Haiti: The impact of COVID-19 and preliminary policy implications: Interim report


Book Description

The country is facing a damaging combination of political, economic, social, and health crises, playing out amidst extreme uncertainty. The current situation is to a large extent the continuation of a very complex political and social history. The more recent period opened after the ousting of the dictator JeanClaude Duvalier (known as Baby Doc) in 1986 and a sequence of military governments, when in 1990 Haiti had the first free election in modern history. The democratically elected president, Jean-Bertrand Aristide, was then driven from office by yet another military coup in 1991 but, after UN sanctions, free elections were again held in 1995. Concerns about security and the limitations of the fragile government to keep peace led to the establishment of the United Nations Mission in Haiti (UNMIH), a peacekeeping operation carried out between September 1993 and June 1996. The Mission was reestablished (MINUSTAH) in April 2004, after a rebellion took over most of Haiti and President Bertrand Aristide resigned. MINUSTAH ended in 2017, when it was replaced by a new UN compact (see below). Since 1995 there have been a sequence of free elections, but not without controversies and violence. In addition, the country suffered a series of very damaging natural disasters during this period, particularly the lethal earthquake of 2010 (from which Haiti has never fully recovered), but also a series of tropical storms and hurricanes (tropical storm Jeanne in 2004; hurricane Dennis in 2005; further tropical storms in 2008; hurricane Sandy in 2012; and hurricane Matthew in 2016, the strongest in decades). Recently, Haiti also experienced drought conditions that affected agricultural production. Furthermore, at the end of 2010 a cholera outbreak was reported, which ended up killing thousands of people, and whose source was a camp of UN peace-keeping soldiers.




Honduras: The impact of COVID-19 and preliminary policy implications: Interim report


Book Description

Due to the global pandemic generated by the COVID-19 the government of Honduras declared “state of emergency” in Feburay (“Estado de Emergencia en el Territorio Nacional a través del Decreto Ejecutivo Número PCM- 005-2020, 10 de febrero 2020). The country suffered the first confirmed COVID-19 case on March 12th, 2020. The first death was registered on March 26th. This short note covers the following topics until the time of this report. First, it shows the evolution of the pandemic, using different indicators. Second, it summarizes the main policy responses and costs and financing implied. Third, it shows some actual impacts with available data. Fourth, the modeling framework for the simulations is briefly presented. Fifth, it simulates different scenarios for the evolution of the Honduras’ economy until year 2022. A final section discusses some preliminary policy considerations. Subsequent reports will update the information of this document and sharpen de policy conclusions.




Guatemala: The impact of COVID-19 and preliminary policy implications: Interim report


Book Description

As most countries in the world Guatemala has been affected by COVID-19. In January 2020 the country decreed travel bans from China, which were later expanded to other countries. Still, Guatemala had the first confirmed COVID case in March 13 and the first death in March 15. Some days before that, on March 5, the government had declared the “state of calamity” (Declaración del Estado de Calamidad Pública - Decreto Gubernativo Número 5-2020), which allowed the government to limit different rights, and to take different actions to protect the health and safety of all persons in Guatemala. This brief note covers the following topics until the time of this report. First, it shows the evolution of the pandemic, using different indicators. Second, it summarizes the main policy responses and costs and financing. Third, it shows some actual impacts with available data up to the time of this writing. Fourth, the modeling framework for the simulations is briefly presented. Fifth, the document presents simulations of different scenarios for the evolution of Guatemala’s economy until year 2022. A final section discusses some preliminary policy considerations. Subsequent reports will update the information of this document and sharpen de policy conclusions.




The short-run economic costs of COVID-19 in developing countries in 2020: A synthesis of results from a multi-country modeling exercise


Book Description

As COVID-19 spread across the globe in early 2020, governments had to make difficult policy choices to balance the socioeconomic costs of social distancing and lockdown measures, on the one hand, and the human costs of increased morbidity and mortality of an unchecked pandemic, on the other. The challenge was particularly daunting for developing countries with their often illequipped and underfunded health systems coupled with general skepticism about the effectiveness of economic restrictions to curb viral spread, especially in densely populated informal urban communities (The Economist 2020). Poorer developing country populations also tend to be less resilient to income shocks, while the social protection measures needed to mitigate against income losses are costly. With developing country governments already heavily indebted before the pandemic (Onyekwena and Ekeruche 2019), and with further anticipated losses in tax revenues due to COVID-related economic restrictions, their ability to finance palliative measures without sacrificing much-needed, longer-term public investments has remained a major concern.




