Published: Tuesday 18 December 2012
“While most of the hardest hit economies are middle-income countries, or even high-income nations, some of the world’s poorest countries are also victims.”

The developing world lost nearly one trillion dollars in 2010 as a result of corruption, tax evasion, and other financial crimes not involving cash transactions, according to a new report released here Monday by Global Financial Integrity (GFI).

The six-year-old research and advocacy group said that global financial corruption has grown steadily over the past decade despite unprecedented efforts by governments and non-governmental organizations (NGOs) to curb it.

It found that illicit financial outflows cost developing countries a total of 859 billion dollars in 2010, the latest year for which trade and other data compiled mainly by the International Monetary Fund (IMF) and the World Bank is available.

That sum was approximately 10 times the roughly 88 billion dollars provided to developing ...

Published: Thursday 6 December 2012
From Typhoon Bopha in the Philippines to Superstorm Sandy in the United States, the web of climate activists is not tangled, but growing stronger, leading the way.

 

The 18th U.N. climate-change summit is taking place in the small but immensely wealthy Gulf emirate of Qatar, the largest per capita emitter of greenhouse gases in the world. Delegates, press, dignitaries and the legions of low-paid, foreign guest workers here at the opulent Qatar National Convention Center all pass under an enormous spider, a 30-foot-high cast-bronze statue called “Maman,” by the French-American sculptor Louise Bourgeois. It was chosen by the emir’s wife, and snapped up for a reported $10 million. The Obama administration has been accused, rightly, of derailing the UN climate negotiations in recent years, which makes the spider an appropriate symbol, as famously described by the lines from an 1808 poem by Sir Walter Scott,

“Oh! what a tangled web we weave

When first we practice to deceive!”

Here at the summit, referred to as the COP 18 (18th Conference of Parties), I met up with climate scientist Bill Hare, one of the lead authors of a new World Bank report, “Turn Down the Heat: Why a 4 Degree C Warmer World Must Be Avoided.” With the U.S. media focused on the so-called fiscal cliff, I asked Hare how the world’s historically largest emitter of greenhouse gases, the United States, could be expected to contribute to a global fund to combat climate change:

“We have a climate cliff. ... We’re facing a carbon tsunami, ...

Published: Thursday 29 November 2012
Faced with unbearable debt and health problems, the National Crime Records Bureau predicts that 5,000 farmers will have committed suicide by the end of the year.

 

The government of Maharashtra, a state in western India, has acknowledged for the first time that Bt cotton is a failure that will likely reduce yields by 40%, from 3.5 to 2.2 million quintal. The region’s cotton farmers will face about Rs6,000 crore, over 1 billion USD. Accumulated losses are to be even more staggering: Rs 20,000 crore, or about 3.6 billion USD, due to rising cultivation costs.

Faced with unbearable debt and health problems, the National Crime Records Bureau predicts that 5,000 farmers will have committed suicide by the end of the year, compared to last year’s 3,500. If you’re surprised by this number, know that Monsanto’s cost-inflated and ineffective seeds have been driving farmers to suicide for quite some time, and is considered to be one of the largest — if not the largest — cause of the quarter of a million farmer suicides over the past 16 years.

“The agrarian crisis sweeping through the state due to Bt cotton failure has only widened,” says Kishore Tiwari from the farm advocacy group Vidarbha Janandolan Samiti. “Unlike when cotton crop failure was reported only from Vidarbha and Marathawada, reports of such crop failure are now coming in from Khandesh in north Maharashtra, too.”

Government Role in ...

Published: Thursday 29 November 2012
It seems insane that this nation’s leaders, corporate and political, would even now still be deliberately refusing to take action to protect the Earth, which of course they and their children and grandchildren will also have to live on, and yet almost to a one they are on the side of the deniers or the delayers.

 

What if the leaders of the United States -- and by leaders I mean the generals in the Pentagon, the corporate executives of the country’s largest enterprises, and the top officials in government -- have secretly concluded that while world-wide climate change is indeed going to be catastrophic, the US, or more broadly speaking, North America, is fortuitously situated to come out on top in the resulting global struggle for survival?

I’m not by nature a conspiracy theorist, but this horrifying thought came to me yesterday as I batted away yet another round of ignorant rants from people who insist against all logic that climate change is a gigantic fraud being perpetrated, variously, by a conspiracy of the oil companies who allegedly want to benefit from carbon credit trading, the scientific community, which allegedly is collectively selling out and participating in some world-wide system of omerta in order to get grants, or the world socialist conspiracy, which of course, is trying to destroy capitalism), or all the above. (God, whenever I write anything on climate change these people hit me with flame-mail like mayflies spattering a car windshield in mating season!)

What prompted me to this dark speculation about an American conspiracy of inaction was the seemingly incomprehensible failure of the US -- in the face of overwhelming evidence that the Earth is heating up at an accelerating rate, and that we are in danger of soon reaching a point of no return where the process feeds itself -- ...

Published: Tuesday 27 November 2012
The political and corporate elites in the industrialized world continue, in spite of overwhelming scientific data, to place short-term corporate profit and expediency before the protection of human life and the ecosystem.

 

Humans must immediately implement a series of radical measures to halt carbon emissions or prepare for the collapse of entire ecosystems and the displacement, suffering and death of hundreds of millions of the globe’s inhabitants, according to a report commissioned by the World Bank. The continued failure to respond aggressively to climate change, the report warns, will mean that the planet will inevitably warm by at least 4 degrees Celsius (7.2 degrees Fahrenheit) by the end of the century, ushering in an apocalypse.

The 84-page document, “Turn Down the Heat: Why a 4°C Warmer World Must Be Avoided,” was written for the World Bank by the Potsdam Institute for Climate Impact Research and Climate Analytics and published last week. The picture it paints of a world convulsed by rising temperatures is a mixture of mass chaos, systems collapse and medical suffering like that of the worst of the Black Plague, which in the 14th century killed 30 to 60 percent of Europe’s population. The report comes as the annual United Nations Conference on Climate Change begins this Monday [Nov. 26] in Doha, Qatar.

A planetwide temperature rise of 4 degrees C—and the report notes that the tepidness of the emission pledges and commitments of the United Nations Framework Convention on Climate Change will make such an increase almost inevitable—will cause a precipitous drop in crop yields, along with the loss of many fish species, resulting in widespread hunger and starvation. Hundreds of millions of people will ...

Published: Tuesday 20 November 2012
“Since the Obama administration came to power in January of 2009, the Trans-Pacific Partnership has become a quiet priority for the U.S.”

In 2008, the United States Trade Representative Susan Schwab announced the U.S. entry into the Trans-Pacific Partnership talks as “a pathway to broader Asia-Pacific regional economic integration.” Originating in 2005 as a “Strategic Economic Partnership” between a few select Pacific countries, the TPP has, as of October 2012, expanded to include 11 nations in total: the United States, Canada, Mexico, Peru, Chile, New Zealand, Australia, Brunei, Singapore, Vietnam and Malaysia, with the possibility of several more joining in the future.

What makes the TPP unique is not simply the fact that it may be the largest “free trade agreement” ever negotiated, nor even the fact that only two of its roughly 26 articles actually deal with “trade,” but that it is also the most secretive trade negotiations in history, with no public oversight, input, or consultations.

Since the Obama administration came to power in January of 2009, the Trans-Pacific Partnership has become a quiet priority for the U.S., which overtook the leadership role in the “trade agreement” talks. In 2010, when Malaysia joined the TPP, the Wall Street Journal suggested that the “free-trade pact” could “serve as a counterweight to China’s economic influence,” with Japan and the Philippines both expressing interest in joining the talks.

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Published: Sunday 18 November 2012
As such, the safeguards have long been a flashpoint for criticism and reform efforts by civil society organizations frustrated with certain bank projects or practices.

The World Bank has begun a highly anticipated reappraisal of its social and environmental “safeguards” policies, a process that is slated to take place over the next two years.

