In 2011, UN Secretary-General Ban Ki-moon launched an initiative called Sustainable Energy for All. There are three primary objectives: (1) universal access to modern energy services, (2) doubling the rate of improvement in global energy efficiency and (3) doubling the share of renewable energy in the global energy mix. The UN established these goals in the hopes of achieving worldwide sustainable energy access by 2030.

Three billion people currently lack access to affordable energy services for basic uses like cooking and heating. Another one billion people rely on erratic power grids. Sustainable Energy for All is an international effort to decrease the scope of this energy access issue. Introducing clean energy would reduce global emissions, improve the lives of the poor and support ongoing development goals. Additionally, embracing clean energy would help keep the average rise of global temperatures in check.

However, renewable energy has just recently become economically comparable to traditional fuels, and bringing clean energy services to rural and remote communities is a challenge. At the current rate of progress, the UN’s objectives under Sustainable Energy for All will likely not be achieved by the desired date. In fact, the International Energy Agency calculates that around 1 billion people will still not have access to electricity in 2030.

Energy inequality is especially significant for women and girls living in poor or secluded areas. Many risk their safety by spending hours a week collecting firewood far away from home. Conventional kerosene lamps and cooking fires contribute to a number of health issues, such as heart disease and breathing issues. To combat the problem, nations like the United States, China and Vietnam have proposed expanding electricity grids. However, the logistics of doing so would be difficult; it is especially expensive for rural communities with low populations.

Luckily, clean energy technologies are becoming more affordable, making them stronger contenders with conventional power sources. However, reaching universal access to energy services would cost $48 billion. Approximately $37 billion is already spent annually on kerosene and traditional cooking fuels, such as charcoal. On the other hand, the clean energy industry is maturing – now constituting $250 billion of the global economy.

A new wave of clean energy entrepreneurs has emerged as a result. SunFarmer, based in the United States, is one of several non-profit organizations that helps bring reliable and affordable solar electricity to hospitals and schools in remote developing areas. The market for solar-powered products (such as televisions, radios and even water pumps) is growing as well. As part of the Sustainable Energy for All campaign, the UN created the Energy Access Practitioner Network in 2011. The Network facilitates the delivery of energy services to developing countries and supports the implementation of new renewable technologies.

In order to fully integrate clean energy services into the developing world, government subsidies for charcoal and kerosene should first be eliminated or decreased. Additionally, tariffs on imports for clean energy products should be abolished; more than 30 countries currently impose taxes on imported products like solar lanterns and clean stoves. Once these policies are addressed, clean energy technologies could have a much better chance of reaching the developing world.

— Kristy Liao

Sources: Huffington Post, Nature, Sustainable Energy, UN Foundation
Photo: United Nations

 

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Bolivia Minimum Wage
In the wake of recent national economic gains, Bolivian President Evo Morales has promised that the nation’s minimum wage will increase by 10 percent.  The move is a hotly debated one concerning Bolivian unions, and the employer federation has been embroiled in the debate for some time.  The labor unions applaud it, saying it would equalize things between the “haves and have-nots,” while the Confederation of Private Entrepreneurs (CEPB) spurned it and contended that it would increase taxation.  A BBC report also notes that President Morales is in an election year and may have had political reasons for siding with union wishes.

The same BBC piece also points out that “Bolivia’s gross domestic product tripled to $27 [billion] in 2012 since Mr. Morales took office in January 2006, according to World Bank figures.”  Changes to the national Constitution and increasing the role of the state contributed to the gains, along with “high commodity prices and a prudent macroeconomic policy.”  The World Bank also states that public debt dropped vastly, bolstering the banks in the process and alleviating national poverty to a great degree.

However, despite the gains nearly half of all Bolivians still live in poverty.  The unpredictability of commodity pricing can affect and potentially reverse positive gains, so private industry must play a more substantial economic role.  Bolivia’s informal economy, where a large portion of the population finds work, “results in lower productivity” according to the World Bank.  Lagging infrastructure is also a deterrent to further and faster progress.

