DOCSLIB.ORG

Emerging and Frontier Markets: the New Frontline Markets Professional Careers

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Emerging and Frontier Markets: the New Frontline Markets Professional Careers GONCALVES GONCALVES THE BUSINESS Emerging and Frontier Economics Collection EXPERT PRESS Philip J. Romero and Jeffrey A. Edwards, Editors DIGITAL LIBRARIES Markets The New Frontline for Global Trade EBOOKS FOR • BUSINESS STUDENTS Marcus Goncalves • José Alves ALVES Curriculum-oriented, born- Goncalves and Alves’ work is a very interesting and digital books for advanced business students, written promising book for the development themes of emerging by academic thought markets. The style and quality of the material is worthy Emerging leaders who translate real- of respect, providing a clear analysis of the internation- world business experience al markets and global development of various economic into course readings and and commercial relations and trading routes. —Yurii reference materials for and Frontier students expecting to tackle Pozniak, International Management Consultant at management and leadership Ukroboronservis, Kiev, Ukraine. challenges during their Emerging and Frontier Markets: The New Frontline Markets professional careers. for Global Trade brings together a collection of insights POLICIES BUILT and a new outlook of the dynamics happening between AND FRONTIER MARKETS EMERGING BY LIBRARIANS The New Frontline for the emerging and the advanced markets. The book pro- • Unlimited simultaneous usage vides also an excellent, easy to read and straight-to-the Global Trade • Unrestricted downloading point economic and political description of the MENA, and printing BRICS, ASEAN, and CIVETS markets. A description that • Perpetual access for a should interest every person willing to invest, work or just one-time fee • No platform or acquire a deep understanding of the emerging markets maintenance fees economic and political conditions. —Réda Massoudi, BU • Free MARC records Director Management and Transformation Consult- • No license to execute ing, LMS Organization & Human Resources. Casa- The Digital Libraries are a blanca, Morocco. comprehensive, cost-effective way to deliver practical Marcus Goncalves is an Associate Professor of Man- Marcus Goncalves treatments of important agement and Chair of the International Business José Alves business issues to every Program at Nichols College, with 28 years of interna- student and faculty member. tional management consulting experience in Latin America, Europe, Middle East, Asia, and the U.S. José Alves, is an Associate Professor of Management For further information, a at the Faculty of Business, Government, and Social free trial, or to order, contact: Work of the University of Saint Joseph, Macau. [email protected] www.businessexpertpress.com/librarians Economics Collection Philip J. Romero and Jeffrey A. Edwards, Editors ISBN: 978-1-63157-019-3 Business Expert Press was one of the premiere publishers that began in 2008 offering DRM-Free e-content – eBooks with absolutely no restrictions. Built by a panel of librarians, we believed that students, researchers, teachers and professionals around the world would benefit beyond measure by accessing our DRM-free eBooks. Continuing on this success, BEP pushes forward with this mission of support by providing Open Access to the titles below. These books were chosen to increase discoverability of our authors’ work, and are listed in The Directory of Open Access. BEP’s Open Access titles are governed by the Creative Commons Attribution 4.0 International Public License. https://creativecommons.org/licenses/by/4.0/legalcode Emerging and Frontier Markets Emerging and Frontier Markets The New Frontline for Global Trade Marcus Goncalves and José Alves Emerging and Frontier Markets: The New Frontline for Global Trade Copyright © Business Expert Press, LLC, 2015. