nep-sea New Economics Papers
on South East Asia
Issue of 2022‒11‒21
fifty-four papers chosen by
Kavita Iyengar
Asian Development Bank

  1. Islamic Fintech: Nascent and on the Rise By Mohamad Hud Saleh Huddin; Mark Lee; Mohd Sobri Mansor
  5. Understanding and Measuring Financial Inclusion in the Philippines By Corpus, John Paul; Debuque-Gonzales, Margarita
  6. How Ready Are We? Measuring the Philippines' Readiness for Digital Trade Integration with the Asia-Pacific By Albert, Jose Ramon G.; Quimba, Francis Mark A.; Calizo, Sylwyn Jr. C.; Carlos, Jean Clarisse T.
  7. Analysis of the FinTech Landscape in the Philippines By Quimba, Francis Mark A.; Barral, Mark Anthony A.; Carlos, Jean Clarisse T.
  8. Readiness of Philippine Cities to Smart City Development By Ballesteros, Marife M.; Ramos, Tatum; Ancheta, Jenica; Lorenzo, Pauline Joy M.
  9. Formation of the EU-Vietnam Free Trade Agreements Domestic Advisory Group: What it means for the civil society in Vietnam? By Chi, Do Quynh
  10. EXPLORING THE IMPACT OF LOAN RESTRUCTURING IN INDONESIAN BANKING By Wahyoe Soedarmono; Iman Gunadi; Fiskara Indawan; Carla Sheila Wulandari
  11. Public Sector Procurement of Medicines in the Philippines By Abrigo, Michael Ralph M.; Tam, Zhandra C; Opiniano, Gina A.; Yee, Sherryl A.; Estopace, Katha Ma-i M.
  12. Advances in Digital Currency Experimentation By Michelle Neal
  13. Reset and Rebuild for a Better Philippines in the Post-pandemic World By Francisco, Kris A.; Navarro, Adoracion M.; Debuque-Gonzales, Margarita
  14. Social Networks and Access and Utilization of Weather and Climate Information: The Case of Upland Farming Communities in the Philippines By Tabuga, Aubrey D.; Domingo, Sonny N.; Umlas, Anna Jennifer L.; Zuluaga, Katrina Mae C.
  15. THE BANK LENDING CHANNEL REVISITED: EVIDENCE FROM INDONESIA By Wahyoe Soedarmono; Iman Gunadi; Sudiro Pambudi; Tika Nurhayati
  16. Review of Urban Wastewater Management and Clean Water Act By Domingo, Sonny N.; Manejar, Arvie Joy A.
  17. Effect of typhoons on economic activities in Vietnam: Evidence using satellite imagery By Etienne Espagne; Yen Boi Ha; Kenneth Houngbedji; Thanh Ngo-Duc
  19. Assessment of the Service Capability and Readiness of Philippine Hospitals to Provide High-Quality Health Care By Ulep, Valerie Gilbert T.; Nuevo, Christian Edward L.; Uy, Jhanna; Casas, Lyle Daryll D.
  20. An Assessment of the Quality of Inpatient Meals and Nutrition and Dietetics Processes in Select Public Hospitals in the Philippines By Ulep, Valerie Gilbert T.; Angeles-Agdeppa, Imelda; Uy, Jhanna; Casas, Lyle Daryll D.; Goyena, Eva A.; Desnacido, Josie P.; Cajucom, Maylene P.
  21. Government Strategies in the Water Transport Sector: A Closer Look at Philippine Ports By Francisco, Kris A.; Lim, Valerie L.
  22. Labor Market Structures, Pay Gap, and Skills in the Philippines By Dacuycuy, Lawrence; Bayudan-Dacuycuy, Connie
  23. The Rural-Urban Divide and Intergenerational Educational Mobility in a Developing Country : Theory and Evidence from Indonesia By Ahsan,Md Nazmul; Emran,M. Shahe; Shilpi,Forhad J.
  24. Who Are the Youth NEET in the Philippines Today? By Orbeta, Aniceto Jr. C.; Corpus, John Paul; Araos, Nina Victoria V.
  25. BUSINESS AND FINANCIAL CYCLE IN INDONESIA: AN INTEGRATED APPROACH By Cicilia Anggadewi Harun; Wishnu Mahraddika; Jati Waluyo; Pakasa Bary; Rieska Indah Astuti; Fauzan Rachman; Rizky Primayudha; Dwi Oktaviyanti; Euis Aqmaliyah
  26. From Farms to Factories and Firms : Structural Transformation and Labor Productivity Growth in Malaysia By Abdur Rahman,Amanina Binti; Schmillen,Achim Daniel
  27. A Review of Philippine Participation in Trade in Services Agreements By Serafica, Ramonette B.; Oren, Queen Cel A.
  28. News Media Reporting Patterns and our Biased Understanding of Global Unrest By Andrew Shaver
  29. Greening the Philippine Employment Projections Model: New Estimates and Policy Options By Orbeta, Aniceto Jr. C.; Llanto, Gilberto M.; Abrigo, Michael Ralph M.; Ortiz, Danica Aisa P.
  30. Analyzing Filipino Migrant Workers' Access to Social Protection By Tabuga, Aubrey D.; Mondez, Maria Blesila D.; Vargas, Anna Rita P.
  31. Measuring the Biases, Burdens, and Barriers Women Entrepreneurs Endure in Myanmar By Dall'Aglio,Chiara; Hayati,Fayavar; Lee,David James
  32. Construction Of An East Asia Inter-regional Social Accounting Matrix: A Manual By Yuventus Effendi; Budy Resosudarmo
  33. The economic, environmental and social performance of European certified food By Valentin Bellassen; Marion Drut; Mohamed Hilal; Antonio Bodini; Michele Donati; Matthieu Duboys de Labarre; Jelena Filipović; Lisa Gauvrit; José M. Gil; Viet Hoang; Agata Malak-Rawlikowska; Konstadinos Mattas; Sylvette Monier-Dilhan; Paul Muller; Orachos Napasintuwong; Jack Peerlings; Thomas Poméon; Marina Tomić Maksan; Áron Török; Mario Veneziani; Gunnar Vittersø; Filippo Arfini
  34. Inter-regional System Of Analysis For East Asia: A Manual By Yuventus Effendi; Budy Resosudarmo
  35. Modern Biotechnology Application and Regulation in the Philippines: Issues and Prospects By Domingo, Sonny N.; Manejar, Arvie Joy A.
  36. Diplomatic Stance of the Japanese Business Community in the First World War: Focusing on relations with major warring nations and the concept of economic alliance, in the middle of the war (Japanese) By SAKAMOTO Masazumi
  37. Expanded Data Analysis and Policy Research for National ICT Household Survey 2019 By Albert, Jose Ramon G.; Tabuga, Aubrey D.; Quimba, Francis Mark A.; Rosellon, Maureen Ane D.; Vizmanos, Jana Flor V.; Cabaero Carlos C.; Muñoz, Mika S.; Mirandilla-Santos, Mary Grace
  39. Analysis of the 2022 President's Budget By Diokno-Sicat, Charlotte Justine; Palomar, Robert Hector G.
  40. Reducing Income Gap of Nghe An with Other Provinces in Economy By Ly Dai Hung
  41. Assessment of the Provincial/NCR Local Government Unit Result Matrices (P/NCR LGU RMS) in the Localization of the Philippine Development Plan (PDP) 2017-2022 and the Sustainable Development Goals (SDGs) By Maddawin, Ricxie B.; Diokno-Sicat, Charlotte Justine; Castillo, Angel Faye G.
  42. Learning Poverty : Measures and Simulations By Azevedo,Joao Pedro Wagner De
  43. A Descriptive Analysis of the Dynamics of Labor Market Outcomes of 4Ps Beneficiaries By Tabuga, Aubrey D.; Arboneda, Arkin; Vargas, Anna Rita P.
  44. An Arab, an Asian, and a Black guy walk into a job interview: ethnic stigma in hiring after controlling for social class By Hannah Van Borm; Louis Lippens; Stijn Baert
  45. SocPen Beyond Ten: A Process Evaluation of the DSWD Social Pension (SocPen) Program for Indigent Senior Citizens amid the COVID-19 Pandemic By Albert, Jose Ramon G.; Monje, Jennifer D.; Muñoz, Mika S.