The International Monetary Fund (IMF) is projecting slower economic growth in Latin America in 2014.  “Weak investment and subdued demand for the region’s exports held back activity in 2013… For 2015, the IMF projects a modest pickup, to 3 percent. The key risk is a sharper decline in commodity prices caused by weaker demand.”  More specifically, growth in Bolivia “is projected to fall sharply in 2014, to about 2.75 percent  from nearly 6 percent in 2013.”

President Morales may be trying to draw support from his political base with his pledge to increase the Bolivian minimum wage.  In 2013, Morales was publicly inveighed when per diems paid to the families of Morales and his vice president were worth “more than twice the minimum monthly wage,” according to an AFP report.  The money covered travel expenses when the families accompanied the leaders on official trips.  Political rival Adrian Oliva likened the per diems to stealing and contended that Morales had abandoned his socialist roots.

The science behind hiking minimum wage rates is contentious to say the least, often crossing the proverbial bridge from impartial observation to political overtones.  However, the work of UC Irvine economist David Neumark and William Wascher of the Federal Reserve Board can’t be easily disputed.  A Forbes report said they “determined that 85 percent of the best research points to a loss of jobs following a minimum wage increase.”  Empirically, the wage increases aimed at eliminating poverty also quash private sector employment and hiring; a study in the Journal of Human Resources posits that higher minimum wage can increase poverty.

What lies ahead for Bolivia and the rest of the Latin American region remains to be seen as outside economic forces control the commodity rates that are so woven into recent economic gains.  In a race for political power and reelection, Bolivia’s Evo Morales has evidently chosen to adhere to the populist vision that won him initial favor, but at what cost?

Do large-scale informal economic gains qualify as a national victory when nearly half of all Bolivians are still considered poor?  Does alienating the private sector through a push for more reforms mean greater prosperity and long-term economic growth and stabilization?  What is clear is empirical evidence suggesting that minimum wage hikes do more harm than good, even in a strong commodities market.  President Morales may be best served to explore other options that appeal not only to national unions and workers but to the firms who employ them, thereby increasing private investment and paving the proverbial road out of Bolivian poverty.

– Dave Smith

Sources: BBC, WorldBank, Free Malaysia Today, Global Post, Forbes
Photo: Interet General Info

Favelas in Rio
In Brazil, especially in the city of Rio de Janeiro, the wealthy tend to live closest to the sea. Favelas, or shantytowns, are slums in Brazil that are located farther away from the water on hills. They started out as an inexpensive housing option for returning Brazilian soldiers and freed African slaves in the 19th century. In Rio de Janeiro, a city of about six million people, approximately 20 percent live in favelas.

The urban phenomenon of favelas grew during the dictatorship of Gétulio Vargas, who pushed for greater industrialization within Brazil, which brought in more immigrants to Rio de Janeiro and therefore more occupants into the cheaper form of housing.

The 600 favelas in Rio de Janeiro today are mostly known for their high levels of poverty and crime, with numerous drug trafficking groups and street gangs operating within the various favelas that dot the hills of Rio de Janeiro. Favelas are also known for their relative lack of public services and government attention. Brazil is known to be one of the most unequal countries economically, with the top 10 percent of the population earning 50 percent of the national income and 8.5 percent of people living below the poverty line.

The location of favelas makes it difficult for the Brazilian government to provide proper public services, and as such makes it harder for the government to establish a positive presence in the favelas, which only furthers the cycle of violence as gangs are given more or less free reign.

This security issue within the favelas has been addressed by the introduction of a government program in 2008 that aimed to crack down on violence in the slums. Such programs are proving especially important ahead of the upcoming World Cup. The program installs permanent “police pacification units” (PPUs) throughout the favelas to deter crime and rid the favelas of the most serious gangs.

