Dominican Republic | World Bank

Climate Change: Caribbean Coral Reefs could disappear in 2060

Wed, 10 Jun 2009 20:04:44 GMT

• A plan for adaptation to climate change, a priority for the Dominican Republic
• Report from the World Bank proposes a low carbon intensity development model carbon to face climate change

Disponible en: español

Press Release No. 2009/RD

Contacts:
In Santo Domingo: Alejandra De La Paz (809) 566-6815
adelapaz@worldbank.org

In Washington: Gabriela Aguilar (202) 473-6768
gaguilar2@worldbank.org

SANTO DOMINGO, 10 June 2009 – The islands of the Caribbean could suffer irreversible damage causing impact on bio-diversity, fishing, tourism and coastal protection, if appropriate measures are not taken right now to face the effects of climate change, warned the most recent regional study from the World Bank, presented today in Santo Domingo.

“It is highly likely that the Caribbean will continue to experience an increase in the risks from natural disasters, the incidence of tropical diseases and the bleaching of coral, bringing about high human and economic costs,” indicated Augusto de la Torre, Chief Economist of the World Bank for the Latin America and Caribbean Region.

The report, “Low Carbon, High Growth: Latin America Responses to Climate Change”, presented today in Santo Domingo by the World Bank, with the sponsorship of the National Council for Climate Change and the Clean Development Mechanism, sets forth that climate change is unequivocal and can be seen, among other effects, by the increase in the temperature of over 1 degree Centigrade and in the greater frequency of extreme weather in the form of intense hurricanes and rains that have been experienced especially in Central America and the Caribbean. In the Andean countries, the snows have lost a great deal of their mass and, if the trend is not halted, are doomed to disappear in the next 20 years, according to the report.

“Given the significant vulnerability of the Dominican Republic to the expected impact of climate change and the very modest contribution of the country to green-house gas emissions, the priority must be adaptation to climate change, with emphasis on the sectors identified as being the most vulnerable (water, tourism, agriculture, energy and infrastructure), added Pablo Fajnzylber, Senior Economist of the World Bank and one of the authors of the study.

In the particular case of Dominican Republic, according to Walter Vergara, World Bank Specialist on Climate Change for the Caribbean, the country, like its Caribbean neighbors, is exposed to extreme climate events and impacts induced by the increase in sea temperature, which is translated into an impact in fishing and coastal protection. Further, the corals of the Caribbean are being bleached and will eventually die. Eighty percent of the corals of the Caribbean have been affected recently, which has resulted in the death of some and all could disappear by the year 2060.

“The country has been impacted by changes in the precipitation cycles and by an increase in sea level, with the latter causing exposure of the coastal infrastructure of the country. The intensity of hurricanes has raised since the 70’s and appears to be very much related to increases in the temperature of the sea surface”, explained Vergara.

Policies for a future of development with less carbon

The study suggests that the countries of the region adopt their own strategies for growth and reduction in poverty to minimize the negative impacts on their population. This implies adaptation of the social protection systems and natural resources management to the new challenges created by climate change. On the other hand it is important to improve the mechanisms for supporting development with less carbon and to achieve more efficiency in the generation and use of energy. The report proposes improving energy efficiency on both sides of the equation of supply and demand: reduce and target subsidies towards consumption and to improve efficiency in generation, as well as to reduce the losses during distribution.

In this last impact, the study suggests that several countries, among them the Dominican Republic, Honduras and Ecuador, experience significant losses during the distribution of energy, due to old inefficient distribution lines and sub-stations. They also suffer commercial losses due to theft and non-payment, the study states. This situation can be bettered through investments for optimization of the distribution system and via better handling, measuring and control. Co-generation is an option to improve efficiency in the industry and in the energy sector.

Well-targeted subsidies are often essential to ensure access to energy by low-income or disadvantaged social groups. However, subsidies for fuel and electricity, badly implemented, can result in excessive consumption of energy and higher carbon emissions. In 2005, subsidies for fuel represented an average of 2.3% of Gross Domestic Product (GDP) in Latin America and the Caribbean.

Economic Losses caused by climate change

According to the report, in the Caribbean, losses associated with the natural disasters will quadruple during the next 20 years. In addition, the coastal zones of Mexico, Central America and the Caribbean would suffer negative impact on agriculture, infrastructure, especially in the mangrove areas. In this sense, the islands of the Caribbean could suffer multiple impacts, including those associated with natural disasters, an increase in sea level, loss of corals and reduction of productivity in farming, and fishing and tourism incomes. The total losses for 2080 are estimated at being between 7% and 18% of GDP.
According to the authors of the study, the challenges inherent to the world financial crisis and climate change can be taken advantage of by the countries of Latin America and the Caribbean to drive a model for development with low carbon intensity, which favors growth, job creation and the struggle against poverty.

The Role of the World Bank

In order to respond to the challenge of climate change, the World Bank has implemented a strategy targeting the areas of adaptation, mitigation (including sequestering carbon), institutional support, dissemination of knowledge and technical assistance.

The World Bank, with the support of the developed countries, recently constituted a US$6 thousand million dollar fund to channel low carbon intensity technologies towards the emerging economies. Said fund establishes a shared system for making decisions, with equal participation of donors and receivers of assistance. Several countries of the region make up its board of directors.

In the Dominican Republic, the World Bank also finances, on the local level, a project for recovery from emergencies and the handling of disasters, for US$80 million and another for re-furbishing the electricity distribution grid for US$42 million.