  46. Optimal Contact Tracing and Social Distancing Policies to Suppress a New Infectious Disease By Stefan Pollinger
  47. INTERPLAY OF POLICY AND SOCIAL CAPITAL By Prof. Iwan Jaya Azis; Arnita Rishanty; Canyon Keanu Can
  48. In Light of What They Know : How do Local Leaders Make Targeting Decisions? By Dervisevic,Ervin; Garz,Seth Aaron Levine; Mannava,Aneesh; Perova,Elizaveta
  49. Vietnam: Technical Assistance Report on Government Finance Statistics Mission (February 2022-April 2022) By International Monetary Fund
  51. Economic Ideology in Sustainable Development in Germany By Ly Dai Hung
  52. Innovation Begets Innovation and Concentration: the Case of Upstream Oil & Gas in the North Sea By Michele Fioretti; Alessandro Iaria; Aljoscha Janssen; Robert K Perrons; Clément Mazet-Sonilhac
  53. Portfolio capital flows and the US dollar exchange rate: Viewed from the lens of time and frequency dynamics of connectedness By Mangal Goswami; Victor Pontines; Yassier Mohammed

  1. By: Mohamad Hud Saleh Huddin (Malaysia Deposit Insurance Corporation); Mark Lee (Malaysia Deposit Insurance Corporation); Mohd Sobri Mansor (Malaysia Deposit Insurance Corporation)
    Abstract: Islamic fintech has emerged as a niche sector within the broader development of Islamic finance, and can be defined as 'technologically enabled financial innovation that could result in new business models, applications, processes or products with an associated material effect on financial markets, institutions, and the provision of Islamic financial services with observation of Shariah requirements' (adapted from the Financial Stability Board’s definition of fintech). The prospects for Islamic fintech are encouraging. Several reasons stand out, including the propitious demographics of a young and digitally savvy global Muslim population, potential contribution of digital Islamic social finance towards poverty alleviation, and increasing consumer demand for ethical financial products and services. Globally, more than 200 companies are involved in Islamic fintech, primarily from Asia, the Middle East and Europe. By a measure of collective activity among the Organisation of Islamic Cooperation’s (OIC) 57 member countries, Islamic fintech is nascent. At USD 49 billion, its size translates into 0.7% of the total global fintech transaction volume in 2020. However, this is expected to grow to USD 128 billion by 2025 (CAGR: 21%). Meanwhile, a global composite index assessed the Islamic fintech ecosystems of various countries. Jurisdictions from Southeast Asia (Malaysia, Indonesia), the Middle East (Saudi Arabia, the United Arab Emirates), and the United Kingdom were found to have the most favourable conditions. In Malaysia, Islamic finance is a key priority sector. Islamic banking has grown significantly and Malaysia is actively involved in the international issuance of Islamic bonds (Sukuk). In terms of Islamic fintech, technology firms as well as incumbent Islamic commercial banks are involved in providing Islamic digital financial services. Several factors have contributed to the growth of Islamic fintech in Malaysia. These include digital readiness (IT infrastructure, online and mobile banking penetration), clear regulatory arrangements, focused government support for development of the Islamic digital economy, as well as an established Islamic financial community. Emerging opportunities for Islamic fintech in Malaysia are to enable social finance and close financial inclusion gaps. On the other hand, the industry is confronted with key challenges. These include the lack of start-up funding, an inadequate local talent pool, low levels of financial and digital literacy among specific segments of society, and the need for more collaboration between incumbent Islamic banks and fintech companies. For Islamic deposit insurers and resolution authorities, Islamic fintech can help by improving operational efficiency and effectiveness in areas such as the management of Islamic deposit insurance funds, identification of Shariah noncompliance risks for better governance, reimbursement of Islamic deposits, and enhancing resolution processes for Islamic banks. For the broader Islamic financial industry, Islamic fintech is used among others, to support products such as Shariah compliant e-money, and the business of Islamic digital banking. This is essential to provide Islamic depositors and financial consumers with the assurance and availability of end-to-end Shariah compliant digital financial products and services, that meet their expectations concerning religious laws and ethical standards. In summary, this Fintech Brief seeks to raise awareness of Islamic fintech and in turn, foster its growth. The brief provides an overview of the global state of play, and explores Malaysia's experience in the regulation and development of Islamic fintech. It closes by highlighting potential uses of Islamic fintech for deposit insurance and bank resolution.
    Keywords: deposit insurance, bank resolution
    JEL: G21 G33
    Date: 2022–11
  2. By: Ferry Syarifuddin (Bank Indonesia); Maman Setiawan
    Abstract: Worldwide investment flow has been greatly disturbed by the pandemic, especially for emerging economies. this paper aims to: (1) Investigate the contagion effect of foreign portfolio investment, foreign direct investment, financial derivatives investment, and other investment flow among ASEAN5 countries in the context of pre and during the COVID-19 Pandemic, and (2) study the effects of the Pandemic on sectoral foreign direct investment and GDP of Indonesia. We use spatial econometrics, local projection, and panel vector autoregressive methods to achieve the objectives of this study. The data used are quarterly country-level data for ASEAN5 member countries from 2015Q1 to 2020Q4 and sectoral and regional-level data of Indonesia from 2000Q1 to 2021Q2. Out spatial model estimation results show that Equity FPI tends to be the most contagious type of investment both during the Pandemic period and in the normal period. The derivative investment follows in second with debt FPI in third. FDI tends to only be contagious during the Pandemic period while another investment is not found to have a contagiousness effect at all both in normal times and in the Pandemic period. In regards to sectoral FDI, this research finds that the impacts of the Pandemic vary among the economic sectors. Agricultural and manufacturing sectors tend to experience mixed effects from the Pandemic, while all sub-sectors in the utility and service sector were negatively and significantly affected by the COVID-19 Pandemic in at least one quarter from 2020Q1 to 2021Q1. Moreover, the COVID-19 Pandemic also affects the relation between FDI and GDP: The COVID-19 Pandemic causes FDI to have less impact on GDP. Furthermore, the signaling of the possibility of economic crises caused by the COVID-19 Pandemic masked the effect of the GDP on the FDI.
    Keywords: COVID-19, Capital Flow, Spatial Econometrics, ASEAN, Indonesia
    JEL: E22 F21 G11 G15
    Date: 2021
  3. By: Masagus M. Ridhwan (Bank Indonesia); Asep Suryahadi (SMERU Research Institute); Jahen F. Rezki (Institute for Economic and Social Research); Immanuel Satya Pekerti
    Abstract: We This study assesses the impact of COVID-19, measured by the reduction in work mobility and e-commerce growth, which has been expected to counteract the adverse effect of COVID-19, on the labor market outcomes of individual workers in terms of their employment prospects, work hours, total earnings, and earnings per hour in Indonesia. The data analyzed are combined from the labor force survey and ecommerce transaction values collected by Bank Indonesia, which is unique and publicly unavailable. The findings confirm that COVID-19 has adverse effects on workers’ labor market outcomes. However, e-commerce growth did not counteract the negative impact of COVID-19 as expected, but it still played a role as an employment buffer during the crisis. While e-commerce growth creates jobs, those jobs are mainly self-employment. Furthermore, e-commerce growth tends to suppress the earnings of workers. Our results imply that to optimize e-commerce to improve labor market outcomes beyond jobs creation in the informal sector, efforts are needed to increase the productivity of workers involved in e-commerce, such as through skills enhancement and other capacity-building programs.
    Keywords: COVID-19, labor market, mobility, e-commerce, Indonesia
    JEL: J22 J23 J46 J63 O33
    Date: 2021
  4. By: Solikin M. Juhro (Bank Indonesia); Prayudhi Azwar
    Abstract: This study aims to measure the effectiveness of foreign exchange (FX) intervention strategy in Indonesia in affecting the rupiah exchange rate stability. Using the instrumental variable (IV) approach to analyze FX intervention strategies from January 2010 to December 2020, we find that there are differences in the effectiveness of intervention in the spot market and the derivative market. Partially, FX intervention is more effective in the spot market than in the derivative market. We find also that intervention strategies carried out simultaneously by Bank Indonesia in the spot and derivative markets effectively improves the effectiveness of policy strategy in affecting rupiah exchange rate stability. Amid increasingly complex challenges facing by central banks in managing exchange rate stability, this study brings fundamental policy implications regarding to the importance of an integrated intervention strategy; not only in spot and derivative markets, but also in bond markets.
    Keywords: Effectiveness, FX Intervention, Spot Market, Derivative Market.