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means—electronic, mechanical, photocopy, recording, or any other except for brief quotations, not to exceed 400 words, without the prior permission of the publisher. First published in 2015 by Business Expert Press, LLC 222 East 46th Street, New York, NY 10017 www.businessexpertpress.com ISBN-13: 978-1-63157-019-3 (paperback) ISBN-13: 978-1-63157-020-9 (e-book) Business Expert Press Economics Collection Collection ISSN: 2163-761X (print) Collection ISSN: 2163-7628 (electronic) Cover and interior design by Exeter Premedia Services Private Ltd., Chennai, India First edition: 2015 10 9 8 7 6 5 4 3 2 1 Printed in the United States of America. To my forever-beautiful wife, Carla, and my son Samir, both living here on earth, and to my children Andrea and Joshua, who are now living in Heaven. I also would like to express my gratitude to my father, Mario M. Goncalves, for planting the seeds of research in me while a child, and to my father-in-law, Don Fernando Davalos, for the many insightful discussions on foreign affairs. To God be the glory! Marcus Goncalves Summer 2014 Abstract In today’s fast-paced global economy, markets are sifting very swiftly, and the balance of trade and even political influence are following suit. It is important, therefore, that international business professionals, academics and students of global trade and international markets, and anyone inter- ested on the latest developments taking place in global trade to be able to understand, compare and contrast the primary categories of emerg- ing market business development, including its sub-categories, or maybe more appropriately, its sibling, the frontier markets. There is no doubt that today’s global markets present both great opportunity and significant risk for business development and invest- ment. Established and mature markets have been supposedly providing safety and security for labor and capital, but the last seven years or so have changed such perspective when we witness advanced economies strug- gling with debt and lack of growth, while competition is at an all time high. Hence, understanding emerging and frontier markets present some of the most significant opportunities for international business profes- sionals and investors. This book, an expanded and enhanced version of the Part II of our “big” book published a few months ago (Advanced Economies and Emerging Markets: Perspectives for Globalization), dives deeper at the opportunities and challenges faced by emerging and fron- tier markets, comparing the risks and opportunities in its main markets so that students and researchers, as well as investors and casual readers interested in this topic, can gain a better understanding of which markets provide the best opportunities. Our hope is that readers will find this information useful in their forward-looking international business careers and business strategies. Marcus Goncalves, Fall 2014. Keywords ASEAN, BRICS, CIVETS, EAGLE, emerging markets, frontier markets, global trade, globalization, international business, international trade, MENA, trading blocs Contents Acknowledgments ...................................................................................xi Chapter 1 The IMF is Being Hit y BRICSb .......................................1 Chapter 2 CIVETS: A New Strong and Fast Emerging Market .......41 Chapter 3 The Strength of ASEAN conomiesE ................................73 Chapter 4 Can MENA’s Rise be Powered by BRICS? ....................103 Chapter 5 Frontier Markets: The Next Emerging Markets .............143 About the Authors ...............................................................................161 Advance Quotes for Emerging and Frontier Markets .............................163 Notes..................................................................................................165 References ...........................................................................................169 Index .................................................................................................187 Acknowledgments There were many people who helped us during the process of writing this book. It would be impossible to keep track of them all. Therefore, to all that we have forgotten to list, please don’t hold it against us! We would like to thank Dr. Patrick Barron, professor at the Graduate School of Banking at the University of Wisconsin, Madison, and of Austrian economics at the University of Iowa, in Iowa City for his contri- butions on the issue of currency wars in chapter 5. Many thanks also to ambassador M.K. Bhadrakumar, former diplomat in the Indian Foreign Service with assignments in the Soviet Union, South Korea, Sri Lanka, Germany, Afghanistan, Pakistan, Uzbekistan, Kuwait, and Turkey for his valuable insights and contributions to foreign policy issues in the MENA region. CHAPTER 1 The IMF is Being Hit by BRICS Overview