The results of the report were disclosed in the presence of the highest environmental authorities of the country and many experts, representatives of international agencies, non-governmental organizations, universities and the private sector. The event had the participation of Moisés Alvarez, Deputy Minister of the National Council for Climate Change and the Clean Development Mechanism; Roby Senderowitsch, Representative of the World Bank in the country; Miguel Ceara Hatton, Director of the Office for the Program of Human Development of the United Nations Development Program (UNDP) and Magdalena Lizardo; Director of the Social and Economic Analysis Consultation Unit of the Ministry of Planning and Development (Secretaria de Estado de Planificación y Desarrollo - SEEPYD).

The World Bank experts acknowledged the recent creation of the National Council for Climate Change and the Clean Development Mechanism, and the National Action Plan for Adaptation to Climate Change in the Dominican Republic, prepared by the Ministry of Environment and Natural Resources (Secretaría de Estado de Medio Ambiente y Recursos Naturales - SEMARENA) in 2008, as a sign of renewed state concern for finding the balance between economic development and respect for the environment.

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For more information about the study, visit: http://go.worldbank.org/REPVBS1D20
For more information on the work of the World Bank in the Dominican Republic
www.bancomundial.org.do

Dominican Republic - Second Adaptable Program Loan for the Health Sector Reform Project

Mon, 08 Jun 2009 04:00:00 GMT

Dominican Republic: Water and Sanitation in Tourist Areas Project - Phase I (Adaptable Program Loan I)

Thu, 02 Apr 2009 22:15:05 GMT

WASHINGTON, April 2, 2009 - The World Bank’s Board of Executive Directors today approved the following project:

IBRD Loan: US$27.5 million

Terms: Maturity = 30 years; Grace = 5 years

Project Description: The project will assist the Dominican Republic in: (i) strengthening and consolidating the policy framework of the water and sanitation sector; (ii) improving and expanding access to sanitation and wastewater treatment and disposal services in the Puerto Plata region; (iii) improving the financial and operational performance of CORAAPPLATA, the region’s water utility; and (iv) enhancing operational and commercial performance of other regional utilities and preparing them to participate in the second phase of the Program (APL II).

Media Contact

Alejandro Cedeño

(202) 473-3477

acedeno@worldbank.org

For more project information, please visit:

http://web.worldbank.org/external/projects/main?pagePK=64283627&piPK=73230&theSitePK=40941&menuPK=228424&Projectid=P054221

Dominican Republic/WB: US$27.5 Million for Water and Sanitation in Tourist Areas

Thu, 02 Apr 2009 20:53:43 GMT

Contacts:

In Santo Domingo: Alejandra De La Paz (809) 566-6815

adelapaz@worldbank.org

In Washington: Alejandro Cedeño (202) 473-3477

acedeno@worldbank.org

WASHINGTON, April 2, 2009— The World Bank’s Board of Directors approved today a US$27.5 million loan to improve the potable water and sanitation supply in the tourist area of Puerto Plata, located in the North of the Dominican Republic.

The Water and Sanitation in Tourist Areas Project will benefit 128,000 Dominicans in poor parts of the region. In addition, it will offer an extra boost to the Dominican government by creating a policy framework and a national strategy for the water sector.

This initiative will be implemented by a coordination unit of the Ministry of Economy, Planning and Development (SEEPYD) and by the Aqueducts and Sewerage Corporation of Puerto Plata (CORAAPLATA).

“This project will allow more poor families in these tourist areas to have access to quality potable water, while the wastewater treatment and disposal services are carried out in an environmentally adequate manner, avoiding water contamination,” said Roby Senderowitsch, World Bank Country Manager for the Dominican Republic.

This new initiative is consistent with the Country Assistance Strategy (CAS) 2005-2009 between the World Bank and the Dominican Republic, which aims to achieve sustained and equitable economic growth to reduce poverty. Towards this end, the supply of basic services to all Dominicans is a priority.

The project goals include:

· Consolidating the water and sanitation sector in the Dominican Republic to create a national strategy for the sector,

· Improving and expanding access to sanitation and wastewater treatment and disposal services in the Puerto Plata region,

· Improving the financial and operational performance of CORAAPLATA; and,

· Enhancing operational and commercial performance of the regional water and sanitation corporations (CORA) and preparing them to participate in the second phase of the program.

This project will develop a technical assistance component for the sector at the national level, another one to rehabilitate and expand sanitation services in the towns of Playa Dorada, Sosúa, Montellano, Cabarete, La Unión y La Bombita, and a third one for the administrative management of the project.

Besides this new loan, in 2006 the World Bank completed a US$5 million Project for Wastewater Disposal in Tourism Centers, installing small-diameter submarine outfalls and a series of low-cost wastewater disposal technologies in Puerto Plata.

The World Bank fixed-margin loan for US$27.5 million is based on a LIBOR rate and has a 30-year repayment period with a five-year grace period.

For more information about this Project please visit the projects website: Water and Sanitation in Tourist Areas Project.

To know more about the World Bank work in the Dominican Republic please visit: http://www.worldbank.org/dominicanrepublic

Dominican Republic - HIV/AIDS Prevention and Control Project

Tue, 31 Mar 2009 04:00:00 GMT

Ratings for the HIV/AIDS Prevention and Control Project for Dominican Republic were as follows: outcomes were moderately satisfactory, the risk to development outcome was moderate, the Bank performance was moderately satisfactory, and the Borrower performance was also moderately satisfactory. Some lessons learned included: in regards to project preparation, there is clear trade-offs between a fast-track approach and a more time-consuming approach based on in-depth country analysis. Even when there is international experience to draw upon to address complex development problems, every project requires an in-depth analysis to ensure that project design is based on sustainable approaches. Project designs that rely more on existing models and less on a thorough understanding of country needs and context may lead to risky projects with delays in implementation. Less preparation can result in costly project restructuring in order to use loan resources more efficiently and effectively. In order to make a more effective use of loan resources,'virtual'pools of funding can be used by fostering a single national operational plan of which project funding is only one part, under the coordination of a national coordination entity with sufficient institutional capacity.