“We’ve begun the process of updating … these critical polices, which have been the cornerstone of our collective efforts to protect people and the environment,” Cyril Muller, the World Bank’s vice-president for external affairs, said Thursday at the institution’s Washington headquarters, which saw initial discussions on the review process.

“This is a key process as a way to make our institution as effective as possible,” he said.

These eight broad policies guide certain World Bank investments dealing with complex issues relating to indigenous peoples, involuntary resettlement, natural habitats and cultural resources. As such, the safeguards have long been a flashpoint for criticism and reform efforts by civil society organizations frustrated with certain bank projects or practices.

In fact, the implications of the safeguards are broader than just the World Bank’s own work. As the bank stated in an approach paper on the review process released in mid-October, the policies have become a “global standard for other development partners”.

Yet many analysts have suggested that the bank has, over time, fallen behind the social and environmental assessments that have become standard in other multilateral development institutions.

In fact, following a critical internal report in 2010 that led to the current review, the bank appeared to agree. ...

Published: Wednesday 14 November 2012
“Education is now recognized as a national priority.”

Official delegations from the world’s nine most populous developing countries just met in New Delhi to discuss a subject vital for their countries’ futures: education. The meeting of ministers and others from Bangladesh, Brazil, China, Egypt, India, Indonesia, Mexico, Nigeria and Pakistan, known as the E-9, is the latest in a series of encounters held every two years to fulfill the pledge of “education for all” by 2015.

The E-9 account for 54% of the world’s population, 42.3% of children not in school, 58% of young illiterates (aged 15-24), and 67% of adult illiterates (two-thirds of whom are women). So the challenges are enormous: children, from families too poor to think about education, beyond the reach of schooling and too malnourished to study; and too few schools, classrooms, teaching resources, and adequately trained teachers. Rampant illiteracy underpins other problems, including exploding populations, gender imbalances, and widespread poverty.

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Published: Sunday 28 October 2012
“Since a major new push began in 2005, the World Bank-led Global Gas Flaring Reduction (GGFR) partnership estimates that, through 2011, its actions have brought down gas flaring by 20 percent, eliminating around 274 million tons of carbon dioxide emissions.”

An international coalition led by the World Bank is calling for state-backed and private oil producers to reduce “gas flaring” by an additional 30 percent over the next five years, saying that doing so would be equivalent to taking 60 million cars off of the roads.

Analysts widely characterized the goal as both ambitious and significant, though it follows on an apparent leveling out in flaring reductions in recent years.

Since a major new push began in 2005, the World Bank-led Global Gas Flaring Reduction (GGFR) partnership estimates that, through 2011, its actions have brought down gas flaring by 20 percent, eliminating around 274 million tons of carbon dioxide emissions.

But according to the GGFR – a coalition of 20 major oil companies and 19 countries – which started a two-day high-level meeting in London on Wednesday, both the economic and environmental impacts of gas flaring require far greater reductions.

“A 30 percent cut in five years is a realistic goal,” Rachel Kyte, the World Bank’s vice-president for sustainable development, said in a statement Wednesday. “Given the need for energy in so many countries – one in five people on the planet are without electricity – we need to raise our ambition. We simply cannot afford to waste this gas anymore.”

Oil producers resort to flaring when gas, a by-product of oil, is brought up to the surface but cannot easily be repurposed for consumers. Instead, producers simply burn off the product, the value of which the World Bank, based here in Washington, puts at some 50 billion dollars a year.

The total amount of gas estimated to have been flared last year, about five trillion cubic ...

Published: Sunday 14 October 2012
“Financial leaders and influential policymakers have also identified the importance of investment in infrastructure and technology transfer in order to boost sustainable growth in developing economies.”

Developing countries – ­relegated to the sidelines of the West-led postwar expansion – have emerged as the saving grace of the global economy against a backdrop of calls for a new economic model that can ease the ravages of globalization and address the lack of confidence in market-based systems.

Indeed, supporting economic growth in developing countries in a way that expands domestic productivity and stimulates global demand has been a core message at the annual meetings of the World Bank and International Monetary Fund (IMF) underway in Tokyo this week.

Financial leaders and influential policymakers have also identified the importance of investment in infrastructure and technology transfer in order to boost sustainable growth in developing economies.

“The envisaged global superhighway has not realized enough growth in the world,” said IMF Managing Director Christine Lagarde, pointing out that economic expansion is currently being recorded mostly in developing countries.

Speaking at a discussion on globalization here, Lagarde says the key economic challenge today is the trend of decreasing job opportunities for youth, suggesting that nations can help each other in meeting these challenges.

“I fear an intergenerational conflict if our financial model leaves increasing debt for the younger generation,” she warned.

Western economies in particular have been hit with massive unemployment among the younger generation. Unemployment rates are as high as 50 percent in countries such as Spain and Greece, both dealing with severe austerity plans imposed by global financial lending institutions.

But Asia, by contrast, has been recording expansion. China, Asia’s growth engine, has shown an average annual 10 percent GDP growth over the past decade and is now the world’s second largest economy.

Published: Tuesday 2 October 2012
The issue confronting policymakers, the World Development Report’s researchers suggest, is trying to identify which jobs are more transformational in bringing about these desired outcomes.

 

The World Bank warned Monday that over the next decade and a half, the world will need to create 600 million new jobs, particularly in Asia and Sub-Saharan Africa, just to maintain current employment rates.

A senior World Bank economist, Martin Rama, called the figure “staggering”.

“But the numbers are only part of story,” Rama cautioned in a conversation with journalists Monday. “Social safety nets in many countries are too modest for people to be out of work for too long. In reality, most of the poor work long hours, but don’t make enough to make ends meet. So it’s not just the number of jobs, but also what people do.”

Releasing its flagship annual World Development Report (WDR) for 2013, this year focusing on ...

Published: Wednesday 19 September 2012
“Our Ancestors Left This for Us to Protect.”

 

 

"At this very moment we have advanced our struggle. We succeeded in breaking the gate of shame in Vallecito!" wrote Miriam Miranda on September 13 in the latest communiqué from the Black Fraternal Organization of Honduras (OFRANEH), a human rights organization of the Afro-indigenous Garífuna people. Writing from Honduras, Miriam, the coordinator of OFRANEH, told about the first victory in the Garífuna's most recent campaign to win back their legal and ancestral lands lost to mega-development projects.


Two weeks ago, OFRANEH and its allies set out to reclaim a significant portion of Vallecito, the site of the largest single landholding of the Garífuna people. This most recent action was part of a decades-old struggle to maintain their territory, agriculture, and livelihood on the northern coast of Honduras. They established a camp outside the locked gates that surround the disputed land and demanded the government resurvey the territory and put it back in Garífuna hands. They also demanded protection from wealthy developers' intimidation tactics, including regular death ...

Published: Sunday 9 September 2012
“Use of corn in the production of ethanol in the U.S.—accounting for up to 40 percent of corn crop—has also been blamed for the price jump.”

 

Food prices are rising, and consumers are feeling it. Rising food prices aren’t only hitting America, they are happening around the world. Costs have gone up 10 percent between June and July alone, with corn, soybeans, and wheat reaching record prices. This outpaces the United Nations Food and Agriculture Organization’s estimate of a 6 percent increase.

Rising Food Prices and Vulnerable Populations

While we may all see small changes in the grocery store and in grocery bills, World Bank president Jim Yong Kim says countries reliant on imported grains, especially “Africa and the Middle East are particularly vulnerable.”

The World Bank attributes the price jump mainly to the American heatwave and drought in Eastern Europe, which has hurt corn and soy in the US and wheat in Russia, Ukraine, and Kazakhstan. Use of corn in the production of ethanol in the U.S.—accounting for up to 40 percent of corn crop—has also been blamed for the price jump.