According to a recent study from the Peterson Institute,* a think-tank, from 1960 to the late 1990s just 30 percent of countries in the developing world, for which figures are available, managed to increase their output per person faster than the United States, thus achieving what is called “catch-up growth.” That catching-up was somewhat apathetic; the gap closed at just 1.5 percent a year. From the late 1990s, however, the tables were turned. The researchers found 73 percent of emerging economies outpacing the United States, and doing so on average by 3.3 percent a year. Some of this was due to slower growth in America, but not all. This outstanding growth of emerging markets in general and in partic- ular the BRICS (Brazil, Russia, India, China, and South Africa) has trans- formed the global economy
Load more

Recommended publications
  • Investing in Emerging and Frontier Markets – an Investor Viewpoint
    Contents Acknowledgements .............................................................................................................................................................................1 1. Executive Summary ........................................................................................................................................................................2 2. Introduction ........................................................................................................................................................................................3 3. Overview of Foreign Investor Activity ...................................................................................................................................4 4. Methodology ......................................................................................................................................................................................9 5. Discussion of interview findings ........................................................................................................................................... 13 Reference list .......................................................................................................................................................................................26 Investing in Emerging and Frontier Markets – An Investor Viewpoint Acknowledgements This research was only possible because of the willingness of investors to be interviewed for this report and to speak openly with
    [Show full text]
  • HSBC Holdings Plc Q1 2010 Interim Management Statement Conference Call
    FINAL TRANSCRIPT HBC - HSBC Holdings plc Q1 2010 Interim Management Statement Conference Call Event Date/Time: May. 07. 2010 / 12:00PM GMT THOMSON REUTERS STREETEVENTS | www.streetevents.com | Contact Us ©2010 Thomson Reuters. All rights reserved. Republication or redistribution of Thomson Reuters content, including by framing or similar means, is prohibited without the prior written consent of Thomson Reuters. 'Thomson Reuters' and the Thomson Reuters logo are registered trademarks of Thomson Reuters and its affiliated companies. FINAL TRANSCRIPT May. 07. 2010 / 12:00PM, HBC - HSBC Holdings plc Q1 2010 Interim Management Statement Conference Call CORPORATE PARTICIPANTS Michael Geoghegan HSBC Holdings plc - Group Chief Executive Douglas Flint HSBC Holdings plc - Group Financial Officer, Executive Director Risk and Regulation Brendan McDonagh HSBC North America Holdings Inc. - CEO CONFERENCE CALL PARTICIPANTS Sunil Garg JPMorgan Securities, Ltd. - Analyst Jon Kirk Redburn Partners - Analyst Ian Smillie Royal Bank of Scotland - Analyst Steven Hayne Morgan Stanley - Analyst Simon Maughan MF Global Securities Limited - Analyst John Waddle Mirae Asset Securities - Analyst Manus Costello Autonomous Research LLP - Analyst Leigh Goodwin Citigroup - Analyst Tom Rayner Barclays Capital - Analyst Michael Helsby BofA Merrill Lynch - Analyst Arturo de Frias Evolution Securities - Analyst PRESENTATION Operator Welcome to the HSBC Holdings plc Interim Management Statement and HSBC Finance Corporation and HSBC USA Inc. first-quarter 2010 results. Today©s call is being chaired by Michael Geoghegan, Group Chief Executive, HSBC Holdings plc; Douglas Flint, Chief Financial Officer, Executive Director, Risk and Regulation HSBC Holdings plc; and Brendan McDonagh, Chief Executive Officer, HSBC North America[n] Holdings Inc. I would now like to hand over to Mr.