These PPUs are becoming a more widely accepted form of security control on behalf of the government. In Rio de Janeiro alone there are currently around 37 PPUs covering an area of about 1.5 million people, yet these PPUs have been criticized in Brazil for their severe tactics in dealing with local residents. Right now more than 24 policemen are facing charges for allegedly torturing a local resident of a favela.

More positive government policies have been successful in bringing 40 million Brazilians into the middle class over the last decade. Moreover, nationwide statistics indicate that 15.9 percent of Brazilians were impoverished in 2012, down from 18 percent in 2011. But Brazil is a land of contradictions, and despite this impressive decrease in poverty the South American nation remains the 12th most unequal nation in terms of income. Although Brazil should certainly be commended for its substantial decrease in poverty, policies should be implemented to ensure further social inclusion for those living on the margins.

– Jeff Meyer

Sources: IRIN News, G1, BBC News, NPR, BBC News
Photo: Blog Spot

 

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Female Genital Mutilation
Soheir Battaa was 13 years old when she was brought to a doctor who would perform a procedure known as “thara,” the cutting of a girl’s external genitalia. Although she did not want the procedure, she knew she had no say in the decision. Her father took her to the doctor, Raslan Fadl Halawa, in a small village northeast of Cairo and requested the procedure for his daughter. Her death was originally reported as a result of an allergic reaction to penicillin.

Battaa died from the practice of female genital mutilation (FGM), but her death may bring hope for thousands of other girls. The doctor is being prosecuted by human rights organizations and this is the first time in Egypt’s history that a doctor is standing trial for FGM. He is being accused of practicing FGM, medical negligence and running an illegal clinic. The father also faces charges for requesting the procedure for his daughter. This trial has the chance to create a precedent-setting judgment against FGM.

Since 2008, FGM has been outlawed in Egypt. Egypt’s health minister decree 271 states: “It is prohibited by doctors and members of the nursing staff to make any cut or reform to any natural part of the female reproductive system (circumcision), whether in government or non-governmental hospitals and other places.”

However, the practice is still widespread in the country, especially in rural areas and among uneducated communities. FGM is common in both traditional and religious communities which believe that it is a form of purification and discourages sex before marriage. FGM is supposed to protect the girls’ virtue, that is, until her family marries her off.

Female genital mutilation has long-term negative physical and psychological effects upon a woman’s health. Most girls do not have a choice in deciding whether or not they want the “operation.” It is a practice that stems from the lack of women’s rights and female empowerment in those communities.

The doctor is confident that he will be cleared of his charges because he was simply obeying Battaa’s parents. Although female genital mutilation is banned in Egypt, it is still deeply ingrained in the culture and customs of the country. Battaa’s village mourns her death, but the villagers “quietly defend” the practice that killed one of their own.

– Sarah Yan

Sources: Los Angeles Times,  Egypt Independent,  Girls’ Globe
Photo: Wiki Spaces

Democracy_Leads_to_Growth
A recent study published by the National Bureau of Economic Research found that countries that become more democratic achieve about 20 percent higher gross domestic product (GDP) per capita in the long run. Evidence showed that democracies were better at implementing economic reforms, investing more in public goods like education and reducing social unrest, all of which, to some degree, are tied to increasing GDP.

The researchers, Daron Acemoglu, Suresh Naidu, Pascual Restrepo and James A. Robinson, studied 175 countries between 1960 and 2010. Their study tackled the difficult task of comparing apples and oranges. There are countries that recently transitioned into a more democratic state, while others have had a long history of an established democracy. There are countries that hold elections, but practice only single party rule. There are countries that have been in and out of conflict. And there are countries with political institutions and economies that ebb and flow with a change in leadership. Nonetheless, Acemoglu, Naidu and Restrepo took on the challenge of creating a baseline for comparing different countries by developing an improved version of a democracy index.