But of course this isn’t the beginning of rising food prices. Costs have been going up for some time now; you can see a food price index we covered around just last Thanksgiving. The food index count, which is an overall score reflecting the total price of the top 6 food commodities, rose to 215 in December of 2010 — up from 90 in the year 2000. Sugar spearheaded the spike, hitting only 2 points away from the 400 mark in December of 2010.

Rice is the only staple that has actually decreased in price (by 4 percent).

G20 Unsympathetic to Those in Need

“We cannot allow ...

Published: Friday 31 August 2012
“In recent months, watchdog groups around the world have expressed frustration with a perceived lack of both urgency and creativity on the part of national and multilateral policymakers in dealing with the return of food prices to near-crisis levels.”

 

After decreasing somewhat in recent months, international food prices have again risen dramatically, according to figures published on Thursday by the World Bank. Statistics for July indicate a 10 percent rise over just the previous month, and a six percent increase over already high prices from the same time frame a year ago.

“Food prices rose again sharply, threatening the health and well-being of millions of people,” World Bank President Jim Yong Kim said in a statement on Thursday from the bank’s Washington headquarters. “Africa and the Middle East are particularly vulnerable, but so are people in other countries where the prices of grains have gone up abruptly.”

That list includes countries around the world. According to the World Bank’s new Food Price Watch, between June and July prices for both maize and wheat increased by 25 percent, while soybeans went up by 17 percent. That leaves prices one percent higher than the previous price peak in February 2011.

Kim noted that the World Bank has already brought its agriculture support to its highest level in the past two decades.

“We cannot allow these historic price hikes to turn into a lifetime of perils as families take their children out of school and eat less nutritious food to compensate for the high prices,” he said. “Countries must strengthen their targeted programs to ease the pressure on the most vulnerable population.”

In recent months, watchdog groups around the world have expressed frustration with a perceived lack of both urgency and creativity on the part of national and multilateral policymakers in dealing with the return of food prices to near-crisis levels.

“Today’s ...

Published: Wednesday 29 August 2012
What at first seems odd is that there hasn’t been commercial gold mining here for at least a decade—since the U.S. company Commerce Group left.

“The water‘s bright orange,” we exclaim while balancing ourselves precariously on rocks alongside a spring. We are visiting the community of San Sebastian in the province of La Union in the northeast corner of El Salvador. Above us stands a mountain with a prominent slash where U.S. and other firms mined gold for over a century, a mountain that also happens to be a key watershed for this area. 

“I’ve seen this water also cranberry red and also bright yellow,” our companion responds. But then she quickly adds: “Remember: don’t touch the water. Last time I was here, I slipped and ended up with rashes all over my leg and stomach where I got wet.” She doesn’t need to remind us. Experts from the Salvadoran government’s Ministry of the Environment and Natural Resources were here in July 2012 and they found levels of cyanide and iron that were through the roof.

What at first seems odd is that there hasn’t been commercial gold mining here for at least a decade—since the U.S. company Commerce Group left. But, as we learn on this, our second, research trip to El Salvador, a decade or two can be a blink of an eye for the environmental havoc wreaked by gold mining. These ancient mountains contain not only gold and many other minerals, but also sulfide. It is a deadly combination with long-term consequences: once the mining excavations expose sulfide to the air and rain, it is converted to sulfuric acid. With each new rain, the acid unleashes new toxic substances down the mountain and into the ...

Published: Friday 24 August 2012
“Since the global economic meltdown began in 2007, the green economy has come to mean something more akin to the wholesale privatization of nature.”

 

Everywhere you look these days, things are turning green. In Chiapas, Mexico, indigenous farmers are being paid to protect the last vast stretch of rainforest in Mesoamerica. In the Brazilian Amazon, peasant families are given a monthly “green basket” of basic food staples to allow them to get by without cutting down trees. In Kenya, small farmers who plant climate-hardy trees and protect green zones are promised payment for their part in the fight to reduce global warming. In Mozambique, one of the world’s poorest nations, fully 19 percent of the country’s surface is leased to a British capital firm that pays families to reforest.
These are a few of the keystone projects that make up what is being called “the green economy”: an emerging approach that promises to protect ­planetary ecology while boosting the economy and fighting poverty.

On its face this may sound like a good thing. Yet, during the recently concluded United Nations Rio+20 Earth Summit in Brazil, tens of thousands of people attending a nearby People’s Summit condemned such approaches to environmental management. Indeed, if social movements gathered in Rio last month had one common platform, it was “No to the green economy.”

Whose Economy? Whose Green?

Just a few years ago, the term “green economy” referred to economies that are locally based, climate friendly, and low-impact. But since the global economic meltdown began in 2007, the green economy has come to mean something more akin to the wholesale privatization of nature. This green economy is about putting a price on natural cycles through a controversial set of policies called “Payments for Ecosystem ...

Published: Monday 30 July 2012
“Charter schools also can take money away from the public system, and their teachers have fewer years of experience and a higher turnover rate.”

 

The privatization of public goods and services turns basic human needs into products to buy and sell. That's more than a joke, it's an insult, it's a perversion. It generally benefits only a privileged group of businesspeople and their companies while increasing inequality and undermining the common good. 

 

Various studies have identified the 'benefits' of privatization as profitability and productivity, efficiency, wider share ownership and good investment returns. These are business benefits. More balanced studies consider the effects on average people, who have paid into a long-established societal support system for their schools and emergency services, water and transportation systems, and eventually health care and retirement benefits. These studies have concluded that: 

 

-- Privatization has generated large profits for new owners but these have not been shared with the general public. 

 

-- The potential benefits of privatization are often outweighed by high contracting costs and opportunism. 

 

-- Most

Published: Saturday 28 July 2012
“It was the first time in 22 years that the United States hosted the conference due to the Obama administration’s reversal of a two-decade ban that prevented people infected with HIV from entering the country.”

The world's largest international AIDS conference concludes today in Washington, D.C. It was the first time in 22 years that the United States hosted the conference due to the Obama administration's reversal of a two-decade ban that prevented people infected with HIV from entering the country. We speak to Stephen Lewis, co-founder and co-director of AIDS-Free World. From 2001 to 2006, he served as the U.N. Secretary-General's Special Envoy for HIV/AIDS in Africa. He is the former Canadian ambassador to the United Nations. Lewis warns more money needs to be spent on the fight against AIDS. "We are always struggling for the crumbs and the pennies from the table [for global public health] when we know the amounts of money available for other and more perverse purposes internationally, and that too has to end," Lewis says.

 

Transcript

AMY GOODMAN: This is Democracy Now!, democracynow.org, The War and Peace Report. I’m Amy Goodman, broadcasting from Baltimore, Maryland, not far from where the world’s largest international AIDS conference concludes today in Washington, D.C. It was the first time in 22 years that the United States hosted the conference, due to the Obama ...

Published: Monday 23 July 2012
“In order to reach the monetary figure, which many are calling quite conservative, economist James Henry commissioned was by the Tax Justice Network — a group that seeks to bring tax evasion to light.”

 

Major banks and the financial global elite are now confirmed to have as much as $32 trillion in hidden assets stashed away in offshore accounts that are subject to little or no taxation. As a result, around $280 billion is estimated to be lost in tax revenues. In other words, the multi-trillion dollar banks and elite families are avoiding any taxation while forcing United States citizens to foot the bill. Amazingly, the $32 trillion stashed away represents the overall GDP of the United States and Japan combined.

In order to reach the monetary figure, which many are calling quite conservative, economist James Henry commissioned was by the Tax Justice Network — a group that seeks to bring tax evasion to light. Even the Tax Justice Network was quite shocked by the outcome, with spokesperson John Christensen saying he was ultimately startled by the “scale” of the numbers. What’s more concerning than the numbers, however, is the entities behind them. The report revealed that major banks such as Bank of America and Citigroup were among the many major corporations and banking organizations to hide their assets in offshore tax havens.