    [Show full text]
  • Layout 1 (Page 1)
    BUSINESS WITH PERSONALITY BRITS HEAD JULIA ROBERTS STARS FOR GAMES IN EAT, PRAY, LOVE COMMONWEALTH GETS OK BUT SITE WEEKEND FILM REVIEWS P33 STILL A MESS P38 Issue 1,227 Friday 24 September 2010 www.cityam.com FREE GEOGHEGAN QUITS AFTER MISSING OUT ON CHAIRMAN ROLE Profits hit GULLIVER TO BE CEO • FLINT IS NEW CHAIR • MACKAY TO BE CFO record high at Arsenal ▲ EXCLUSIVE BY FRANK DALLERES COUP▲ AT HSBC ARSENAL will today announce record BANKING BY VICTORIA BATES pre-tax profits of around £55m, an increase of £10m, as the football club HSBC CHIEF executive Michael continues to reap the rewards of mov- Geoghegan is set to step down from ing to the Emirates Stadium. his role before the end of the year to City A.M. understands that the make way for investment banker strong performance of Arsenal Stuart Gulliver, after a boardroom Holdings’ property development arm coup that will rock the banking sector. has driven an increase in revenue. Geoghegan’s ego will be dealt a fur- The north Londoners’ continued ther blow with the appointment of success off the field will see them HSBC’s finance director Douglas Flint record an increase in turnover for the as chairman, a role Geoghegan is fourth successive year since leaving understood to have coveted since Highbury for their new home. Stephen Green’s resignation earlier Pre-tax profit is significantly up on this month. last year’s figure of £45.5m for the HSBC’s nominations committee has year ending 31 May. That improve- submitted recommendations for ment has been aided by strong sales of Gulliver and Flint to the board, paving apartments in the group’s Highbury the way for official approval of the Square Development.
    [Show full text]
  • Documento Ingles
    www.pwc.com/co Highlights of Colombia Economic analysis 2011 and 2012 forecast Wrap up 2011 Over the last few years, the global economy has been facing the consequences of the 2008 world financial crisis. The economic recovery tries to find its way at different paces. In the case of developed countries, the beginning of recovery has become a steep slope, whereas it seems to find room for maneuvering in the emerging countries. The United States and the Europe Union grew about 1.5% in 2011. Asian economies showed greater energy, with rates above 6.5%, except in the case of Japan. The real estate market in the United States is still at a standstill. Fears regarding public debt sustainability continued to be felt at the Euro Zone, as the fiscal tensions did in the countries of the European periphery, since it seems the confidence of agents has taken a long time to become reestablished. Colombia is part of the group of emerging countries that have managed to resist global tensions. Despite the contraction of overseas demand from developed countries and a greater restriction of foreign lending as a result of a greater risk aversion, the economy has managed to expand thanks to public and private actions. Regarding the economic policy, achievements such the enactment of the constitutional reform of royalties, the fiscal rule and the act on macroeconomic stability are worth highlighting. Low interest rates and inflation under control are signs of a stable economic environment. Colombian exports have not only diversified their target markets, but also profited the high prices of main basic goods such as oil and coal, among others.
    [Show full text]
  • ROGE-2017-253 Prof. Bates
    The Business and Management Review, Volume 9 Number 1 July 2017 An examination of market entry perspectives in Emerging Markets Marvin O. Bates Department of Marketing, College of Business Lewis University, USA Tom A. Buckles Department of Marketing & Entrepreneurship School of Business & Management Azusa Pacific University, Azusa, CA, USA Key Words Emerging Markets, Entry Strategies, BoP, Base of the Pyramid Abstract This article examines emerging markets from two major perspectives. First the financial growth models typically based on a country’s GDP growth; this financial growth perspective gave rise to seven major definitions of emerging markets: BRICs, CIVETS, MINT, etc. The second perspective is an economic levels perspective based on the World Economic Pyramid; this economic levels perspective resulted in three global categories – the Top, Middle and Base of the Pyramid (BoP) markets. A new market expansion and market entry strategic model is proposed for each of the three World Economic Pyramid levels: Inter-country expansion, Intra-country entry, adjacent market entry, and Opposite market entry approaches. Prahalad’s 4 A’s marketing strategy (Awareness, Affordability, Access and Availability) for the BoP market is discussed, and the requirement for an articulated marketing strategy for the “middle market” is identified. Six operational biases identified by BoP strategic theorists held by MNCs regarding BoP market approaches are identified and discussed. And finally, the BoP strategic theorists identified the need for a BoP marketing focus replacing the traditional 4P marketing approach (i.e., Product, Price, Place and Promotion) with a BoP 4A marketing approach (i.e., Awareness, Affordability, Access and Availability). This article summarizes these recently evolving perspectives and insights to provide a context for future market research in both emerging and BoP markets.
