Education and the economic crisis - IIEP - Unesco

iiepUNESCO International Institutefor Educational Planningnews letterVol. XXVII • No. 2May-August 2009See alsoLearning fromhistoryPages 4-5Protectingeducation budgetsin difficult timesPages 6-7The impact onhigher educationin IndiaPage 8Education andaid dependencyin sub-SaharanAfricaPages 10-11Innovativeinvestmentsin education inOECD countriesPage 12Recent IIEPpublicationsPage 16www.iiep.unesco.orgISSN 1564-2356Education andthe economic crisisThe current global economiccrisis may result in a declinein investments in education.Yet now is the time that it isvital to strengthen support toeducation in order to help theeconomic recovery.Mark Bray and N.V. Varghesenv.varghese@iiep.unesco.orgThe current economic crisis started in theUSA during the last quarter of 2008,but has now spread worldwide. Economicgrowth has halted, economies have shrunk,and trade has diminished, leading to job andincome losses. According to estimates by theInternational Labour Organization, 51 millionpeople will lose their jobs, and according tothe World Bank, an additional 46 million willbe pushed below the poverty line.Poor people are the mostvulnerableWhile industrialized countries were the fi rstvictims, developing countries have beenmost vulnerable to the effects of the globalmeltdown, primarily due to their dependenceon external financial flows from exportearnings, remittances and aid.The crisis has resulted in lower demandsfor exports and as a result, a loss from exportearnings. The crash in commodity prices hasled to income losses. Those who have losttheir jobs in cities are leaving, increasing theunemployment rates, loss of income and debtamong those in rural areas.Remittances are an important sourceof income for many developing countries.According to World Bank estimates, sub-Saharan Africa received US$19 billion fromremittances in 2007, which was higher thanforeign direct investment and aid fl ows.© John Isaac, World Bank.International Institutefor Educational PlanningIIEP Newsletter May-August 2009 1

At the same time, many developingcountries are dependent on aid, especiallythe countries recovering from confl ict.Crises of this sort are often associatedwith cuts in aid. Aid has been on thedecline, and may be reduced further in2009 by an estimated US$20 billion.Income from tourism is decliningin Asia and Africa. Similarly, due to afall in oil prices, incomes have fallenin oil-exporting countries, which arereducing their budgets (p. 7). Estimatesof the impact of the crisis show that morepeople will be thrown into poverty.Education financingAccording to the 2009 Education forAll (EFA) Global Monitoring Report(GMR), nearly 75 million children areout of school. Governments and theglobal community will fall short of thegoal of universal primary education in2015 by around 30 million children.Most of these children will be from poorfamilies in poor countries (p. 4).Poor countries were already investingless than the required amount ineducation and health and the crisis iseroding their ability to maintain eventhese levels. Many countries dependon aid for basic education, and thisdependence is increasing, even thoughaid flows are not showing signs ofincrease.Aid to education was on the riseat the beginning of the 2000s, beforeit fell from US$5.5 billion in 2006 toUS$4.3 billion in 2007, according tothe OECD’s Development AssistanceCommittee. This aid may further dropby US$1.1 billion by 2010. According tothe GMR, US$11 billion is needed in aidannually to attain EFA in poor countries,with the 2007 provision totalling a mereUS$2.5 billion – less than four times therequired amount (p. 10).In higher education, some countriesare less affected by the crisis thanothers. The economic crisis has led toreduced public funding in the sector,with reprioritization in favour ofprimary education (p. 8). Due to fewerstudents being able to pay fees, privateuniversities may struggle to survive.However, one factor which may increasedemand would be the decision by youngpeople to gain more education in orderto improve their prospects of securingjobs. The crisis may be felt more in thearea of research than in enrolment andteaching because research provides lesstangible and immediate economic andsocial returns.Political prioritizationPoor people in poor countries are notresponsible for the crisis, althoughthey suffer the consequences most(p. 5). Political prioritization andfinancial support must favour themmore than others and education mustbe strengthened to support economicrecovery.Governments need to be pressurizedto prioritize investment in education,communities to support education efforts(p. 11), bilateral donors to increase theircontributions, multilateral agencies tomaintain their support, and institutionsto use available resources efficiently(p. 6 and p. 12). Education is an integralpart of recovery plans in many countries(p. 9), including the stimulus packagedevised by the US government to revivethe economy through public expenditureand tax measures.Unlike in earlier crises, at least somerecovery plans include investmentin education and training. This ishighly desirable, and requires support,protection and extension where theeducation sector is threatened. ■Web focus on higher educationTo coincide with the UNESCO World Conference on Higher Education and the IIEP PolicyForum on Tertiary education in small states in July 2009, IIEP held a web focus on the topic.The challenges faced around the world were divided into six main themes:• Globalization• Privatization• Quality assurance• Research and development• Governance and management• Rural development and poverty alleviationwww.iiep.unesco.org/focus-on-higher-education.html© François Le Gall, World Bank.2 IIEP Newsletter May-August 2009