Bank of America, HSBC, Global Elite Families Among Listed

In an interview with the news organization Al Jazeera, Christensen explains just how deep the report goes:

“We’re talking about very big, well-known brands – HSBC, Citigroup, Bank of America, UBS, Credit Suisse – some of the world’s biggest banks are involved…and they do it knowing fully well that their clients, more often than not, are evading and avoiding taxes.”

To find the incriminating information, Henry (the economist working ...

Published: Wednesday 4 July 2012
Another thing missing from these discussions -- it’s not just the words ‘climate change,’ but the words ‘public sector.’

As we discuss the spate of extreme weather in the United States, the author and professor Christian Parenti argues that the Republican-led assault on the public sector will leave states more vulnerable to global warming's effects. "Another thing missing from these discussions -- it's not just the words 'climate change,' but the words 'public sector,'" Parenti says. "I mean, who's out there fighting these fires? It's the public sector. Where do people go when there are these cooling centers? It's the public sector. ... This assault on the public sector must be linked to climate change." We're also joined by The Guardian's U.S. environment correspondent Suzanne Goldenberg and by Jeff Masters, director of meteorology at the Weather Underground website.  

Transcript

NERMEEN SHAIKH: I want to bring in Christian Parenti into the conversation. He’s the author of Tropic of Chaos, most recently.

You’ve talked a lot about the effects of global warming and climate change in the rest of the world, especially in the Global South. One of the arguments made for why in the U.S. there is so much climate science denial is that populations here are ...

Published: Sunday 24 June 2012
With global municipal solid waste set to double in by 2025 — mostly in developing countries without the capabilities to manage that waste — many say it’s one of the most pressing environmental problems of our time.

It was too perfect. And sad. On my way to see experts at Rio+20 speak about the growing waste problem in the developing world, I watched a man on his cell phone walk up to a recycling bin and dump his trash in the wrong receptacle. He walked off without even realizing what he had done.

It perfectly encapsulated the challenge. If people with access to proper recycling and waste management services aren’t using them properly, what about countries without those services?

According to experts at Rio+20, the problem is far greater than the international community is recognizing. With global municipal solid waste set to double in by 2025 — mostly in developing countries without the capabilities to manage that waste — many say it’s one of the most pressing environmental problems of our time.

“We are creating an environmental disaster that developing countries are ignoring at their own peril,” said David Newman, a board member with the International Solid Waste Association.

Less than half the world’s population has access to proper waste disposal, causing mountains of hazardous trash — including a growing amount of e-waste — to pile up. By 2020, e-waste from consumer electronics will jump 500% in some countries. That’s causing toxic chemicals to leach into groundwater and putting a financial burden on economically-constrained countries.

The United Nations has identified waste reduction strategies as a key part of its sustainable development goals. Chemical and municipal waste is mentioned frequently in the draft text that negotiators are putting together at Rio+20.

We recognize the importance of adopting a life-cycle approach and of further development and implementation of policies for resource efficiency and environmentally sound waste management. We therefore commit to further reduce, reuse ...

Published: Monday 18 June 2012
The fact that more than six decades after India gained independence, and after two decades of some of the highest economic growth rates in the world, almost a third of the country was still poor—or the fact that India’s highest planning body actually considers anyone earning more than $0.52 a day as not fitting into their definition of poor.

 

In March 2012, the Indian Planning Commission stated that 29 percent of India’s population was poor. These were people who had less than Rs.22.42 (US $0.41) a day if they were living in villages, or Rs. 28.35 (US $0.52) if in a city. The Commission’s happy conclusion was that poverty had fallen from 37 percent since its last measurement in 2004-05.

It is difficult to decide which is the more remarkable figure here. The fact that more than six decades after India gained independence, and after two decades of some of the highest economic growth rates in the world, almost a third of the country was still poor—or the fact that India’s highest planning body actually considers anyone earning more than $0.52 a day as not fitting into their definition of poor. Activists pointedly asked the government economists if any of them could live on that amount in New Delhi; the response, of course, was a resounding silence.

If even slightly more realistic figures are used, the grim reality of poverty in India is revealed. Taking the World Bank criterion of $1.25 (PPP) a day, for instance, there were 456 million “poor” Indians (42 percent of population) in 2005. Estimates that take nutritional and caloric needs into account bump the number in poverty up to 60 – 80 percent.

Development’s failed promise

This is not how it was supposed to be. Post-independence, an industrial model of “development” had promised to eradicate poverty. When this was seen to be clearly failing, partly due to the inefficiencies of a state-led economy, the country was taken into the era of economic globalization with the same promise. It has now been two decades since the introduction of new economic policies in 1991, which included a shift away from an inward-focused model of ...

Published: Tuesday 5 June 2012
“One way or the other, the outlook for Joe Blow, Barack Obama, and Uncle Sam is all gloom and doom.”

Recent news headlines are a clear intimation that the gods are not on our side.  “Our” in this case can be read as the U.S., the West, or the Planet we call Earth – all apply.  Here’s a sampling:

“Dismal Job Market Pushes Dow into 275-Point Plunge”
 (DailyFinance)

“Obama Ordered Cyber Attacks on Iran”
 (New York Times)

“American Nuns Fight Back Against Vatican Crackdown”
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Published: Wednesday 16 May 2012
Progressive social movements don’t often take inspiration from conservative megachurches. But their lessons about organizational structure may be worth a second look.

As a general rule, as communities grow, they lose social cohesion. There is a tricky tension between growing a group and a maintaining sense of personal belonging for members.

Like other voluntary associations, social movements struggle with this. But we can learn important lessons from the places that have figured it out—even from unlikely places like Saddleback “megachurch” in Orange County, CA.

Over 20,000 people attend Sunday worship at Saddleback, and yet members experience a strong, deep sense of belonging. That’s because Pastor Rick Warren has created “a church out of a network of lots of little church cells—exclusive, tightly knit groups of six or seven who meet in one another’s homes during the week to worship and pray.”

In other words, the secret is small groups.

Progressive social movements don’t often take inspiration from conservative megachurches. But the lessons about organizational structure may be worth a second look. (Hat tip to Dave Pollard for pointing this out.)

Say a new activist works up the courage to attend a forum or rally. She may find herself part of a large, anonymous crowd. Of course, it is essential to provide such open spaces for people to join the movement, and it’s essential that we make them welcoming and inviting (like a Sunday worship service). But people don’t stay deeply involved with a movement for long if they don’t make connections with others.

People don’t stay deeply involved with a movement for long if they don’t make connections with others.

So we should ask: within our movements, are there opportunities to join a small, closely knit group? The group that will become your glue to the overall movement? That is ...

Published: Sunday 13 May 2012
“The global economy is finally shifting away from the model that prevailed for the last three decades. Europeans are rejecting austerity. Latin Americans are nationalizing enterprises. The next head of the World Bank has actually done effective development work.”

It’s happening in Buenos Aires. It’s happening in Paris and in Athens. It’s even happening at the World Bank headquarters.

The global economy is finally shifting away from the model that prevailed for the last three decades. Europeans are rejecting austerity. Latin Americans are nationalizing enterprises. The next head of the World Bank has actually done effective development work.

Maybe that long-heralded “end of the Washington consensus” is finally upon us.

After the near-collapse of the global financial system four years ago, obituary writers rushed to proclaim the death of the prevailing economic philosophy known as neo-liberalism. “Wall Street’s financial meltdown marks the end of an era, “wrote Michael Hudson and Jeffrey Sommers in Counterpunch at the end of 2008. “What has ended is the credibility of the Washington Consensus – open markets to foreign investors and tight money austerity programs (high interest rates and credit cutbacks) to ‘cure’ balance-of-payments deficits, domestic budget deficits and price inflation. 

It was a tempting conclusion. Putting Wall Street and financial speculators at the center of the universe had generated an economic supernova, and everyone seemed to get the message. Everyone except Big Money, which never received the obituary notice. After some minor tweaking of Wall Street practices, some bailouts of enterprises deemed too big to fail, and the injection of some stimulus spending to arrest the free fall, Washington continued with business as usual. The Obama administration, like the Clinton administration before it, discovered the immense power of the bond market. The IMF and the World Bank, meanwhile, didn’t fundamentally change their policies. And the European Union, led by tight-fisted Germany, continued to back austerity. All the major economic actors held to the old orthodoxy even ...