    [Show full text]
  • Boldly Go to a New Frontier
    BOLDLY GO TO A NEW FRONTIER In a bid to enhance returns, investors are allocating assets to growth markets, such as global small cap and mainstream emerging market equities. Frontier equities, which have generally been absent from portfolios, constitute another growth market that can benefit investors. This article discusses frontier markets and what makes them an attractive option for investors. Frontier Market Overview Figure 1: Frontier Markets Investable Universe Frontier markets represent an asset class with a diverse MSCI Frontier Market Index Members set of countries at different stages of their economic and reform cycles and home to relatively large pools Argentina Jordan Nigeria Togo of population. They are not classified as mainstream Bahrain Kazakhstan Oman Tunisia emerging markets due primarily to the early Bangladesh Kenya Peru Vietnam development state of their capital markets. Colombia Kuwait Romania Frontier markets constitute countries with high rates of economic growth, but small and less liquid stock Croatia Lebanon Senegal markets. Active managers commonly have a broader Egypt Lithuania Serbia investable universe than the members of the MSCI EM Estonia Mauritius Slovenia Frontier Market Index and may include countries with capital markets that are unclassified by index providers, Ivory Coast Morocco Sri Lanka as well as countries in the MSCI EM index that exhibit frontier market characteristics (Figure 1). Unclassified Markets Armenia Fiji Malawi Saudi Arabia Barbados FYR Macedonia Mongolia Uruguay Investors can benefit
    [Show full text]
  • Investing in Frontier Markets Equity
    INVESTING IN FRONTIER MARKETS EQUITY by Geraldine Miniaou, CFA, Senior Research Analyst Pavilion Advisory Group® The International Finance Corporation (IFC) used the economies benefit from a young, growing population, term “frontier markets” for the first time in June 1996, with the working age population not expected to peak when it announced that it would start publishing data until 20352. Many frontier countries are undergoing a on 14 frontier markets as part of its Emerging Markets move towards urbanization, which will be a positive Database. At that time, the IFC defined frontier markets driver for economic growth. Finally, frontier markets as those that were investable, but less developed in offer opportunities from under penetration. Credit terms of size, liquidity, and accessibility than emerging penetration, for example, remains low across most of the markets. Today, frontier markets remain an esoteric market segment. Many basic services (mobile telephony, market segment, one that is relatively small in terms internet, basic household appliances, and motor vehicles) of market capitalization, less liquid, subject to various also remain under penetrated, although it varies greatly country-specific risks and high levels of volatility. Frontier among countries. markets, by definition, do not benefit from the same level of political stability, financial infrastructure, legal and Exhibit 1: Projected GDP growth (2017-2021) regulatory framework as do developed markets. Bangladesh The market segment has been gaining attention in recent Tanzania Vietnam years as investors have started to think about frontier Kenya markets as the emerging markets of tomorrow. In “Frontier Pakistan Markets Panorama 2017”, Citigroup referenced EPFR’s Egypt finding that assets it tracks that are invested in frontier Sri Lanka markets have grown from nearly $10 billion in 2008 to Romania Peru close to $20 billion in 20171.
