo Avner, Jun Rentschler and Stephane WPS 6952 Hallegatte How should donors respond to resource windfalls in WPS 6940 poor countries? From aid to insurance Economics of transiting to renewable energy in By Anton Dobronogov, Alan Gelb and Fernando Brant Morocco: A general equilibrium analysis Saldanha By Govinda R. Timilsina and Florian Landis WPS 6951 WPS 6939 Climate change, industrial transformation, and Culture, politics, and development “development traps” By Michael Woolcock By Alexander Golub and Michael Toman WPS 6938 WPS 6950 Benchmarking public policy: Methodological insights New coincident and leading indicators for the from measurement of school based management Lebanese economy By Suhas D. Parandekar By Samer Matta WPS 6937 WPS 6949 Open skies over the Middle East Deals and delays: Firm-level evidence on corruption By Anca Cristea, Russell Hillberry and Aaditya Mattoo and policy implementation times By Caroline Freund, Mary Hallward-Driemeier and Bob WPS 6936 Rijkers Is green growth good for the poor? By Dercon Stefan WPS 6948 Bank capital and systemic stability WPS 6935 By Deniz Anginer and Asli Demirguc-Kunt Income inequality and violent crime: Evidence from Mexico’s drug war WPS 6947 By Ted Enamorado, Luis-Felipe Lopez-Calva, Carlos Institutional arrangements for the promotion Rodriguez-Castelan and Hernan Winkler of regional integration of electricity markets: International experience WPS 6934 By Musiliu O. Oseni and Michael G. Pollitt Deposit insurance database By Asli Demirguc-Kunt, Edward Kane and Luc Laeven WPS 6946 Bridging the gap: Identifying what is holding self- WPS 6933 employed women back in Ghana, Rwanda, Tanzania, Asymmetric punishment as an instrument of the Republic of Congo and Uganda corruption control By Emily Nix, Elisa Gamberoni and Rachel Heath By Karna Basu, Kaushik Basu and Tito Cordella WPS 6945 Fiscal adjustment and income inequality: Sub- national evidence from Brazil The World Bank in India • September 2014 31 The World Bank in India VOL 13 / NO 2 • September 2014 Public Information Center World Bank Depository The Hindustan Times House (Press Block) Libraries in India 18-20, Kasturba Gandhi Marg ◆ Annamalai University New Delhi - 110 001, India Annamalainagar Tel: +91-11- 4294 7000, Ext. 753 ◆ Centre for Studies in Social Contact: Sunita Malhotra Sciences Kolkata ◆ Giri Institute of Development Studies Lucknow ◆ Gokhale Institute of Politics and Economics Pune ◆ Guru Nanak Dev University Media Inquiries Amritsar The World Bank ◆ Indian Institute of 70, Lodi Estate Management New Delhi - 110 003 Ahmedabad Contact: Sudip Mozumder ◆ Indian Institute of Public Email: mediaindia@worldbank.org Administration New Delhi Tel: +91-11-4147 9220 ◆ Institute of Development (Change background colour as needed) Studies Jaipur ◆ Institute of Economic The World Bank Websites Growth New Delhi Main: www.worldbank.org ◆ Institute of Financial India: www.worldbank.org.in Management and Research Chennai Facebook: www.facebook.com/ WorldBankIndia ◆ Institute of Social and Economic Change Bangalore ◆ Karnataka University Dharwad ◆ Kerala University Library Thiruvananthapuram ◆ Centre for Economic and Social Studies Hyderabad ◆ Pt. 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