Pacific Economic Monitor: Budget Analysis

The Monitor provides an update of developments in Pacific economies and explores topical policy issues

Office of Anticorruption and Integrity: Annual Report 2013

[Excerpt] Corruption is not single-celled. It does not move in just one direction and has many causes and symptoms. It has no single cure and will continue to grow and fester unless addressed from multiple fronts. The Asian Development Bank’s (ADB) Office of Anticorruption and Integrity (OAI) recognizes that tackling corruption requires a multifaceted approach and a comprehensive network of partnerships and alliances. Tasked to ensure that the finite development funds entrusted to ADB are not misused as a result of fraud and corruption, OAI relies on close collaborations with internal and external partners and stakeholders to fulfill its mandate. OAI’s mandate is underpinned by ADB’s zero tolerance to corruption. It is aligned with ADB’s broader commitment to combat corruption and improve governance as a core strategic objective of ADB Strategy 2020, and the Paris Declaration on Aid Effectiveness of 2005—to which ADB is a signatory—in support of effective, transparent, and accountable aid. More than ever, in 2013 OAI’s anticorruption work focused on prevention, oversight, investigation, and deterrence through partnership, awareness raising, and outreach. Its achievements in 2013 reflect OAI’s close partnership and teamwork with ADB’s governance and operations departments as well as external partners to address fraud, corruption, abuse of resources, and other violations that undermine the integrity and effectiveness of ADB-funded activities

Contract Farming for Better Farmer-Enterprise Partnerships: ADB\u27s Experience in the People\u27s Republic of China

[Excerpt] Agriculture should provide safe and nutritious food to people. In the People’s Republic of China (PRC ) and many other developing members of the Asian Development Bank (ADB), agriculture is also the main source of income for rural residents. Yet as compared with the total labor force absorption, the contribution of agriculture to gross domestic product is very small, suggesting lower productivity, often resulting in poverty. Recognizing the invaluable contribution of agriculture to the PRC ’s development, the government has been prioritizing agricultural modernization in its policy agenda with an aim to further improve the agricultural sector’s productivity and efficiency. ADB’s support to the sustainable development of agriculture in the PRC covers broad areas ranging from irrigation infrastructure and farmland upgrading to agribusiness development and food safety. The Dryland Sustainable Agriculture project commenced in 2009 with ADB assistance supports the development of partnerships between private agro-enterprises and farmers using contract farming arrangements to strengthen farm productivity, food production, and processing capacity in 27 counties in Gansu, Henan, and Shandong provinces. After 6 years, the project has delivered considerable amount of outputs in terms of facilities established and farmers engaged, showing promise in achieving its outcome. Concurring with the request from the Ministry of Agriculture, the project executing agency, ADB provided a grant to study the experiences arising from the project with respect to developing sustainable farmer–enterprise partnerships particularly contract farming models. Equally important, the study examines the issues involved in current contract farming practices and recommends policies that may help resolve them

Gender Mainstreaming Case Study - India: Chhattisgarh Irrigation Development Project

Project Goals and Results • The Chhattisgarh Irrigation Development Project (CIDP) aimed to increase agricultural productivity, improve rural livelihoods, and reduce poverty by improving irrigation delivery, enhancing agricultural practices, and strengthening water resource management. • The CIDP supported the rehabilitation and upgrading of irrigation systems that serve more than 150,000 households; strengthened government capacity to assist water users’ associations (WUAs); and trained 1,250 out of 1,324 WUAs in Chhattisgarh based on the Participatory Irrigation Management (PIM) Act, a legislation that mandated the roles and responsibilities of WUAs, including the membership of women in irrigation management. It also trained 191 WUAs on how to improve agricultural techniques and how to be more effective in general. It offered opportunities for collective actions by communities, such as joint purchase of seeds, fertilizers, and pesticides, and joint marketing of produce. Overall, participants reported improved crop yields and higher household incomes. • Building on the new PIM Act, the CIDP strengthened women’s participation in WUAs. A widespread education campaign raised awareness on the importance of women’s participation in decision making and encouraged women to become active in these associations. In the 2007 WUA elections, women were elected in one-third of available positions. Processes and Management Tools • The PIM Act was passed through the CIDP. With this new law, the CIDP promoted PIM, especially women’s participation. The project predated the requirement for a Gender Action Plan and gender targets and indicators in the Design and Monitoring Framework (DMF) outputs. Gender-related strategies and targets were indicated in the Summary Poverty Reduction and Social Strategy. • All irrigation upgrading and rehabilitation activities included contractual obligations to offer “equal pay for equal work” to men and women. • Technical assistance supported activities to promote women’s participation in irrigation management and their election to WUA committees

