ECOSOC Summer Session Geneva, Switzerland July 2013

1. ECOSOC
High-level policy dialogue with the international financial
and trade institutions on current developments in the
world economy
2 July, 2013
Mahmoud Mohieldin
World Bank President’s Special Envoy

2. -10
-5
0
5
10
15
2009Q1 2010Q1 2011Q1 2012Q1 2013Q1
Developing countries
World
High-income countries
2013:Q1 Global GDP
growing at a 2.0%
annualized pace
2012:Q4 Developing
country GDP growing at
a 5.7% annualized pace
Quarterly GDP growth, annualized
Source: World Bank, Global Economic Prospects.
Global growth is picking up

3. Growth to be constrained by capacity in many
developing regions
3
Annual GDP growth, %
Source: World Bank, Global Economic Prospects 2013B.
-4
-2
0
2
4
6
8
10
12
East Asia &
Pacific
Europe &
Central Asia
Latin America &
Caribbean
Middle East &
N. Africa
South Asia Sub-Saharan
Africa
2010 2011 2012 2013 2014 2015

4. Commodity exporters at risk,
if prices ease more quickly
-1.6
-1.4
-1.2
-1
-0.8
-0.6
-0.4
-0.2
0
Europe &
Central Asia
Latin
America &
Caribbean
Middle-East
& North
Africa
Sub-Saharan
Africa
Oil prices decline to $80 by mid 2014
Impact, % of GDP
-0.8
-0.7
-0.6
-0.5
-0.4
-0.3
-0.2
-0.1
0
Europe &
Central Asia
Latin America &
Caribbean
Sub-Saharan
Africa
Metals prices decline by 20% by mid 2014
Impact, % of GDP
Source: World Bank, Global Economic Prospects.

5. 5
Millennium Development Goals…
Source: Global Monitoring Report, 2013

6. 6
Millennium Development Goals….

7. A two-pronged approach to supporting a
post-2015 development framework
Increase impact of available resources
Leverage additional resources
Good policies and credible institutions enhance the impact of
available resources and leverage additional resources from
both domestic and foreign sources.
Good policies and credible institutions to:
7

8. Parameters to consider in the post-2015
financing framework
What can developing
countries do?
What can the international
community do?
• Design targeted, evidence-
based policies and support
sound institutions
• Generate more revenues
• Ensure efficient public
spending
• Promote financial deepening
and inclusion
• Maximize the impact of ODA
• Support new development
partners
• Leverage the private sector
• Tap into new sources of finance
• Deliver global public goods
8

9. The official sector has a particularly important
role to play in LICs and fragile states
9
0.9
6.4
7.8
Net official capital flows and transfers, 2012 (% of GDP)
Emerging market countries Low-income countries Fragile states
Source: Global Monitoring Report 2013, World Bank
The classification of countries is the one used in the IMF‘s World Economic Outlook. Emerging market and developing countries are those countries that
are not designated as advanced countries. Countries that are eligible for financial assistance under the IMF‘s Poverty Reduction and Growth Trust
constitute a subset of emerging market and developing countries; these countries are denoted low-income countries although eligibility is based on other
considerations in addition to income levels. Emerging market and developing countries that are not eligible for financial assistance under the Poverty
Reduction and Growth Trust are designated as emerging market countries. Fragile states are countries included in the World Bank‘s list of Fragile and
Conflict-Affected States as of early 2013.

10. 10
Mahmoud Mohieldin
President’s Special Envoy
The World Bank
mmohieldin@worldbank.org