successes. It has played a majorThe banjars of Balirole, for instance, in helping tosubmit ideas for new campaigns, and spread education; in eradicatingIndonesia's family planning program funds are quickly provided for the ones smallpox and sharply reducingcombines central direction with decen- approved. The program has also made several major diseases (includingtralized implementation. The program use of the private sector-traditional yaws malaria, leprosy and Africanhas strong political support from the travelingherbvendors(calledtukanjamus) ,president, to whom its chairman reports have been enlisted to supply contraceptives sleeping sickness); and, perhapsdirectly. Family planning is an integral to remote villages as well as urban areas. most significantly, in increasiringpart of national and provincial develop- In the province of Bali, the traditional the production of basic foods.ment plans-ministers and provincial community council (called banjar) has On the other hand, some aidgovernors are responsible to the president been harnessed to promote family plan- programs have failed-or havefor their execution. And the program ning. For centuries banjars have beenmaintains a central data system to monitor the hub of village life. There are more succeeded while indirectly conperformanceand ensure that no region than 3,700 of them today; adult men in tributing to inappropriate policies.or even village runs short of contracep- Bali belong to their village banjar and Until the early 1970s, there wastives. But the task of implementing specific attend monthly meetings. In 1974 the an emphasis on showcase univergoalsrests largely with provincial and governmentinBalistartedtoworkthrough sities, large urban hospitals andlocal staff, and political and community banjar leaders to create an awarenessleaders in the villages. of family planning, to identify people large-scale agriculture-consistentThe program offers strong (but non- who might be keen on planning their with development thinking at thatmonetary) incentives for managers and families, and to help them do so. Typically, time. Not surprisingly, such interstaffat all levels, because it was designed the monthly banjar meeting now begins national assistance involved transtogivecreditforsuccesstolocalmanagers.with a roll call; each man responds by ferring some technologies orMost of the contact with families is by saying whether he and his wife are usingvillage volunteers. The program rewards contraceptives. Replies are plotted on a institutions from developed counthem,too-outer-island midwives can village map-prominently displayed. tries without adequate recognitionearn trips to Bali for training, while The results have been striking. An of how the circumstances of de-Balinese chiefs whose villages have estimated 49 percent of eligible couples veloping countries differed.made the most progress in family plan- have adopted family planning in Bali, Since the benefits of human deningare taken to see the successful East compared with 29 percent for the countryJava program. as a whole. The <strong>World</strong> Fertility Survey velopment are received partly byThe approach is tailored to specific showed that the average number of today's children but even more bylocal needs; it fosters local initiative and children a Balinese woman could expect their children and grandchildren,experiments with unconventional projects. to have had fallen from 5.8 in mid-1969 governments that are hard pressedPeople at provincial and village levels to 3.8 in 1976. financially may find it difficult tojustify spending as much on humanimproved earning opportunities and goats, selling the milk and development as is desirable forfor educated women, lower infant controlling the proceeds them- long-run economic growth, letmortality rates and a rising age selves. By selling cooperatively, the alone for alleviating poverty. Thisat marriage will help parents to members get higher profits than dilemma-which will be acuteprovide more for all their children they otherwise would. Families are during the next few years of finanandto have fewer of them. fed better. More of the children cial stringency-is one for whichWithout these sorts of change, are now attending school. And as external assistance can be particuitis difficult to affect the way food, the younger educated women are larly helpful. Many other measureseducation and medical care are seen to be taking a greater part in -from small-farmer programs toshared within families. But it is running the cooperative, education power generation and industrialnotimpossible. Door-to-door in- for girls is becoming more highly ization-are also needed to reduceoculation campaigns can reach all valued. In dairy development poverty and raise average incomes;children. This has been done projects in three other Indian these merit strong internationalrecently in Mozambique and states-all based on this model- support as well.Sierra Leone. And the way work similar results are being obtained. If donors providing assistanceis organized will also affect inequal-to a country are unwilling toities within families. For example, International assistance finance human development protheAnand Dairy Cooperative ingrams, these programs in mostIndia increased the income re- International aid for human de- cases will be smaller than theyceived directly by Indian women velopment programs has been otherwise would have been. Simi--since they have traditionally been provided for decades and has larly, if donors are willing toresponsible for looking after cows contributed to several notable finance only "bricks and mortar"80
ut not teachers or health workers, With increasing recognition of or program relies for long periodsthe net effect will be excessive cap- the importance of antipoverty on outside aid and that implemenitalintensity-showing up in overly programs, and of the investment tation difficulties in one projectexpensive and underused build- component of many of these pro- or region do not interfere withings and insufficient staff. Yet in grams, practices have begun to continued financing for others.developing countries a high pro- change. Several donors, includingportion of spending on primary the <strong>World</strong> <strong>Bank</strong>, have been financ- The importance of persistenceeducation and health care, for ex- ing the salaries of agriculturalample, is-and should be-for extension workers, and in some Programs that cost the least oftenoperating (recurrent) costs. In cases the operating costs required require the most organization.many countries, such as Tanzania to carry out education and training Moreover, whether in state bureauandUpper Volta, money for oper- projects-teachers' salaries and cracies at one extreme or amongating costs is already very short- teaching