Dominican Republic-DO Emergency Recovery&Disaster Mgmt

Mon, 30 Mar 2009 04:00:00 GMT

Dominican Republic - Second Adaptable Program Loan for the Health Sector Reform Project

Tue, 24 Mar 2009 04:00:00 GMT

Dominican Republic - Second Adaptable Program Loan for the Health Sector Reform Project

Thu, 12 Mar 2009 04:00:00 GMT

Dominican Republic - First Phase of the Adaptable Program Loan for the Water and Sanitation in Tourist Areas Project

Wed, 04 Mar 2009 05:00:00 GMT

The objectives of the First Phase of the Adaptable Program Loan (APL) for the Water and Sanitation in Tourist Areas Project for Dominican Republic are: (i) strengthening and consolidating the policy framework of the water and sanitation sector in the Dominican Republic; (ii) improving and expanding access to sanitation and wastewater treatment and disposal services in the Puerto Plata region; (iii) improving the financial and operational performance of La Romana Water and Sewerage Company, the region's water utility; and (iv) enhancing operational and commercial performance of other regional utilities and preparing them to participate in the second phase of the Program (APL II). There are three components to the project. The first component of the project is technical assistance for sector development. This component will support the Government's efforts to strengthen and consolidate the policy framework of the water and sanitation sector. This component will finance technical assistance for the development of a National Strategy for the water and sanitation sector. This component will also finance technical assistance and equipment to strengthen the capacity of national policy and regulatory institutions and to improve technical, commercial and operational performance of regional water and sanitation utilities. The second component of the project is rehabilitation and expansion of sanitation services in Puerto Plata. This component will finance: (a) investments to rehabilitate and improve access to sanitation in the Puerto Plata region; (b) investments to rehabilitate the wastewater treatment plant in San Felipe de Puerto Plata and to study, design and construct submarine outfalls in San Felipe de Puerto Plata and Cabarete; and (c) technical assistance to improve the performance and efficiency of La Romana Water and Sewerage Company, to supervise project investments and to prepare feasibility studies and detailed designs for this project and for APL II. The third component of the project is program administration. This component to finance costs associated with project management, including annual audits, monitoring, and evaluation.

Consultations on the Bank Web Site

Tue, 09 Dec 2008 15:37:38 GMT

Dear reader,

A few years ago, the World Bank’s Web site was noted as a leader among development organizations’ websites. As technology has rapidly advanced and user expectations evolved, our Web site too needs to change and adapt.

You come to our Web site because you are looking for the latest information on development. Our project information, data and research assist you in tackling your challenges or keeping up on the Bank’s activities.

Now we’re catching up. We are revamping our Web site and expanding our online capabilities to better satisfy our business needs and meet audience demands.

We’re examining all aspects of the site—content, technology, business needs and audience demands—to figure out what needs to stay, be improved or be removed.

This is a complex undertaking. We are currently gathering information to determine requirements for our future site.

Through our open online consultation, we are looking for comments from anyone who wishes to discuss their information needs and any difficulties they encounter with the site. The online consultation period ends on December 31, 2008.

All feedback we receive will inform the future design and functionality of the Web site by informing Bank management on audience needs.

Our ultimate goal is to make the Web site better support the institution’s mission of fighting global poverty and helping countries develop.

Your feedback will bring us closer to this goal.

Thank you,

Angie Gentile
Managing Editor, www.worldbank.org

Global food and fuel crisis will increase malnourished by 44 million

Wed, 08 Oct 2008 17:30:00 GMT

Contacts:
In Washington :Carl Hanlon 202-473-8087; chanlon@worldbank.org;
Philip Hay 202-473-1796
phay@worldbank.org

WASHINGTON, October 8, 2008 – High food and fuel prices will increase the number of malnourished people around the world in 2008 by 44 million to reach a total of 967 million, a report from the World Bank says.

While food and fuel price increases may have moderated in recent months, prices remain much higher than previous years and show few signs of declining significantly, according to the report entitled “Rising food and fuel prices: addressing the risks to future generations”. Poor families around the world are being pushed to the brink of survival, causing irreparable damage to the health of millions of children. As families cut back on spending, there are also grave risks for the educational performance of poor children.

“While people in the developed world are focused on the financial crisis, many forget that a human crisis is rapidly unfolding in developing countries. It is pushing poor people to the brink of survival,” said World Bank Group President Robert B. Zoellick. “The financial crisis will only make it more difficult for developing countries to protect their most vulnerable people from the impact of rising food and fuel costs.”

The report, due to be presented on Sunday to the Development Committee at the Annual Meetings of the World Bank and IMF, says the food and fuel crisis could have long term effects on poor people and countries. Malnourished children cannot develop into healthy adults and become productive members of society who can contribute to the growth needed to lift themselves and their country out of poverty.

The report says priority should be given to a series of targeted measures. These include:

Making existing targeted cash (or near cash) transfer programs more generous;
Getting nutrition to infants and pregnant women;
expanding so-called ”in-kind” food distribution programs including school feeding and the distribution of fortified calorically dense food;
using fee waivers, lifeline-pricing and other forms of targeted subsidies for poor users/consumers; and
introducing additional measures to prevent children from dropping out of school, such as fee waivers, subsidies for school inputs, or cash transfers.

The report also argues that allocating the necessary amount of budget to finance an expansion of safety net programs may require pruning less-priority spending in other areas. But it notes that well-designed safety net programs do not have to be prohibitively expensive to be effective. Some of the most successful programs in the world cost well under 1 percent of Gross Domestic Product. Moreover, investing in safety net programs now will give governments new tools to address not just the current crisis, but future ones as well.

