On the Sustainable Development Goals in

the Arab World

Mahmoud Mohieldin

Senior VP, World Bank Group

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Arab Countries

Developing Countries

Arab Countries

Developing Countries

Arab Countries

Developing Countries

Arab Countries

Developing Countries

Arab Countries

Developing Countries

Arab Countries

Developing Countries

Arab Countries

Developing Countries

Arab Countries

Developing Countries

Arab Countries

Developing Countries

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Target Met Sufficient Progress (by 2015) Insufficient Progress Moderately Off Target Seriously Off Target Insufficient Data

Looking back: MDG progressComparing Arab Countries to Developing Countries

Demographic transitions

UrbanizationFragility and

violence

Climate changeMarket volatility and commodity

cycles

Technological changes

Shifts in the global economy

Renewed debate about

globalization

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Global Megatrends Opportunities and Challenges

Global development agendas serve as a guide for countries to determine their national development path

MDGs (2000-2015) SDGs (2016-2030)

Goals/ Targets/Indicators 8/21/60 17/169/~230

Priority Areas Human Development Holistic: Economic, Social, Environmental

Scope Developing Countries Universal

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The SDGs present a major opportunity for transformation

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12%

81%87% 89%

11%

68%

88% 87%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Prevalence of undernourishment(% of population)

People using at least basicsanitation services (% of

population)

People using at least basic drinkingwater services (% of population)

Access to electricity (% ofpopulation)

SDG 2 SDG 6 SDG 7

Progress on select SDGs, Arab world and the World

Arab World World

How are Arab countries progressing on the SDGs?

Adapted from: WDR 2019 Changing Nature of Work, World Bank, 2018

Invest in resilience

(incl. social

protection)

Invest in

infrastructure

Invest in human

capital

Enablers

Achieving the SDGs

Finance Data Implementation

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Leveraging the potential of disruptive changes requires a

comprehensive policy framework

Invest in human capital

The Human Capital Project

Three main objectives:

1. Build demand for more and better investments in people

2. Help countries strengthen their human capital strategies and investments for rapid

improvements in outcomes

3. Improve how we measure human capital

Three main indicators, reflecting building blocks of human capital:

1. Survival – Will kids born today survive to school age?

2. School – How much school will they complete and how much will they learn?

3. Health – Will kids leave school in good health and be ready for further learning and/or work?

"Human capital" – the potential of individuals – is going to be the most

important long-term investment any country can make for its people’s future,

prosperity and quality of life

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Invest in human capital

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Rank Economy Lower Bound

Value Upper bound

47 Bahrain 0.65 0.67 0.68

49 United Arab Emirates

0.64 0.66 0.67

54 Oman 0.61 0.62 0.63

60 Qatar 0.60 0.61 0.63

73 Saudi Arabia 0.57 0.58 0.60

77 Kuwait 0.56 0.58 0.59

79 Jordan 0.54 0.56 0.58

82 West Bank & Gaza 0.54 0.55 0.56

86 Lebanon 0.52 0.54 0.55

93 Algeria 0.51 0.52 0.53

96 Tunisia 0.50 0.51 0.52

98 Morocco 0.49 0.50 0.51

104 Egypt 0.47 0.49 0.50

129 Iraq 0.38 0.40 0.41

139 Sudan 0.37 0.38 0.39

145 Yemen 0.35 0.37 0.38

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• Broadly defined as the ability to manage

the wide range of shocks and stresses

which may occur. These are categorized as

natural; technological; or socioeconomic

• Examples of investments include:o Expansion of social protection coverage

while giving priority to the poorest people

o Strengthening of all aspects of climate

and disaster resilient development,

including coordinating institutions, risk

identification and reduction,

preparedness, financial and social

protection, and resilient reconstruction

Invest in resilience

Source: WDR 2019 ; Building Resilience Report; and Investing in urban Resilience Report

Invest in infrastructure

10Source: Global Infrastructure Hub, 2018

1E+11

1.5E+11

2E+11

2.5E+11

3E+11

3.5E+11

4E+11

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Infrastructure Outlook: Africa

Current trends Investment need

Investment need inc. SDGs

1.3E+12

1.5E+12

1.7E+12

1.9E+12

2.1E+12

2.3E+12

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Infrastructure Outlook: Asia

Current trends Investment need

Investment need inc. SDGs

Invest in digital infrastructure

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In low income countries, only 12 percent of people use the internet, but usage is growing.