Published: Wednesday 18 April 2012
“A World Bank study determined some time ago that 10 to 15 of the country’s most vulnerable to climate conditions are in the Caribbean.”

Over the past few years, former president Bharrat Jagdo has led several initiatives resulting in the Caribbean Community (CARICOM) country gaining much recognition for its ecosystem management, biodiversity conservation and climate change efforts.

But in spite of these efforts, officials here say Guyana, population 750,000, "is very vulnerable to the impacts of climate change".

"We continue to be affected by extreme weather patterns and events, in particular, intense rainfall leading to floods, both on the coast and in the hinterland areas," Prime Minister Samuel Hinds told IPS.

Approximately 90 percent of the population and most economic activities are located in a narrow strip along the coast, near or below sea level, Hinds explained. As a result, the majority of the population is vulnerable to coastal inundation caused by sea-level rise, or floods.

In 2005, Guyana suffered a major flood, with three weeks of continual heavy rains wreaking economic havoc, the equivalent of 67 percent of the country's gross domestic product (GDP).

Jagdeo has been championing the cause of developing countries in the fight against climate change. He has also brought to the forefront the role that the country's forests have been playing, and can continue to play, in addressing climate change.

It was under his leadership that Guyana's low carbon development strategy, which is commonly known as the LCDS and has received widespread national support and international acclaim, was developed in 2009.

Under the programme, the country receives payment for forests' ecosystem services. The funds are used to set economic activities on an environmentally friendly, low-carbon trajectory for growth and development.

In November 2010, Guyana and Norway established a partnership - the second biggest interim REDD+ agreement in the world - through which Norway committed to ...

Published: Wednesday 18 April 2012
“From 2010 onwards, governments started to raise taxes and cut spending in response to growing fears of sovereign default.”

Nearly four years after the start of the global financial crisis, many are wondering why economic recovery is taking so long. Indeed, its sluggishness has confounded even the experts. According to the International Monetary Fund, the world economy should have grown by 4.4% in 2011, and should grow by 4.5% in 2012. In fact, the latest figures from the World Bank indicate that growth reached just 2.7% in 2011, and will slow this year to 2.5% – a figure that may well need to be revised downwards.

There are two possible reasons for the discrepancy between forecast and outcome. Either the damage caused by the financial crisis was more serious than people realized, or the economic medicine prescribed was less efficacious than policymakers believed.

In fact, the gravity of the banking crisis was quickly grasped. Huge stimulus packages were implemented in 2008-9, led by the United States and China, coordinated by Britain, and with the reluctant support of Germany. Interest rates were slashed, insolvent banks were bailed out, the printing presses were turned on, taxes were cut, and public spending was boosted. Some countries devalued their currencies.

As a result, the slide was halted, and the rebound was faster than forecasters expected. But the stimulus measures transformed a banking crisis into a fiscal and sovereign-debt crisis. From 2010 onwards, governments started to raise taxes and cut spending in response to growing fears of sovereign default. At that point, the recovery went into reverse.

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Published: Monday 16 April 2012
“His nomination last month by U.S. President Barack Obama took many experts here by surprise.”

Kim, who will take over from the incumbent, Robert Zoellick, Jul. 1, prevailed over two highly regarded candidates, Nigerian Finance Minister Ngozi Okonjo-Iweala, and former U.N. under-secretary general for economic and social affairs Jose Antonio Ocampo, a Colombian who also served at the head of his country's finance, agriculture and planning ministries.

 

Ocampo had withdrawn from the race last weekend in favour of Okonjo- Iweala, who served as the Bank's managing director from 2007 to 2011 and enjoyed the support of the African Union (AU) and several emerging countries, notably South Africa and Brazil, as well as more than three dozen former senior Bank officials who signed an open letter on her behalf released here last week.

 

But that was not enough to overcome the built-in and increasingly criticised voting majority held by the North American, European, and Japanese representatives on the board.

 

"You know this thing is not really decided on merit," Okonjo-Iweala told reporters in Nigeria just before the executive board was to convene. "It is voting with political weight and shares, and therefore the United States will get it."

 

Similarly, Ocampo, whose candidacy was supported by scores of development economists around the world who are critical of the neoliberal orthodoxy the Bank has championed for most of the past three decades, denounced the selection process as a "political exercise" when he announced his withdrawal.

 

For their part, non-governmental organisations (NGOs) active in developing countries welcomed Kim's selection even as they criticised the process by which he was selected.

 

"Dr. Kim is an excellent choice for World Bank president and a true development hero," said Oxfam's Elizabeth Stuart. "But we'll never know if he was the best candidate for the job, because ...

Published: Monday 16 April 2012
“According to CAI, funding the privatization of water hurts the world’s poorest and can also have negative effects on water access and human rights.”

People in many developing countries often lack access to clean water, but the approach to remedy this problem has shifted in recent years to rely more on the private sector. Yet, as this new report and several other watchdog groups have shown, the change has been more harmful than helpful.

Corporate Accountability International, the U.S.-based non-governmental organization that published the report, has called on the World Bank to stop funding the private water sector and start redirecting its money to public and democratically accountable institutions.

The release of the report, entitled "Shutting the Spigot on Private Water: Case for the World Bank to Divest", coincides with the start of the World Bank and International Monetary Fund's 2012 Spring Meetings.

The World Bank's private sector arm, the International Finance Corporation (IFC), has spent 1.4 billion dollars on private water corporations since 1993, according to the report.

As of January 2013, that investment will increase to 1 billion dollars per year. The report also says that the IFC is attracting 14 to 18 dollars of follow-up private investment for every 1 dollar it directly invests.

This money helps explain why the World Bank and the IFC continue to fund private water corporations, even though roughly one third of all private water contracts signed between 2000 and 2010 have failed or are in distress – four times the failure rate of comparable infrastructure projects in the electric and transportation sectors, according to CAI.

"A tremendous failure"

"Rather than focusing on guaranteeing access to clean and affordable water, the World Bank has promoted ...

Published: Sunday 15 April 2012
“The real challenge lies in providing direction for the World Bank that reflects the world as it is, and re-calibrating the Bank’s tools accordingly.”

With three nominees now in the running to become the World Bank’s next president – Nigerian Finance Minister Ngozi Okonjo-Iweala, former Colombian Finance Minister José Antonio Ocampo, and the United States’ nominee, Dartmouth College President Jim Yong Kim – this is the moment to step back and assess the Bank’s trajectory. Unless the Bank’s next president has a clear vision of the way ahead, and the gravitas to withstand the institution’s internal pressures, he or she will be swallowed up by its complex machinery and unwieldy processes.

Global attention has been focused on weighing the three candidates’ strengths and qualifications, particularly their economic and financial credentials. But the real challenge lies in providing direction for the World Bank that reflects the world as it is, and re-calibrating the Bank’s tools accordingly. Inevitably, the new course hinges in part on recognizing that economics and finance, while integral elements of all areas of the Bank’s activities, are no longer the institution’s main drivers.

The World Bank’s traditional instruments have been (and still are) low-interest loans, interest-free credits, and grants. But the Bank’s core philosophy has rested on lending, with interest, to middle-income countries and channeling the ensuing funds to the poorest countries eligible for assistance. Today, owing to the conditionality of its loans, the Bank is losing competitiveness vis-à-vis the plethora of actors, both public and private, that crowd the development scene. Meanwhile, the Bank is emerging as a vital – indeed, indispensable – source of expertise and technical assistance, as well as a provider of global public goods.

Building on these strengths, the Bank must be willing to understand its client countries’ realities, rather than pontificate, and to balance its country-based work with its global roles. While ...