In May, the World Bank launched a $1.2 billion rapid financing facility to help poor countries cope with the food crisis. Since then, around US$850 million has been committed to finance seeds, plantings, and feeding programs. In April, Zoellick called for a New Deal for Global Food Policy that included short, medium and long-term measures to provide immediate help to poor people and farmers while increasing food production.

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For more information on the Bank's work in nutrition, please visit: www.worldbank.org/nutrition

and for more on social safety nets, click here: www.worldbank.org/safetynets

Doing Business 2009: Regulatory Reforms across Caribbean show a positive trend

Thu, 11 Sep 2008 18:14:04 GMT

Press Release

Contact information:

In Washington, D.C.
Maria Alexandra Velez Henao +1 (202) 458-8789   Rebecca Ong + 1 (202) 458-0434
Cell: +1 (202) 684-4117      Cell: +1(202) 651-1390
E-mail: mvelezhenao@ifc.org     E-mail: rong@ifc.org
Latin America & Caribbean
Adriana Gomez +1(202) 458-5204
Email: agomez@ifc.org

WASHINGTON, D.C., September 10, 2008—Regulatory reforms across the Caribbean show a positive trend, according to Doing Business 2009—the sixth in an annual series of reports published by IFC and the World Bank. The new report identifies six countries in the Caribbean that are becoming active reformers of business regulation, between June 2007 and June 2008.
The Dominican Republic joined the top 10 economies in reforming business regulation for the first time this year, with gains in four of the 10 areas the report studied, including broad tax reforms. Antigua and Barbuda, Haiti, Jamaica, and St. Vincent and the Grenadines also implemented significant reforms that make it easier to do business. The reforms adopted in Caribbean countries are the following:
• Antigua and Barbuda reduced its corporate income tax rate from 30% to 25%. Area of Reform: Paying Taxes.
• Dominican Republic joins the top 10 economies in reforming business regulation for the first time this year, with gains in four of the 10 areas the report studied, including broad tax reforms. Areas of Reform: Starting a Business, Registering Property, Paying Taxes, Trading across Borders.
• Haiti reduced the time to export by a day, by implementing risk-based inspections in customs. Area of Reform: Trading across Borders.
• Jamaica, as part of an initiative to improve administrative efficiency, introduced a statutory time limit for issuing building permits, reducing the time required to build a warehouse by 80 days. It also reduced the property transfer tax from 7.5% to 6%, and the stamp duty from 5.5% to 4.5%, of the property value. That cut the cost to transfer property from 13.5% of the property value to 11%. Areas of Reform: Dealing with Construction Permits, Registering Property.
• St. Vincent and the Grenadines reduced its corporate tax rate from 40% to 37.5%. And it introduced a value-added tax at a standard rate of 15% to replace several existing taxes, including the hotel tax, consumption duty, entertainment tax, stamp duty on receipts, and domestic and international telecommunications surcharge. The country also enacted a bankruptcy law, its first set of rules regulating the bankruptcy of private enterprises. Areas of Reform: Paying Taxes, Closing a Business.
“Countries in Latin America and the Caribbean are increasingly committed to reform agendas, and Colombia and El Salvador are key examples,” said Sylvia Solf, lead author of the report. “The region’s most popular area for regulatory reform continues to be facilitating trade, followed by changes that make it easier to start a business,” she added.
Doing Business ranks countries based on 10 indicators of business regulation that track the time and cost to meet government requirements in starting and operating a business, trading across borders, paying taxes, and closing a business. The rankings do not reflect such areas as macroeconomic policy, quality of infrastructure, currency volatility, investor perceptions, or crime rates.
The Latin America and Caribbean perspective
Regulatory reforms are gaining momentum worldwide, and Latin America and the Caribbean region are part of this trend; the new report identifies 30 reforms to business regulation across half the region’s countries during the period analyzed by Doing Business 2009. Colombia is a global leader in reforming business regulations for the second year in a row - and the top Latin America regional reformer. With improvements in five areas covered by the report, it rises to 53 in the global rankings on the ease of doing business. The Bahamas, covered for the first time by the report, makes its debut at 55 in the global rankings.
From Mexico to Panama, countries made it easier to start a business, register property, pay taxes, and conduct trade across borders. El Salvador made significant reforms in starting a business and facilitating trade, while Honduras made key reforms for facilitating trade and paying taxes. Ecuador streamlined the trade process by improving port infrastructure, while Uruguay abolished its minimum capital requirement to incorporate a company and made improvements in tax and trade regulations.
Among regions, Eastern Europe and Central Asia led in reforms of business regulation for a fifth consecutive year, with more than 90 percent of its countries making improvements. And the trend is moving eastward as newcomers join the list of economies making the most reforms: the top 10 are, in order, Azerbaijan, Albania, the Kyrgyz Republic, Belarus, Senegal, Burkina Faso, Botswana, Colombia, the Dominican Republic, and Egypt.
Singapore leads the global rankings on the overall regulatory ease of doing business for a third consecutive year. New Zealand is runner-up, and the United States third. The highest-ranking economies in Latin America and the Caribbean are St. Lucia at 34, Puerto Rico at 35, and Chile at 40.
“Economies need rules that are efficient, easy to use, and accessible to all who have to use them. Otherwise, businesses get trapped in the unregulated, informal economy where they have less access to finance and hire fewer workers, and where workers lack the protection of labor law,” said Michael Klein, World Bank/IFC Vice President for Financial and Private Sector Development. “Doing Business encourages good rules, and good rules are a better basis for healthy business than ‘who you know,’” he added.
Doing Business 2009 ranks 181 economies on the overall ease of doing business. The top 25 are, in order, Singapore, New Zealand, the United States, Hong Kong (China), Denmark, the United Kingdom, Ireland, Canada, Australia, Norway, Iceland, Japan, Thailand, Finland, Georgia, Saudi Arabia, Sweden, Bahrain, Belgium, Malaysia, Switzerland, Estonia, Korea, Mauritius, and Germany.
Online Media Briefing Center:
Journalists can access the material before the expiration of the embargo through the World Bank Online Media Briefing Center at http://media.worldbank.org
Accredited journalists who do not already have a password may request one by completing the registration form at http://media.worldbank.org
The Doing Business project is based on the efforts of more than 6,700 local experts—business consultants, lawyers, accountants, and government officials—and leading academics around the world who provided methodological support and review. The data, methodology, and names of contributors are publicly available online at www.doingbusiness.org

