Over time, for at least economists and policy makers, this development agenda has become synonymous with “improving economic opportunities through increased production of goods and services.” The implicit assumption is that economic growth will increase quality of life standards, life expectancy, improve nutrition and health.

Since 1945, there have been impressive advancements in the elimination of extreme poverty, but still many professionals wonder how to accelerate growth even more throughout the world – particularly in Africa and South Asia, two regions with a great number of poor. The issue has prompted economists and policymakers to analyze the importance of several factors, policies and institutions, finding six factors for successful development:

1. Social inclusion – With a healthier and more educated population, nations can enjoy a more effective economic and political life. Illiteracy is a major barrier to participation in the economy. Without widespread education, citizens are more easily manipulated by un-just governments – allowing for the empowerment of counter-productive leadership.

2. Quality management – Governments must manage their national macro-economic environment; if there is no over-arching/holistic governance, the nation loses its credibility both in private sector business, and the citizenry. The “political capital” of a country cannot be wasted, and moreover, if public resources and urgent needs are not continually addressed, then the country falls into a burden of “catch up” where they are always behind in development, comparatively.

3. Transparency and accountability – Transparency is essential to prevent corruption and financial fraud, and promotes citizen participation. Experience shows that trust in one’s government encourages citizens and businesses to pay their taxes, thus advancing development and social services. Companies invest and expand more, creating greater confidence in the government and a “virtuous circle” of development ensues.

 4. Technology and innovation – Economic production is no longer just about capital and labor, now knowledge and innovation are just as important. It has been proven that technology gaps can explain the disparity in productivity between different countries. Technological adoption, knowledge dissemination and information communication technology (ICT) are imperative for national competitiveness.

5. Economic opportunities – Increasing the access and use economic resources to citizens is imperative. Free and open access to markets can contribute significantly to development; access to goods, labor and financial markets for personal use, production and exchange; especially the promotion of small-businesses.

6. Administrative Infrastructure – Business and society often come down to bureaucratic needs:  issuance of licenses, permits, birth certificate, passport, filing taxes, starting a business, registering a title, property rights, contract settlements, foreign trade authorization, hiring an employee, use the public health services, etc. The efficiency of bureaucracy is pertinent to advancing greater and more equal access to public resources.

 – Mary Purcell