Paving the Road to Better Income Options: Case Study on Promoting Women’s Livelihood and Employment Opportunities in Viet Nam

[Excerpt] Infrastructure projects and road networks have he potential to catalyze socioeconomic change. hey yield economic prospects for neighboring communities, enhance higher-value agricultural and industrial investment, and improve access to markets as well as health and social services. Unfortunately, such projects also entail risks. Residents are often excluded from the benefits either because they lack awareness of the opportunities or they lack the skills that could make them direct beneficiaries. Additionally, as is frequently observed, residents can become vulnerable to unforeseen risks, such as human trafficking and the spread of HIV, which can result from the increased physical connectivity. Bearing in mind both the rewards and risks of large-scale infrastructure projects, the 16-month project “Promoting Gender Equality and Women’s Empowerment— Strengthening Capacity of Women Along the Central Mekong Delta Connectivity Project Phase II” was designed to prepare local communities for both income opportunities and potential adverse impacts with the forthcoming road construction in Dong Thap Province, in southern Viet Nam. With a total budget of $400,000, the project began in June 2012 targeting women, both those who are married and younger single women who might out-migrate for employment. The project set out to improve income-generating opportunities for women, promote gender equality, and enhance awareness of the risks related to human trafficking and HIV in eight communes located in two districts (Cao Lanh and Thap Muoi). Specifically, women from low-income households were targeted with vocational skills training and access to credit and employment placements. Simultaneously, the project emphasized building up institutional capacities for improving livelihood opportunities for women that would endure beyond the project

Reducing Youth Not in Employment, Education, or Training through JobStart Philippines

Key Points One in four young Filipinos are not in employment, education, or training. One in two young women with high school education or less are not in employment, education, or training. Creating wage jobs for the youth is critical to help reduce poverty and income inequality in the Philippines. Active labor market programs encourage employment creation and employability of workers, increase their earning capacity, and enhance integration into the productive workforce. In 2011, the Department of Labor and Employment (DOLE) of the Philippines collaborated with the Asian Development Bank (ADB) to design and develop JobStart Philippines, a pilot project assisting at-risk youth to become job-ready. JobStart Philippines is an employer-led program and offers at-risk youth life skills training, one-on-one career coaching, and opportunities for technical training and internships with private sector employers. Upon successful completion of the pilot, DOLE converted JobStart Philippines into a regular program and Congress enacted the Act to Institutionalize JobStart Philippines Program in 2016, which guarantees program sustainability

Gender Equality Results Case Study - India: Urban Water Supply and Environmental Improvement Project