Fact Sheet—Summary of Reforms in the Caribbean

Antigua and Barbuda reduced its corporate income tax rate from 30% to 25%.
Areas of Reform: Paying Taxes
Rank in Doing Business 2009: 43

In The Bahamas no major reform was recorded.
Rank in Doing Business 2009: 55

In Belize no major reform was recorded.
Rank in Doing Business 2009: 78

In Dominica no major reform was recorded.
Rank in Doing Business 2009: 74

The Dominican Republic, a top global and regional reformer, sped up formalities in several areas by making them electronic. An online system for filing and paying taxes, piloted in 2006, is now fully operational. And entrepreneurs can complete several start-up formalities online, including name verification, and commercial and tax registration. The Dominican Republic also reduced the corporate income tax rate from 29% to 25%, and abolished several taxes, including the stamp duty. The cost of property registration fell, thanks to a reduction in the transfer tax from 4.3% to 3%. Transferring property now costs 3.8% of the property value, down from 5.1%. In addition, authorities reduced the time to export by three days by improving the online portal for customs documentation and payment.
Areas of Reform: Starting a Business, Registering Property, Paying Taxes, Trading across Borders
Rank in Doing Business 2009: 97

In Grenada no major reform was recorded.
Rank in Doing Business 2009: 84

In Guyana no major reform was recorded.
Rank in Doing Business 2009: 105

Haiti reduced the time to export by a day, by implementing risk-based inspections in customs.
Areas of Reform: Trading across Borders
Rank in Doing Business 2009: 154

Jamaica, as part of an initiative to improve administrative efficiency, introduced a statutory time limit for issuing building permits, reducing the time required to build a warehouse by 80 days. It also reduced the property transfer tax from 7.5% to 6%, and the stamp duty from 5.5% to 4.5%, of the property value. That cut the cost to transfer property from 13.5% of the property value to 11%.
Areas of Reform: Dealing with Construction Permits, Registering Property
Rank in Doing Business 2009: 63

In St. Kitts and Nevis no major reform was recorded.
Rank in Doing Business 2009: 67

In St. Lucia no major reform was recorded.
Rank in Doing Business 2009: 34

St. Vincent and the Grenadines reduced its corporate tax rate from 40% to 37.5%. And it introduced a value-added tax at a standard rate of 15% to replace several existing taxes, including the hotel tax, consumption duty, entertainment tax, stamp duty on receipts, and domestic and international telecommunications surcharge. The country also enacted a bankruptcy law, its first set of rules regulating the bankruptcy of private enterprises.
Areas of Reform: Paying Taxes, Closing a Business
Rank in Doing Business 2009: 66

In Suriname no major reform was recorded.
Rank in Doing Business 2009: 146

In Trinidad and Tobago no major reform was recorded.
Rank in Doing Business 2009: 80

New report on economic growth offers lessons on achieving sustained, high economic growth

Wed, 21 May 2008 17:11:32 GMT

Contacts:

In Washington:

Maya Brahmam at +1-202-473-6231 or email at mbrahmam@worldbank.org

WASHINGTON, May 20, 2008 – The World Bank Group welcomes a new report by the independent Commission on Growth and Development, a global panel of eminent experts, which reveals important lessons from countries that have achieved high, long-term economic growth. The experts say the lessons learned could help policy makers in developing countries as they seek to set their countries on a steady growth path.

The Growth Report: Strategies for Sustained Growth and Inclusive Development says integration into the world economy, maintaining high rates of savings and investment, and committed, capable governments are among the key features of countries that have sustained growth rates above 7 percent for 25 uninterrupted years since World War II.

"This report underscores to the development community that one size doesn’t fit all." said World Bank Group President Robert B. Zoellick. I am especially pleased that it draws on input from first class practitioners and leaders who have hands-on pragmatic and practical experience of making inclusive development a success. This will help enrich the thinking and practice of the World Bank Group as well as others in the development field.” “

High, long-lasting growth is not easily achieved, but the report by some of the world’s top policy-makers and thinkers, believes it can be reproduced in developing countries, giving them a chance to reduce poverty and improve opportunity and quality of life for their citizens.

“We are acutely aware that there are no silver bullets to create long-running, inclusive growth, and that no single paradigm exists,” says Commission Vice Chair Danny Leipziger, who is also Vice President for Poverty Reduction and Economic Management at the World Bank. “While seeking to identify those key elements that can lead to long running and inclusive growth, the report is clear that policy makers will need to customize and experiment with polices rather than follow any rigid set of guidelines.”

Commission Chairman Michael Spence said: " What makes the report so unique is that it was prepared by policymakers, many from developing countries, who have been in the trenches themselves and have learned what works and why. It is these commissioners who are now providing their insights to the next generation of policymakers on ways to improve growth prospects and the quality of life in the poor parts of the globe."

Spence is one of two Nobel Laureates on the 21-member commission comprising leaders from business, government and academia. The Commissioners come from 18 countries that include a broad mix of developing, emerging and developed economies, as well as small island states and populous, large countries.