Published: Saturday 7 April 2012
Under an informal "gentlemen’s agreement" between the U.S. and Europe, a U.S. national has always held the top Bank position, while a European has run the IMF.

In an open letter sent to the Bank's executive board Wednesday, 39 former senior Bank staff endorsed Okonjo-Iweala's candidacy, citing her "deep experience in international and national issues of economic management", which includes four years as the Bank's managing director. 

 


"She would hit the ground running and get things done from the start," the former officials, who included senior vice presidents, vice presidents, and directors, wrote. "In a word, she would be the outstanding World Bank President the times call for." 


In another letter released Thursday, more than 100 economists endorsed Ocampo, arguing that his experience leading the ministries of finance, agriculture and planning, as well as stints as the head of the Economic Commission for Latin America and the Caribbean, the U.N. Commission for Latin America and the Caribbean, and as U.N. under-secretary general for economic and social affairs, made him "the most suitable candidate for World Bank President". 


The signers included internationally recognized figures, primarily from North America, Latin America, Europe, China, and India, including former Bank officials, ministers of finance and development, and central bank governors, as well as academics. 


The endorsements are coming as the Bank's executive board prepares to interview all three candidates early next week and reach a final decision the following week, by the opening of the annual Spring meetings of the Bank and its sister institution, the International Monetary Fund (IMF). 


The current race is the first since the Bank was created at the Bretton Woods conference in ...

Published: Thursday 5 April 2012
“The election of the new president of the Bank is typical of the lack of transparency and democracy that reigns in the international financial institutions.”

European civil society organizations continue to demand that international financial institutions (IFIs) such as the World Bank and the International Monetary Fund apply the same standards of transparency and accountability to their internal affairs that they demand for governments across the world.

 

These demands are being made just ahead of the spring meetings the IFIs will hold later this month in Washington D.C., and refer in particular to the nomination of a new president for the World Bank.

 

"The election of the new president of the Bank is typical of the lack of transparency and democracy that reigns in the international financial institutions," Peter Chowla, an economist working for the Bretton Woods project (BWP), told IPS.

 

The BWP, a London-based international coalition of economists and anti-globalization activists, focuses its work on the IFIs, to challenge their power, open policy space, and promote alternative approaches.

 

Traditionally, the U.S. government and the European Union share the leading positions at the IFIs. While the U.S. government occupies the coveted presidency of the World Bank with a candidate of its own, the EU places one European technocrat at the helm of the IMF - no fair election process precedes either of these appointments.

 

Last year, the French government obtained the backing of European governments to name former French finance minister, Christine Lagarde, managing director of the IMF, despite vociferous opposition from developing countries.

 

This year, U.S. president Barack Obama has nominated Korean-born physician Jim Yong Kim to become the Bank’s next president.

 

Although there are two alternative candidates for the position, the present Nigerian minister of finance Ngozi Okonjo-Iweala and her former Colombian counterpart José Antonio Ocampo, it is taken as given that ...

Published: Wednesday 4 April 2012
The World Bank’s 11 executive directors from emerging and developing countries have put forward two excellent candidates, Ngozi Okonjo-Iweala of Nigeria and Jose Antonio Ocampo of Colombia.

US President Barack Obama’s nomination of Jim Yong Kim for the presidency of the World Bank has been well received – and rightly so, especially given some of the other names that were bandied about. In Kim, a public-health professor who is now President of Dartmouth University and previously led the World Health Organization’s HIV/AIDS department, the United States has put forward a good candidate. But the candidate’s nationality, and the nominating country – whether small and poor or large and rich – should play no role in determining who gets the job.

The World Bank’s 11 executive directors from emerging and developing countries have put forward two excellent candidates, Ngozi Okonjo-Iweala of Nigeria and Jose Antonio Ocampo of Colombia. I have worked closely with both of them. Both are first-rate, have served as ministers with multiple portfolios, have performed admirably in top positions in multilateral organizations, and have the diplomatic skills and professional competence to do an outstanding job. They understand finance and economics, the bread and butter of the World Bank, and have a network of connections to leverage the Bank’s effectiveness.

Okonjo-Iweala brings an insider’s knowledge of the institution. Ocampo, like Kim, brings the advantages and disadvantages of being an outsider; but Ocampo, a distinguished professor at Columbia University, is thoroughly acquainted with the World Bank. He previously served not only as minister of economics and finance, but also of agriculture – a critically important qualification, given that the vast majority of the developing countries’ poor depend on farming. He also brings impressive environmental credentials, addressing another of the Bank's central concerns.

"Follow ...

Published: Sunday 1 April 2012
Published: Sunday 1 April 2012
Until now, the United States had been given a kind of carte blanche to nominate anyone it wanted to the World Bank presidency.

Obama has shown real leadership with this appointment. He has put development at the forefront, saying explicitly, “It’s time for a development professional to lead the world's largest development agency.”

Kim’s appointment is a breakthrough for the World Bank, which I hope will extend to other global institutions as well. Until now, the United States had been given a kind of carte blanche to nominate anyone it wanted to the World Bank presidency. That is how the Bank ended up with several inappropriate leaders, including several bankers and political insiders who lacked the knowledge and interest to lead the fight against poverty.

In order to break this tradition, and to underscore the critical importance of putting a development leader in charge of the Bank, I entered the campaign myself, and I was deeply honored by the public support that I received from a dozen countries, and by the private support of many more. Kim’s nomination was a win for all, and I was delighted to withdraw my candidacy to back him.

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Published: Wednesday 28 March 2012
“If the UN World Bank was truly a benevolent organization, the focus for the Third World would be on support for independent farming, clean water and food.”

Obama nominated Dartmouth University president Jim Yong Kim, M.D. to head the United Nations World Bank. Most people think that UN agencies benefit poor people, but this is far from the truth.

The UN World Bank claims to fight poverty in developing nations by financing infrastructure projects. But the UN World Bank is really a tool used to acquire Third World natural resources through conditions on loans that are extremely difficult to repay. The raw resources are then privatized by insider multi-national corporations. The World Bank actually creates more poverty.

The nomination of Jim Yong Kim indicates that the World Bank may shift away from focusing on infrastructure and will instead turn toward providing health care in Third World countries. Jim Yong Kim’s areas of interest include vaccines for tuberculosis as well as drugs for HIV and AIDS.

Kim brokered a deal with Big Pharma and the UN World Health Organization for expanding the pharmaceutical drug market to a larger populace in exchange for lower drug prices for second-line tuberculosis drugs. Second-line drugs are used when basic treatment fails because of drug resistance. Drug resistance similar to the new ‘resistant White Plague‘ brought about by big pharma’s drugs. Many in the medical community believed it would be dangerous to distribute second-line drugs widely. Kim is also responsible for pushing HIV/AIDS retroviral drugs in developing nations.

HIV/AIDS

Published: Saturday 24 March 2012
If approved by the bank’s governing board, Jim Yong Kim, who immigrated to the United States with his family at the age of five and, will succeed Robert Zoellick as the head of the world’s biggest multilateral development institution.

In a surprise to many development and finance experts here on Friday, U.S. President Barack Obama nominated Jim Yong Kim, a relatively unknown but highly regarded international health specialist to become the next president of the World Bank.

 

"It's time for a development professional to lead the world's largest development agency," Obama said as he introduced Korean-born Kim, a co-founder of Partners in Health who currently serves as president of Dartmouth College, in a brief appearance in the White House Rose Garden.

 

If approved by the bank's governing board, Kim, who immigrated to the United States with his family at the age of five and, among other posts, headed the World Health Organization’s HIV/AIDS department, will succeed Robert Zoellick as the head of the world's biggest multilateral development institution.

 

But for the first time in the bank's history, it appears that the U.S. nominee will face two strong challengers. The Nigerian Finance Minister, Ngozi Okonjo-Iweala, who served as the bank's managing director from 2007 to 2011, was formally nominated by South Africa earlier this week.