Haiti and its multiple tragedies: Much more needs to be done


Book Description

Haiti has been suffering for many decades a damaging combination of climate and natural disasters and political, economic, social, and health crises. Just in the last months there was the terrible assassination of a sitting president on July 2021; an extremely damaging earthquake of 7.2 magnitude on August 2021; the heart-wrenching images of Haitians at the US-Mexican border in September 2021; the expansion of gang activity with the kidnapping of US missionaries in October 2021; the more recent alarming episode of the shooting at the current interim Prime Minister in January 2022; and another earthquake of 5.3 magnitude in late January, to name only the more recent sequence of very bad events affecting the country.




Global Trends 2040


Book Description

"The ongoing COVID-19 pandemic marks the most significant, singular global disruption since World War II, with health, economic, political, and security implications that will ripple for years to come." -Global Trends 2040 (2021) Global Trends 2040-A More Contested World (2021), released by the US National Intelligence Council, is the latest report in its series of reports starting in 1997 about megatrends and the world's future. This report, strongly influenced by the COVID-19 pandemic, paints a bleak picture of the future and describes a contested, fragmented and turbulent world. It specifically discusses the four main trends that will shape tomorrow's world: - Demographics-by 2040, 1.4 billion people will be added mostly in Africa and South Asia. - Economics-increased government debt and concentrated economic power will escalate problems for the poor and middleclass. - Climate-a hotter world will increase water, food, and health insecurity. - Technology-the emergence of new technologies could both solve and cause problems for human life. Students of trends, policymakers, entrepreneurs, academics, journalists and anyone eager for a glimpse into the next decades, will find this report, with colored graphs, essential reading.




The Distributional Implications of the Impact of Fuel Price Increases on Inflation


Book Description

This paper investigates the response of consumer price inflation to changes in domestic fuel prices, looking at the different categories of the overall consumer price index (CPI). We then combine household survey data with the CPI components to construct a CPI index for the poorest and richest income quintiles with the view to assess the distributional impact of the pass-through. To undertake this analysis, the paper provides an update to the Global Monthly Retail Fuel Price Database, expanding the product coverage to premium and regular fuels, the time dimension to December 2020, and the sample to 190 countries. Three key findings stand out. First, the response of inflation to gasoline price shocks is smaller, but more persistent and broad-based in developing economies than in advanced economies. Second, we show that past studies using crude oil prices instead of retail fuel prices to estimate the pass-through to inflation significantly underestimate it. Third, while the purchasing power of all households declines as fuel prices increase, the distributional impact is progressive. But the progressivity phases out within 6 months after the shock in advanced economies, whereas it persists beyond a year in developing countries.




Mental Health and Work Fitter Minds, Fitter Jobs From Awareness to Change in Integrated Mental Health, Skills and Work Policies


Book Description

A series of reviews of mental health and work policies in selected OECD countries revealed the challenge of mental health for social and labour market outcomes and policies and the high costs of the continued stigmatisation of mental health for individuals, employers and societies. To better respond to this challenge, in early 2016 health and employment ministers from the 38 OECD countries endorsed a Recommendation of the Council on Integrated Mental Health, Skills, and Work Policy.




International Monetary Fund Annual Report 2021


Book Description

A recovery is underway, but the economic fallout from the global pandemic could be with us for years to come. With the crisis exacerbating prepandemic vulnerabilities, country prospects are diverging. Nearly half of emerging market and developing economies and some middle-income countries are now at risk of falling further behind, undoing much of the progress made toward achieving the UN Sustainable Development Goals.




The Short-Term Impact of COVID-19 on Labor Markets, Poverty and Inequality in Brazil


Book Description

We document the short-term impact of the COVID-19 pandemic on the Brazilian labor market focusing on employment, wages and hours worked using the nationally representative household surveys PNAD-Continua and PNAD COVID. Sectors most susceptible to the shock because they are more contact-intensive and less teleworkable, such as construction, domestic services and hospitality, suffered large job losses and reductions in hours. Given low income workers experienced the largest decline in earnings, extreme poverty and the Gini coefficient based on labor income increased by around 9.2 and 5 percentage points, respectively, due to the immediate shock. The government’s broad based, temporary Emergency Aid transfer program more than offset the labor income losses for the bottom four deciles, however, such that poverty relative to the pre-COVID baseline fell. At a cost of around 4 percent of GDP in 2020 such support is not fiscally sustainable beyond the short-term and ended in late 2020. The challenge will be to avoid a sharp increase in poverty and inequality if the labor market does not pick up sufficiently fast in 2021.