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The Development Channel highlights big debates, promising approaches, and new research and thinkers addressing opportunity and exclusion in the global economy.

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Mossack Fonseca law firm sign is pictured in Panama City, April 4, 2016.
Mossack Fonseca law firm sign is pictured in Panama City, April 4, 2016. Carlos Jasso/Reuters

Corruption Brief Series: How Anonymous Shell Companies Finance Insurgents, Criminals, and Dictators

The latest paper in the Corruption Brief series from the Civil Society, Markets, and Democracy program at the Council on Foreign Relations was published this month. In the brief, Dr. Jodi Vittori, senior policy advisor at Global Witness, addresses the myriad problems posed by anonymous shell companies – corporate entities with few or no employees and no substantive business, which offer a convenient way to privately move money through the international financial system.

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Health
Noncommunicable Diseases by the Numbers
This guest post is from my colleague, Tom Bollyky, a senior fellow for global health, economics, and development at the Council on Foreign Relations. Here he discusses his recently released Independent Task Force report: The Emerging Global Health Crisis: Noncommunicable Diseases in Low- and Middle-Income Countries. Rates of heart disease, cancer, diabetes, and other noncommunicable diseases (NCDs) in low- and middle-income countries are increasing faster, in younger people, and with worse outcomes than in wealthier countries. My new CFR-sponsored Independent Task Force report and the accompanying interactive look at the factors behind this epidemic and the ways the United States can best fight it. Why do the rising rates of NCDs in low- and middle-income countries matter for the United States? Here are a few snapshots from the Task Force report that illustrate the importance of these diseases, what the United States and international partners can do to address them, and the reasons why progress against this emerging epidemic is possible. The High Costs of Chronic Diseases                                       In 2013, NCDs killed eight million people before their sixtieth birthdays in low- and middle-income countries. In low-income countries, the increase in death and disability from NCDs was 300 percent faster than the decline in infectious diseases between 1990 and 2010. In lower-middle-income countries, NCDs outpaced reductions in infectious diseases by 33 percent over that time period. Cardiovascular diseases cause thirteen million deaths each year in developing countries, which is more than a quarter of all deaths in these countries. Premature deaths from breast cancer grew 90 percent in low-income countries between 1990 and 2013. Approximately 300,000 women die from cervical cancer each year, mostly in developing countries. Nine out of ten chronic obstructive respiratory deaths worldwide occur in low- and middle-income countries. Most of the death and disability from NCDs in developing countries occurs in people under the age of sixty. In many low-income countries, particularly in Africa, that proportion rises to 80 percent or higher. The World Economic Forum projects that the NCD epidemic will inflict $21.3 trillion in losses in developing countries over the next two decades—a cost nearly equal to the total aggregate economic output ($24.5 trillion) of these countries in 2013.   The Response to NCDs                   In the countries where the United States has significant investments in global health, NCDs accounted for 28 percent of the premature (under age sixty) deaths and a third of the death and disability in 2010. The U.S. government spent $44.17 in aid for each year of life lost to disability and early death from HIV/AIDS in 2010 (as measured in disability adjusted life years, or DALYs), $4.21 per DALY lost to malaria, and $1.82 per DALY lost to tuberculosis, but only $0.02 per DALY lost to NCDs. International aid for NCDs represented just 1.2 percent of development assistance for global health in 2011.   Progress Is Possible                   The United States cut death rates from cardiovascular diseases more than 40 percent between 1980 and 2000. Mortality from stroke and coronary heart disease decreased by two-thirds in some high-income countries. U.S. breast cancer death rates declined by one-third between 1990 and 2013, mostly in younger women. Impressive declines in mortality have also occurred for leukemia and lymphomas, retinoblastoma, and stomach and testicular cancers in the United States and other high-income countries If the forty-nine countries in which the United States makes significant global health investments achieved the same rates of premature NCD mortality as the average high-income country between 2000 and 2013, more than five million deaths of people under age sixty would be averted by 2025.   For more on noncommunicable diseases in low- and middle-income countries, read the report from CFR’s independent task force and check out the interactive.