Source: SDG Atlas 2018

1. High prices, low speed: limited access to broadband internet

2. Good backbone networks, lack of investment in local access; monopolies in international access

3. Affordability constraints deepen the digital divide across regions and people

4. Highly concentrated markets

5. Challenges with storage capacity

6. Lack of competition in international and data communications

7. Outdated business model

8. Lack of investment in broadband

Features of digital

infrastructure in MENA

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The role of the government is to ensure a balance and the

best use of finance for development

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ODA and FDI to the Arab World

Foreign direct investment, net inflows (BoP, current US$)

Net official development assistance and official aidreceived (current US$)

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Foreign Direct Investment (net inflows as % of GDP)

Arab World World Developing Countries

Finance will need to come from multiple sources

Financing sustainable development

Source: World Bank, 2018

When a project is presented, you should ask: “Is there a sustainable private sector solution that limits public debt and contingent

liabilities?” If the answer is...

Promote such private sector solutions

•The World Bank could play an important role in supporting the government to advance appropriate private sector solutions. i.e. though analytical support, technical assistance for relevant reforms and capacity building, project identification and preparation support, project structuring, and support to the government in negotiations with the private sector

Ask whether its because of:

• Policy or regulatory gaps or weaknesses? If so, provide WBG support for policy and regulatory reforms.

• Risks? If so, assess the risks and see whether WBG instruments can address them.

YES

NO

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Consumer/ Investor Protection

Effective RegulationsFinancialLiteracy

Financial Innovation

Mobilize Savings and Allocate Investments

Legal framework to enhance trust, confidence in financial contracts and transactions

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The role of the government is to ensure a sound financial sector

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The SDGs are interlinkedData is critical to understanding those relationships

Japan’s goals interlinked to SDG 1

Data availability is a universal

challenge

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Seventy-eight of 169 SDG targets describe

potentially assessable outcomes for Canada

Quantified SDG target Canadian national target

Proxy target Not able to assess

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Source: “Counting who gets Left Behind” Brookings report, 2018

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Good Data Informs Implementation

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2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

South Asia East Asia & Pacific Latin America & Caribbean Europe & Central Asia Middle East & North Africa

Statistical Capacity Score (scale: 0-100)

The role of the government is to implement robust data systems

Source: Data for Development: An Evaluation of World Bank Support for Data and Statistical Capacity, Independent Evaluation Group, World Bank, 2018

Institutions

Based on

Organizations that

Have

Data that Are Users Who Are Data Uses

• Open data

laws

• Rights to

privacy

• Accountabilit

y to users

• Broad

outreach to

society

• Harmonized

data

conventions

• Budgetary

autonomy

• Trained staff

• Adequate

installations

• Connected

databases

• Early warning

systems

• International

partnerships

• Up to date

• Disaggregated

• Easy to manipulate

and visualize

• Accessible in remote

areas

• Georeferenced

• Contestable

• From integrated

data sets

• Connected

• Data literate

• Diverse (e.g.,

• academics, CSOs,

media, local and

central

governments)

• Planning

• Policy making

• Monitoring

• Targeting

• Research

• Advocacy

• Lobbying

• Citizen

empowerment

103 countries have presented VNRs to date during

the High-Level Political Forum8 countries presented more than once

High-Level Political ForumUN mechanism for the follow up and review of SDG implementation

1. Sequencing implementation of goals within context of national priorities

2. Working in partnership to determine national development strategy

3. Coordination within governments; across and within ministries

4. Securing enough financial resources and efficiently allocating them

5. Data availability and institutional capacity

6. Localization and implementation of the goals at the local level

7. Incorporating and mainstreaming gender

8. Integrating action on climate change

Countries’ Most Frequently Identified Priority Areas*

* Based on SVPMM analysis

The role of the government is to enhance

localization of development

Kenya:

A government funded drought insurance program brings satellite based insurance to

Kenyan pastoralists and farmers using mPesa.