editorialMark BrayDirector of IIEPm.bray@iiep.unesco.orgNew complexitiesin a changing worldIIEP’s mandate requires the Institute to pay special attention to those livingin poverty. During the economic crisis, since late 2008, the number of peopleliving in poverty has increased. IIEP therefore, now has increased responsibilitiesand new challenges.When the global economic crisis hit, the IIEP leadership reviewed itsEighth Medium-Term Plan (2008-2013) to see what reorientations were needed.Although it was agreed that the basic structure and focus of the Plan remainrobust and pertinent, it is clear that various adjustments are necessary. Lowincomecountries, which IIEP particularly aims to serve, have been affectedthrough no fault of their own, and some of the high-income countries withwhich the Institute has collaborated have had to reorient their economic andsocial approaches as well as restructure their external assistance. Like many ofits counterparts around the globe, IIEP has found that the context in which itfunctions has changed considerably.IIEP has formulated various responses to these changing circumstances: We have stressed the value of education as a long-term investment and arehighlighting the dangers that can arise from short-term cuts. We have emphasized the need for strategic planning that takes account of risks aswell as opportunities in the volatile environments in which we work. We are monitoring the impact of the crisis through studies on household costs ofeducation in countries in West Africa, on international aid fl ows, and on stateswhich were already fragile prior to the crisis. As an intellectual as well as practical organization, IIEP is analysing the conceptualimplications of the crisis on planning itself.The events since the onset of the crisis have also changed the nature of socialinequalities. Relatively rich countries, such as Iceland, have found themselves insevere diffi culty. At the other end of the scale, economies based on subsistenceagriculture have been largely untouched: they were poor before the crisis andthey will be poor after the crisis. The previously well-off oil-based economieshave suffered a blow and consider themselves worse-off – but only relative totheir earlier income levels. Many societies which had depended on remittancesfrom migrant workers – such as Cuba and Tonga – have had to make majoradjustments.These changing patterns have made it necessary for IIEP to shift the focusof its work. Member States can be assured of our ongoing commitment topartnerships for devising ways to cushion the impact of crises and for drawingon lessons learned to implement long-term plans. Among the greatest of theselessons is that it is becoming harder to predict the future in an increasinglyglobalized world. ■In this issueEducation andthe economic crisis 1editorial:New complexities ina changing world 3Learning from history 4The impact on poverty 5Protecting education budgetsin difficult times 6Oil and education in the Gulf States 7The impact on highereducation in India 8Latin America and the crisis 9Education and aid dependencyin sub-Saharan Africa 10Strengthening alternative educationin times of decreasing state funding 11Innovative investments in educationin OECD countries 12Multi-sectoral training on PublicExpenditure Tracking Surveys 13Teachers and HIV and AIDS:reviewing achievementsand identifying challenges 132008/2009 ATP study visitto India 14Forthcoming activities 15Obituaries 15IIEP Publications 16Printed on recycled paperThe IIEP Newsletter is published three times a year inEnglish, French and Spanish, and twice a year in Russian.All correspondence should be addressed to:The EditorIIEP NewsletterInternational Institute for Educational Planning7-9 rue Eugène-Delacroix75116 Paris, FranceTelephone: +33.1.45.03.77.00Fax: +33.1.40.72.83.66newsletter@iiep.unesco.orgwww.iiep.unesco.orgInternational Institutefor Educational Planning

Education and the economic crisisLearningfrom historySince the SecondWorld War, politicaland financial effortshave permittedconsiderableimprovementsin people’s lives.Investing ineducation andtraining is essentialfor long-termeconomic recovery,and must not beoverlooked in thecurrent crisis.Nicholas Burnett UNESCOn.burnett@unesco.orgThe World Digital Library (www.wdl.org),launched at UNESCO in April 2009,includes an iconic photograph by DorotheaLange of a destitute mother with two of herseven children, taken in the USA at the timeof the Great Depression of the 1930s.Today’s global economic crisis is the worstsince the Great Depression. But we should becautious in drawing too many parallels. Thecurrent crisis has erupted in a very differentworld – a globalized world that leaves nocountry untouched. The problems in themortgage market and the collapse of investmentbanks transformed at lightning speed into afully-fledged economic crisis that threatens todrive between 50 and 90 million people intoextreme poverty. An additional 200,000 to400,000 infants could die each year betweennow and 2015. In just a few months, exportdependentcountries registered steep joblosses. We are faced with a global human crisisof untold proportions – what the World Bankhas described as a development emergency.© Dorothea Lange.This calls for a global response initiated bythe world’s industrialized countries, even inthe context of negative or stagnant economicgrowth forecasts. The experience of the GreatDepression is invoked with the reinforced roleof the state through a massive fi scal stimuluspackage aiming to revive the economy. Butthe comparison should stop there.Today’s world is built on the ruins of theSecond World War and on the conviction thatinternational cooperation and understandingare a defence against extremist ideologies,oppression and tyranny. It is built on theconviction, in the words of the 1948 UniversalDeclaration of Human Rights, that “all humanbeings are born free and equal in dignity andrights”. The Declaration establishes educationas one of these fundamental rights.We have multilateral institutions thatare now over 60 years old. Whatever theirshortcomings, the UN and others havehelped to shape a global conscience, promotepeace, defend human rights and improvepeople’s lives around the world. The fact that190 countries rallied in 2000 around a set ofgoals (the Millennium Development Goals)to halve extreme poverty and hunger, reducechild and maternal mortality, get all childreninto school, and ensure environmentalsustainability, is a sign that a collective willexists to reduce the intolerable gap betweenrich and poor and give every person a moredignifi ed existence. The Education for All(EFA) goals adopted the same year in Dakar,Senegal, further highlight the importanceof learning opportunities as a right and adevelopment imperative.We have information and communicationtechnologies that spread news and knowledgeat unprecedented speed and permit networkingand mobilization on a global scale. We haveelectoral democracies, however imperfect, intwo thirds of the world’s states, and infl uentialcivil society movements.We have witnessed the rise of a middleclass in several of the world’s largest emergingeconomies, and since 2000 we had experiencedsustained economic growth – growth thathas been partly responsible for Africa’s rapidprogress towards universal primary education.4 IIEP Newsletter May-August 2009