    JEL: F31 E58 C22 O24
    Date: 2021
  5. By: Corpus, John Paul; Debuque-Gonzales, Margarita
    Abstract: Financial inclusion can help curb poverty, reduce inequality, and potentially enhance productivity and long-term growth. However, empirical research on financial inclusion remains limited, particularly at the country level. To fill this gap, this paper conducts an empirical exploration of financial inclusion in the Philippines. Its specific objectives are to: (1) benchmark financial inclusion in the Philippines versus other countries in developing Asia; (2) capture stylized facts about financial inclusion in the country based on analysis of demand-side data; and (3) construct a subnational financial inclusion index that can be used, moving forward, to estimate the links of financial inclusion with economic growth, development, and financial stability. The Philippines leads comparator countries in terms of the enabling environment, has mixed performance in financial outreach, and lags in financial account ownership and usage. Less than 15 percent of adults in the country save money using a formal account, while less than a tenth use formal credit, among the lowest proportions in the region. In terms of stylized facts, we find that greater education, higher income, being female, being employed, and being older (up to a certain point) make financial inclusion, particularly formal account ownership and credit use, more likely. Fintech in the form of mobile money appears promising with seemingly the most equitable access among the different forms of financial inclusion, although account ownership remains scant and limited to more urbanized areas. Individuals with less education and those coming from lower-income households are more likely to be "involuntarily" excluded from the formal financial sector. To construct a subnational financial inclusion index, this paper makes use of supply-side data on outreach and usage of financial services in Philippine regions, with weights derived via principal component analysis. The computed regional index is positively associated with GDP per capita, literacy, and electricity access, and negatively associated with poverty incidence, in line with the demand-side analysis and reasonable expectations about the relationship between financial inclusion and development indicators. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: Financial inclusion; financial inclusion index
    Date: 2021
  6. By: Albert, Jose Ramon G.; Quimba, Francis Mark A.; Calizo, Sylwyn Jr. C.; Carlos, Jean Clarisse T.
    Abstract: This study assessed the Philippines' readiness for regional digital trade integration with the Asia-Pacific by using the Regional Digital Trade Integration Index (RDTII) framework to provide an analytical overview of the Philippines' digital trade policy and regulatory environment. Using the RDTII framework, the Philippines reported an overall RDTII score of 0.342 in 2020, which rates the country as having a slightly restrictive digital trade environment. In the same year, the Philippines performed best in three pillars: pillar 1 (tariffs and trade defense measures), pillar 6 (cross-border data policies), and pillar 8 (intermediary liability and content access). All of these three pillars scored less than 0.200, thus, indicating a nonrestrictive policy and regulatory environment. In contrast, the Philippines performed worst in three pillars: pillar 2 (public procurement), pillar 3 (foreign direct investment), and, pillar 5 (telecommunications infrastructure and competition). These three pillars reported a score of above 0.610, characterized by having a strongly restrictive policy and regulatory environment. Meanwhile, the Philippines was found to be slightly restrictive in intellectual property rights (pillar 4), domestic policies on the use of data (pillar 7), quantitative trade restrictions (pillar 9), standards (pillar 10), and online sales and transactions (pillar 11), which all received a score ranging from 0.210-0.400. This study finds that the Philippines generally has an open policy environment for digital trade, which suggests that it is ready for digital trade integration with the region. However, the proper implementation of some of these policies has not been fully achieved, and this could be a great obstacle or challenge to regional integration. Comments to this paper are welcome within 60 days from date of posting. Email
    Keywords: regional integration; Philippines;Digital Economy; digital trade; RDTII; regional digital trade integration index
    Date: 2021
  7. By: Quimba, Francis Mark A.; Barral, Mark Anthony A.; Carlos, Jean Clarisse T.
    Abstract: FinTech in the Philippines has been gaining more attention in recent years, especially during the onset of the COVID-19 pandemic when lockdowns are prevalent and cashless payment methods are encouraged to limit exposure to health risks from face-to-face and cash-based transactions. Digital payments and digital engagements of both men and women have increased, and more and more bank and nonbank financial service providers have entered the digital space, providing more diversified financial products and services through various platforms. Despite these developments, however, the industry financial inclusion in the Philippines remains lagging behind compared to ASEAN neighbors. In addition, FinTech has faced concerns pertaining to the reliability and consistency not only of the systems but also of the regulations. With the financial sector being heavily disrupted by digitalization, there is more to look into than defining FinTech elements and considering it as just another service innovation. Defining the interplay across the stages of FinTech transformation does not seem to be well explored in the Philippines. This paper explores the state of the industry and investigates how to support the development of the ecosystem to ensure that FinTech helps in the achievement of the country’s development goals. This paper finds that the Philippines has a strong FinTech industry as indicated by an increasing number of FinTechs (particularly in payments, lending, and banking technology verticals) and increasing capitalization. The FinTech industry can support the country’s goals of financial inclusion but there needs to be an improvement in areas of availability of talent and credit for the sector. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: business models; financial literacy; financial inclusion; e-money; fintech; FinTech ecosystem; lending
    Date: 2021
  8. By: Ballesteros, Marife M.; Ramos, Tatum; Ancheta, Jenica; Lorenzo, Pauline Joy M.
    Abstract: Smart city development is recognized as a potential solution to urbanization issues, but a disconnect comes along with the vagueness in smart city elements and pathways. The use of the term smart city by some local government units in the Philippines evokes a utopia – a local sphere with numerous positive developments that will greatly benefit the constituents. The lack of studies providing evidence on the readiness of Philippine cities to smart city development, however, prevents the establishment of the cities capacities to address urban challenges with their initiatives. This study aims to examine whether Philippine cities are prepared for smart city development by answering three policy questions: (1) What drives Philippine LGUs towards the implementation of smart city initiatives?; (2) What is the extent of smart city development among Philippine cities?; and (3) How can the Philippine government facilitate the development of smart cities?. A desk review of smart city initiatives in some Philippine and international cities was carried out, and interviews were conducted with stakeholders from selected cities in Luzon, Visayas, and Mindanao. Based on the findings, the Philippines has started to tread the path towards building smart cities, and some Philippine cities already exhibit preparedness for smart city development. Smart city enablers are already in place, but the degree to which they are applied is not very extensive. Both at the national and local levels, there are significant challenges that need to be addressed. These include issues related to data interoperability, national standards on data repositories and application programming interfaces, risk mitigation strategies, monitoring and assessment, accountability, and others. If such issues are unaddressed, there will be a risk of not fully realizing the potential of smart city initiatives being implemented in the Philippines. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: local government;smart city; digital city; intelligent city; Philippine cities; sustainable city
    Date: 2021
  9. By: Chi, Do Quynh
    Abstract: The Domestic Advisory Groups of the EU and Vietnam under the EVFTA (EU-Vietnam Free Trade Agreement) were officially established and met for the first time on November 12th, 2021 - nearly half a year later than originally planned. The formation of the Vietnam Domestic Advisory Group (DAG) was historic, as it is the first time non-governmental organisations (NGOs) in Vietnam are formally engaged in the review/monitoring process of a trade agreement. The research analysed the impacts of the DAG formation on the Vietnamese civil society and its relations with the government from a contextualised perspective. The conceptual framework is based on the combination of the imperfect reproduction model, which theorises the negotiation between rule-makers and rule-takers and the negotiating approach to the state-society relations in Vietnam, attempting to capture the nuances in the relationship between the authoritarian state and the civil society. On the one hand, the partystate imposed a tough legal framework that generally weakens and marginalises civil society from formal political processes; on the other hand, the state has shown certain concessions to civil society campaigns and contestations. The research showed that with the continuous pressure from the EU Parliament, the negative impacts of Covid-19 pandemic on Vietnam's economy, the prolonged internal political debate eventually led to the concession, though minimal, to include civil society organisations in the DAG. Upon consideration of the statesociety relations in Vietnam, this can be regarded as a small but important progress.
    Keywords: trade agreements,domestic advisory groups,civil society,Vietnam
    JEL: F53 F62 F65
    Date: 2022
  10. By: Wahyoe Soedarmono; Iman Gunadi (Bank Indonesia); Fiskara Indawan (Bank Indonesia); Carla Sheila Wulandari
    Abstract: This paper investigates the impact of loan restructuring on risk and performance in Indonesian banking. We find that higher restructured loans increase non-performing loans. Concomittantly, higher restructured loans are associated with higher capital ratio and lower insolvency risk. In this regard, higher capital ratio is sufficient to offset an increase in credit risk, which in turn enhances bank solvency. A deeper analysis suggests that such findings are driven by banks with lower capitalization and private-owned banks. For banks with higher capitalization and government-owned banks, higher restructured loans may deteriorate bank solvency. Moreover, the role of loan restructuring in strengthening financial stability is more pronounced during economic downturns in general. Although loan restructuring matters for financial stability regardless of the degree of economic growth, the effectiveness of loan restructuring policy is conditional.