    [Show full text]
  • Quarterly Frontier Markets Recap Political and Social Pressures Pose Challenges for Frontier Markets in 2020
    FRONTIER MARKETS QUARTERLY – 4Q19 Quarterly Frontier Markets Recap Political and Social Pressures Pose Challenges for Frontier Markets in 2020 Key Sovereign Rating Actions Nigeria’s Outlook Revised to Negative; Rating Affirmed at ‘B+’ Weaker economic growth, increasing social pressures, and idiosyncratic political, policy and reform uncertainties led to a directional change in frontier market rating actions in 2019. Sri Lanka’s Outlook Revised to Eleven Fitch-rated frontier markets saw negative actions in 2019 compared to just six in Negative; Rating Affirmed at ‘B’ 2018, while only eight sovereigns saw positive actions compared to 13 the previous year. Armenia Upgraded to ‘BB-’; The Middle East & Africa (MEA) and Latin America & the Caribbean exhibited the same Outlook Stable number of negative rating actions (2 downgrades and 4 outlook revisions to negative), but Bolivia Downgraded to ‘B+’; these represented a much larger share of the total for the Americas (almost two thirds, Outlook Remains Negative versus one third for the MEA region). Cote d’Ivoire’s Outlook Revised to MEA frontier markets recorded one positive outlook revision (Côte d’Ivoire) and two Positive; Rating Affirmed at ‘B+’ upgrades, Egypt and Mozambique, with the latter reflecting the curing of an almost 3-year long default. In the Americas, Jamaica was upgraded to ‘B+’ as its large primary surpluses Namibia Downgraded to ‘BB’; led to a significant cut in general government debt/GDP. Ecuador’s outlook was stabilised Outlook Stable as financing risks eased following the launch of its IMF programme and subsequent liability management efforts, but political volatility late in the year highlights persisting risks.
    [Show full text]
  • Quarterly Frontier Markets Recap Financing Constraints, Institutional Weaknesses a Common Theme
    FRONTIER MARKETS QUARTERLY – 3Q19 Quarterly Frontier Markets Recap Financing Constraints, Institutional Weaknesses a Common Theme Key Sovereign Rating Actions Fitch recently held its annual Global Sovereign Conference series in eight major cities Sri Lanka Affirmed at ‘B’; Outlook across the globe, this time including a section specifically dedicated to frontier markets, Stable called “The View from the Frontier”. At the first two conferences, hosted in Hong Kong and Armenia’s USD Bonds ‘Rated Singapore, Sagarika Chandra discussed the Asian frontier markets Vietnam, Sri Lanka and B+(EXP)’ Pakistan, while at the European conferences, Erich Arispe focused on CIS frontier markets Belarus, Uzbekistan and Ukraine. Finally, in the U.S., Carlos Morales covered the Central Suriname’s Outlook Revised to American frontier markets Costa Rica, Guatemala and El Salvador. Below are the highlights Negative; Ratings Affirmed at ‘B-’ of all three presentations, complemented with published Fitch research and webcasts. El Salvador’s 2050 USD Bond (here we will focus on Uzbekistan and Belarus, as these Rated ‘B-’ For CIS frontier markets form part of JP Morgan’s updated NEXGEM index), access to external financing remains Iraq Affirmed at ‘B-’; Outlook key, as Uzbekistan grapples with a large current account deficit (7.1% in 2018, versus a Stable 2.5% surplus in 2017) reflecting public investment and Belarus faces high external debt Angola’s Outlook Revised to repayments (USD3.1 billion in 2019 alone) and low international reserve coverage (1.9 Negative; Rating Affirmed at ‘B’ months of current external payments, compared to the ‘B’ median of 3.5 months and Uzbekistan’s 11.9 months).