Education and the economic crisisRecent economic crises fromPeru to Russia give us insight andwarnings. Poverty increases and themost vulnerable are hardest hit. Childmortality and malnutrition rise. An IIEPstudy of the Asian crisis of the late 1990sfound that health and education budgetsdeclined in several countries (Malaysia,Indonesia, Thailand and Philippines). 1Parents withdrew older children fromschool, and delayed the entry of theyoungest. Child labour increased inseveral countries. But paradoxically,demand for the public provision ofeducation rose in Asia as parents pulledchildren out of private schools.Dependence on aid makes low-incomecountries all the more vulnerable.Evidence suggests that a 1 per cent dropin donor country gross domestic product(GDP) is associated with a 1 per centdrop in aid fl ows.The lessons from this are clear: Policies must protect those who aremost vulnerable. Several East Asiancountries introduced social safetynets in the 1990s, including transfersof funds to families to keep childrenin school. Singapore pledged not tocut its research and developmentbudget in order to maintain itscompetitiveness. Donors must maintain aidcommitments. A combination ofincreased national spending and aidled to the historic gains in educationacross Africa in the past eight years.The 22 per cent drop in aid tobasic education in 2007 seriouslyjeopardizes future progress towardsEducation for All. And this wasbefore the crisis. A fi scal stimulus package has to bedirected to the poorest countries,focusing on the poorest people. Itshould provide cash transfers tofamilies to prevent an increase inchild labour, include provisions forschool meals and resources for hiringmore teachers.Investing in education and trainingis essential to economic recovery. Inthe USA, the Obama administration’sstimulus package includes US$150billion for education. We need to promotelong-term synergies: public employmentschemes for teachers, scaled-up technicaland vocational education, with inclusionas the backbone of all policies. ■1 Varghese, N.V. 2001. Impact of theeconomic crisis on higher education inEast Asia: country experiences. Paris:IIEP-UNESCO.The impacton povertyPauline Rose EFA GlobalMonitoring Report, UNESCOp.rose@unesco.orgMedia attention around the economic crisis has focused mainlyon the richest few countries, yet the most devastating effectsare on those living in poverty in developing countries.We are all aware that theworld economy is dealingwith the aftershock of afinancial crisis which beganin the US housing andmoney markets. However,less attention is being paidto the ramifications forfour fifths of humanity indeveloping countries.For poor people, theglobal slowdown willtranslate into feweropportunities for incomegeneration, majorjob losses, and lowerremittances. Progresstowards poverty reductionwill slow down, and mayeven go into reverse.Financial pressures willput government budgetsunder increasing strain, andspending in health care andeducation could be an earlycasualty.In many of the poorestcountries, the financialcrisis comes against thebackdrop of high foodprices. Over the past twoyears, according to theWorld Food Programme,child malnutrition hasincreased by 77 million.Gains in education builtup since 2000 are also nowunder imminent threat.Governments andinternational agencies –including the specializedUN agencies, the WorldBank and the InternationalMonetary Fund (IMF) –have so far failed to shapean effective response.Although there are plentyof ambitious promises, onlyaround US$3 billion a yearin new finance is channelledthrough the IMF. It is toolittle, and the IMF is notthe right institution to leada poverty-focused fiscalstimulus.What is needed is ascaled-up internationalaid effort. The WorldBank should be providingnew support through theInternational DevelopmentAssociation, and bilateraldonors should be deliveringon old aid promises. Thetransfers should comewithout conditionalitystrings. And they shouldstart now. Waiting for‘evidence’ in the formof increased dropout,heightened malnutrition,and deteriorating healthis a luxury that vulnerablepeople in developingcountries cannot afford. ■IIEP Newsletter May-August 2009 5

Education and the economic crisisProtectingeducationbudgets in© Ami Vitale, World Bank.The financial crisis has heightened the needto address two closely-related policy challenges.The fi rst is to protect, in the short term,current levels of social spending in general,and education in particular. The second, inthe medium to long term, is to protect futurebudgetary allocations in education againstglobal and national economic volatility.What are the options?For the short term, policymakers face threeoptions: to reduce spending in education to reallocate funds from other sectors infavour of education, which is not likely toyield significant amounts in the context oflarge fi scal defi cits and given the politicalbacklash that would almost certainlyensue to seek external funding through additionalaid or foreign borrowing.None of these options would entirely rescueeducation, and the best approach would be acombination.Debt paymentsdifficult timesAt times whendeveloping countrygovernmentsare forced to cutspending, theeducation sectormust be protectedand prioritized.Diéry Seck Centre for Research on PoliticalEconomy, Senegal; IIEP Governing Boarddieryseck@hotmail.comThe impact of the current economic andfi nancial crisis on developing countriesis catastrophic, especially in respect of stuntedeconomic growth, unemployment and cuts ongovernment spending. Education is a primetarget for cuts in times of fiscal strain, given itslarge share in national budgets. It is diffi cultfor developing countries to raise additionalaid to cover shortfalls in education-relatedactivities, unlike humanitarian emergenciesthat can arouse a global sense of solidarityon short notice. Yet, the negative impactof under-spending in education on futuregenerations would be irreversible.The international community should alsoconsider other measures. One bold approachwould be performance-contingent externaldebt service payments. Poor countries wouldbe allowed to postpone part or all of theirscheduled external debt service payments iftheir economic growth falls below an agreedthreshold. Savings from lower external debtservice payments could be earmarked foreducation. Given the high debt-to-grossnational product (GNP) proportion of 50 percent and above in many African countries, thesavings could be considerable.Considering that this scheme would makeinternational lenders contingent fi nanciersof education in developing countries,external debt contracted to fi nance educationwould be suitable for this arrangement, andconcessionary lenders could take the lead inassuming the shifted risk. However, it wouldbe necessary to ensure that the reform providesaid additionally rather than as a substitute, andthat developing countries do not pay a risk6 IIEP Newsletter May-August 2009