materials, for example. the intended poor beneficiaries atwith the result that schools In May 1979 the OECD's Devel- the other, an organization's strengthwithout books or even paper, opment Assistance Committee generally depends on the educationhealth posts without medicines or adopted new guidelines on the. and resourcefulness of its members.supervision (due to inadequate financing of local and recurrent That cannot be developed ovemight.travel budgets or gasoline short- costs, which recognized that basic One key lesson from 30 yearsages) are increasingly common. human development programs were of development experience is thatThese shortages will get worse as particularly suitable for these it takes a long time to build upgrowth slows and countries kinds of financing. effective institutions. Neitherstruggle to keep up their physical Donors should of course be governments nor donors shouldinvest:ment rates. concerned to avoid waste in oper- expect quick results, or give upMost aid agencies have preferred ating costs, just as in construction too easily. For example, evaluationto limit their funding to physical costs. And they need to ensure of family planning programs showsinvestment, being reluctant to that programs develop adequate a close relation between theirfinance operating costs partly financial support for operating costs effectiveness and the number ofbecause of concern that projects from national and local governments years they have been in existence.in which a developing country -lest they wither away when As Chapter 5 explained, and aslacked a substantial financial stake international aid is withdrawn. Figure 6.1 confirms with respectmight not develop enduring roots, Thus the share of operating costsbut also from fear of encouraging covered by external assistanceconsumption at the expense of in- should be reduced gradually, which Figure 6.1 Literacy rates, selectedvestment. As this Report stresses, will encourage steady increases developing countries, 1950 & 1970'however, human development rather than quantum jumps in the lp-0)increases productivity, reduces amounts to be financed from local 1950 1970fertility and thus promotes long- funds.G-ree 100Spain 90term growth in average incomes. Donors should also consider Chile.-9A significant part of spending- providing sectoral or subsectoral, P-erto Ric80operating as well as capital-on as well as project, financing. ThisCosta RicaTrinidad8human development therefore is enables governments to focus on & Tobago / 70investment. This is most evident the institutional, planning and Paraguayi 60in primary education, which in policy issues that have a strong Sri Lankamanycountries has economic re- influence on the success of individual Poaug,l 50Thailandturnswell above average: the projects; it also provides a useful Vene-nela 40salaries of teachers should no more framework for striking the appro- Brazil_be regarded asconsumptionthan priate balance between capital ElSalvador-30the wages of workers on irrigation and operating costs. In practice, Nicaragua 2projects. There is a large element subsectoral financing-limited by Haitiof investment in family planning activity or region-is often preferable 10prograLms as well (indeed the esti- to sectorwide financing. Through _ 0mated returns often are even higher) subsectoral financing, donors can a. The rates arr for the 20-24 age group aodand to a lesser extent in health and assist a continuing series of activities, deterrined by data availab,ity. Dats ,rr close to190ad1970.nutrition programs.while ensuring that no one project81
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t' 8 ~~~~ottoWorld Development Repo
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Oc 1980 by the International Bankfo
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ivThis report was prepared by a tea
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Text tables2.1 Summary of prospects
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DefinitionsCountry groups in the an
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illion people have barely enough fa
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in official aid and other capital a
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production and consumption; in- Tab
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measures can raise efficiency fairl
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adjustment; but the increases pro-
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dustrialized countries' GNP would T
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windfalls, some of their extra cont
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e done to increase the supplies Lat
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exchange-rate depreciation, by perc
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Table 3.2 World merchandise trade,
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* Inward-looking policies may exper
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inward-looking policies, with high
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cause individual banks or bank- Tab
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Destination of merchandise exports
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Destination of manufactured exports
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Current accountbalance before Inter
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Public and publicly guaranteed medi
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External public debtoutstanding and
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Amount1981a 1982a 1983a 1984a 1985a
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Average annualHypotheticalgrowth of
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PercentageCrude Crude Percentage Pe
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Percentage ofpopulation ofworking a
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Percentage of urban population Numb
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Life Infant Childexpectancy mortali
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PercentageDaily calorie supplyPopul
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Number Numberenrolled in enrolled i
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Percentage share of household incom
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Average index Tables 4 and 5. Growt
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28 (minerals, crude fertilizers and
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continues to grow after replacement
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posttax income and conceptually tic
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