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To download full report click here:

http://www.growthcommission.org/

World Bank Broadens Transport Agenda

Wed, 21 May 2008 17:00:00 GMT

Contacts
In Washington:
Roger Morier (202) 473 5675, rmorier@worldbank.org
Anna Piasecka (202) 458 7027, apiasecka@worldbank.org

WASHINGTON, D.C., May 21, 2008 – The World Bank Group today launched a new transport business strategy for 2008-2012 that will help partner countries establish the governance, strategies, policies and services to deliver transport for development in a way that is economically, financially, environmentally and socially sustainable.

Called Safe, Clean, and Affordable… Transport for Development, the business strategy strengthens the alignment of the transport sector approach with the Millennium Development Goals adopted by the United Nations in 2000. At the same time, it widens the directions and deepens the routes that will be taken to meet the evolving development agenda. It gives more attention to emerging trends, such as trade globalization, urbanization of populations; rising concerns about climate change, the increase in traffic congestion; and the recognition of access as a key to both economic opportunity and good governance.

“In striving to achieve its development objectives—and foremost to eradicate poverty—the World Bank Group is mobilizing the transport sector to the fullest possible extent,” said Katherine Sierra, World Bank Vice President for Sustainable Development. ”To that end, the transport business strategy aligns Bank Group instruments along a few key strategic directions that will pave the way to truly sustainable development, one where transport plays a crucial role.”

“In a world with rising levels of greenhouse gases, poor road safety, and the too-frequent spread of communicable diseases along international routes, transport must be looked at anew. A coherent way forward requires innovative thinking and cooperation among sectors to optimize the role of transport without jeopardizing personal and commercial mobility.”

The Bank Group consulted widely in preparing its new business strategy, seeking contributions from over 75 transport development partners, governments, professional institutions, civil society organizations, multilateral and bilateral donors, and putting an early draft on its external website for four months to elicit public comments.

Safe Transport
Acknowledging the importance of transport for achieving public health outcomes within the Millennium Development Goals, the strategy stresses the need to mitigate the spread of HIV/AIDS, and to address safety in all transport modes, especially road transport. It also addresses the safety issue in air transport which, although globally much safer, still shows a safety record significantly affecting growth and investment prospects in some regions, in particular Sub-Saharan Africa. Transport and supply-chain security has also become a major issue in ensuring fair access of developing country exports to developed markets, and needs to be addressed as a new global public good.

“Road crashes kill an estimated 1.2 million people a year and injure 50 million more, disproportionately affecting the poor,” said Anthony Bliss, Lead Road Safety Specialist, Program Coordinator for the World Bank’s Global Road Safety Facility. “We are placing special emphasis on road safety, extending our support to include not only road safety components embedded in road infrastructure projects, but also larger stand-alone projects to formulate national policies and strategies that would improve road safety across the board. We will also pursue cross-sectoral approaches, such as including pre-hospital components in road programs and road safety components in health programs.”

Clean Transport
Urban air pollution, 90 percent of it generated by motor vehicles, kills an estimated 800,000 people each year. Transport now produces approximately 15 percent of global greenhouse gas emissions. Reflecting the contribution of transport to the wider environmental aims of the Millennium Development Goals, the strategy encompasses the transport-energy-environment nexus, from the energy consumption to the emissions and climate change impact perspectives. Going forward, the World Bank Group will be working to help restrain transport energy consumption. It will be assessing and controlling transport projects emissions, favoring shifts to low carbon modes.

“We are setting guidelines for environmentally effective transport planning and decision making,” said Jamal Saghir, Director, Energy, Transport and Water Department and Chair of the Transport Sector Board. “We are seeking ways to mitigate the effects of transport on the climate—and the effects of climate change on transport asset. We intend to build climate change issues into transport project appraisals where appropriate.”

Affordable Transport
An estimated 1 billion people in low-income countries lack access to an all-weather road. Affordable transport can enhance mobility and inclusion. It can promote social, economic, and political integration, by keeping a country together despite geographic disparities, by overcoming potential disputes over access to resources, and by defusing the seeds of conflict that sometimes arise from feelings of isolation.

Marc Juhel, Sector Manager for Transport stressed the fact that affordability concerns not only the rural and urban poor, but also the whole freight economy, aiming at improving competitiveness to foster stronger economic growth:

“The strategy stresses the need for better knowledge and control of transport costs, for both passengers and freight, on domestic and regional, urban and rural settings. The implementation of an effective urban transport strategy, reaching out to the growing urban poor population, is a key element of this approach. On the freight side, the cooperative work on trade and transport facilitation—in particular on customs and transit issues—will be strengthened.”

World Bank contribution to transport over previous decade
Since the Bank’s 1996 transport strategy, Sustainable Transport, was endorsed by the World Bank’s Board of Directors, the Bank Group has committed around US$42 billion for more than 530 dedicated transport operations and transport components in over 500 non-transport specific projects in more than 100 client countries. Lending in fiscal year 2007 (July 1, 2006 – June 30, 2007) reached over US$5 billion, amounting to 20 percent of World Bank Group new annual commitments.

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View the transport business strategy—Safe, Clean, and Affordable… Transport for Development at: http://www.worldbank.org/transport

Dominican Republic: Electricity Distribution Rehabilitation Project

Tue, 20 May 2008 22:01:46 GMT

WASHINGTON, May 20, 2008- The following project was approved by the World Bank’s Board of Executive Directors today:

IBRD Loan: USD$42 Million

TERMS: Maturity = 30 Years; Grace Period = 5 Years

PROJECT DESCRIPTION: The objective of the Electricity Distribution Rehabilitation Project for Dominican Republic is to: (a) increase the cash recovery index of the three electricity distribution companies in selected areas; and (b) improve the quality of electricity service.