Education and the economic crisispremium to their creditors to protect theireducation sectors.Education fundingThe second option for global reform rests on theview that economic growth and developmentare based on, and also serve, the enhancementof human capital. Therefore social spending,including spending on education, must betargeted as a priority in national policy and aidprogrammes. Externally-funded developmentprogrammes, particularly in the social sector,could be managed by a broadly inclusiveAid Council under the auspices of the UNthrough a scheme of pooled donor resources.Unconditional funding for education indeveloping countries would shield from crisisrelatedfinancial shortfalls and facilitate longtermplanning in skills training.These reforms could apply to other sectorsas well. But the key challenge is to design andimplement them now. ■© Ami Vitale, World Bank.Oil andeducationin the GulfStatesDramane Oulaid.oulai@iiep.unesco.orgWith the fall in oil prices in the Gulf States, education budgetshave been directly affected.In mid-2008, the price ofoil was at an all-time highof US$147 a barrel, and sowere the export revenuesof oil-producing countries,including the six Gulf Statesof Bahrain, Kuwait, Oman,Qatar, Saudi Arabia andthe United Arab Emirates.With the plummetingglobal economic growthrates during the recession,the demand for oil hasdeclined. Oil prices fell aslow as US$37 per barrel,and the corresponding fallin income affected varioussectors in the Gulf States,including education.According to the IMFDirector for the MiddleEast and Central Asia, theeconomic growth of sixGulf States will decline to3.5 per cent in 2009 from6.8 per cent in 2008. Someof these states, such asOman and Saudi Arabia,will experience a recordbudget shortfall this year.Fortunately there aresome economic cushions.Some have diversifiedtheir economies to reducetheir dependence on oil,and some have built largereserves. These countriesmay be less affected by thecrisis in the short term.However, some countries,such as Bahrain, areplanning to reduce theireducation budget over thecoming years.Senior governmentofficials in these statesare voicing more stronglythe need for prudentmanagement of educationfinancing. At a March 2009seminar, Bahrain’s Ministerof Education stressed thatArab Gulf States shouldtake a fresh look at ways toimprove the managementof education finances and toreduce wastage. 1 Thoughuniversal primary educationhas been achieved inalmost all the Gulf States,and secondary enrolmentis around 70 per cent,improvement is needed inthe quality of education.Expansion in private highereducation will continueto be encouraged sincegovernment supportto public universitiescannot keep pace with theincreasing demand.A fall in the oil prices willnegatively impact educationbudgets and may adverselyaffect capacity developmentefforts to diversifythe economy. Further,quality improvementprogrammes may be moreaffected than those ofexpansion. However, thisfinancial crisis may alsoprovide the opportunityfor governments tointroduce reforms toimprove efficiency in themanagement of educationalfinancing. ■1 Seminar on the Economics ofEducation in Arab Gulf States,organized by the Gulf ArabStates Education ResearchCentre (GASERC) and IIEP,3-5 March 2009.© Péter Gudella, Shutterstock.IIEP Newsletter May-August 2009 7

Education and the economic crisisThe impacton highereducationin IndiaWhat is the roleof the IndianGovernment inprotecting highereducationfrom risks?Jandhyala B.G. Tilak National University ofEducational Planning and Administration, Indiatilak@nuepa.orgWhen the economies around the worldbegan to feel the impact of the globalfi nancial crisis, offi cial sources claimed thatIndia would not be too badly affected. Butin no time, rates of economic growth begandropping in all sectors. Companies outsideIndia reduced their outsourcing and laid offmany of their overseas workers, which couldresult in a return of migrants back to India. Allof this indicates that despite rapidly becomemore globalized, India has not remaineduntouched by the crisis.What will be the effects of the crisis onhigher education? India’s Eleventh Five-YearPlan (2007-2012), provides a significant© John Isaac, World Bank.increase in budgetary allocations to highereducation in order to achieve a number of‘world class’ universities and institutions.It aims to raise the gross enrolment ratefrom 11 to 15 per cent. The Plan envisagessupport for expansion from public-privatepartnerships.What will then happen to these goals? Theshort- and long-term effects of the crisis haveyet to unfold, but some results are clear.Effects on higher educationThe government’s reduced fi scal capacity maylead to cuts in allocations to higher education.And the recent hike in pay scales of teachers inthe sector, which cannot be reversed, may eatinto the bulk of increased allocations, leavingvery little for expansion and improvement inquality.Much of the recent growth in highereducation, especially higher professionaleducation, has taken place in the privatesector. There may be a signifi cant decline ofgrowth in private institutions. Therefore, plansthat depend upon public-private partnershipsmay stagnate. The fall in employment andincomes would mean a reduced demand forhigher education in general. Supply alreadyexceeds demand in some specializations.Slowed growth in the information technologysector has drastically reduced the demand forengineering education. However, it is too earlyto expect an equally dramatic shift in favourof social sciences, though there has beenan increase in the demand for commerce,economics and sciences.A large infl ow of foreign direct investmentin higher education is expected followingthe approval of regulations for the entry offoreign institutions. However, the economiccrisis may delay the process and these foreigninstitutions may end up competing to attractIndian students.The role of the government is important inprotecting higher education from the globalcrisis, as this sector can provide effective andsustainable solutions. The stimulus packagethat the Indian Government has consideredshould include boosting investment inhuman capital. ■8 IIEP Newsletter May-August 2009

Education and the economic crisisLatinMexicoGulfofMexicoCubaThe BahamasDominicanAmericaBelizeGuatemalaHondurasEl Salvador NicaraguaJamaicaRicoHaitiCaribbean SeaCosta RicaPanamaRepublic PuertoVirginIslandsAntiguaDominicaand thecrisisEcuadorPeruColombiaVenezuela GuyanaFrenchSurinameGuianaBrazilBoliviaLatin America has already comethrough economic crises withlittle effect on the educationsector. How can we learn fromthe region?ChileParaguayUruguayArgentinaAlejandro Morduchowicz IIEP, Buenos Airesamordu@iipe-buenosaires.org.arEconomic crises are not new to LatinAmerica. When the external debt crisisbroke out in 1982, public expenditure oneducation declined in 12 out of 18 countriesstudied in the region. 1 However, enrolmentscontinued to increase at the school level. The1990s brought economic revival, educationreforms and gradual recovery of expenditureson education. Although economists statethat the world will not be the same afterthe current crisis, they feel it is too risky toforecast its sectoral impact in the region. Thegeneral tendency is to argue that the crisis willaccentuate poverty and will have a negativeimpact on enrolments. However, such asituation did not arise in Latin America duringthe earlier crises, and may not happen in thecurrent crisis.A 2007 IIEP study shows that 19 of thecountries studied increased the percentage ofexpenditure on education as a share of GDPduring recent years, and that in some cases,such as Bolivia and Chile, the increase wasmore than two percentage points. 2With regard to fi scal impact, thenegative impact may not be feltin public expenditure in 2009.However, the possibility of aninterruption in the gradual growthprocess of education investment,which has been increasing in the last15 years, cannot be ruled out.Lessons can be learned from the experienceof Argentina, which faced a crisis at thebeginning of this century. The government tookimmediate steps to alleviate the predictablenegative effects on school attendance. Itincreased scholarships by 50 per cent, fundedschool refectories from the national budget,and declared other areas of the educationbudget as ‘protected expenditures’ whichcould not be reduced. Argentina’s challengesat that time may provide useful lessons toother governments today. ■1 Reimers, F. 1990. Deuda externa y financiamientode la educación: su impacto en Latinoamérica.Santiago de Chile : OREALC-UNESCO.2 Morduchowicz, A. and L. Duro. 2007. Lainversión educativa en América Latina y el Caribe.Las demandas de financiamiento y asignación derecursos. Buenos Aires: IIPE-UNESCO.IIEP Newsletter May-August 2009 9