    Keywords: Bank loan restructuring, risk, capital ratio, performance, Indonesia
    JEL: G21 G28
    Date: 2021
  11. By: Abrigo, Michael Ralph M.; Tam, Zhandra C; Opiniano, Gina A.; Yee, Sherryl A.; Estopace, Katha Ma-i M.
    Abstract: The Philippine government plays an increasingly significant role in the provision of drugs and medicines. Over the last half decade, direct public procurement more than doubled from PHP 7.8 billion in 2014 to PHP 20.1 billion in 2019. In this study, we document government procurement practices as applied to drugs and medicines, with emphasis on instituted information revelation mechanisms to promote transparency. Among the almost 50,000 records in 2019 that we analyzed, we find that about a third of posted procurement opportunities for drugs and medicines had insufficient descriptions available to allow purchase. Further, we find that mandated price caps are associated with longer posting period and greater propensity for failed procurement, but not necessarily with cheaper procurement prices. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: public procurement; drugs and medicines; Drug Price Reference Index; Philippine Government Electronic Procurement System
    Date: 2021
  12. By: Michelle Neal
    Abstract: Remarks at the Singapore FinTech Festival, Singapore.
    Keywords: FinTech; digital assets; payments
    Date: 2022–11–04
  13. By: Francisco, Kris A.; Navarro, Adoracion M.; Debuque-Gonzales, Margarita
    Abstract: Despite the continuing threat of the COVID-19 virus mutating, the pandemic will eventually end given widespread vaccination and virus suppression policies. Policymakers need to think ahead, assess scenarios of possible futures, and start to reset and rebuild toward a better Philippines in the post-pandemic environment. Owing to the many societal issues that the pandemic exposed and exacerbated, thinkers were compelled to scrutinize the current flaws in the capitalist system and how these can be fixed to ensure a more sustainable existence. The Great Reset agenda by the World Economic Forum is one example. This agenda is contextualized in the Philippine situation through three major strategies, namely: making businesses more ethical through stakeholder capitalism; pursuing a green and inclusive recovery; and maintaining a robust and healthy workforce. Policy insights and recommendations for each strategy include the following: for ethical business, enjoin companies to adopt universally recognized environmental, social and governance metrics, strengthen the country’s competition framework, and create an equal environment for different businesses in similar industries; for green and inclusive recovery, make space for greening in the stimulus packages, create a pipeline of needed climate-smart infrastructure projects, identify and invest in green growth areas, support the calls for a green new deal in Southeast Asia, push Philippine concerns in the global debates on climate actions, and find alternatives in the face of carbon-related tradeoffs; and for a robust and healthy workforce, invest in reskilling and upskilling programs, revamp the social protection system, address the digital divide, and address the needs of the workers of the future. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: COVID-19 pandemic; capitalism reset; stakeholder capitalism; green recovery; robust workforce
    Date: 2021
  14. By: Tabuga, Aubrey D.; Domingo, Sonny N.; Umlas, Anna Jennifer L.; Zuluaga, Katrina Mae C.
    Abstract: Social norms and structures are vital factors that shape people’s behavior and attitudes. It is, therefore, useful to analyze such underlying forces in the creation of strategies that are meant to influence behavior and activities. Agricultural extension services such as information dissemination and farmers’ training are some of the interventions that can benefit from such analyses especially within a context of limited human and financial resources. The idea is to use the lessons learned from the analysis of social networks and norms in identifying potential local knowledge and information disseminators, thereby aiding the extension services. It also helps in the formulation of more contextualized approaches for reaching the underserved and hard-to-reach areas. Applying this approach, this study used the case of a remote upland area in Atok, Benguet, a major vegetable producer. This study used social network analysis to develop insights for designing more effective extension strategies. The results show that interventions like information and education campaigns can be improved by acknowledging the nuances in social relation structures. Comments to this paper are welcome within 60 days from date of posting. Email
    Keywords: agriculture; Philippines; upland farming;Social network analysis; information and education campaign; Benguet farming
    Date: 2021
  15. By: Wahyoe Soedarmono; Iman Gunadi (Bank Indonesia); Sudiro Pambudi (Bank Indonesia); Tika Nurhayati
    Abstract: In this paper, we analyze the effectiveness of the bank lending channel in Indonesia. Our findings highlight that the bank lending channel occurs with a time lag of two quarters. In other words, monetary policy tightening deteriorates bank loan growth two quarters ahead. Moreover, we also find that the presence of the bank lending channel is conditional on the extent to which credit crunch may occur. Specifically, bank loan growth two quarters ahead is negatively affected by monetary policy tighthening when funding liquidity and undisbursed loans decrease. Hence, higher funding liquidity and undisbursed loans depicting credit crunch can impede the bank lending channel. In addition, we highlight that a decline in loan growth two quarters ahead following monetary policy tightening is partly attributed to a decline in bank capital ratio, supporting the bank capital channel hypothesis. Eventually, strengthening bank capital management is essential for the effectiveness of the bank lending channel, while other measures than monetary policy expansions are also worth considering to boost bank lending, particularly in times of credit crunch.
    Keywords: Bank lending channel, credit crunch, bank capitalization, Indonesia
    JEL: G21 G28
    Date: 2021
  16. By: Domingo, Sonny N.; Manejar, Arvie Joy A.
    Abstract: Wastewater and pollution management issues are usual negative externalities in the pursuit of economic development. This is true in the Philippines where industrial and domestic refuse often end up in tributaries and major waterways, sometimes even contaminating groundwater due to improper septage and sewerage design. The passage of the Clean Water Act (Republic Act No. 9275), and the subsequent launching of the National Sewerage and Septage Management Plan (NSSMP) were expected to facilitate the accomplishment of water sectoral targets. While acknowledged to be an integral component of the country’s development agenda, wastewater management’s requirements for large-scale investments and resources were often overlooked and underfunded, adding to target shortfalls. The sector also remained plagued with institutional fragmentation and disjointed efforts in the absence of an overarching framework and master plan. Given these challenges, the study echoes the call to rationalize the sector’s institutional governance and development direction. Improved septage coverage and standardization guidelines are viable short-run interventions, while the national government orchestrates and the local government units muster interest in investing in sewerage facilities. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: sanitation;Clean Water Act; wastewater management; sewage; septage; effluent
    Date: 2021
  17. By: Etienne Espagne (World Bank); Yen Boi Ha (ETH Zurich); Kenneth Houngbedji (LEDa-DIAL (IRD, CNRS, Universite Paris-Dauphine, Universite PSL)); Thanh Ngo-Duc (University of Science and Technology of Hanoi)
    Abstract: This paper investigates the effect of typhoons on economic activities in Vietnam. During the period covered by our analysis, 1992-2013, we observed 63 typhoons affecting different locations of the country in different years with varying intensity. Using measures of the intensity of nightlight from satellite imagery as a proxy for the level of economic activity, we study how the nighttime light brightness varies across locations that were variably affected by the tropical cyclones. The results suggest that typhoons have on average dimmed nighttime luminosity of the places hit by 5 ± 5.8 % or 8 ± 7.8 % depending on the specifications we made.
    Keywords: Natural disasters, economic growth, Vietnam
    JEL: Q54 Q52 C21 O53
    Date: 2022–07
  18. By: Masagus M. Ridhwan (Bank Indonesia); Jahen F. Rezki (Institute for Economic and Social Research); Asep Suryahadi (SMERU Research Institute); Arief Ramayandi
    Abstract: We investigate the causal impact of COVID-19, through lockdowns, on household income, consumption, and expectations in Indonesia, using high frequency data from the monthly Bank Indonesia consumer survey with more than 176,000 respondents. We find that COVID-19 lockdown has a large and significant negative impact on households’ income and consumption. Moreover, COVID-19 lockdown also negatively affects expected income. This study also finds that households try to smooth consumption in the face of declining income, resulting in a significant increase in the budget allocation for consumption while reducing the shares of debt installments and savings. The impact of lockdown on households is also heterogeneous by expenditure levels, regions, and level of education. These findings have important policy implications to cushion the pandemic’s impact on vulnerable households and ensure a more inclusive recovery.
