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PRO-POOR GROWTH. Linkages to transport infrastructure. Mikael S ö derb ä ck Development Co-operation Directorate. TRANSPORT AS A BARRIER TO GROWTH AND POVERTY REDUCTION. 1994. TRANSPORT: THE PATTERN OF GROWTH. 1997.
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PRO-POOR GROWTH Linkages to transport infrastructure Mikael SöderbäckDevelopment Co-operation Directorate
TRANSPORT: THE PATTERN OF GROWTH 1997 "Good roads, canals and navigable rivers....... the greatest of all improvements” Adam Smith, An Inquiry into the Nature and Causes of the Wealth of Nations, 1776
OECD/DAC POVERTY REDUCTION NETWORK (POVNET) 2003-2006 ECONOMICConsumptionIncomeAssets Focus on the economic dimension of poverty
WHAT IS PRO-POOR GROWTH? A pace and a pattern of growth that enhances the ability of poor people to participate in, contribute to and benefit from growth. “Promoting Pro-Poor Growth”, March 2006
WHAT IS PRO-POOR GROWTH? Annual change in poverty headcount (%) On average 1% GDP growth reduced income poverty by about 1,7% 8 - 8 - 4 Annual GDP per cap. growth (%) - 10 Data from OPPG country case studies early (1990s to early 20000s)
WHAT IS PRO-POOR GROWTH? Annual change in poverty headcount (%) 1% GDP growth resulted in between 0.7% and 2.4% reduction in poverty 8 - 8 - 4 Annual GDP per cap. growth (%) - 10 Data from OPPG country case studies early (1990s to early 20000s)
TASK TEAM ON INFRASTRUCTURE The Four Guiding Principles: • Use partner-led frameworks as a basis for coordinated donor support • Enhance infrastructure’s impact on poor people • Improve management of infrastructure investment to achieve sustainable outcomes • Increase infrastructure financing and use all financial resources efficiently
TRANSPORT: THE PATTERN OF GROWTH • The curse of remoteness • Infrastructure and inequality • Market access • Risk and vulnerability
CHALLENGES TO TRANSPORT How to make existing transport service markets work better for the poor?
CHALLENGES TO TRANSPORT Klein et. al. 1994 “Back to the future” How to improve efficiency of existing transport utilities?
CHALLENGES TO TRANSPORT Infrastructure back on the development agenda: how to avoid the old mistakes?
THE END OF THE BEGINNING ... Thank you! www.oecd.org/dac/poverty