Education and the economic crisis© UNESCO.yearly growth in public education spending of9.3 per cent. About 60 per cent was attributedto the resumption of economic growth.Between 1980 and 1999, the annualgrowths of GDP and of education budgetsin SSA were low at 2.3 per cent and 1.1 percent respectively, leading to a long-termdecline in public spending per pupil. Manycountries introduced school fees to replace lostrevenues at a time when household incomewas declining. This contributed to a fall ingross enrolment rates from 80 per cent in 1980to 72 per cent in 1992, with rates only againreaching the 1980 level around 2000.Education andaid dependencyin sub-SaharanEducation aidThere has been a welcome growth in aid toSSA since 2000. Measured in 2006 US dollars,total education aid disbursements rose from$878 million in 1999 to $2.5 billion in 2006,or 16 per cent annually. However, the annualgrowth between 2003 and 2006 was only4 per cent, and global aid commitments foreducation declined sharply in 2007.Possible impact of the crisisAfricaWhat are therisks posed by thecurrent economiccrisis to educationfunding and aidin sub-SaharanAfrica?Birger Fredriksen IIEP Governing Boardbfredriksen@worldbank.orgUrgent, determined and coordinatedactions by governments and donors areneeded to ensure that the hard-won progresstowards Education for All (EFA) in sub-Saharan Africa (SSA) is not jeopardized bythe worldwide economic downturn.Public fundingBetween 1999 and 2006, the two factors thatcontributed to increased domestic publiceducation funding in SSA were the increasedpolitical priority for education and theeconomic growth of 5.3 per cent. The shareof GDP allocated to education increased from3.6 per cent to 4.4 per cent, resulting in aThe future growth in public education budgetsdepends principally on the level of economicgrowth. The latest growth projections forSSA suggest a decline from 6.4 per centin 2008 to 2.4 per cent in 2009. This couldmean stagnation or cuts in education budgets.Combined with a projected 5 per cent declinein remittances for 2009, this will also decreasehousehold income, and therefore the ability topay for education.Between 1992 and 1997, in a much mildereconomic slowdown, aid fell from 0.33 percent of donor nations’ GNP to 0.22 per cent.If something similar were to happen this time,this would have devastating consequencesbecause the share of aid in the educationbudget of the ‘median’ SSA country hasincreased to about 25 per cent. Rather thancutting, donor nations should be increasingtheir aid and using it to mitigate the impact ofthe crisis on domestic funding. Meeting their2005 Gleneagles aid pledges would by itselfgo a long way. It would help preserve hardwoneducation gains that aid has facilitated10 IIEP Newsletter May-August 2009

Education and the economic crisisover the last decade and avoid a return to thestagnation of the early 1990s.Aid dependency risksThe crisis serves as a reminder that moreattention needs to be given to providing aid inways that avoid creating harmful dependencies.This is not because more aid is not desirableif well used, but because this may help bothrecipient and donor countries to better copewith dependency risks. These risks dependon many factors, including aid predictabilityand how strategically the aid is used to helpbuild capacity, promote innovation andcomplement domestic funding in areas wheresuch funding is not easily available. ■Strengtheningalternativeeducationin times ofdecreasingstate fundingIgor Kitaevi.kitaev@iiep.unesco.orgIs it possible ‘to do more with less’ in education?In December 2008, the EFAHigh-Level Group met inOslo and stressed that “theglobal financial crisis makessustained investment ineducation more importantthan ever”. And KoïchiroMatsuura, UNESCO’sDirector-General, noted atthe UNESCO Futures Forumin March 2009 that “timesof the crisis are also times ofopportunity”.The education sector istraditionally characterizedby its large staff, enrolment,infrastructure, andexpenditure. It is also knownfor considerable inertia andconservatism. Reformsface numerous stumblingblocks.Crises imply moreconstraints on funding anddemand more accountabilityand results-basedmanagement to reduce unitcosts, enhance efficiencyand diversify resourcing.The Tanisandra Pilot ProjectThis recent award-winning school extension project in Tanisandra,Bangalore, India, shows how local and robust materials andtechnologies can lead to cost-effective, durable, aestheticallyrewarding,and environmentally-compatible school buildings.The project was initiated by the local population and managedby community officials. The easily-transferable and innovativestrengths of this project are the convincing demonstration oflow embodied (grey) energy, carefully engineered natural stonefoundations and rammed earth walls for the building, a systematicintegration of closed water and waste cycles, and a new visualidentity to the previously rather dull school compound.www.holcimfoundation.org/Portals/1/docs/A08AP/08_APAC_%20Awards_Ackn_C_A4.pdfThey also provide anopportunity to reviewperformance, to streamlinebureaucracy, to cut the‘deadwood’, and to prioritizethe ‘irreducible’. Theypromote low-cost solutions,such as the use of localmaterials and grassrootsinitiatives, for exampleinvolving communities inschool financing. In manyparts of the world, parentsunite during crises to buildschool extensions, fences,playgrounds and otherfacilities. Many peoplein developing countriesstill believe in the state asthe sole source of schoolfunding. Yet communityinitiatives have an enormouspotential in helping toachieve the EFA goals.Many examples can befound of schools set up bycommunities, with volunteercommunity teachers andnon-cash support in theform of labour or materials.In Ethiopia, for example,expert advice is commonlysought from elders, which isconsidered a valuable inputfor school management.Income-generationis another option, whereschools operate farmsand gardens, lease spacefor weddings and culturalevents, cook meals, andmanufacture souvenirs.Schools organize dancingcompetitions not only at theRio Carnival in Brazil, butalso in diverse locationsin India and Botswana. InKampala, Uganda, a schooljazz band collected enoughmoney to buy a schoolbus. In South-East Asia,educators have proposedto replace conventionaleducational componentswith alternativeprogrammes, student andcommunity volunteers, andinstructional supervisors.While more funds foreducation may be difficultto obtain during a crisis, abetter and more rationaluse of available resources,or their re-allocation,can bring good results.Further, the resources canbe channelled to targetedprogrammes.Expanding conditionalcash transfer programmesthat link aid or subsidiesto education can be aneffective way to addresspotential losses in humancapital. Examples of suchprogrammes include thePrimary Education StipendProgramme in Bangladesh,Bolsa Familia in Brazil,Education Sector SupportProgramme in Cambodia,Programa de AsignaciónFamiliar in Honduras,Oportunidades in Mexico,and Atención a Crisis andRed de Protección Social inNicaragua. ■IIEP Newsletter May-August 2009 11