    Keywords: COVID-19, households, income, consumption, expectation
    JEL: C83 D14 D84 E21 E22
    Date: 2021
  19. By: Ulep, Valerie Gilbert T.; Nuevo, Christian Edward L.; Uy, Jhanna; Casas, Lyle Daryll D.
    Abstract: In the Philippines, decisionmakers mostly rely on access indicators in measuring health system performance. However, as the country embarks on path-breaking Universal Health Coverage (UHC) reforms, assessing healthcare quality is more important than ever. In this study, we examined the management practices and service capacity and readiness of hospitals, both structural measures of healthcare quality. Using a validated self-administered online questionnaire, we collected a wide range of data on hospital management and service delivery from selected public and private hospitals. Our findings reveal the longstanding challenges in hospital management and their limitations to provide even the most rudimentary components of medical care - diagnostics and drugs. Our recommendations revolve around the systematic collection of healthcare quality indicators and the use of incentives and grants to facilitate the collection, measurement, and submission of data from facilities. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: universal health care; Philippines;healthcare quality; service capability
    Date: 2021
  20. By: Ulep, Valerie Gilbert T.; Angeles-Agdeppa, Imelda; Uy, Jhanna; Casas, Lyle Daryll D.; Goyena, Eva A.; Desnacido, Josie P.; Cajucom, Maylene P.
    Abstract: In hospitals, nutrition care is a set of actions that allows for the identification of patient nutritional needs and the provision of care to address those needs. Optimal nutrition for inpatients has a critical role in the prevention and treatment of diseases: It helps boost the body’s immune system, reduces the risk of disease and infection, and aids in the recovery from illness. In Philippine public hospitals, nutrition care is provided by the Nutrition and Dietetics Service. In this work, we give a case study on one of the hospital processes—the quality of hospital nutrition. Processes refer to the way care is delivered and whether it is aligned to evidenced-based practice or standards. We looked at whether Philippine public hospitals deliver high-quality, nutritionally appropriate meals to inpatients, adhere to the minimum meal allowance budget, and follow the minimal NDS inputs and process standards. Apart from the issue of unmet minimum meal allowance budget and nutritional content, we were able to unpack concerns related to human resources, equipment, management functions, and other NDS processes that could have an impact on the quality of nutrition care delivered. The general insight in enhancing the nutritional care offered in hospitals is to look at Nutrition and Dietetics Service as a whole, rather than just increasing the minimum meal allowance budget. The Department of Health must also guarantee that the value of high-quality nutrition care is recognized in hospitals, as it is often overlooked that it has an impact on total patient care quality. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: Philippines; public hospitals;nutrition and dietetics service; nutrition care
    Date: 2021
  21. By: Francisco, Kris A.; Lim, Valerie L.
    Abstract: Transport infrastructure is one of the key elements in achieving a balanced growth within an economy. The water transport sector, in particular, plays a much larger role in an archipelagic country such as the Philippines. The country however, has underinvested in public infrastructure for several years which resulted to low quality of infrastructure and some inefficiencies in the operation of seaports, which are the main infrastructure in the water transport sector. This study analyzed the performance of the Philippine ports through domestic and international lenses by utilizing previous studies and comparative statistics on ASEAN countries. Results show that despite having more international ports, our container and cargo throughput as well as international passenger traffic is lower compared to our ASEAN neighbors. This can be attributed to the perceived low quality of our ports and low level of shipping connectivity. Review of previous studies reveal that issues in the water transport sector are related to quality of infrastructure, inefficiencies in operation and congestion. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: water transport sector; transport policy; sea ports
    Date: 2021
  22. By: Dacuycuy, Lawrence; Bayudan-Dacuycuy, Connie
    Abstract: The world of work is constantly evolving because jobs are created and destroyed, a process that is increasingly becoming conspicuous due to significant technological advances, notably in ICT and computing. Invariably, poor national skills profiles hurt the economy, impede the efficient and timely accumulation of advanced or highly technical skills, and potentially degrade job mobility and wage growth. Thus, understanding the structure of the labor market in the context of occupational skills is essential. This paper provides a skills-based characterization of the labor market and assesses how skills are distributed across the working population, emphasizing key gender differences, and highlighting spatial disparities. It also explains the observed gender pay gap using skills-augmented Mincerian regression models and the 2015 Labor Force Survey. Results indicate the following: (1) Six in every ten workers in the Philippines are mostly employed in elementary occupations and the agricultural, forestry, and fishery sectors. The said workers’ occupational skill sets are mostly composed of social and basic skills. (2) Some in-demand jobs in the IT-BPM and manufacturing sectors require specific skills bundles that include analytical skills such as systems analysis, systems evaluation, operations analysis, programming, and technology and design. (3) Hard-to-fill (HTF) jobs, mostly in health and wellness, manufacturing, construction, banking and finance, and IT-BPM, require specific skills. While the average social, basic, and management skills in these jobs are like those of in-demand jobs, the analytical skills required are substantially higher than those of the in-demand jobs. (4) HTF jobs are close to very few jobs that share similar skills sets, an indication of the quality of jobs available and/or being created in the economy. (5) Tertiary education and basic skills (both endowments and returns) narrow the pay gap. (6) Highly specific basic and analytical skills narrow the pay gap as well. Highly specific basic skills include Mathematics and Science while highly specific analytical skills include systems analysis, systems evaluation, operations analysis, programming, and technology and design. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: skills specificity; occupational skills; gender pay gap
    Date: 2021
  23. By: Ahsan,Md Nazmul; Emran,M. Shahe; Shilpi,Forhad J.
    Abstract: This paper provides an analysis of the rural-urban divide in intergenerational educational mobility in Indonesia with two distinguishing features. First, the estimating equations are derived from theory incorporating rural-urban differences in returns to education and school quality, and possible complementarity between parent’s education and financial investment. Second, the data are suitable for tackling the biases from sample truncation due to coresidency and omitted cognitive ability heterogeneity. The evidence rejects the workhorse linear intergenerational educational persistence equation in favor of a convex relation in rural and urban Indonesia. The rural-urban relative mobility curves cross, with the children of low educated fathers enjoying higher relative mobility in rural areas, while the pattern flips in favor of the urban children when the father has more than nine years of schooling. However, the rural children face lower absolute mobility across the whole distribution of father's schooling. Estimates from the investment equation suggest that, in urban areas, children~^!!^s peers are complementary to financial investment by parents, while the adult role models are substitutes. In contrast, separability holds in villages. Peers and role models are not responsible for the convexity in both rural and urban areas, suggesting more efficient investment by educated parents as a likely mechanism, as proposed by Becker et al. (2015, 2018). The theoretical relation between the intercepts of the mobility and investment equations helps in understand whether school quality is complementary to or a substitute for parental financial investment. This paper finds evidence of substitutability, implying that public investment to improve the quality of rural schools is desirable on both equity and efficiency grounds.
    Keywords: Educational Sciences,Education Finance,Economics of Education,Rural Labor Markets,Labor Markets,Macro-Fiscal Policy,Economic Adjustment and Lending,Public Finance Decentralization and Poverty Reduction,Public Sector Economics