Wars and Conflict
Lady Health Workers in Pakistan: On the Front Line and Under Fire
Emerging Voices features contributions from scholars and practitioners highlighting new research, thinking, and approaches to development challenges. This article is by Maxine Builder, a research associate for global health at the Council on Foreign Relations.   On November 26, four vaccinators were gunned down by militants in the Balochistan province of Pakistan. Three of these slain vaccinators were women, targeted because of their work on a campaign to vaccinate over 238,000 children against polio. Pakistan is rapidly losing the fight against polio, and lady health workers (LHWs), such as the ones murdered in Balochistan, may prove to be the critical component to the overall success—or failure—of worldwide polio eradication. Pakistan has become the primary battleground in the war to end polio, in no small part because rates of polio have increased more quickly there than in any other country over the last year. Over four times as many polio cases have been reported in Pakistan in 2014 than in 2013 (260 and 64 cases, respectively), and the year is not yet over. Fourteen new polio cases were reported during the week of November 26, and three of those occurred in Balochistan province, where the four polio workers were killed. LHWs are on the frontlines of healthcare in Pakistan and are often tasked with running anti-polio campaigns. The Pakistani government created the LHW Program in 1994 with the goal of providing essential, primary health services at the community level, especially in rural settings. These women go door to door, interacting with families in their communities and providing health education and some basic health services. There are now over one hundred thousand LHWs, of whom 85 percent are engaged with the anti-polio campaign. The program is effective in providing critical primary healthcare: households visited by LHWs are 15 percent more likely to have children under the age of three fully immunized. LHWs—and Pakistan’s entire campaign to eradicate polio—are under threat from extremists; since December 2012, militants have regularly attacked women working on vaccination campaigns. The attacks are fueled by conspiracy theories claiming the polio vaccine was created by Westerners to sterilize Pakistan’s children, a fear bolstered by the revelation that the CIA used a fake hepatitis B vaccination drive to track down Osama bin Laden. Last week’s incident is just one more in a long string of violent acts that have delayed progress in eradicating polio globally. In May 2014, the World Health Organization (WHO) declared the current spread of polio a public health emergency of international concern, in part because of this violent trend. Vaccination drives are delayed not only by the violence itself, but also by the strikes organized in response to attacks. LHWs quickly responded to last week’s violence in Balochistan, refusing to participate in the anti-polio campaign that had been attacked, calling for protection, and promising not to return to their jobs until government officials could ensure their safety. “We want protection,” they chanted, criticizing law enforcement for ignoring their concerns. But violence isn’t the only concern for these women. Although LHWs have been salaried government employees since January 2013, they are still fighting for fair wages. Becoming a LHW is one of the few jobs a Pakistani woman can have in government, and LHWs have reported wages that are lower than those of male manual laborers, as well as late payment of salaries. Across Pakistan, LHWs have demanded a “regularization of services”—referring to a standardization of training, expectations, and wages—primarily by boycotting and postponing polio vaccination campaigns. For example, LHWs in Charsadda organized boycotts of anti-polio drives in July and September of this year, resulting in over 900 LHWs refusing to participate and delaying the vaccination of over 200,000 children. According to the WHO, the “over-riding priority for all polio-infected States must be to interrupt wild poliovirus” in order to achieve global eradication. Strikes by LHWs only impede this progress, especially when these women have repeatedly demonstrated their effectiveness in the fight to eradicate polio. Pakistan should support these women to achieve their common goal. The demands of LHWs—security while doing their jobs and timely, fair wages for a job well done—are beyond reasonable, especially when compared to the consequence of delayed anti-polio drives: the failure of the global polio eradication campaign. These women’s participation is necessary to ensure every child is vaccinated and the spread of polio is stopped for good.
