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Poverty, aid and governance in the
           Central African Republic and
                Sub-Saharan Africa




                Humanitarian and Development Partnership Team CAR   Slide 1
Nov-07
The third poorest people on earth

Share of population living on less than 1 dollar a day (bottom 7 seven countries)



             73
                              70
                                              67
                                                              64
                                                                             61           61           59




            Mali            Nigeria          CAR          Zambia           Niger      Burkina Faso   Gambia
Source: World Bank (2002)


                                      Humanitarian and Development Partnership Team CAR                       Slide 2
Nov-07
Income per head: Gap widening

GDP per head in Sub-Saharan Africa rose by 78% since 1985, but not even by 10% in CAR

GDP (PPP) Growth, Base = 100 (1985)
                                                                                                                 +80%
            Sub-Saharan Africa
            CAR

                                                                                                                 +60%



                                                                                                                 +40%



                                                                                                                 +20%


                                                                                                                 100



                                                                                                                  -20%
                                                                         1995
 1985                                1990                                                          2000   2005
Source: IMF (2007), Gross domestic product based on purchasing-power-parity (PPP) per capita GDP


                                              Humanitarian and Development Partnership Team CAR                  Slide 3
Nov-07
Human Development: Falling behind while others progress

Among bottom 6 least developed countries, only CAR has not made progress in 20 years

                                                                                                             .40
                                                                 CAR



                                                                                                             .35

                Guinea Bissau
                                                                                          Burkina Faso

                                                                                                             .30

                                       Mali

                                                                                          Niger
                                                                                                             .25




1985                            1990                    1995                       2000                  2004
Source: HDR (2006)


                                   Humanitarian and Development Partnership Team CAR                      Slide 4
Nov-07
Development assistance: where are we and why?

Aid to Sub-Saharan Africa rose by 54% since 1985, but fell by 60% for CAR

ODA Growth, Base = 100 (1985)
                                                                                                        +60%
            Sub-Saharan Africa
            CAR
                                                                                                        +40%

                                                                                                        +20%

                                                                                                        100

                                                                                                         -20%

                                                                                                         -40%

                                                                                                         -60%

                                                                                                         -80%
                                                                        1995
 1985                               1990                                               2000      2005
Source: OECD (2007), Development Assistance Disbursements, All donors


                                             Humanitarian and Development Partnership Team CAR          Slide 5
Nov-07
Development assistance: where are we and why?

With not even $ 24 per head, development aid per head now the lowest in the region


Congo                                                                                            160

Equat. Guinea                                                                          70.7

Sudan                                                                           44.7

                                                                              39.6
Chad

                                                                              36.7
Gabon

Congo, Dem. Republic of                                                29.1

Cameroon                                                            24.1

Central African Republic                                           23.5

Source: OECD (2007), Development Assistance Disbursements, All donors, 2005


                                             Humanitarian and Development Partnership Team CAR         Slide 6
Nov-07
Because of political instability?

CAR scores -1.69 on the World Bank’s political instability index

                                            -2.5                        -1.0            0          1.0      2.5
South Africa
Rwanda
Angola
Uganda
Central African Republic
Chad
Nigeria
Cote d’Ivoire
Sudan
Congo, Dem. Republic of
Somalia
Source: World Bank (2007), Worldwide Governance Indicators, Selection


                                               Humanitarian and Development Partnership Team CAR         Slide 7
Nov-07
Is it because of a lack of strategic natural resources?

                                                                          Sudan
                       Chad
                                                                 Darfur




Cameroon




                             Bangui
                                                                                  Diamonds
                                                                                  Gold
                                                 DRC                              Timber
                 Congo
                                                                                  Uranium


                  Humanitarian and Development Partnership Team CAR                 Slide 8
Nov-07
Because of corruption?

CAR scores -1.06 on the World Bank’s corruption control index

                                            -2.5                        -1.0            0          1.0      2.5
South Africa
Rwanda
Ethiopia
Uganda
Central African Republic
Sudan
Angola
Chad
Nigeria
Congo, Dem. Republic of
Somalia
Source: World Bank (2007), Worldwide Governance Indicators, Selection


                                               Humanitarian and Development Partnership Team CAR         Slide 9
Nov-07
Because of an overly repressive regime?