 

José Antonio Ocampo, who has served as U.N. Under-Secretary-General for Economic and Social Affairs and as Colombia's finance minister, was also nominated, after a period of much speculation.

 

Another candidate, Columbia University's Earth Institute president Jeffrey Sachs, withdrew from contention shortly after Kim's nomination was announced.

 

"I congratulate the administration for nominating a world-class development leader for this position," Sachs, who was nominated by at least three poor countries – Bhutan, Haiti and Timor Leste – and who had openly campaigned for the job, said in a statement. "I support his nomination 100 percent."

 

No break ...

Published: Friday 23 March 2012
Published: Saturday 25 February 2012
“For too long, the Bank’s leadership has imposed US concepts that are often utterly inappropriate for the poorest countries and their poorest people.”

The world is at a crossroads. Either the global community will join together to fight poverty, resource depletion, and climate change, or it will face a generation of resource wars, political instability, and environmental ruin.

The World Bank, if properly led, can play a key role in averting these threats and the risks that they imply. The global stakes are thus very high this spring as the Bank’s 187 member countries choose a new president to succeed Robert Zoellick, whose term ends in July.

The World Bank was established in 1944 to promote economic development, and virtually every country is now a member. Its central mission is to reduce global poverty and ensure that global development is environmentally sound and socially inclusive. Achieving these goals would not only improve the lives of billions of people, but would also forestall violent conflicts that are stoked by poverty, famine, and struggles over scarce resources.

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Published: Thursday 16 February 2012
“In an open letter released shortly after the Bank’s announcement that Zoellick will step down at the end of his five-year term in June, some 60 groups and activists from around the world said any candidate should gain the ‘open support’ of at least the majority of World Bank member countries.”

A global coalition of development activists and non- governmental organizations (NGOs) is calling on the World Bank's governors to ensure that Bank President Robert Zoellick's successor is chosen in an "open and merit-based process" that will give borrowing countries a major say in the selection.

 

In an open letter released shortly after the Bank's announcement Wednesday that Zoellick will step down at the end of his five-year term in June, some 60 groups and activists from around the world said any candidate should gain the "open support" of at least the majority of World Bank member countries and of the majority of low- and middle-income countries that make up most of its borrowers. 

 

"As the Bank only operates ...

Published: Tuesday 7 February 2012
“Many IFI projects fail to address gender inequalities that prevent women and girls from participating and benefiting from project activities, experts say.”

As U.N. Deputy Secretary-General Asha-Rose Migiro once put it, "Women hold the keys to unlocking the barriers to sustainable development."

Women play essential roles in the global economy, agriculture and development. But while the rhetoric regarding the importance of women's inclusion in development projects has peaked in recent years, actual gender-inclusion in investment projects often fails to walk the talk.

The main challenges facing sustainable development in the future are gender inequality, climate change, natural resource degradation and the global recession, said Melanne Verveer, U.S. Department of State ambassador-at-large for global women's issues, at a recent conference on gender equity and sustainable development.

"No effort to advance sustainable development will succeed that does not take into account half of the world's population," she said. "Women have long been promoting solutions to sustainable development challenges. They’ve been promoting climate change adaptation and mitigation, protecting biodiversity and vital ecosystems, securing water access, and combating indoor air pollution."

According to the United States Agency for International Development (USAID), women are responsible for half of the world's food production. And they continue to bear most of the responsibilities at home, from caring for children to providing meals. Therefore, women's participation is vital to the success of sustainable development projects.

However, while acknowledging the importance of gender equality for development, the World Bank and other international financial institutions (IFIs) continue to make gender-insensitive decisions, Elaine Zuckerman, the head of Gender Action, told ...

Published: Saturday 21 January 2012
“The empirical argument is simply historically based numerology: emerging-market crises seem to come in a 15-year cycle.”

Emerging markets have performed amazingly well over the last seven years. In many cases, they have far outperformed the advanced industrialized countries in terms of economic growth, debt-to-GDP ratios, countercyclical fiscal policy, and assessments by ratings agencies and financial markets.

As 2012 begins, however, investors are wondering if emerging markets may be due for a correction, triggered by a new wave of “risk off” behavior. Will China experience a hard landing? Will a decline in commodity prices hit Latin America? Will the European Union’s sovereign-debt woes spread to neighbors such as Turkey?

Indeed, few believe that the rapid economic growth and high trade deficits that Turkey has experienced in recent years can be sustained. Likewise, high GDP growth rates in Brazil and Argentina over the same period could soon reverse, particularly if global commodity prices fall – not a remote prospect if the Chinese economy begins to falter or global  READ FULL POST 1 COMMENTS

Published: Sunday 1 January 2012
The World Bank estimated the economic cost of Tohoku to be 235 billion dollars, making it the most expensive natural disaster in history.

Hideo Sato, 47, and his family escaped to this snowy city 200 km from the radiation emitting Fuksuhima power plant that was struck by a massive earthquake-driven tsunami on Mar. 11

"We were forced to move from our house in Okuma-machi barely eight kilometers from the damaged nuclear plant. We wanted to protect our children from radiation, but now we are at the mercy of the government," he said.

Nine months after the disaster, Sato, a former employee at a car sales company, lives on a 1,500-dollar monthly unemployment dole. His wife is occupied with looking after their three children and cannot take up a job.

Sato’s plight is shared by tens of thousands of people from the tsunami-battered coastline of northeastern Tohoku, that was home to factories producing automobile components and semiconductors for export.

The World Bank estimated the economic cost of Tohoku to be 235 billion dollars, making it the most expensive natural disaster in history.

"The nuclear disaster has added to Japan’s financial woes. The Tohoku disaster, the high Yen, and the global economic crisis spell a bleak forecast for the new year," Kenji Obayashi, an economist at the Asia Pacific research center at Waseda University, told IPS.

Japan, the world’s third largest economy after the United States and China, is now facing difficult economic decisions as the country gropes its way to recovery.

Apart from the crippling natural and nuclear disasters, the Japanese economy is reeling from a Yen that has strengthened almost 30 percent against the dollar, hurting export competitiveness. In turn, this has increased unemployment and depressed domestic demand.

To top it all is the scare of a loss of energy supplies for the resource poor country.

Prof. Tsutomu Toichi, advisor to the Institute of Energy Economics, warns in this month’s ‘Nippon’, a leading news magazine, that the non-operation ...

Published: Monday 5 December 2011
In fact, the World Bank said back in February that an additional 44 million people were pushed into poverty this year as a result of rising food prices and millions more could be hungry by the end of 2012 if current trends continue.

The United States' delegation at the 17th annual Conference of the Parties (COP) to the United Nations Framework Convention on Climate Change (UN FCC) in Durban, South Africa has come under heavy fire from civil society leaders and activists around the globe for standing in the way of real solutions to climate change.

Between 15,000 and 20,000 farmers, unionists, teachers, peasants, students, garbage pickers, transport workers and other indignant citizens gathered outside the U.N. consultation chambers in Durban on Saturday calling for "system change, not climate change". 

Many of these protestors marched to the U.S. embassy, demanding that the "world's biggest polluter" start supporting climate solutions that benefit the 99 percent. 

In solidarity with their African counterparts, citizens in 20 cities across the U.S. rallied against the eco-destructive actions of the "one percent" as part of the Dec. 3 global day of action to save the planet and "occupy the climate". 

Spearheaded by the Grassroots Global Justice Alliance (GGJA), a national network of grassroots organizations, along with the North American chapter of the 200 million member international farmers' movement, La Via Campesina, Saturday's events were an attempt to draw together disparate climate-related struggles under one banner. 

"We are mobilizing to denounce quick fix solutions being promoted by governments and corporations – like carbon markets, REDD++, and geo- engineering – all of which are just creative ways for corporations to continue profiting at the expense of the people and Mother Earth," said Dena Hoff, a Montana-based member of the National Family Farm Coalition. 

"As stewards of the land, feeding the world's people, we can't stand by as our ecosystems are destroyed for corporate greed," she added. 