Wars and Conflict
Behind the Numbers: Security, Stability, and the Afghan Economy
As Afghanistan looks toward its future, with a new president at the helm and the U.S. military presence drawing down, security remains among the country’s most daunting challenges going forward. Yet the growth of the country’s economy and political protections for Afghan women are also cause for concern for a large number of Afghans. In its tenth annual public opinion survey in Afghanistan, Afghanistan in 2014: A Survey of the Afghan People, the Asia Foundation polled over nine thousand citizens across all thirty-four Afghan provinces. While insecurity remains the top public concern, 48.5 percent of those surveyed cited economic growth as the biggest problem confronting the nation today. According to the survey, only 21.5 percent of Afghans reported that their economic situation has improved over the past year, and the overall self-reported unemployment rate has increased from 6.6 percent in 2013 to 10.7 percent in 2014. But the story cannot be told in numbers alone. Hidden behind these figures is the increasing participation of women in Afghanistan’s economy. For instance, the percentage of women who say they are unemployed increased from 3.7 percent in 2013 to 11.3 percent in 2014—a seemingly negative indicator. Yet the percentage of women who say they are working remained steady, meaning that the rise in women’s unemployment rate may in fact show an increase in women’s interest in joining the workforce. Indeed, the percentage of Afghans who say that female members of their family contribute to household income has increased from 13.9 percent in 2009 to 22.4 percent in 2014. In all regions, the majority of Afghan women say that women should be allowed to work outside the home. And in most regions, the majority of Afghan men also support women’s work outside the home. When men do not support women’s employment, reasons other than tradition can be a factor. Security plays a significant role in men’s reticence to support women’s employment, according to the survey. Violence attributed to the Taliban and other armed opposition groups continues to escalate in Afghanistan. In the last week alone, explosions and gunfire in Kabul’s diplomatic quarter have killed soldiers, diplomats, and aid workers alike, and suicide bombers have killed civilians at events across the country ranging from sporting matches to funerals. More than three quarters of Afghans say they would be afraid when traveling within Afghanistan. Perhaps unsurprisingly, the more Afghans say they fear for the safety of themselves or their families, the less likely they are to support women working outside the home. Even outside of security concerns, Afghan women risk losing the fragile gains they have made since the fall of the Taliban. A recent Oxfam paper notes that negotiations with the Taliban may be proceeding without any women representatives present, and quotas for women’s inclusion in the government are falling. A drop in women’s political participation is dangerous not only for the future of women’s rights, but also for Afghanistan’s prospects for stability: women’s involvement in peacebuilding has been shown to increase the probability that violence will end by 24 percent, according to research from Seton Hall University quoted in the Guardian. Women’s empowerment, economic growth, and stability are interrelated, though often they are not treated as such. The new Afghan government faces significant challenges in tackling insecurity, economic growth, and the future of its country’s women. And the United States and Afghanistan’s other donors and allies have a role in helping to ensure support for each of these challenges continues. For more on the status of women in the Afghanistan transition, please see CFR Fellow Catherine Powell’s Working Paper.
  • Energy and Environment
    Reducing Food Loss and Waste to Feed the World’s Nine Billion People in 2050
    Emerging Voices features contributions from scholars and practitioners highlighting new research, thinking, and approaches to development challenges. This article is by Cecilia Chen, Dan Zook, and Dan Tuttle of Dalberg Global Development Advisors.   The global population is expected to grow from about seven billion today to over nine billion by 2050. Producing enough food for this population will require a 70 percent increase in agricultural production and $83 billion per year of investments in developing country agriculture. Yet, one third of the food produced globally—about 1.3 billion tons of food per year—is never consumed at all. This food is wasted or lost at some step of the supply chain between when it leaves a farm and when a consumer would typically eat it. The solution to feeding a growing population is not simply to produce more food, but also to save, preserve, or recycle the food already produced. Cutting current food wastage in half, for example, would yield enough food to feed one billion people—half of the additional population expected by 2050. The issue of food that is never consumed breaks into two discrete problems: “food loss,” which primarily affects developing countries, and “food waste,” which primarily affects developed countries. Food loss, which accounts for 90 percent of unconsumed food in developing countries, refers to the decrease in edible food mass during production, postharvest processing, and distribution. The primary drivers of food loss are a lack of skills training for actors within the supply chain in handling, packaging, and storing food; insufficient on-farm storage technologies or postharvest storage facilities; and farmers’ poor market access, which leads to spoilage before products can be sold. Food waste, on the other hand, refers to food that is fit for human consumption but is discarded by retailers or consumers. In developed countries, high aesthetic standards, stringent food company contracts, large portion sizes, and promotion-driven sales often lead to the overproduction of food, much of which is discarded. Food discarded by the consumer—the last actor in the supply chain—wastes the resources used in every previous step in the chain. Unconsumed food also has effects beyond food security, ranging from the economic—one year’s unconsumed food is worth roughly $750 billion—to the environmental—unconsumed food is responsible for 3.3 billion tons in CO2 emissions per year. Food lost early in the supply chain is particularly devastating for the world’s 470 million smallholder farmers, most of whom live beneath the poverty