CAR scores -1.06 on the World Bank’s voice and accountability index

                                            -2.5                        -1.0            0          1.0       2.5
South Africa
Uganda
Central African Republic
Ethiopia
Rwanda
Nigeria
Chad
Zimbabwe
Congo, Dem. Republic of
Sudan
Somalia
Source: World Bank (2007), Worldwide Governance Indicators, Selection


                                               Humanitarian and Development Partnership Team CAR         Slide 10
Nov-07
www.hdptcar.net


         Humanitarian and Development Partnership Team CAR   Slide 11
Nov-07

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Poverty, Aid, and Governance in the Central African Republic and Sub-Saharan Africa

  • 1. Poverty, aid and governance in the Central African Republic and Sub-Saharan Africa Humanitarian and Development Partnership Team CAR Slide 1 Nov-07
  • 2. The third poorest people on earth Share of population living on less than 1 dollar a day (bottom 7 seven countries) 73 70 67 64 61 61 59 Mali Nigeria CAR Zambia Niger Burkina Faso Gambia Source: World Bank (2002) Humanitarian and Development Partnership Team CAR Slide 2 Nov-07
  • 3. Income per head: Gap widening GDP per head in Sub-Saharan Africa rose by 78% since 1985, but not even by 10% in CAR GDP (PPP) Growth, Base = 100 (1985) +80% Sub-Saharan Africa CAR +60% +40% +20% 100 -20% 1995 1985 1990 2000 2005 Source: IMF (2007), Gross domestic product based on purchasing-power-parity (PPP) per capita GDP Humanitarian and Development Partnership Team CAR Slide 3 Nov-07
  • 4. Human Development: Falling behind while others progress Among bottom 6 least developed countries, only CAR has not made progress in 20 years .40 CAR .35 Guinea Bissau Burkina Faso .30 Mali Niger .25 1985 1990 1995 2000 2004 Source: HDR (2006) Humanitarian and Development Partnership Team CAR Slide 4 Nov-07
  • 5. Development assistance: where are we and why? Aid to Sub-Saharan Africa rose by 54% since 1985, but fell by 60% for CAR ODA Growth, Base = 100 (1985) +60% Sub-Saharan Africa CAR +40% +20% 100 -20% -40% -60% -80% 1995 1985 1990 2000 2005 Source: OECD (2007), Development Assistance Disbursements, All donors Humanitarian and Development Partnership Team CAR Slide 5 Nov-07
  • 6. Development assistance: where are we and why? With not even $ 24 per head, development aid per head now the lowest in the region Congo 160 Equat. Guinea 70.7 Sudan 44.7 39.6 Chad 36.7 Gabon Congo, Dem. Republic of 29.1 Cameroon 24.1 Central African Republic 23.5 Source: OECD (2007), Development Assistance Disbursements, All donors, 2005 Humanitarian and Development Partnership Team CAR Slide 6 Nov-07
  • 7. Because of political instability? CAR scores -1.69 on the World Bank’s political instability index -2.5 -1.0 0 1.0 2.5 South Africa Rwanda Angola Uganda Central African Republic Chad Nigeria Cote d’Ivoire Sudan Congo, Dem. Republic of Somalia Source: World Bank (2007), Worldwide Governance Indicators, Selection Humanitarian and Development Partnership Team CAR Slide 7 Nov-07
  • 8. Is it because of a lack of strategic natural resources? Sudan Chad Darfur Cameroon Bangui Diamonds Gold DRC Timber Congo Uranium Humanitarian and Development Partnership Team CAR Slide 8 Nov-07
  • 9. Because of corruption? CAR scores -1.06 on the World Bank’s corruption control index -2.5 -1.0 0 1.0 2.5 South Africa Rwanda Ethiopia Uganda Central African Republic Sudan Angola Chad Nigeria Congo, Dem. Republic of Somalia Source: World Bank (2007), Worldwide Governance Indicators, Selection Humanitarian and Development Partnership Team CAR Slide 9 Nov-07
  • 10. Because of an overly repressive regime? CAR scores -1.06 on the World Bank’s voice and accountability index -2.5 -1.0 0 1.0 2.5 South Africa Uganda Central African Republic Ethiopia Rwanda Nigeria Chad Zimbabwe Congo, Dem. Republic of Sudan Somalia Source: World Bank (2007), Worldwide Governance Indicators, Selection Humanitarian and Development Partnership Team CAR Slide 10 Nov-07
  • 11. www.hdptcar.net Humanitarian and Development Partnership Team CAR Slide 11 Nov-07