Businesses working at the intersection of development and increasing shared value constantly find themselves navigating the question of whether or not they are having an impact. Impact, in this scenario, is defined by scale in number of customers (or beneficiaries) reached. Though the language may be fuzzy and the impact hard to measure, the question for any business working with those at the bottom of (or near the bottom of) the pyramid remains: to scale or not to scale?
CGD Policy Blogs
Prime Minister Narendra Modi’s announced a bold measure on Wednesday to reduce the role of unaccounted for cash or “black money” in the country’s economy by “de-monetizing” higher-denomination currency notes. The new policy bans the use of 500 rupee and 1,000 rupee currency notes. While this measure may have the positive (though potentially temporary) effect of forcing illicit activity out of the regulated economy, the process could be disorderly, with the poorest members of society bearing the brunt of the disruption.
The Obama Administration has left an indelible impact on domestic energy policy and global climate policy. Policies driving technological innovation—in what critics have dubbed the “war on coal”—are helping the United States transition its energy system to one that is cleaner and more efficient. While the administration touts the growth of clean energy deployment in the United States at international fora, it should not limit its engagement with foreign countries on fossil energy—especially when the climate gains could be large.
As China’s growth slowed in recent years, India surpassed it to become one of the world’s fastest growing economies. But can India sustain the pace, and will the rest of the region follow? Here's how South Asia can exploit today’s globalization opportunities more effectively.
On October 2, India signaled its serious commitment to climate action by ratifying the Paris Climate Agreement. The road to ratification has not been easy.
India’s shift towards direct benefit transfers (DBTs) is on the fast track. According to official statements, in the 2015-16 fiscal year the central government deposited nearly $5 billion of subsidy and welfare payments directly into the bank accounts of 300 million beneficiaries. It has also set an ambitious target to transfer all payments to the Aadhaar-based biometric DBT platform by the end of 2017. This will surely be the greatest subsidy reform in the world, but we need more data to accurately evaluate its impact.
When the Upper House of India’s parliament recently passed the landmark Goods and Service Tax (GST) legislation, India finally, after more than six decades of independence, became a truly common market. That could be a game changer for India’s development in the coming years.
India's Ministry of Health is committed to universal health coverage and has announced its plan to provide dialysis in the face of rising kidney failure. But providing dialysis for all who need it could consume the entire public health budget. Policymakers need to evaluate affordable dialysis options, pay systematic attention to the selection of who will receive dialysis, and put more emphasis on prevention.
Now the Government of India and the World Bank have adopted an approach using principles we describe as Cash on Delivery (COD). The program follows three of these principles by linking payments to outcomes, not inputs; independently verifying outcomes; and allowing recipients to take the lead. India has become the single largest payer for outcomes in a nationwide sanitation initiative.
The Indian government has sent a clear message with its latest budget: it is now up to the states to take leadership on health and invest more from their own coffers.