    [Show full text]
  • Emerging and Frontier Markets Issuance
    Emerging and Frontier Markets Issuance MONETARY AND CAPITAL MARKETS DEPARTMENT December 3, 2020 Highlights: • Hard currency issuance: o Sovereign issuance jumped to $26 bn in November, as the vaccine news and post-US election reduction in uncertainty led a strong rally. Annual issuance rose to $191 bn, the highest ever with one month to go. o Corporate issuance remained healthy at $21 bn in November, moderating from $32 bn in October (see last edition of the monitor), highlighted by Saudi Aramco ($8 bn, largest issuance in 2020). SOE issuance ex. Aramco was modest, as the selloff in China’s SOE bond market weighed negatively on Chinese issuers. YTD corporate issuance rose to $259 bn, very close to the 2019 all-time high. o IG sovereign issuers included China (€4 bn), Peru ($4 bn, including a $1 bn 100-year bond), Mexico ($3.6 bn), Romania (€2.5 bn), Hungary (€2.5 bn), Russia (€2 bn) and Dubai ($1.5 bn). EUR-denominated issuance was strong in November, comprising nearly half of the total. The share of non-USD issuance year-to-date rose to 26%. Serbia also issued $1.2 bn and re-entered the EMBIG. o HY sovereign issuers were led by Turkey ($2.2 bn), Uzbekistan ($0.6 bn) and Oman $0.5 bn. The key highlight was Ivory Coast issuing €1 bn—the first issuance by an SSA county since the COVID-19 selloff. o Issuance tends to slow in December, but sovereigns may take advantage of favorable market conditions. Brazil, Philippines, Bahamas already announced new deals in December, while analysts highlight that interest for more deals before year end remains strong.
    [Show full text]
  • Civettictis Civetta – African Civet
    Civettictis civetta – African Civet continued to include it in Viverra. Although several subspecies have been recorded, their validity remains questionable (Rosevear 1974; Coetzee 1977; Meester et al. 1986). Assessment Rationale The African Civet is listed as Least Concern as it is fairly common within the assessment region, inhabits a variety of habitats and vegetation types, and is present in numerous protected areas (including Kruger National Park). Camera-trapping studies suggest that there are healthy populations in the mountainous parts of Alastair Kilpin Limpopo’s Waterberg, Soutpansberg, and Alldays areas, as well as the Greater Lydenburg area of Mpumalanga. However, the species may be undergoing some localised Regional Red List status (2016) Least Concern declines due to trophy hunting and accidental persecution National Red List status (2004) Least Concern (for example, poisoning that targets larger carnivores). Furthermore, the increased use of predator-proof fencing Reasons for change No change in the growing game farming industry in South Africa can Global Red List status (2015) Least Concern limit movement of African Civets. The expansion of informal settlements has also increased snaring incidents, TOPS listing (NEMBA) (2007) None since it seems that civets are highly prone to snares due CITES listing (1978) Appendix III to their regular use of footpaths. Elsewhere in Africa, this (Botswana) species is an important component in the bushmeat trade. Although the bushmeat trade is not as severe within the Endemic No assessment
    [Show full text]
  • The Third Wave of Development Players
    >> POLICY BRIEF ISSN: 1989-2667 Nº 60 - NOVEMBER 2010 The third wave of development players Nils-Sjard Schulz The Millennium Development Goals (MDG) Summit in Sep - >> tember illustrated that traditional aid donors and the big emerg - ing economies are reviewing their respective roles as global development players, but failing to build actual commitments. HIGHLIGHTS Meanwhile, a third group of development providers has quietly entered • The evolving global the stage. The CIVETS group, which encompasses Colombia, Indone - governance of development sia, Vietnam, Egypt, Turkey and South Africa, is not only attractive to needs to go beyond DAC global investors; it also brings a new wave of development partnerships donors and the BRIC group. that go beyond the rich-poor logic and promote South-South knowl - edge exchange and peer-to-peer learning. • The CIVETS countries are not Although their financial resources are limited, this post-BRIC genera - only new economic poles, but tion has strong potential to help reshape the global governance of devel - also development providers opment with fresh ideas and innovative models, while also preserving investing in peer-to-peer the gains made in civilising donor-recipient relationships. Over the learning and horizontal next months, the scope and quality of development policy decisions partnerships. also depends on the role that the CIVETS countries will play at the G20, United Nations (UN) and Development Assistance Committee • These countries are bound to (DAC) levels. become strategic players at the G20, UN and IFI levels, while offering a third wave of BRINGING NEW PLAYERS ON BOARD, BUT HOW? partnerships to low- and The stakes for the global governance of development are getting middle-income countries.
    [Show full text]