Increasing disaster risks in developing countries call for strategic planning and investments in resilient and low-carbon infrastructure. The tsunami that caused extensive destruction and loss of life in Tonga in January 2022 stressed the vulnerability of developing countries, especially small island developing states, to disasters triggered by natural hazards, such as … [Read more...] about Aligning Public Investments with Sustainable and Climate Goals
The economic contraction tracked by the COVID-19 pandemic has created large fiscal imbalances that will lead Latin American and Caribbean (LAC) governments to pursue fiscal consolidation policies to increase revenues and reduce expenditures. In the tax realm, questions inevitably arise as to the adequacy of tax revenues and the equity of the proposed measures. That calls for … [Read more...] about Revisiting Personalized VAT: A Tool for Fiscal Consolidation with Equity
The streams of analysis on the UN climate change talks in Glasgow last December read like the opening of the Charles Dickens’ novel, A Tale of Two Cities: “It was the season of Light, it was the season of Darkness, it was the spring of hope, it was the winter of despair…” There is some truth to both sides. There was deep regret that the goal of developed countries to … [Read more...] about Five Reasons COP26 is a Big Deal for Finance Ministries
Latin America and the Caribbean is one of the world’s most vulnerable regions to the impacts of climate change. This implies great challenges for governments and finance and planning ministries in particular. The World Meteorological Organization (WMO) reports that the impacts of weather-related events, including heatwaves or floods, have claimed more than 312,000 lives in … [Read more...] about What are the fiscal risks from extreme weather events and how can we deal with them?
Data compiled by NASA shows that 2020 was the hottest year globally on record, tied with 2016, when compared to the average temperature recorded between 1951 and 1980. Since the 1880s, the Earth's average temperature has risen more than 1°C and there is consensus that countries need to move far more aggressively to decarbonize their economies. Finance and planning ministries … [Read more...] about Three areas where finance ministries can help solve the climate crisis