Another challenge the researchers took on was to address the question, “does democracy need development first?” Some critics suggest that democracy would be economically costly when certain preconditions are not satisfied. For example, it is suggested that a benevolent dictatorship may be preferred when it comes to simple economies and poverty ridden-countries (or what some economist may label as those with “low human capital.”) Others argue that democracy promotes redistribution of resources that would discourage economic growth, or interest groups may end up dominating economic policies at the cost of the majority and hence increase inequality. The example of communist China and its economic powerhouse is often used to support the argument that political rights are not essential for economic growth.

However, Acemoglu, Naidu and Restrepo demonstrated that democracy does not have a negative effect for countries with low levels of economic development. Evidence showing increases in GDP were associated with democracy, no matter the stage of the country’s development. The researchers did note on the side that a population’s level of education did matter, but not in contradiction to their finding. Democracy had a stronger effect for economies with a greater fraction of the population with secondary schooling.

In sum, Acemoglu, Naidu and Restrepo found that there is a statistically significant positive correlation between democracy and future GDP per capita and this was especially so when examining countries that have switched from non-democracy to democracy into their next 30 years.

– Maria Caluag

Sources: NBER, The Regional Economist

Photo: TCF

Nepal’s education system has faced many problems since the mid 1800s. The first education system in Nepal was only available to elite families, and Nepali people did not have access to education until 100 years later in the 1950s. Current day education in Nepal is still in the developing stage and did not really start integrating the use of technology in the classroom until 2007.

One of the biggest problems in Nepal’s education system is female education. This issue has been neglected since the 1950s. In fact, there is an extreme inequality in the literacy rate between men and women. In Nepal, 71 percent of men can read and write, whereas only 44 percent of women can. This is a staggering inequality for women’s education and is a direct link to areas of poverty in Nepal.

Another issue in relation to women’s education is that parents do not have enough money to ensure their children have access to proper education. The issue of poverty is taking a toll on Nepal’s education system. The public school scores are very low; in 2013, 72 percent of students from those schools failed their exit exams. This leaves 335,912 public school students with no access to a future or hope in achieving their dreams. Furthermore, statistics provided by the Teach for Nepal foundation, which is aimed at giving these students access to educational resources, stated that 85 percent of first graders will drop out of the school system and 25 percent of the students left cannot count to double digits.

To illustrate the issues that Nepal’s public school systems face, the children need access to clean drinking water while they attend school as well as at home. Nepal faces extremely hot temperatures and school buildings are covered by a tin roof. This makes the thirsty children endure unbearable heat while attending school. This includes nurseries, kindergarten and lower grades as well. The lack of water and high temperatures result in the children having difficulty concentrating and comprehending the material at hand. Thus, this combined with child malnutrition in Nepal, children in public schools do not have an advantage to performing well and tend to fall behind or drop out of school.

Given these facts, Nepal’s school system is indeed fairly new and continuing to develop, but there is still limited access to public schools. This limited access is a result of isolation of women from continuing education which leads families into poverty. Also, Nepal’s social structure discourages people from pursuing teaching professions and is more geared towards STEM subjects like math, science and engineering. Once those problems are solved, Nepal can move forward with the developing public school system and continue to rise in human development as well.

– Rachel Cannon

Sources: Global Issues
Photo: Travel to Teach

The IKEA Foundation’s 2013 annual report celebrates a year of exciting achievements and a growing commitment to global development.

Established in 2009, the IKEA Foundation is the philanthropic entity associated with IKEA, the popular Swedish home furnishings company. In the past year, the foundation has gained 12 new partners and donated 101 million euros to those partner organizations, contributing to the continued implementation of innovative children’s programs. With the support of a new Brazilian partner organization, the IKEA Foundation has also been able to reach children in South America for the first time. In addition, a number of partners have also started to develop emergency shelters for displaced refugees.

Compared to the total monetary donation in 2012 (82 million euros), the IKEA Foundation’s 2013 contribution saw a 21 percent overall increase in giving. IKEA’s Soft Toys for Education campaign raised 10.1 million euros and helped 11 million children. Moreover, the foundation’s projects throughout 2013 impacted children in 35 different countries.