    Date: 2020–11–03
  24. By: Orbeta, Aniceto Jr. C.; Corpus, John Paul; Araos, Nina Victoria V.
    Abstract: Being not in employment, education, or training (NEET) can undermine young people’s future employment and earnings prospects, leading to lasting economic disadvantage. Being NEET can also have adverse social consequences, such as depression, weaker social engagement, and possibly deviant behavior. These outcomes come at a great cost to the economy and society. This study aims to address four research questions: (1) what are the dropout points of learners across the education continuum; (2) how are NEET computed and monitored across government agencies; (3) how many NEET are potential TVET learners; (4) what barriers do NEET face in pursuing further training. The study used a range of research strategies, such as document review, primary and secondary data analysis, and in-depth interviews with national government offices with programs for youth. The study finds that NEET is still an emerging concept in the Philippines. However, given the large number of youth NEET in the Philippines, and the social and economic implications of this, more attention needs to be directed toward youth NEET and the issues faced by this cohort. First, there is a need to adopt a standard definition of NEET and promote the concept as an important cohort that needs attention from government and nongovernment programs. Second, there should be more comprehensive coverage of people in technical and vocational education and training (TVET) in official statistics to understand the demand for TVET better. Resolving issues in the definition of training participation in official statistics would provide a more comprehensive picture of TVET participation and lead to a more accurate measurement of NEET in the country. Third, more in-depth studies should be conducted to identify other important determinants of being NEET. This will help find effective levers of drawing out the NEET into either learning a trade and/or being productively employed. Fourth, given the high proportion of inactivity among female youth observed, further inquiry into the reasons behind this is recommended. Fifth, the study estimated that only one in four NEETs would demand TVET training. Given this low potential take-up rate, there is scope for promoting TVET among the NEET. Lastly, government and other key stakeholders should address the barriers and challenges of those desiring and who are currently in TVET training. This includes addressing participants' financial constraints through re-examining existing allowance benefits, the conduct of better information dissemination on training opportunities, provision of labor market information and employment facilitation, and consideration of solutions to connectivity and digital device issues experienced by trainees. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: TVET; training; technical and vocational education; youth NEET
    Date: 2021
  25. By: Cicilia Anggadewi Harun (Bank Indonesia); Wishnu Mahraddika (Bank Indonesia); Jati Waluyo (Bank Indonesia); Pakasa Bary (Bank Indonesia); Rieska Indah Astuti (Bank Indonesia); Fauzan Rachman (Bank Indonesia); Rizky Primayudha (Bank Indonesia); Dwi Oktaviyanti (Bank Indoensia); Euis Aqmaliyah
    Abstract: This study discusses business cycle and financial cycle in Indonesia. In the first stage, the multivariate Kalman Filter estimation is carried out on the output gap and credit gap specifications which are derived by considering the IS curve, dominant currency pricing, financial frictions, and credit shocks. In the second stage, the financial cycle is constructed via common cycles and principal components by combining various financial indicators, including indicators of total credit obtained based on the results in the previous stage, asset prices, risk taking, banking indicators, corporate leverage, external exposure, and risk appetite. Based on several evaluation metrics, the resulting business and financial cycle are consistent to the dynamics of economic and financial conditions in Indonesia, which were triggered either by domestic or external events. The business cycle and financial cycle have been shown to have similar characteristics, although financial cycle has a longer average duration.
    Keywords: Business cycle, financial cycle, output gap, multivariate filtering, Kalman filter, principal component analysis, risk taking, dominant currency pricing, capital flows, commodity prices
    JEL: E32 C32 C38 E50 F30 F40
    Date: 2021
  26. By: Abdur Rahman,Amanina Binti; Schmillen,Achim Daniel
    Abstract: This study aims to provide a quantitative and integrated analysis of long-term structural transformation and labor productivity growth in Malaysia. Using data from the Department of Statistics Malaysia from 1987 to 2018 and decompositions that take account of the static and dynamic efficiency gains from labor reallocation, it documents that Malaysia has undergone structural transformation from an agriculture-driven to a services-driven economy. However, in contrast to common perceptions, the country's impressive growth in output per capita over the past three decades can largely be attributed not to its structural transformation but instead to sustained growth in within-sector labor productivity. At 3 percent, the contribution of between-sector reallocation of labor to growth in output per capita in Malaysia has been relatively low. Accordingly, together with efforts to spur the more productive reallocation of labor across sectors and positively affect the employment rate, the main policy challenge for Malaysia going forward will be to achieve sustainable labor productivity growth within various sectors.
    Keywords: Common Carriers Industry,Food&Beverage Industry,Plastics&Rubber Industry,Construction Industry,Business Cycles and Stabilization Policies,General Manufacturing,Pulp&Paper Industry,Textiles, Apparel&Leather Industry,Labor Markets,Food Security,Mining&Extractive Industry (Non-Energy),International Trade and Trade Rules
    Date: 2020–11–03
  27. By: Serafica, Ramonette B.; Oren, Queen Cel A.
    Abstract: This paper reviews the Philippines’ participation in services trade agreements to date at the multilateral (WTO GATS), regional (ASEAN and dialogue partners), and bilateral levels (PJEPA and PH-EFTA FTA). It also discusses the government’s institutional arrangements for trade in services negotiations. To harness the benefits of FTA participation, the report suggests judicious exercise of policy space in binding commitments, involving private sectors earlier in the cycle of services negotiations, clarifying and delineating roles of government agencies, and capacitating private sectors and MSMEs to engage in trade in services more actively, increasing market opportunities for the country. The first step towards strengthening the governance structure would be to consolidate negotiations in one agency instead of the current setup where the lead coordination role is split between two agencies depending on the trade partner and scope of the agreement. Additionally, a network approach to services and a whole-of-economy approach can strengthen the private sector engagement to take full advantage of international trade. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: services; trade; free trade agreement;FTAs
    Date: 2021
  28. By: Andrew Shaver (University of California, Merced)
    Abstract: News reports of political violence are systematically compiled into large global conflict-event datasets used by academics, governments, and international organizations. These datasets present opportunities to examine the micro-dynamics of conflict but are often systematically skewed. We compare various news-report based datasets to high quality administrative records from Afghanistan, Iraq, the Philippines, South Africa, and Syria to identify sources of systematic missingness in the former. We identify under-reporting related to violence intensity, weaponry, target, perpetrator, and non-deadly violence. In a large replication exercise, we show that media-based data fail to uncover the results reported in leading economics/political science journal articles.
    Keywords: Afghanistan, Iraq, Philippines, South Africa, Syria
    JEL: H56 D83 F51
    Date: 2022–10
  29. By: Orbeta, Aniceto Jr. C.; Llanto, Gilberto M.; Abrigo, Michael Ralph M.; Ortiz, Danica Aisa P.
    Abstract: Climate change causes a vast magnitude of impacts that cut across boundaries and spill over time. It results in various, interrelated effects on important aspects of society. Direct and indirect effects of climate change touch on, for instance, health (e.g., Watts et al. 2015) and on labor (e.g., Kjellstrom et al. 2009; International Labor Organization 2018). Unfortunately, developing countries, which are the least contributors to climate change, are more exposed to environmental risks. According to the Global Climate Risk Index 2017, the Philippines, is in the top ten countries greatly affected by extreme weather events over the last two decades. In response to these challenges and risks, the country has been actively participating in international efforts to address this global concern. Locally, various policies have been enacted to create a progressive landscape for environmental protection, and disaster risk mitigation and response. Adding to these mitigation responses is the Green Jobs Act of 2016, which aims to encourage the creation and nurturing of green jobs along with the country’s transition towards a more environmentally sustainable economy. This study supports the implementation of this policy by providing new employment demand projections in the green and conventional sectors of the economy. Specifically, the Green Philippine Employment Projections Model (Green PEPM) generates forecasts on employment demand in green industries, using various scenarios based on national development and environmental targets. The model provides a sectoral-level analysis of the potential economic and employment gains and losses coming from the growth of the green and conventional sectors. The results of the model are expected to feed into the development of the country’s Human Resource Development (HRD) Plan, which is an important feature of the 2016 Green Jobs Act. Projection results show that greening the economy creates benefits. More jobs can be created, and other existing jobs can be transformed as industries shift to environmentally friendly and sustainable technologies and products. However, depending on the country’s development targets, greening may also lead to employment contraction in certain industries. Thus, to what extent the country should go green remains an open question, which the government can explore to come up with appropriate responses. Aside from employment projections, this study provides some policy options that may address some of these threats in the labor market, and those which may support the promotion of green jobs in the country. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: environment; climate change; labor market;green jobs; disaster risk mitigation