Education and the economic crisisInnovativeinvestmentsin education inOECD countriesCrises result incuts to educationbudgets. Yet theseare the times whenmore investmentis needed.Bernard Hugonnier OECDbernard.hugonnier@oecd.orgGovernment expenditure on educationis vulnerable, and systems sometimeshave to compromise on quality. Publicfunding for higher education has been cut inseveral countries, and many universities fearthat private investment will fall in the nearfuture. Firms hit by the recession find it harderto finance training, while apprenticeshipoffers are declining because of bankruptcyand a decline in business activity.Yet some members of the Organisation forEconomic Co-operation and Development(OECD) are investing more in educationto address the challenge. Indeed, supportfor education and training that enables© UNESCO.the transition to new jobs and emergingopportunities is recognized as important ineconomic stimulus plans. Improving educationfacilities is a core component in the recoveryplans in Australia, Austria and Canada.Similarly, the US stimulus package proposesnew funding for school districts, a new schoolmodernization and repair programme, and atechnology programme to improve highereducation and expand fellowships for science.Related initiatives can be seen inEurope. Hungary has launched new trainingprogrammes for teachers with resourcesof 70 million Euros. Spain is creating newschool places for children under the age ofthree. Portugal is reinvigorating its highereducation institutions. And Germany isseeking a balance between investments inschool buildings and teachers.RecommendationsThe restructuring brought about by the crisiswill accelerate changes: new sectors willappear, while old ones will fade away; newwork organizations will be introduced undernew rules and regulations; new skills will beneeded, while the demand for others will abate.Competencies such as entrepreneurial skillsand creativity will be crucial in an economythat needs to be enriched by more adaptive andinnovative education and training systems. Inparticular, there is a need to address youth wholeave school with few or no qualifi cations andwho are hit the hardest.Educational infrastructure can be animportant element of public investments tosupport economic recovery. In many countries,there are huge challenges regarding schoolbuildings. It is crucial that this opportunitybe used to renovate the school infrastructure,including through the construction ofecologically-friendly schools. Investmentin information and communicationstechnologies in schools and homes can alsosupport education and training.Support to individuals’ investments ineducation should also be considered. Inparticular, the backing of student loansmight be necessary to prevent a decrease ininvestment in higher education. ■12 IIEP Newsletter May-August 2009

Multi-sectoral trainingon Public ExpenditureTracking SurveysRecent IIEP activitiesof those implicated at both political andtechnical levels, and the importance ofinformation for transparent fi nancingmechanisms. Participants drew up acalendar to launch the tracking surveysin their sectors, and they asked IIEP toprovide continued support. ■Kampala, 9-13 March 2009Muriel Poisson and Jacques Hallakm.poisson@iiep.unesco.orgIn 1995, Uganda was the fi rst country inthe world to launch a public expendituretracking survey (PETS). This successfulexperience has been documentedcarefully, 1 and many countries 2 haveimplemented similar surveys in theeducation and health sectors.Nearly 15 years later, Uganda is aboutto launch new tracking surveys in severalsectors. The Economic Policy ResearchCentre of Makerere University inKampala has called on IIEP’s experiencein training cross-sectoral teams forPETS. In a March 2009 workshop,25 specialists from education, health,energy, agriculture and road maintenancejoined representatives from several nongovernmentalorganizations (NGOs) ina practical training course to familiarizethem with the tools needed for thesurveys.The discussions, which were openedby the Advisor to the Minister ofFinance, focused on the preparationand implementation of tracking surveys.They paid particular attention to each ofthe sectors concerned, the mobilization1 Reinikka, R. and Smith, N. 2004. Publicexpenditure tracking surveys in education.Ethics and corruption in education. Paris:IIEP-UNESCO. http://unesdoc.unesco.org/images/0013/001362/136267e.pdf2 Cambodia, Cameroon, Chad, Ghana, Kenya,Mongolia, Mozambique, Papua New Guinea,Peru, Rwanda, Sierra Leone, Tanzania andZambia.© IIEP.Teachers andHIV and AIDS:reviewingachievementsand identifyingchallengesWeb forum18-29 May 2009Ciara Goldsteinhiv-aids-clearinghouse@iiep.unesco.org“I feel that most teachersneed a proper training,teaching materials/resourcesand support from the schooladministration to deliverthe ‘education vaccine’ tothe learners. By having aninstitutional policy developedby the school’s stakeholders,[...] silence towards HIV/AIDScan be broken.” (participantfrom Kenya)Teachers play a criticalrole in school-basedHIV prevention efforts.However, they facesignificant challenges,including difficult workingenvironments and limitedtraining. In many contexts,teachers are profoundlyaffected by HIV. Stigmaand discrimination, genderinequality, cultural issues,and relationships betweenteachers and students canmake school-based AIDSeducation highly complex.In order to reviewprogress and identifyways forward, IIEP and theUNAIDS Inter-Agency TaskTeam (IATT) on Educationorganized a web forum onteachers and HIV and AIDS.The outcomes then fedinto the IATT Symposiumin Limerick, Ireland, inJune 2009.Designed and moderatedby IIEP staff, the interactiveforum brought togethereducational planners,policymakers, teachers’unions, teachers, networksof people living with HIV,civil society, donors,UNAIDS Cosponsororganizations, andmultilateral agencies.The forum attracted447 participants from78 countries in all regionsof the world. It provided athought-provoking platformfor participants to exchangeexperiences and shareperspectives on the role ofteachers in HIV preventionand in child protection,the coverage and contentof pre- and in-servicetraining, and the creation ofsupportive environments forteachers affected by HIV. ■A Forum report is available at:http://hivaidsclearinghouse.unesco.orgForum discussions may beconsulted at:http://forum.hivaidsclearinghouse.unesco.orgIIEP Newsletter May-August 2009 13

