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Toward the Fifth Summit of the Americas (2009): Overview of Regional Challenges

Inter-American Development Bank. Toward the Fifth Summit of the Americas (2009): Overview of Regional Challenges. Draft presentation prepared for the Summit Implementation and Review Group Organization of American States Washington, D.C. March 29, 2007.

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Toward the Fifth Summit of the Americas (2009): Overview of Regional Challenges

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  1. Inter-American Development Bank Toward the Fifth Summit of the Americas (2009):Overview of Regional Challenges Draft presentation prepared for the Summit Implementation and Review Group Organization of American States Washington, D.C. March 29, 2007

  2. List of key regional challenges -- short-term to medium-term and long-term: 1. Growth. 2. Poverty and Inequality. 3. Competitiveness. 4. Jobs and Opportunities. 5. Social Protection, Social Cohesion. 6. Governance. 7. Innovation.

  3. GDP per capita growth, 1961-2006

  4. GDP per capita growth, 1961-2006

  5. GDP per capita growth, 1961-2006

  6. Latin America’s relative competitiveness

  7. Public and private expenditure on R & D as a share of GDP

  8. Comparación de las tasas de reducción de pobreza extrema, Asia y América Latina Nota: Después de 2001 (2006 en el caso de ALC [lineas nacionales]) los datos son estimaciones basadas en observaciones recogidas durante el período 1981-2001 (1981-2006 en el caso de ALC [lineas nacionales]). Salvo en el caso de ALC (lineas nacionales), pobreza extrema se define como US $1 PPP/día. Fuentes: Banco Mundial, PovCalNet Database, y CEPAL, Panorama Social de América Latina, 2006.

  9. Los pobres extremos están en los dos deciles más bajos de la distribución de ingreso. Más allá de ellos, hay muchas personas con ingresos muy bajos. La desigualdad pronunciada involucra: Poca diferencia entre el ingreso promedio absoluto de los 6 a 8 deciles más bajos. Concentración de hogares alrededor de la linea de pobreza. La presencia de shocks y vulnerabilidades implica que hacen falta políticas para proteger no-pobres de bajos recursos  mitigación y transferencia del riesgo de caer en pobreza.

  10. Jobs and opportunities • Unemployment, low wages, widening wage gaps, low average productivity, and job instability are peoples’ main concerns. • Some reduction in formal-sector unemployment 2006/2005 (next slide). • Policy domains (list non-exhaustive): • Education. • Property rights. • Business climate. • Credit. • Labor market flexibilization. • Infrastructure. • “Opportunities for the majority”.

  11. Social protection, social cohesion • Three compacts for protection, cohesion, and social rights: • Solidarity (revenue and spending). • Employment (the business climate and the social agenda). • Citizenship (democratic governance, effective institutions). • The social agenda: • Pro-poor, inclusive systems of services and protection. • Bridges between economic and social policy; and between social and employment/labor market policies.

  12. LA18: Social cohesion versus growth

  13. Governance LA18: Rule of law versus growth Source: World Bank WDI and Kaufmann et al. 1998-2005

  14. Governance LA18: Corruption versus growth Source: World Bank WDI and Kaufmann et al. 1998-2005

  15. GovernanceLA18: Government effectiveness versus growth Source: World Bank WDI and Kaufmann et al. 1998-2005

  16. Innovation – un nuevo amanecer • The challenge here is to think outside of the box in key policy domains and in interaction with all relevant social partners and stakeholders.

  17. Some new IDB initiatives •Opportunities for the Majority – public and private domains working to provide the majority with access to services and opportunities to build assets and improve thier lives. • Water and Sanitation Initiative – focus on subnational governments to bring basic services to rural and poor communities. • Lowering the cost of remittances – advancing opportunities through investment in housing and productive activities.

  18. • Sustainable Energy and Climate Change Initiative – the development of renewable energy sources, the mitigation of risks related to climate change and natural disasters. • Debt relief for the region’s five poorest countries enabling them to scale up pro-poor investments and improve living conditions for millions. • Infrastructure Investment Fund – working with the private sector to increase access to basic services.

  19. Inter-American Development Bank Toward the Fifth Summit of the Americas (2009):Overview of Regional Challenges Draft presentation prepared for the Summit Implementation and Review Group Organization of American States Washington, D.C. March 29, 2007

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