"U.S. ...

Published: Friday 2 December 2011
“The largest five U.S. banks now hold $11 trillion in assets.”

Any epoch of capitalism allegedly premised on competition is visible only from the rearview mirror. It is a leftist truism that in the process of competition, capitalism destroys competition. Competition, therefore, is transformed into its opposite: monopoly. Capitalism no longer survives by enlarging competition, but rather through its reduction.

The supreme outcome of the contemporary globalization of monopoly capital has been an amplification of world exploitation, poverty rates, wealth disparities, and food insecurities. Since the mid-1970s the rate of world growth has stalled by nearly 70%.  And one consequence of decelerating rates of growth has been a turn to financialization since about 1980 by giant firms unable to find sufficient high return investment outlets in production. Large corporations gradually began to rely on speculative investments made possible by highly leveraged assets and as a result have fomented financial crises of unfathomable proportions at a time when state systems everywhere are increasingly subject to the vagaries of the “market” and are forced to subsidize the failures of corporate capitalism through taxpayer sponsored “bailouts.”  Leaders at national, regional, and municipal levels have begun to ameliorate the resulting fiscal crises by disinvesting in social services and creating more regressive tax systems, thereby intensifying the effective level of exploitation. Hence, the internationalization of monopoly capital, rather than contributing to the stabilization of global systems, is aggrandizing crises in both the scarcely indistinct private and public sectors.

Inequality, in all its repugnance, has become deeper and more entrenched. Today the richest 2% of adult individuals own more than half of global wealth, with the richest ...

Published: Sunday 6 November 2011
Sarkozy eventually closed the G20 meeting in Cannes on Friday with the announcement that ten out of the twenty countries support the implementation of the tax, though no concrete action plan was put in place.

While the Greek bailout and stimulus package dominated discussion among the Group of 20 (G20) major industrialized and emerging market economies at the high-level summit in Cannes, France, this week, the proposed financial transactions tax (FTT) received meagre attention.

Dubbed by some economists and activists as the ‘Robin Hood Tax’, the FTT has enjoyed marginal but sustained support from hard-hitters in the G20.


Back in February, French President Nicolas Sarkozy nudged Microsoft co-founder Bill Gates to prepare a report on the enormous potential of such a tax to jump-start development in poor countries, particularly after the 2008-9 crash pushed many donor nations to slash their official development assistance (ODA) to the global south.


A ‘technical note’ from the report, released at the World Bank and International Monetary Fund spring meetings in Washington D.C. in September, claimed that the adoption of an FTT by the G20 or even the European Union could generate "substantial resources."


According to the note, "Some modeling suggests that even a small tax of 10 bp (basis points) on equities and two bp on bonds would yield about 48 billion (dollars) on a G20-wide ...

Published: Friday 4 November 2011
“Over the years, we have learned that the real challenge is not just to enroll children in school, but to help them to acquire the skills necessary for employment, entrepreneurship, family life, and citizenship.”

The world is assailed by problems that defy easy answers. Economic shocks are destabilizing countries and regions, and inflicting great social and financial hardships on families and their communities. Environmental damage threatens our food supplies, the air we breathe, and the rich biodiversity that sustains the balance of life. Wars and conflict produce millions of new refugees.

Moreover, new health risks are emerging, with diabetes, obesity, and other non-communicable diseases now stalking low- and middle-income countries – even as many of those countries are still locked in combat with tuberculosis, HIV/AIDS, malaria, and other infectious diseases.  Hundreds of millions of young people around the world are searching for jobs in a very uncertain labor market. The infrastructure we use to produce our energy, transport our goods, and transact our business is under stress.

This list of worries is not meant to discourage, but to challenge. As the world’s physical resources grow scarcer, we must increasingly rely on the best and most proven renewable resource available – human ingenuity. Just as they confronted problems in the past, our scientists and entrepreneurs have brought us solutions by way of the Green Revolution, new vaccines, communications technology, and cleaner energy.

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Published: Sunday 30 October 2011
“The largely student/youth organized efforts might even be historic—if, that is, they come to terms with the reality that the challenge we face is systemic, not merely political and, that the crisis is also highly unusual in its demands.”

The “occupations” now building around the country are a necessary and justified response to the outrages of a political-economic system that substitutes posturing for decision-making, looking the other way as the top one percent runs off with almost a fourth of the nation’s income and more wealth than the bottom 90 percent combined. The largely student/youth organized efforts might even be historic—if, that is, they come to terms with the reality that the challenge we face is systemic, not merely political and, that the crisis is also highly unusual in its demands.

For over a century, liberals and radicals have seen the possibility of change in capitalist systems from one of two perspectives: the reform tradition assumes that corporate institutions remain central to the system but believes that regulatory policies can contain, modify, and control corporations and their political allies. The revolutionary tradition assumes that change can come about only if corporate institutions are eliminated or transcended during an acute crisis, usually but not always by violence.

But what happens if a system neither reforms nor collapses in crisis?

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Published: Friday 7 October 2011
“First they ignore you, then they ridicule you, then they fight you – then you win.” -Mohandas Karamchand Gandhi

"First they ignore you, then they ridicule you, then they fight you – then you win," a middle-aged man yells into the microphone from a makeshift stage erected at the far end of Freedom Plaza in Washington, DC.

Eighty years later, the words of the great Indian freedom fighter Mohandas K. Gandhi have found their way to the U.S. and still resonate as strongly as they did during India's struggle for independence from British colonial rule.

Only now the words are bellowed by disenfranchised working class people who are gathering in swarms around the country to protest the alliance between politicians and corporations, tax burdens on poor people, and the capitalist system in general.

The crowd at Freedom Plaza on Thursday afternoon was over 1,000- strong, a mass of colourful posters, T-shirts and homemade flags carrying every declaration from "Veterans Against War" to "We are the 99 percent!"

The last is a slogan borrowed from the burgeoning "Occupy Wall Street" encampment in New York City, whose ranks swelled to an estimated 30,000 protestors Wednesday as the movement pulled in hoards of union members, students and a growing number of disgruntled job-seekers in what is quickly becoming the longest sustained protest in the U.S. since the civil rights era.
In three weeks, the leaderless, organic movement has put out shoots in San Francisco, Seattle, Los Angeles, Chicago and Boston, drawing hundreds, more often thousands, to protest the 2008 financial crash "caused by bankers and cleaned up by taxpayers".

In fact, the World Bank estimated that an additional 64 million people are living in extreme poverty, on less than 1.25 dollars a day, as a result of the global recession, which hit ...

Published: Sunday 31 July 2011
Published: Monday 25 July 2011
"96 percent of Italian voters rejected their government’s push for water privatization."

“Water—whether we treat it as a public good or as a commodity that can be bought and sold—will in large part determine whether our future is peaceful or perilous,” wrote the scholar Maude Barlow.

In Italy last month, an overwhelming number of people (96 percent of the 57 percent of the population that voted) cast their ballots for a peaceful future based on shared ownership of water.

The referendum overturned a law passed by Prime Minister Silvio Berlusconi’s government, which would have encouraged private companies to buy up public water utilities and guaranteed them a profit on their investment, opening the door to rate hikes.

The referendum also stripped Berlusconi government ministers of special court privileges and reaffirmed public opposition to nuclear power. 

An international grassroots movement is  working to make sure that water, that basic building block of life, is treated not as a commodity to be bought and sold but a common heritage to be shared by all.

With the referendum victory behind them, organizers have now fixed their sights on passing a general water law to guide public management of the common good.

“Beating back privatization is a critical first step towards responsible stewardship of water,” said Daniela Del Bene, an organizer with the NGO Cevi, a member of the Italian Forum of Water Movements. “Not to diminish the importance of the victory but in some ways, now comes the harder part—strengthening a public management system that satisfies both people and nature’s water needs in a sustainable and equitable way.”

The vote was closely watched around the world. “The success ...

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