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The global community must focus its attention and efforts on Africa if we are to achieve the SDGs by 2030. Since its inception, CGD has engaged in extensive research on Africa. In our work on energy access, development impact bonds, debt relief, and many other topics, Africa problems and solutions have always been a focus. Cognizant of the SDG challenge, CGD is redoubling its efforts to conduct research and convene African and other political thought leaders to work on solutions to the development challenges Africa faces in the 21st century.
Through this work stream CGD aims to:
Give more prominence to its ongoing work on Africa;
Initiate new work related to development finance, macroeconomics, and fragile states;
Partner more closely with Africans in doing our work; and
Convene international forums for exchange of ideas and policy discussions focused on Africa.
CGD’s work on Africa crosscuts many of CGD’s other work streams. Some of the topics that researchers at CGD are investigating include:
Domestic resource mobilization in fragile and conflict-affected African countries
Energy prospects in Africa;
The impact of automation on workers;
How differential aging and migration will play out;
How graduation from global health aid programs will affect different countries in Africa;
The risks of growing debt levels in some African countries
The world has increasingly recognized that private capital has a vital role to play in economic development. African countries have moved to liberalize the investment environment, yet have not received much FDI. At least part of this poor performance is because of lingering skepticism toward foreign investment, owing to historical, ideological, and political reasons. Results from our three-country sample suugest that many of the common objections to foreign investment are exaggerated or false. Africa, by not attracting more FDI, is therefore failing to fully benefit from the potential of foreign capital to contribute to economic development and integration with the global economy.
The Commitment to Development Index of the Center for Global Development rates 21 rich countries on the “development-friendliness” of their policies. It is revised and updated annually. In the 2004 edition, the component on foreign assistance combines quantitative and qualitative measures of official aid, and of fiscal policies that support private charitable giving.
This paper is part of the Copenhagen Consensus process, which aims to assess and evaluate the opportunities available to address the ten largest challenges facing the world. One of these ten challenges is the “lack of education.” This paper provides an analytical framework to evaluate the various options that can be used to address this issue.
Recent literature contains many stories of how foreign aid affects economic growth: aid raises growth in countries with good policies, or in countries with difficult economic environments, or mainly outside the tropics, or on average with diminishing returns. The diversity of these results suggests that many are fragile. I test 7 important aid-growth papers for robustness. The 14 tests are minimally arbi-trary, deriving mainly from differences among the studies themselves. This approach investigates the importance of potentially arbitrary specification choices while minimizing arbitrariness in testing choices. All of the results appear fragile, especially to sample expansion.
Nigeria is currently classified by the World Bank as a ‘blend’ country, making it the poorest country in the world that does not have ‘IDA-only’ status. This paper uses the World Bank’s own IDA eligibility criteria to assess whether Nigeria has a case for reclassification.
This paper argues that regional public goods in developing countries are under-funded despite their potentially high rates of return compared to traditional country-focused investments. In Africa the under-funding of regional public goods is primarily a political and institutional challenge to be met by the countries in this region. But the donor community ought to consider the opportunity cost – for development progress itself, in Africa and elsewhere – of its relative neglect, and explore changes in the aid architecture that would encourage more attention to regional goods.
This paper ties together the macroeconomic and microeconomic evidence on the competitiveness of African manufacturing sectors. The conceptual framework is based on the newer theories that see the evolution of comparative advantage as influenced by the business climate—a key public good—and by external economies between clusters of firms entering in related sectors. Macroeconomic data from purchasing power parity (PPP), though imprecisely measured, estimates confirms that Africa is high-cost relative to its levels of income and productivity. This finding is compared with firm-level evidence from surveys undertaken for Investment Climate Assessments in 2000-2004.