    Date: 2021
  30. By: Tabuga, Aubrey D.; Mondez, Maria Blesila D.; Vargas, Anna Rita P.
    Abstract: The COVID-19 pandemic has such a wide-reaching and sudden adverse impact on people’s livelihoods. For a country like the Philippines which significantly relies on overseas remittances to boost household consumption, the return of hundreds of thousands of OFWs is a great reminder of the need for social protection and resilient sources of livelihood. This study examines the access of OFWs to social protection on-site and after they have returned. The objective is to draw useful insights for improving related efforts for ensuring OFWs are protected while working overseas and that the temporary income generated from it aids in building up their resilience when they return to the country for good. The study shows that the most common benefits received by OFWs in their first migration experience are those which meet rather immediate on-site needs than those that are considered as safety nets that allow them to smoothen consumption in times of shocks. Basic worker benefits like health insurance, overtime pay, paid sick leave, and work accident compensation are less common. In fact, only a little over one-half of all workers have health insurance/medical allowance benefits (53%). Only half of the workers received payment for overtime work in their first overseas job. Some 45 percent have received compensation for work accidents. Interestingly, only around 39 percent have been paid for sick leaves. These show the urgency of effective mechanisms for dialogue with host country governments to ensure that OFWs obtain adequate workers’ benefits while working abroad. With respect to accessing social protection, the findings point to the need to target the less educated migrant workers and those who hold elementary occupations in all initiatives related to the improvement of awareness and education campaigns on social protection as these workers have the lowest membership to basic social protection schemes. It is also important to note that such vulnerable workers are also in the bottom income classes. Government agencies mandated to promote the welfare of migrant workers must carry out more aggressive steps towards the inclusion of OFWs in social insurance. These may conduct assessments of the current mechanisms being utilized in securing overseas employment certificates and other such mechanisms with respect to their (in)ability to promote access to social insurance. Other initiatives such as education programs related to financial literacy are also important in the effort to increase the willingness and commitment of migrant workers to regularly contribute to insurance schemes for their own protection. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: social protection; resilience; social insurance; Overseas Filipino Workers; migrant workers; public health shock
    Date: 2021
  31. By: Dall'Aglio,Chiara; Hayati,Fayavar; Lee,David James
    Abstract: Entrepreneurs in Myanmar face many challenges to starting and operating a business. As is theexperience globally, women often experience these challenges to a greater extent and face additional socioculturalbarriers, limiting their equal participation in the economy. To develop a better understanding of the dynamics holdingback private sector development, especially for women, this paper uses data from the first-of-a-kind, firm-level data set available in Myanmar. The analysis explores the varianceof experience female-owned micro, small, and medium-size enterprises face compared with their male-ownedcounterparts. The paper assesses the barriers imposed on entrepreneurs and their businesses and identifies firm-levelcharacteristics leading to the use of good business practices. Further, the analysis investigates the adoptionof gender and family-friendly policies, as an outcome and as a determinant of business success. The purpose of the studyis to gain a better understanding of the barriers to gender-inclusive private sector development in Myanmar andprovide tangible recommendations to private- and government-level actors. Overall, the analysis finds themajor constraints for women entrepreneurs are access to finance and sociocultural factors, such as familyresponsibilities and household work.
    Keywords: Gender and Development,International Trade and Trade Rules,Educational Sciences,Financial Sector Policy,Technology Industry,Gender and Poverty,Gender and Economic Policy,Economics and Gender,Gender and Economics,Technology Innovation
    Date: 2020–10–26
  32. By: Yuventus Effendi (Indonesian Ministry of Finance, Republic of Indonesia, Jakarta, Indonesia); Budy Resosudarmo (Indonesia Project, Arndt-Corden Department of Economics, Crawford School of Public Policy, Australian National University, Canberra, Australia)
    Abstract: This paper describes the construction of the East Asia inter-regional social accounting matrix (EA-IRSAM). The first section describes the basics of the social accounting matrix. The next section presents procedures to construct EA-IRSAM based on the Global Trade Analysis Project (GTAP) Power version 9 database. The last section describes two extensions of IRSAM analyses used in this paper, namely inter-regional constrained fixed price multiplier (IR-CFPM) and microsimulation of household income.
    Keywords: Climate change, social accounting matrix, East Asian economy
    JEL: O21
    Date: 2022–10
  33. By: Valentin Bellassen (CESAER - Centre d'Economie et de Sociologie Rurales Appliquées à l'Agriculture et aux Espaces Ruraux - AgroSup Dijon - Institut National Supérieur des Sciences Agronomiques, de l'Alimentation et de l'Environnement - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Marion Drut (CESAER - Centre d'Economie et de Sociologie Rurales Appliquées à l'Agriculture et aux Espaces Ruraux - AgroSup Dijon - Institut National Supérieur des Sciences Agronomiques, de l'Alimentation et de l'Environnement - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Mohamed Hilal (CESAER - Centre d'Economie et de Sociologie Rurales Appliquées à l'Agriculture et aux Espaces Ruraux - AgroSup Dijon - Institut National Supérieur des Sciences Agronomiques, de l'Alimentation et de l'Environnement - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Antonio Bodini (University of Parma = Università degli studi di Parma [Parme, Italie]); Michele Donati (University of Parma = Università degli studi di Parma [Parme, Italie]); Matthieu Duboys de Labarre (CESAER - Centre d'Economie et de Sociologie Rurales Appliquées à l'Agriculture et aux Espaces Ruraux - AgroSup Dijon - Institut National Supérieur des Sciences Agronomiques, de l'Alimentation et de l'Environnement - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Jelena Filipović (University of Belgrade [Belgrade]); Lisa Gauvrit (ECOZEPT, Montpellier, France); José M. Gil (CREDA -UPC - IRTA - Centre de Recerca en Economia i Desenvolupament Agroalimentaris - IRTA - Institute of Agrifood Research and Technology); Viet Hoang (UEH, University of Economics Ho Chi Minh City, Ho Chi Minh, Viet Nam); Agata Malak-Rawlikowska (Institute of Economics and Finance, Warsaw University of Life Sciences - SGGW, Warsaw, Poland); Konstadinos Mattas (Department of Agricultural Economics, Aristotle University of Thessaloniki, Thessaloniki, Greece); Sylvette Monier-Dilhan (US ODR - Observatoire des Programmes Communautaires de Développement Rural - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Paul Muller (BETA - Bureau d'Économie Théorique et Appliquée - AgroParisTech - UNISTRA - Université de Strasbourg - UL - Université de Lorraine - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Orachos Napasintuwong (Department of Agricultural and Resource Economics, Faculty of Economics, Kasetsart University, Bangkok 10900, Thailand.); Jack Peerlings (Department of Social Sciences, Wageningen University, Wageningen, the Netherlands); Thomas Poméon (US ODR - Observatoire des Programmes Communautaires de Développement Rural - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Marina Tomić Maksan (Department of Agricultural Marketing, Faculty of Agriculture, University of Zagreb, Zagreb, Croatia); Áron Török (Department of Agribusiness, Corvinus University of Budapest, Budapest, Hungary); Mario Veneziani (University of Parma = Università degli studi di Parma [Parme, Italie]); Gunnar Vittersø (SIFO Consumption Research Norway, Oslo Metropolitan University, 0130 Oslo, Norway); Filippo Arfini (University of Parma = Università degli studi di Parma [Parme, Italie])
    Abstract: To identify whether EU certified food – here organic and geographical indications – is more sustainable than a conventional reference, we developed 25 indicators covering the three sustainability pillars. Original data was collected on 52 products at farm, processing and retail levels, allowing the estimation of circa 2000 indicator values. Most strikingly, we show that, in our sample, certified food outperforms its non-certified reference on most economic and social indicators. On major environmental indicators – carbon and water footprint – their performance is similar. Although certified food is 61% more expensive, the extra-performance per euro is similar to classical policy interventions to improve diet sustainability such as subsidies or taxes. Cumulatively, our findings legitimate the recent initiatives by standards to cover broader sustainability aspects.
    Keywords: Certified Food,Sustainability,Performance,Organic,Farming,Geographical Indications
    Date: 2022–01
  34. By: Yuventus Effendi (Indonesian Ministry of Finance, Republic of Indonesia, Jakarta, Indonesia); Budy Resosudarmo (Indonesia Project, Arndt-Corden Department of Economics, Crawford School of Public Policy, Australian National University, Canberra, Australia)
    Abstract: This paper provides detail of the inter-regional system of analysis of East Asia (IRSA-EA). IRSA-EA is a static and multi-country computable general equilibrium (CGE) model. IRSA-EA has a flexible production structure that allows substitutions among electricity and energy intermediate inputs. Hence, the model can simulate the impacts of changes in energy and electricity prices. Also, the model incorporates several recycling mechanisms to simulate the impacts of renewable electricity development and decarbonisation in the East Asia region. This paper provides a technical guide for the IRSA-EA model that will be useful to analyse the socio-economic and environmental impacts of policy instruments in the subsequent two papers.
