The development objective of the Affordable Housing Finance Project is to expand access to affordable housing finance to targeted beneficiaries.
... Exibir mais + There is one component to the project, support to the Kenya Mortgage Refinance Company (KMRC). This component will support the establishment, capitalization and operationalization of KMRC. KMRC is modelled after other mortgage refinance companies supported by the WBG (e.g. in West Africa, Tanzania, Pakistan), but its distinctive feature will be to serve SACCOs and microfinance banks as well as commercial banks. KMRC will be a majority-private company supervised by the Central Bank of Kenya (CBK), and by the Capital Market Authority for its bond issuances. Annex five summarizes KMRC business and operationalization plan. KMRC will contribute to developing the mortgage and housing finance markets. Key benefits include: (i) provision of long-term funds so that lenders can match their assets and liabilities; (ii) better affordability of mortgage loans as financial institutions extend the maturity of their loans; (iii) creation of a safety net to the financial system as banks and SACCOs know they have a source of liquidity when they need it, which incentivizes them to produce long-term loans; (iv) enhanced competition, by removing long-term funding as a barrier to entry in the mortgage market (especially relevant for SACCOs); and (v) deepening of the private bond market as KMRC becomes a regular issuer.
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Documento de avaliação do projeto: PAD2889 APR 09, 2019
This paper reviews the design of private pensions alongside a notional defined contribution (NDC) – or public – component. A mix of public and private pensions is the bestway to deliver a strong combination of five core outcomes: coverage, adequacy,sustainability, efficiency, and security.
... Exibir mais + Choices for market structure, benefit type,contributions, and investment strategy can be guided by their impact on these outcomes.The clarity of an NDC formula allows the joint distribution of public and private pensions tobe modeled which can be crucial for optimal investment strategies given, for example, thenegative correlation between real per capita gross domestic product growth and equity markets over long periods. NDC payout formulas have broad applications where annuity markets are weak.
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Documento de Trabalho (Série Numerada) 136538 APR 01, 2019
The Connected Community Initiative (CCI) supports the achievements of the Europe 2020 Agenda and the Gigabit Society targets. The initiative was established in 2015 by the European Commission, Directorate General for Communication Networks, Content and Technologies (DG CONNECT) as a single donor trust fund implemented by the World Bank.
... Exibir mais + The initiative focuses on facilitating the flow of private and public investments to broadband connectivity projects and assist them in bringing their projects to a level of maturity that would enable funding from various public and private sources. The program was successful in channeling private and public funds into important broadband network deployment projects. With an overhead of only Euro 1 million, CCI was able to unlock approximately Euro 134 million. 10 projects were able to secure, or are in the process of securing, funding to construct their fiber-based broadband networks. These projects are the Rural Network (RUNE) projects in Croatia and Slovenia; ToPix project in Italy’s Piedmont region; and DSTelecom in Algarve, Alentejo, Lower Minho, and Norte regions in Portugal, Drenthe in the Netherlands, and Gran Canaria in Spain. Funding varied between public, private, private equity, and the Connecting Europe Broadband Facility (CEBF), or a mix of them. Thus, CCI will help connect approximately 687,000 homes in remote and underserved areas of the portfolio countries. CCI experience has shown that the challenges and opportunities in promoting broadband and ultrafast broadband deployment in rural and gray areas are considerable. However, project promoters can improve the chances of getting funding if they take into consideration specific measures to address the following: demand management, cost management, risk and infrastructure sharing, financial modelling, time-to-market and building a successful investment pitch. This report lays out the main findings of the CCI experience and elaborates on the factors that facilitated or inhibited the success of broadband financing and deployment projects. These factors depend on the countries, topographies, market conditions, national framework, etc. However, many are also in common, given that the regulatory framework is similar, most gray and rural areas are in challenging topographies and financing is scarce. These challenges and opportunities constitute the basis of the recommendations to be considered by the EC, national and regional governments, and regulatory bodies. In summary, support to project promoters shows that there are still major financial and commercial risks in investment in infrastructure in rural and in grey areas. State aid rules are not clear or cumbersome to abide by for incentivizing investment in gray areas and in networks of 100Mbps capacity and above. When state aid is not applicable, there is a need to provide other types of incentives to the private sector to encourage investment in these areas. Attention should be given to the rules and practices that are crowding out private investment such as the requirements for the declaration of commercial interest in gray zones, the clawback mechanism for companies benefiting from state aid, and the mapping of grey and white zones. The technical assistance conducted by the World Bank showed that there are measures that policy makers can put take to facilitate bridging the financing gap in lagging zones. Looking forward, project promoters and financiers can replicate the lessons learned from the CCI in their future projects and investments. But beyond replicability at the same community levels, the CCI can be scaled up and made replicable in more regions and countries in the EU, and in neighboring and EU-acceding countries.
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Report 135244 MAR 12, 2019
Haddad,Marolla; Stoykov,Petar Georgiev; Abdul Khalek,Joulan; Bezzina,JeromeDisclosed
The objectives of a well-designed pension system are poverty reduction in old age and income smoothing throughout an individuals' lifetime. Over the last thirty years, changing demographic trends have caused a shift from 'pay as you go' and occupational defined benefit (DB) schemes - where the obligation for paying for retirement income is with the state and employers - to defined contribution (DC) schemes, where the obligation to save for retirement rests more with individuals.
... Exibir mais + The transition to DC schemes did help establish a strong link between contributions during working life and benefits during retirement, for individuals. However, an increasing challenge has been balancing genuine needs for some pre-retirement liquidity, access to savings and providing adequate income post retirement for individuals. The need to get this balancing act right is being felt increasingly as coverage of national social security systems is expanded to include more of the non-salaried workforce which often has lower levels of income, more periods of unemployment and more irregular earnings. This note surveys recent literature and country experiences to understand if and how countries address the need for pre-retirement liquidity in both mandatory and voluntary DC schemes. The note also uses simple modelling to illustrate the impact of allowing access to pension savings on income adequacy after retirement. The report concludes with recommendations based on emerging best practice.
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Poland’s capital markets can play a crucial supporting role to the ongoing economic development and efficient allocation of credit. Capital markets will become increasingly important to meet the long-term funding needs of strategic sectors, including large, medium and small entities.
... Exibir mais + Expansion and diversification of capital market instruments and hedging tools will also be essential to provide adequate investment and risk management vehicles to much needed long-term savings. While capital market offers different sources of financing, this note focuses primarily on the fixed income markets. This technical note is structured as follows. Section II covers each of the main market segments, including money markets, government and non-government bond markets and derivatives markets. Section III provides an examination of the investor base, the current participation of the different investor segments in the bond markets, and recommendations to reach broader and more effective investor diversification. The Section IV is focusing on the critical reform of the Employee Capital Plan (PPK), as one critical group of institutional investors.
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Based on a survey of households in 10 Central Eastern European and Western Balkan countries, this paper presents new and unique evidence on which households have savings and how they save.
... Exibir mais + The paper shows that the percentage of savers is low, and savings are frequently informal. Formal savings are dominated by bank savings, and participation in contractual and capital market savings is very low in comparison to high-income countries. Poor households are significantly less likely to have any savings; income also has an effect, albeit smaller, on the choice of formal versus informal savings. With a high density of bank branches in Central Eastern European and Western Balkan countries lack of physical access to banks does not explain the lack of formal savings. Lack of trust in banks reduces the probability of formal savings, especially bank savings.
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Documento de trabalho sobre pesquisa de políticas WPS8751 FEB 19, 2019