Development Aims and Impacts. The Urban Water Supply and Environmental Improvement Project sought to provide basic services of water supply, sanitation, and garbage collection and disposal in four cities in Madhya Pradesh, India. Impacts include increased access to sustainable water supply and enhanced sanitation infrastructure in these four cities. Over 5.6 million people benefited from improved water supply, while half a million people benefited from an improved wastewater management system and 4.7 million people benefited from an improved solid waste management system. These changes positively impacted the lives of the local community, in particular women and girls, who are primarily responsible for water management. The active participation of women was encouraged and supported, and over 70% of the members of the community group committees (CGCs) were women. The CGCs were responsible for coordinating and overseeing the initiatives concerning water supply and sanitation, and they continue to operate even after the completion of the project, liaising with local government officials. Women built on skills developed during the social mobilization initiatives and other project activities to ensure improved income generation, with many of them continuing to be active leaders at the community level. ADB Processes and Management Tools. The project design included a gender action plan. A gender manual was developed to guide the integration of gender in the project. Special measures were taken to ensure women’s participation in community-driven planning and decision making. Targets for participation of women in community-based organizations or CGCs were closely monitored, and variations were followed up by both the nongovernment organizations—responsible for organizing, mobilizing, and capacity building of CGCs—and the project staff. The project also partnered with other organizations with capacities related to gender equality that helped in the initial gender analysis of the water and sanitation sector

Toward Adopting a Skills Development Fund for Cambodia

Key Points: Cambodia is endowed with an ample supply of labor, but the labor force is characterized by low levels of education and skills. As technological change and competitiveness increase, there is a growing demand for an adaptable workforce with both cognitive and noncognitive skills. The government has an important role in ensuring access to basic education and technical and vocational training to a qualification and standard that supports entry into the workforce, but partnership with industry in workforce development is even more essential in responding to the changing demands of technology in the workplace. Countries are exploring different partnership models toward ensuring actual training is funded and driven by industry. Experiences also show that industry is a reluctant partner at the outset, and that piloting a skills development scheme to build credibility and confidence among partners, especially industry, is important before a full-fledged skills development fund can be established

e-Quarterly Research Bulletin (Vol. 5, No. 1)

[Excerpt] Macro financial risk propagation and its implications on financial stability have emerged as major concerns of governments and financial institutions, particularly those with large financial asset pools. The global financial crisis in 2008–2009 was essentially centered on credit risk involving money markets, and the propagation of such risk across and among financial institutions and sovereigns is related to how connected they are. To understand the concept of connectedness, Merton provides a brief review of the concepts of credit, credit risk, and guarantees. He asserts that risk- free credit is essentially risky credit coupled with a guarantee of payment in the event of a default. That is, risky debt is nothing but risk-free debt less a guarantee of repayment. We note that in complete contingent markets, the holder of debt always has the option to purchase insurance on the debt, pretty much like the credit default swaps that are available in advanced financial markets today. The guarantee could be issued by a financial institution or a sovereign government, and effectively transfers the risk of default from the borrower to the guarantor. From the perspective of the lending institution, however, the instrument or asset it is holding is now essentially risk-free debt. Merton stresses that the guarantees attached to risky debt are in fact insurance on the risk of default, and are akin to put options on assets of borrowers, with maturities similar to those of the debt instrument being guaranteed and a strike price equivalent to the promised payment of debt

Gender Equality Results Case Study - Bangladesh: Second Urban Primary Health Care Project

Development Aims and Impacts. The Urban Primary Health Care Project strengthened and expanded primary health care infrastructure and services with a focus on the urban poor. The project provided preventative and curative services, including access to immunization, reproductive health services, limited curative care, nutrition-related services, community outreach on health issues, and assistance for women survivors of violence. In project areas, there were significant improvements in key indicators, including under-5 mortality, maternal mortality, total fertility, child malnutrition, and control of sexually transmitted infections. ADB Processes and Management Tools. During the project design phase, a gender action plan (GAP) was developed. This plan provided analytical background and set out a series of initiatives to strengthen attention toward gender equality issues and improve access of women and girls to health services. In addition to the GAP, other approaches that contributed to the project’s gender equality performance were pro-poor targeting particularly women and children, public–private partnership health service delivery model, and creation of awareness among adolescent boys and girls. Specific indicators to track progress were included. The project increased access to health services (health facilities were constructed close to poor communities, with a target of providing 30% of services to identified low-income families), increased women’s access to health services (70% of beneficiaries were females), and contributed to improvements in maternal mortality ratio