Advanced training programme2008/2009ATP study visitto India2008/2009 trainees on a school visit© IIEP.Where are they now?News of formerIIEP trainees Career changesKatherine GRIGSBY, Nicaragua(1985-1986). Director of theUNESCO Office in Mexico City(Mexico).Joe Iautim IAUAUSIM, Vanuatu(2005-2006). Director for theMinistry of Youth Development,Sports and Training.Narciso Damasio DOS SANTOSBENEDITO, Angola (1991-1992).Vice-Minister of the Ministryof Technical and VocationalEducation.Marie-Ange Akoua BadouKOUASSI, Côte d’Ivoire (2007-2008). Assistant Directorof Statistics & Evaluation,Department of Informatics,Planning, Evaluation & Statistics,Ministry of Education. DeceasedEric RANOZINAULT, GabonATP 1997/1998Died 1 April 2009. Former colleagueJuan Carlos TEDESCO, formerDirector at IIEP Buenos Aires,and until recently Minister ofEducation of Argentina, has beennominated to be in charge ofcoordinating Educational Planningand Evaluation, for the Presidency.The new Minister is the formerVice Minister of Education, AlbertoSileoni.Natalie Fredericn.frederic@iiep.unesco.orgParticipants of the 44th AdvancedTraining Programme (ATP) went to Indiabetween 6 and 17 April 2009. After a longflight to New Delhi, we were welcomed by ourhosts Raju Vetukuri, an ATP graduate, andPranati Panda from the National Universityof Education Planning and Administration(NUEPA).To structure our focus, working groups werecreated on governance and decentralization,labour market issues, and quality and equity.The fi rst week was spent in New Delhi andUttar Pradesh, India’s most populous states.We spent time with NUEPA colleagues andwith personnel from the National Councilof Educational Research and Training(NCERT), the Ministry of Human ResourcesDevelopment (MHRD), and the PlanningCommission.As our bus snaked through the streets,we became eye witnesses to the fantasticscenes of ‘Incredible India’! Our time in NewDelhi included a light and sound show atthe Red Fort which vibrantly recounted thecity’s glorious and tumultuous centuries ofhistory. Of course we also made time for theTaj Mahal, the infamous UNESCO WorldHeritage site.The second leg of our study visit took usto Bangalore, Karnataka State. There we metstate education offi cers and personnel fromleading companies in information technology.We also visited rural areas, which helped usto understand a very different dimension ofeducation. We learned from NGOs, privatecolleges and polytechnics, and spent time withchildren, who generously shared with us theirlocal cultures through vibrant displays of songand dance.For all of us, the Indian study visit was anunforgettable experience. We contrasted whatwe learned in India with what we had learnedin France and what we knew of our owncountries. We felt privileged to benefi t fromthe hospitality of our Indian hosts, and ourminds were truly opened to new dimensionsand possibilities. ■Incredible India!For information on all IIEP training activities:www.iiep.unesco.org/index.php?id=73© IIEP.14 IIEP Newsletter May-August 2009

Forthcoming activitiesAugust31 August-4 SeptemberWorking Meeting for SACMEQ National ResearchCoordinators on Accessing and analysing national data filesfrom the SACMEQ III Project for reporting purposesIIEP, Paris.Contact: k.ross@iiep.unesco.orgSeptember16-19 September 2009ANTRIEP Policy Seminar on Successful education systems fora changing world: monitoring and evaluating the effectiveness ofeducation systemsShanghai, China.Contact: a.de-grauwe@iiep.unesco.orgOctober1-2 October 2009International Seminar on Education and work. Inter-relationsand policies.Buenos Aires, Argentina.Contact: emilio@iipe-buenosaires.org.ar3-4 October 2009Eleventh Session of the SACMEQ Managing Committee andSeventh session of the SACMEQ Assembly of MinistersIIEP, Paris.Contact: d.makuwa@iiep.unesco.org6-23 October 2009UNESCO General Conference26 October-18 December 2009IIEP/UNESCO Distance Course on Cost analysis in education.Key concepts and statistical tools (French)Deadline for applications : 7 September 2009For more information: www.iiep.unesco.org/index.php?id=75Contact: p.dias-da-graca@iiep.unesco.org28-30 October 2009Workshop on Caminos hacia transparencia e integridad en elsector de la educación en Perú, in collaboration with theAnti-Corruption Resource Centre and CIDA (Canada).Lima, Peru.Contact: m.poisson@iiep.unesco.org19-23 October 2009Study Visit of Regional Course, ParaguayContact: cursoregional@iipe-buenosaires.org.arObituariesJuliana Nzomo8 May 1960 - 16 March 2009Juliana was recently employed bythe Aga Khan Foundation. Beforethat she worked for Kenya’s Ministryof Education. She was a graduate ofIIEP’s 1993/1994 ATP and worked as atechnical consultant for IIEP projectsconcerned with the institutionalmanagement of higher education.Juliana was Kenya’s NationalResearch Coordinator for the Southernand Eastern Africa Consortiumfor Monitoring Educational Quality(SACMEQ) from 1997 to 2001, andwrote for several of the projectreports. She was a member of theSACMEQ Scientific Committee, andwas always insistent on the need forpolicy and planning decisions to bebased on high quality data.IIEP and SACMEQ has lost one of itsmost talented colleagues and friends.Neville Postlethwaite2 February 1933 - 12 April 2009Neville contributed significantlyto a variety of areas in educationalplanning, management, evaluationand policy development, and wasrecognized worldwide for his workon quantitative cross-nationalcomparative educational research.Neville was Co-Editor for IIEP’sFundamentals of Educational Planningseries. In 2005, he also started thehighly successful Education PolicyBooklets series. In addition, he foundtime to work with IIEP staff and withmany African professionals on theestablishment of SACMEQ.Neville will be rememberedas one who dedicated his life tothe improvement of the quality ofeducation worldwide. We are infinitelythankful to have had the privilege tobenefit from his life’s work.Torsten Husén1 March 1916 – 30 June 2009Torsten made an indelible mark onthe field of education both in his nativeSweden and internationally. He isespecially known for his work on thelongitudinal study of pupils born inMalmö in 1928. He was Chairman ofthe International Association for theEvaluation of Educational Achievementfrom 1962 to 1978. Torsten co-editedthe monumental InternationalEncyclopedia of Education with NevillePostlethwaite.Torsten also made a majorcontribution to IIEP. He was thesecond Chairperson of its GoverningBoard, from 1970 to 1980, and withgreat dexterity and dedication guidedthe Institute at a critical period in itshistory.IIEP pays tribute to a great educatorand international statesman.IIEP Newsletter May-August 2009 15

