While reflecting on DFC’s progress in implementing its core development mandate, and confronting the challenges posed the COVID-19 pandemic, we reached out to Senator Chris Coons (D-DE), a lead sponsor of the BUILD Act and a member of the Senate Foreign Relations Committee. We asked Senator Coons for his take on how the newest US development agency is faring and what he hopes to see in DFC’s future.
CGD Policy Blogs
Ensuring Financial Stability in the Era of COVID-19: Recommendations for Latin America and the Caribbean
With a surging pandemic, income losses, and a deepening recession, Latin America and the Caribbean is facing a health and economic crisis that will test its financial systems like few events in modern times. The blow, however, can be softened. Banks as well as governments and central banks can play a crucial role, providing financing to lessen the impact on families and firms and to speed the recovery.
Whether a COVID-induced expansion of cash transfers can set the stage for increased use of cash as a broader development tool remains to be seen.
A few targeted actions now, backed up with commensurate resources, can help ensure the developing world gets back on a path to shared prosperity sooner rather than later.
Not DFC’s Best Kodak Moment: Five Questions About the Development Agency’s First Domestic Investment
DFC’s first domestic DPA loan is an opportunity to have a fresh look at the program and raise a new round of questions for the agency.
The COVID-19 pandemic has become a threat to global prosperity and stability, but what is the cost of doing nothing in response?
A simple way to guarantee an adequate flow of long-run, sustained funding for health surveillance and disease control, and to prepare for the next novel virus in the world’s poor countries, is to create an endowment dedicated to that purpose. A $10 billion endowment could generate income of $500 million a year.
Longstanding weaknesses in the humanitarian business model are undermining the COVID-19 response in fragile and conflict affected states. Extensive delays, poor mechanisms for tracking disbursement of funds from intermediaries to implementers, and persistent obstacles to financing local actors are preventing funds from reaching organizations on the frontlines of the COVID-19 fight. Donor governments have generously contributed nearly $2.5bn in humanitarian COVID-19 financing.
As Global Health Players Pivot To COVID-19 Responses, We Need Coordinated, Real-Time, Formative Evaluations
An estimated $15.9 trillion has been mobilised to respond to the health and economic impact of the COVID-19 pandemic. Some of this has gone to multilateral and bilateral funders to support low- and middle-income countries’ (LMIC) governments. But how is this money being spent, and how is it impacting country budgets and expenditure more broadly?
Last week Senator Bernie Sanders and Congresswoman Ilhan Omar sent a letter signed by hundreds of lawmakers from 40 countries to the heads of the International Monetary Fund (IMF) and the World Bank, urging them to greatly increase the access of developing countries to financial assistance. They called for a new issue of Special Drawing Rights (SDRs) at the IMF, echoing the earlier plea of Gordon Brown and Larry Summers for at least $1 trillion in new SDRs.