Indonesia:

A program is being implemented to enhance the capacity of local governments

to improve efficiency and effectiveness of local public

spending. Also implemented the PNPM program: community driven

development

U.K. Midlands

Successful locally owned businesses help develop local markets, create innovation,

success and redistribution in a self-reinforcing cycle

Colombia:

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Source: Municipal Finances Handbook: Managing Local Expenditures, Morrell and Kopanyi

1. Preschool education 2. Primary and secondary school 3. Health care 4. Social assistance and poverty alleviation5. Public order and civil protection6. Infrastructure and public services7. Environment protection 8. Social, cultural, recreational expenditures 9. Local economic development 10.Social housing 11.Urban development 12.Civil security 13.Transfer to sub-local government entities 14.(subsidies, grants, equity, in-kind)15.Loan repayment 16.Interest charges17.Guarantees called (paid by the municipality)

Sample municipal budget

1. Property tax (rates) on land and/or buildings2. Tax on the transfer of immovable property3. Tax on motor vehicles4. Local sales tax and/or tax on the sale of local products (or surcharge)5. Tax on local businesses and services 6. Tax on electricity consumption (surcharge) 7. Tax on nonmotorized vehicles 8. Tax on tourism, hotels, restaurants, and entertainment9. Tolls on roads, bridges, etc., within the limits of the local government10.Charges for public works and public utilities such as waste collection, drainage, sewerage, and

water supply 11.Charges for markets and rents for market stalls12.Charges for the use of bus stations and taxi parks13.Fees for approval of building plans and erection and re-erection of buildings14.Fees for fairs, agricultural shows, industrial exhibitions, tournaments, and other public events15.Fees for licensing of businesses, professions, and vocations16.Fees for other licenses or permits and penalties or fines for violations 17.Fees for advertisement18.Fees on sales of animals in cattle markets19.Fees for registration and certification of births, marriages, and deaths20.Fees for education and health facilities established or maintained by the local government 21.Fees for other specific services rendered by the local government22.Rent from land, buildings, equipment, machinery, and vehicles23.Surpluses from local commercial enterprises24.Interest on bank deposits or other funds

Expenses Revenues

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The role of the government is to leverage the impacts of technology

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Boundaries of the firm

Changes in industrial relations (capitalism without capital)

Demand for skills

The future of the informal economy

Scenarios of robots replacing workers

Expectations vs. perception vs. reality

Digital education creates

classrooms at scale and

connects world-class

teachers to students who

need them most

E-health can serve some of

the neediest patients in the

world’s hardest to reach

places

Digital financial services

provide new opportunities

for SME savings, credit,

and insurance thereby

spurring expansion

Digital payments and

monitoring enable off-grid,

renewable energy sources

to be deployed years in

advance of traditional

approaches

Source: International Finance Corporation

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STI for SDGs

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STI for SDGs

World Bank strategy for MENA

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Boost Shared ProsperityEnd Extreme Poverty

Build Human CapitalEducation, skills, health, social protection,

youth and female inclusion Digital TransformationResearch and innovation, investment in high

speed networks

Maximize Finance for Development

Role of state, unleash private sector,access to finance

Renewing the Social Contract

Resilience to Shocks

RegionalCooperation

Recovery and Reconstruction

Meeting the Aspirations of MENA’s Youth -Reinventing the Economic Model

Rapid and Inclusive Job Creation for The Youth

1944International Bank for

Reconstruction and Development (IBRD)

1960International Development

Association (IDA)

1956International

Finance Corporation (IFC)

1988Multilateral Investment

Guarantee Agency(MIGA)

1966International Center for the Settlement of Investment

Disputes(ICSID)

The World Bank Group

lends to governments of middle-income and creditworthy low-income countries

provides interest-free loans, or credits, and grants to governments of the poorest countries

provides loans, equity, and advisory services to stimulate private sector investments in developing countries

provides political risk insurance and credit enhancement to investors and lenders to facilitate FDI in emerging

economies

provides international facilities for conciliation and arbitration of investment disputes

Thank Youworldbankgroup.org/sdgs

Follow us on twitter @WBG2030

Mahmoud-Mohieldin on

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