International Institutefor Educational PlanningInternational Institutefor Educational PlanningInternational Institutefor Educational PlanningJoan Sullivan-OwomoyelaLaura BrannellyEducation in emergencies and reconstructionN.V. VargheseLaura BrannellySusy NdaruhutseCarole RigaudEducation in emergencies and reconstructionResearch papers IIEPInternational Institutefor Educational PlanningJeilu OumerEducational costs and financingIIEP PublicationsAll IIEP publications can be downloaded free of charge at:www.iiep.unesco.org/index.php?id=426Education in emergencies and reconstructionSeries on ‘Indicators’Promoting participation: community contributions to education inconflict situationsby Joan Sullivan-Owomoyela & Laura Brannelly, 2009, 159 p.Promoting participationCommunity contributionsto education in conflictsituationsThis publication explores the roles communitiesplay in providing education in both emergency andreconstruction settings. It recommends that buildingtrust and healing relationships is the first step toensuring effective implementation of humanitarianor development activities. It suggests that traditionalauthorities and structures should be revised to ensurethat communities are at the centre of the cultural and social dimensionsof education activities.To order: info@iiep.unesco.org Price: 12€Donors’ engagement: supporting education in fragile and conflictaffectedstatesby Laura Brannelly, Susy Ndaruhutse & Carole Rigaud, 2009, 257 p.Donors’ engagementSupporting education infragile and conflict-affectedstatesThis book gives an overview of the policies, strategies andfinancial commitments of the 23 donors that constitute theOECD/DAC in relation to education in fragile and conflictaffectedstates. Recommendations are presented fordeeper engagement. Suggestions are also made to advisegovernments how to create en enabling environment forexternal stakeholders to support service delivery.To order: info@iiep.unesco.org Price: 12€Ethics and corruption in educationÉcoles corrompues, universités corrompues : que faire ?by Jacques Hallak & Muriel Poisson, 2009, 352 p.IIPE-Éditions UNESCO/Banque mondialeThis publication draws conclusions from six years ofresearch conducted by IIEP on ethics and corruptionin education. It refers to the experiences of over 60countries, on the basis of information collected inpartnership with ministries, development agencies andnational research institutions.The English edition was published in 2007:Corrupt schools, corrupt universities. What can be done?To order: info@iiep.unesco.org Price: 20€IIEP Research PapersConstruire un tableau de bord pour l’enseignement supérieur. Un guidepratiqueby Michaela Martin & Claude SauvageotProject coordinated by Bertrand Tchatchoua, 2009, 91 p.IIPE-Institut de Statistique de l’UNESCOHigher education systems are expanding rapidly andbecoming more diversified in order to meet socialdemand. Institutions have been granted increasedautonomy and are expected by public authorities todevelop their own policies and strategic plans and toshow results. They therefore need to improve capacitymanagement and put more effective information systemsin place. This guide constitutes a methodological tool designed to assisteducational planners to formulate a system of indicators.To order: info@iiep.unesco.org Price: 7€Educational costs and financingThe challenges of free primary education in Ethiopiaby Jeilu Oumer, 2009, 96 p.The challenges of freeprimary education inEthiopiaIIEP Buenos AiresThis book describes the abolition of school fees inEthiopia at primary level – a long smooth experiencecompared to other developing countries. Fees werepreviously used for expenses other than salaries, andonce abolished, enrolments increased substantially andextra government funding compensated schools. Theabolition of school fees was integrated into the PovertyReduction Strategy Paper, and gradually rolled out across the country.To order: info@iiep.unesco.org Price: 12€Abandono escolar y políticas de inclusión en la educación secundariaIIEP Buenos Aires & UNDP (Eds.), 2009, 206 p.This book is the product of two case studies, based onresearch carried out by IIEP Buenos Aires and the UNDPin Argentina. The first qualitative study analyses theprocess of redefining school inclusion programmes insecondary schools in the states of Tucumán and GranBuenos Aires. The second quantitative study analysesindicators on the behavioural patterns of students whohave left secondary school, in relation to the diverse characteristics ofthe institutions they attended.Institutional restructuring in higher education within the Commonwealth ofIndependent Statesby N.V. Varghese, 2009, 28 p.Electronic publicationInstitutionalrestructuring in highereducation within theCommonwealth ofIndependent StatesThe expansion of the market economy has led to variousreforms in higher education. This paper argues thatalthough institutional restructuring can be necessary forfinancial reasons or to improve the quality of education,the restructuring process in CIS countries was aimedmore at improving the relevance of higher educationinstitutions to compete in an increasingly globalizedworld. Case studies are provided from universities in Armenia, Belarus,Kazakhstan, Kyrgyzstan and the Russian Federation.De relaciones, actores y territorios. Hacia nuevas políticas para la educaciónen América LatinaNéstor López (coord.) et al., 2009, 325 p.This book presents the findings of the third stageof research carried out on educational equity andsocial change, with support provided by the FordFoundation. The emphasis is placed upon proposingrecommendations, in particular on social and educationalpolicies, to further enhance and achieve quality educationfor all.16 IIEP Newsletter May-August 2009