line. Many of these food producers are also among the 1.2 billion people who are food insecure. As a result of such on-farm losses, farmers are not be able to convert as much of their produce into income. A recent Dalberg analysis estimates that every year 320 million metric tons of food—17 percent of food produced globally—is lost during production and postharvest alone. From an ecological perspective, food wastage means that valuable natural resources are used to produce food that is ultimately not consumed. Globally, farmers use an amount of land equivalent to all of Africa’s cropland to produce food that is never consumed. Though this food is not used, the environment still pays a price: the production of wasted foods accounts for 10 percent of global greenhouse gasses and depletes a quarter of global freshwater. Through an assessment of global food loss and waste for the Rockefeller Foundation, Dalberg identified high-potential solutions underway in developing countries to reduce food loss and simultaneously improve farmer incomes. These promising interventions include: Market-based models for low-cost, farm-based storage, preservation, and processing technologies: For example, hermetically sealed bags that preserve the quality of grains, vegetables, and seeds allow farmers to store and sell products later in the season when prices are higher. Large commercial food companies’ expanded operations in emerging markets that bring technology, infrastructure, and management discipline: For example, in an effort to commercialize and formalize its domestic supply chains, Reliance Retail India is investing in its cold chain infrastructure to reduce transport time of fruits and vegetables, thus limiting the possibility of food spoilage in transit. Community investments in on-farm agro-processing solutions: For example, solar dryers can replace open-air drying, which is labor-intensive and leaves fruits and vegetables susceptible to weather and pests. Such dryers can be used in areas without access to electricity to produce export-grade produce. By pooling farmers’ produce, a community can improve its ability to purchase these agro-processing tools. Agricultural postharvest loss and consumer food waste have wide-ranging consequences, from smallholder farmer livelihoods, to food security and nutrition, to conservation of water and other environmental resources. Reducing loss throughout agricultural supply chains would not only address these concerns, but also tackle fears of future global food shortages and enable scarce resources to be shared more wisely. As the development community struggles to meet the nutritional demands of a growing population, policymakers should focus not on producing more and more food, but rather on reducing food waste and loss. The research that underpins this article was supported by the Rockefeller Foundation.
  • Middle East and North Africa
    Barring Sexual Harassment and Protecting Speech in Iran
    The recent spate of acid attacks in Isfahan, Iran, have left several Iranian women severely injured and some partially blind. Many Iranians are concerned that the women were targeted for “bad hijabs,” meaning their head scarves did not comply with a particular social standard of modesty. Though hardline and moderate politicians alike have condemned the attacks, arguments over the legal framework at play highlight the divisions within the Iranian government. The attacks coincide with a law passed in Iran’s parliament on Sunday that provides protection for individuals to “correct” the behavior of both men and women who do not adhere to certain social mores. Though the specifics of the law have not yet been finalized, it has been critiqued as empowering social conservatives to criticize—if not attack—women who do not conform to what is claimed to be traditional or “virtuous” dress codes. Originally proposed by a group of hardline MPs in June, this law is intended to protect those undertaking the Islamic act of "enjoining good and forbidding wrong," that is, suggesting or ordering others to act in a way considered appropriate in Islamic law. The proposal followed a number of reports in which individuals engaging in “enjoining good and forbidding wrong” were attacked—for example, a wedding guest who attempted to halt the consumption of alcohol at the reception. President Rouhani has criticized the law and similar attempts to enforce morality, stating in a speech in northern Iran that the promotion of virtue is not “the prerogative of a select group, a handful taking the moral high ground.” In September, the president—who has promised greater social liberties—also questioned the need to enforce morality when Iranian women are “an educated community,” capable of practicing chastity and virtue on their own. Police recently arrested several men in connection with four of the acid attacks that appeared to be part of a campaign of violence to punish women deemed “badly veiled.” Hardliners insist that they do not condone the acid attacks and have tried to separate the recent violence from the efforts to address improper veiling. Thousands of Iranians protested, deploring the acid attacks in a demonstration on October 22. However, a photojournalist covering the protests was detained shortly after his images of the protesters were published around the world, indicating that the some within the government are not fully supportive of the protesters’ goals. To end these attacks and create a public space that is welcoming to women, Iranian lawmakers should establish a legal framework to protect women from harassment and physical attacks. Such sexual harassment laws do not restrict free speech, but address conduct—including expressive conduct—that creates a hostile environment, intimidates, or could lead to imminent violence. In addition, the government should foster tolerance of views and speech across the political spectrum—including unpopular speech—for all Iranians, including journalists, as well as tolerance of women to choose how they want to dress and express themselves in public. There should be limits placed on speech, however, that leads directly to violence. By incorporating these frameworks into their legal system, Iran could better ensure the rights of all Iranians. Improving its record on both women’s rights and other human rights would be useful for Iran at this delicate moment for Iran’s international  image, as the November 24 deadline approaches for negotiations with the United States and other powerful nations over Iran’s nuclear program and sanctions.