The IKEA Foundation focuses on four areas of development: fighting child labor and promoting children’s rights, improving the lives of refugee children and families, empowering women and girls as well as disaster relief. The foundation also funds education projects for children and works to change current social attitudes towards child labor in developing communities. In 2013, the IKEA Foundation helped UNICEF and Save the Children fight child labor in India and Pakistan. By reaching out to farmers, families and other community leaders, the foundation hopes to raise awareness of the dangers that children face in the workplace – specifically, in the cotton, carpet and metalware industries. Additionally, the foundation’s new partnership with Care for Children is helping place orphans into supportive and loving families in Asia.

In conjunction with the United Nations Refugee Agency (UNHCR), the IKEA Foundation is working to develop safer and more durable emergency shelters for refugees. Innovative additions (such as solar lighting) are expected to increase the lifespan of current refugee camps. Last year, UNHCR began experimenting with the reworked shelters in Ethiopia, taking into account the feedback provided by refugee families living in the newly developed camps.

The IKEA Foundation continues to support KickStart, a partner organization that trains women in southern Africa to grow and sell crops, launch their own businesses and establish a reliable income. The foundation also expanded the number of scholarship opportunities for women and girls to get an education. Currently, the IKEA Foundation’s partnership with the Lila Poonawalla Foundation helps 1,900 poor Indian women pursue higher education in fields like engineering, agriculture and healthcare.

By giving cash grants to its partners, the IKEA Foundation strives to help families immediately after disasters and other conflicts. During the past year, partner organizations used IKEA’s grants to provide medical care to Syrian refugees. After Typhoon Haiyan hit the Philippines, many partners brought emergency supplies to devastated communities. The IKEA Foundation itself has donated IKEA toys and products to around 1.2 million affected children around the world.

The IKEA Foundation has clearly expanded its goals and reached several new milestones in 2013, but CEO Per Heggenes believes that the foundation has more to offer. “The journey continues,” he wrote, “and we still have lots to accomplish.”

– Kristy Liao

Sources: IKEA Foundation
Photo: INiTs

The 2013 Global Study on Homicide released by the United Nations has listed the Americas as the world’s most violent region, accounting for 36 percent of the world’s 437,000 homicides in 2012. In particular, one of the world’s most violent sub regions is the so-called “Northern Triangle” of Guatemala, Belize, El Salvador and Honduras. Honduras remains the world’s most violent country by far, with 91.4 murders per 100,000 people in 2012.

Organized crime has played a key part in the uptick in violence in Latin America and accounts for about 30 percent of all murders in 2012, up from 25 percent in 2011. The report contrasts this figure with the region of Asia, where gang activity accounted for only about 1 percent of murders. This does not mean that there are fewer gangs or less gang activity in other parts of the world, only that they are more firmly established and therefore do not need to fight amongst each other and the government for territory.

Importantly, the report notes that the conviction rate for murder in Latin America is a paltry 24 percent, way below the 48 percent figure in Asia or the 81 percent figure enjoyed in Europe.

Gender also plays a role in the murders; the murder rate for males between 15-29 years of age in Latin America is four times higher than in the rest of the world.

Although the UN report stated figures that were widely expected, the report also mentions some policy reforms that could mitigate the rate of violence in Latin America. Cracking down on police corruption is one method of ensuring a decreased murder rate, as is allocating more funds and resources to police forces in the region, which are severely underfunded.

Overcrowded prisons within Latin America are also a problem, as criminals often end up committing violent crimes after being released from prison. Strengthening alternatives for at-risk youth in the region, such as education programs would also help to reverse the systemic causes of the violence.