For more information, please call Patricia da Camara (202) 473-4019 or e-mail her at pdacamara@worldbank.org

For project information, please visit: http://web.worldbank.org/external/projects/main?pagePK=64283627&piPK=73230&theSitePK=40941&menuPK=228424&Projectid=P089866

Dominican Republic/World Bank:US$42 Million Loan to Improve Energy Services

Tue, 20 May 2008 21:58:12 GMT

Contacts:

In Santo Domingo: Alejandra De La Paz (809) 566-6815

adelapaz@worldbank.org

In Washington: Patricia da Camara (202) 473-4019

pdacamara@worldbank.org

WASHINGTON, May 20, 2008— The World Bank Board of Directors today approved a loan of US$42 million for the Electricity Distribution Rehabilitation Project to improve service for customers of the energy distribution companies EdeNorte, EdeSur, and EdeEste in the Dominican Republic.

“This project will help reduce both technical losses and energy theft on the EDEs’ rehabilitated power circuits, as well as improve the quality of electricity service for regular customers,” said Yvonne Tsikata, World Bank Director for the Caribbean. Tsikata added that “the project will also help improve the quality of life for poverty-stricken households, which are always the most affected by the lack of electricity.”

The Electricity Distribution Rehabilitation Project is part of the 2005-2009 Country Assistance Strategy between the World Bank and the Dominican Republic, which aims to achieve sustained economic growth to help in poverty reduction.

Project goals include:

Increase the Cash Recovery Index (CRI) of the three EDEs by reducing technical losses and energy theft, as well as improving the companies’ coverage.
Increase the hours of electricity provided on rehabilitated circuits.

The initiative supports the design and implementation of the 24 Hours of Light Program based on the social agreements between the distribution companies and community organizations in several regions in the Dominican Republic. The initiative seeks to increase the electricity service to 24 hours in exchange for a substantial increase in the CRI. The rehabilitation of the power circuits will ensure improved quality of life and greater confidence in customer service as well as stabilize the precarious situation stemming from illegal connections.

In addition to the new loan, the World Bank’s energy sector projects in the Dominican Republic include a budget support loan for US$150 million (US$100 million of which was disbursed in 2006 and 2007) linked to the distribution companies’ increased CRI; and a technical assistance loan to the energy sector for improving its institutional performance.

The new World Bank fixed-margin loan for US$42 million based on a LIBOR rate has a payment period of 30 years and a five-year grace period.

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For more information about this project, visit this website

For more information about the World Bank in the Dominican Republic, visit: http://www.worldbank.org/do

World Bank Group President Appoints Vice President of Institutional Integrity

Mon, 05 May 2008 18:00:00 GMT

Contacts:
In Washington: Carl Hanlon (202) 473 8087
chanlon@worldbank.org

WASHINGTON, D.C. May 5, 2008 – World Bank Group President Robert B. Zoellick has named South African Leonard McCarthy to head the Bank’s Department of Institutional Integrity (INT). McCarthy has earned international recognition for investigations and prosecutions of individuals engaged in corruption as head of South Africa’s Directorate of Special Operations.

“Leonard McCarthy is recognized worldwide for his integrity, independence, and effectiveness in fighting corruption and strengthening good governance,” says Zoellick. “This is the first time that the Department of Institutional Integrity will be headed at the level of Vice President, and McCarthy brings to the post stature, skill, and tested experience. This post is critical for our work, reputation, and fiduciary duty. I am confident that he will bring effective leadership to our highest obligation to protect the Bank’s assets and hold people, businesses, and governments responsible if they steal from the poor.”

McCarthy’s work with South Africa's National Prosecuting Authority has included investigating and prosecuting high profile cases of financial crime, organized crime, and high-level corruption. He has worked closely with African governments and law enforcement officials across the globe to expose and prosecute transnational financial crime. McCarthy was formerly a Director of Public Prosecutions appointed by President Nelson Mandela.

An experienced trial lawyer, he has held numerous positions in government, including Investigating Director in the Office for Serious Economic Offenses, Deputy Attorney General in Cape Province and Senior Public Prosecutor. He holds a Bachelor of Laws Degree from the University of South Africa in Cape Town.

Following talks with the South African government, President Mbeki has agreed to release McCarthy from service, to take up the position at the World Bank on June 30, 2008.

“I am honored to receive this appointment and to be joining the World Bank, I believe strongly in its vision, said McCarthy. “President Zoellick has made clear to me the strong emphasis he places on INT’s role, its need for strong, highly skilled people who will both pursue investigations and integrate anti-corruption work into Bank projects across the world. I am committed to delivering results and building on INT’s work to strengthen financial due diligence and ensure that precious development resources benefit people who need them most.”

McCarthy was selected from a list of candidates assessed by an internal search committee with the addition of former Federal Reserve Chairman Paul Volcker, who led a review of INT last year. In his report Volcker called for greater attention to protect against corruption in designing and implementing Bank programs.

Mr. Volcker has welcomed the fact that: “the Bank is now implementing the recommendations of the Panel he chaired, importantly including elevating the head of INT to the level of vice president.”

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World Bank Marks World Press Freedom Day with Study on Broadcasting and Development

Fri, 02 May 2008 12:30:00 GMT

Contact:

In Washington: Christopher Neal, (202) 473-2049

Cneal1@worldbank.org

MAPUTO, May 2, 2008—The World Bank marked World Press Freedom Day by launching a study outlining conditions under which radio, television and online broadcasting can fulfil a vital role in development by making governments accountable, and giving voice to the world’s poor.

“Huge numbers of people, including those who can’t read, have access to broadcast media,” said Kreszentia Duer, of the World Bank Institute (WBI), who presented the study, Broadcasting, Voice and Accountability, at a conference here on freedom of expression hosted by UNESCO. “In countries with strong oral traditions, community broadcasting can enable people to share information and raise issues with a large audience, and hold government officials to account. This makes broadcasting a powerful tool for enhancing governance and promoting development.”