–Jeff Meyer

Sources: Insight Crime, UNODC, Latin Times
Photo: Fun of Art

Bolivia_Raises_Minimum_Wage
Following recent labor union protests in Bolivia, demanding an increase in the minimum wage, President Evo Morales has acquiesced to their demands by increasing the Bolivian minimum wage 20 percent from 1,200 Bolivianos (around $175) to 1,488 Bolivianos (about $215). This increase in the minimum wage has come as a result of a small but concerted effort on behalf of the Bolivian Central Labor Union to agitate for change. Workers were concerned that their wages were not keeping up with inflation, which is currently sitting at 6.5 percent.

Morales explained the reason for the increase in the minimum wage is the economic growth Bolivia has experienced recently, which grew at a rate of 5.2 percent in 2012.

The leader of the Bolivian Central Labor Union, Juan Carlos Trujillo, stated that he asked Morales to recognize “the need and the obligation to create a salary structure which is based on the country’s growth and the recognition that the riches of Bolivia have to be shared between the haves and the have-nots in equal measure.”

Other groups were not so pleased with the announced rise in the minimum wage, saying that the move would simply result in workers paying more through taxes. Moreover, the move can also be seen as political maneuvering and as an attempt to curry favor amongst the workers in time for presidential elections in October, when Morales is going to run for a third term.

The original proposal by the government was for the minimum wage to be increased by 10 percent, until trade unions negotiated a higher rise. Analysts have noted that the increase in the minimum wage would not affect the majority of workers since most people earn above 1,400 Bolivianos (about $203.) The rise would affect house workers and trash men.

Morales himself was a notable leader in the cocalero trade union movement for indigenous coca growers prior to being elected president. Since being elected president in 2006, Morales has helped triple Bolivia’s gross domestic product to $27 billion.

– Jeff Meyer

Sources: La Razon, BBC, Bolivia Information Forum
Photo: Nation of Change

The Polio Global Eradication Initiative announced that “a new wild poliovirus type 1 (WPV1) case was reported in Equatorial Guinea” on April 16 2014.  The country has reported three known cases and due to the genetic sequencing of the virus, health officials believe the virus spread from neighboring country, Cameroon.

This poliovirus outbreak contradicts Equatorial Guinea’s statistics in previous years. The UNICEF Annual Report 2012 for Guinea Bissau declared, “Guinea Bissau has been “polio-free” since 2009…due to vaccination campaigns through child health days and strengthened routine immunization.” According to NPR’s article “Polio Hits Equatorial Guinea, Threatens Central Africa” report, however, the country currently has a vaccination rate of only 39 percent, suggesting that routine immunization programs have decreased since 2009.

Similarly, in Cameroon, the origin of this outbreak, the World Health Organization calculated that 40 percent of children are inadequately vaccinated against the poliovirus. Immunization prevents the spread of the poliovirus, which is an infectious disease with no cure that can cause permanent paralysis. It is communicable via person-to-person contact. Children under the age of 5 are especially susceptible to contracting the virus, making proper immunization campaigns are essential to elimination of an outbreak.

According to the World Health Organization (WHO), from January 2014 to April 2014 ten countries reported a total of 61 polio cases.  When an outbreak of the poliovirus began in Cameroon in October 2013, the country conducted immunization campaigns in response. On March 17 2014, however, Cameroon confirmed new cases of the poliovirus.  In the WHO’s “Poliovirus in Cameroon update”, the WHO elevated “the risk assessment of international spread of polio from Cameroon to very high.” Despite the organization’s attempt to contain the outbreak, the poliovirus spread to Equatorial Guinea.

In an April 24, 2014 UNICEF news note, UNICEF Representative in Equatorial Guinea, Dr. Brandão Có, stated, “Stopping the transmission of polio in Equatorial Guinea is a key priority in order to ensure children, families and communities are protected against this terrible and crippling disease that also has enormous social costs.” UNICEF also reported that a campaign to vaccinate 300,000 children against the virus commenced on April 24, 2014.

— Jaclyn Ambrecht

Sources: NPR, Polio Global Eradication Initiative,, UNICEF(1), UNICEF(2), World Health Organization