The 400-page study, subtitled A Public Interest Approach to Policy, Law and Regulation, is the result of five years of research by six media experts, including Ms. Duer, Steve Buckley, president of the World Association of Community Broadcasters; Toby Mendel, ARTICLE 19, Global Campaign for Free Expression; Seán Ó Siochrú, founder of the Campaign for Communication Rights in the Information Society; Monroe E. Price, of the Annenberg School for Communication at the University of Pennsylvania; and Marc Raboy, of Canada’s McGill University.

The study reviews broadcasting practices and regulations around the world, and identifies those which produce an “enabling environment” for broadcasting that is free, independent and pluralistic. These characteristics are essential, the report says, for broadcasting to perform an effective role in giving people voice, and ensuring government accountability.

Drawing from their research, the authors propose standards on freedom of expression, access to information, use and misuses of defamation law, content rules and limits to free speech, and the regulation of journalists. The study also offers guidelines on best practice for broadcast regulators, as well as the respective roles of public service, community non-profit, and commercial private sector broadcasters, all of which, it argues, should be present in a healthy media environment.

Co-author Steve Buckley notes that increased movement towards democracy in developing countries opens the way to build broadcasting that serves the public interest.

“Countries that are opening their economies, democratizing, and decentralizing public service delivery are looking for guidance on how to involve citizens in decisions that affect them,” he said. “Broadcasting, enabled by the right regulation and conditions, can empower groups through bottom-up participation.”

The book cites countries that have developed systems to enhance the quality and diversity of media content, while fully respecting freedom of expression, and identifies ways in which government regulation can expand access to broadcast media. Community broadcasting, for example, can be encouraged through special licensing arrangements that guarantee fair and equitable access to radio frequencies and financial support.

“This book focuses on useful proactive approaches to setting up, sustaining, and governing broadcasting systems across the world,” said Ruth Teer-Tomaselli, UNESCO Chair in Communication for Southern Africa at the University of KwaZulu-Natal. “It’s based on sound scholarship and provides practical advice for policymakers, media scholars and broadcasters alike.”

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For more information, please visit:

http://web.worldbank.org/WBSITE/EXTERNAL/WBI/0,,contentMDK:21747844~pagePK:209023~piPK:207535~theSitePK:213799,00.html

To order: http://publications.worldbank.org/ecommerce/catalog/product?item_id=8100893

Dominican Republic: Emergency Recovery and Disaster Management Project

Thu, 01 May 2008 20:24:03 GMT

IBRD Loan: US$ 80.0 million

Terms: Maturity = 20 years; Grace = 5 years

Project Description: The Emergency Recovery and Disaster Management Project aims to restore and strengthen priority, irrigation, electricity, water, and sanitation infrastructure damaged by Tropical Storms Olga and Noel, (ii) enhance critical infrastructure in these sectors to reduce future storm-related impacts, and (iii) strengthen basic capacity for future risk management. These aims will be achieved via three components: (1) Rehabilitation and Risk Management in the Water Resources Sector; (2) Rehabilitation and Risk Management in the Electricity Sector; and (3) Rehabilitation of Water and Sanitation Infrastructure in Santo Domingo and Santiago.

For more information, please call Stevan Jackson at (202) 458-5054 or email sjackson@worldbank.org

For project documents, please visit:

http://web.worldbank.org/external/projects/main?pagePK=64283627&piPK=73230&theSitePK=40941&menuPK=228424&Projectid=P109932

Dominican Republic: World Bank Approves US$80 Million for Infrastructure Rehabilitation and Disaster Management

Thu, 01 May 2008 18:12:28 GMT

Contacts:

In Santo Domingo: Alejandra De La Paz (809) 566-6815

adelapaz@worldbank.org

In Washington: Patricia da Camara (202) 473-4019

pdacamara@worldbank.org

WASHINGTON, May 1, 2008—The World Bank Board of Directors today approved an US$80 million loan for the Dominican Republic to support the country’s recovery efforts after Tropical Storms Noel and Olga.

“We have responded positively to the Dominican government request for support, because we understand the adverse social and economic impact that this kind of natural occurrences have in the countries of the region,” said Yvonne Tsikata, World Bank Director for the Caribbean. “This financing will support the government’s efforts to alleviate the conditions of thousands of affected families,” Tsikata added.

The Emergency Recovery and Disaster Management Projectwill finance rebuilding and restoring physical assets in the electricity, irrigation and water supply sectors. In addition, it will support measures to mitigate potential effects of future emergencies.

At the end of 2007, the Dominican Republic was hit by two unexpected tropical storms that left thousands of families homeless. The storms also damaged crops and destroyed roads, bridges, as well as important electricity infrastructure and irrigation systems. In that sense, the new loan will contribute to the rehabilitation efforts and to strengthen the management capacity of key government institutions.

The new initiative seeks to:

Restore irrigation, electricity, water, and sanitation infrastructure damaged by Tropical Storms Olga and Noel; and

Improve the capacity of the National Institute of Hydraulic Resources (INDRHI) and the Dominican Corporation of State Electrical Companies (CDEEE) for future risk management.

By the end of the project, it is expected to restore the functioning of services in targeted project areas, and improve disaster risk management systems for irrigation, water resources management, and electricity.

This US$80 million fixed-spread loan from the International Bank for Reconstruction and Development (IBRD) is repayable in 30 years, including five years of grace.

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For information on this project, please visit:

http://web.worldbank.org/external/projects/main?pagePK=64283627&piPK=73230&theSitePK=40941&menuPK=228424&Projectid=P109932

For more information on the World Bank’s work in the Dominican Republic, please visit: http://www.worldbank.org/do