    Keywords: Climate change, computable general equilibrium model, East Asian economy
    JEL: O21
    Date: 2022–10
  35. By: Domingo, Sonny N.; Manejar, Arvie Joy A.
    Abstract: Modern crop biotechnology is being considered as a novel solution to the long-standing problems of food insecurity, low crop productivity, pest and disease prevalence, and micronutrient deficiency, particularly in developing and climate-vulnerable economies. Empirical evidence of its benefits encouraged the development and adoption of genetically modified organisms (GMOs) and related products, fostering global market dynamism. The Philippines' early adoption of technology and its inclusion among countries with the highest GMO corn hectarage in the early 2000s motivated the creation of regulatory guidelines and biosafety policies which informed development and commercialization timelines. The study reviewed the enabling regulatory structures to determine entry points for augmentation while an economic surplus analysis of GMO eggplant was carried out as a case study to estimate welfare benefits and potential opportunity costs for both consumers and local growers. Results showed that across simulations, even with the most conservative adoption delays due to regulatory lags, viable figures were still obtained with the lowest IRR at 20 percent. Notwithstanding contrary sentiments from interest groups, the government's priority must be to make available the modern biotechnology option, in both farm and household tables, in the most prudent but expedient way possible. The huge opportunity losses attached to suboptimal bureaucratic regulatory functioning have to be stemmed. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: biotechnology; GMOs; modified crops; regulatory process
    Date: 2021
  36. By: SAKAMOTO Masazumi
    Abstract: The history of Japan's foreign relations during the First World War can be thought of as having two currents: a diplomatic history centered on the Asia-Pacific region, mainly in terms of Chinese interests and relations with the United States connected with that history, and a trade history which is described as the term of economic growth. However, little attention has been paid to the relationship between the two, e.g., the business community's interests regarding Japan's foreign policy. The analysis of the tone of the major economic newspapers in the mid-First World War period and the trade chronology compiled by the Ministry of Finance reveal that the business community had certain diplomatic interests toward the major warring nations of the First World War, such as Britain, Russia, and Germany, depending on their trade situation. At the same time, they reveal that the business community had expressed significant concern about the concept of the inter-Allied economic alliance, including a postwar regime, and decoupling from antagonist countries, as discussed at the Economic Conference of the Allies in 1916. The results suggest that considering the intentions (interests) of the business community while determining Japan's foreign policy is significant at a time when trade and diplomacy are closely linked.
    Date: 2022–10
  37. By: Albert, Jose Ramon G.; Tabuga, Aubrey D.; Quimba, Francis Mark A.; Rosellon, Maureen Ane D.; Vizmanos, Jana Flor V.; Cabaero Carlos C.; Muñoz, Mika S.; Mirandilla-Santos, Mary Grace
    Abstract: The National ICT Household Survey (NICTHS), conducted by the Department of Information and Communications Technology (DICT) in partnership with the Philippine Statistical Research and Training Institute (PSRTI), is the first-ever household survey in the country focusing on ICT. The NICTHS is one of the strategies of DICT to jumpstart the generation of official information and communications technology (ICT) statistics critical for monitoring ICT development, particularly the expansion and diffusion of digital technologies, as well as for national development planning and policymaking. The NICTHS has a wealth of information describing households' ICT equipment and individual uses of ICT (information technology, fixed-line, and mobile Internet). This study analyzes the results of the NICTHS to help the government in developing and evaluating ICT policies and strategies, including measures to address issues, such as the digital divide, and in assessing ICT developments in the country compared to that of its peers. The study looks into ICT access and use as they pertain to living conditions (and livelihood) of households, skills of individuals (particularly in mobile telephony and the Internet), and the sharing of equipment within a household (including gender issues), that in turn, can provide clues on the potential impact of increased ICT adoption in the country on productivity, growth, jobs, and inclusion. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: infrastructure; gender ;ICT; inclusion
    Date: 2021
  38. By: Arnita Rishanty (Bank Indonesia); Sekar Utami Setiastuti (Universitas Gadjah Mada); Nur M. Adhi Purwanto (Bank Indonesia)
    Abstract: This study aims to develop an environmental dynamic stochastic general equilibrium (E-DSGE) model with heterogeneous production sectors and evaluate possible central bank and fiscal policies towards green and sustainable production. We estimate the model for the Indonesian economy and assess the effects of macroeconomic uncertainty in terms of productivity, monetary, macroprudential, fiscal policy, and financial shocks in a setup that includes policies supporting green firms. We find that aggregate output, consumption, and investment react negatively to a positive monetary policy and government spending shock. Further, we show that emission tax may dampen the contraction of green output due to contractionary monetary and fiscal policy. The effect of green financing subsidy, however, looks trivial
    Keywords: DSGE model, Bayesian estimation, Monetary policy, Fiscal policy, Environ- mental policy
    JEL: E32 E50 Q58
    Date: 2021
  39. By: Diokno-Sicat, Charlotte Justine; Palomar, Robert Hector G.
    Abstract: With the country still managing the COVID-19 pandemic, the election of national and local officials next year, and an increase in resources available to local governments units (LGUs) with the implementation of the Supreme Court ruling on the Mandanas-Garcia petition, major shifts in Philippine governance can be expected in 2022. Increased resources for LGUs reduce the fiscal space for national government efforts to jumpstart the economy from the pandemic-induced slump. How then does the President's budget for 2022 plan to address the many urgent needs, such as providing social safety nets to minimize economic and human capital scarring and sustaining strategic infrastructure investments to spur economic growth? This study provides an overall perspective of the budget and examines how the 2022 National Expenditure Program (NEP), also called the President's budget, embodies the priorities identified by the national government. In terms of the continued COVID-19 management and human capital investment and consistent with declared priorities in the National Budget Call, spending on health and social protection is prioritized. With the implementation of the Supreme Court ruling, the national tax allotment (formerly known as the internal revenue allotment) is 38 percent higher in 2022, almost 20 percent of the proposed budget. Despite greater devolution, the budget still includes some LGU assistance programs, such as the new growth equity fund (GEF) targeted at poorer LGUs. Institutional reforms, such as the Medium-Term Information and Communications Technology Harmonization Initiative (MITHI) and convergence programs, are also present to help reshape and improve the delivery of public goods and services through investments in information and communications technology. However, the 2022 NEP is projected to increase the debt-to-GDP ratio to 60.8 percent, the highest since 2006. To benefit from increased borrowing, fiscal authorities need to be both strategic and prudent in spending. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: National Expenditure Program; Mandanas ruling; expansionary fiscal policy;COVID-19 pandemic; recover as one; 2022 budget analysis
    Date: 2021
  40. By: Ly Dai Hung (Vietnam Institute of Economics, Hanoi, Vietnam)
    Abstract: The article analyzes the economic development process of Nghe An province in relation to provinces in the North Central sub-region and to the whole country, based on economic fundamentals withn an emphasize on three strategic breakthroughs, including institutions, human resources and infrastructure. Nghe An province has achieved significant results in economic development associated with stability in income distribution. The province is gradually narrowing the income gap compared to the national average, but it is widening the income gap with the North Central sub-region and the central cities. Focusing on investing in the human resources and attracting foreign direct investment should become policy priorities in the coming time.
    Keywords: Income Gap,Nghe An,Strategic Breakthroughs,Foreign Direct Investment
    Date: 2022–10
  41. By: Maddawin, Ricxie B.; Diokno-Sicat, Charlotte Justine; Castillo, Angel Faye G.
    Abstract: Executive Order No. 27 Series of 2017 mandated all government agencies and instrumentalities, including all local government units (LGUs), to implement the Philippine Development Plan (PDP) and Public Investment Program (PIP) for the period 2017-2022. This triggered the PDP localization efforts of the Department of the Interior and Local Government and National Economic Development Authority in 2017. Aimed at aligning local development plans with the PDP, the exercise produced results matrices (RMs) for provinces and LGUs in the National Capital Region (NCR). But even beyond the alignment of development plans, the RMs show how LGUs (1) contribute to national development through their programs and projects and (2) inform oversight agencies of their priorities and needs. This study reviews how recent efforts to ensure the alignment of provincial/NCR LGUs to national development goals fared and how effective were recent PDP and PDP results matrices (PDP/RM) localization efforts. This study used a mixed-methods approach, sequential parallel analysis, and process evaluation, focusing primarily on summarizing and evaluating the drafted RMs and engaging in key informant interviews to gather perceptions on the conduct of the PDP localization efforts and suggestions for improvements. The summarized LGU RMs of the report show how these are a powerful tool that could help identify priority areas, monitor progress, collectively inform strategic investments, and surface areas that LGUs may need oversight support from the national government. The PDP localization exercise was also well received by interviewed local officials, helping them to recognize their contribution to national development. Moving forward, there is a need to strengthen information and education campaigns, strengthen human resource capacities, and make indicator data more available. Finally, this exercise should be included in the broader thrust of being able to link plans and investment programs to outputs and their contribution to national outcomes. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: public investment program;local governance; Subnational Governance; local government unit; local monitoring and evaluation; local planning; local budgeting; local outputs; local development outcomes
    Date: 2021
  42. By: Azevedo,Joao Pedro Wagner De
    Abstract: COVID-19-related school closures are pushing countries off track from achieving their learning goals. This paper builds on the concept of learning poverty and draws on axiomatic properties from social choice literature to propose and motivate a distribution-sensitive measures of learning poverty. Numerical, empirical, and practical reasons for the relevance and usefulness of these complementary inequality sensitive aggregations for simulating the effects of COVID-19 are presented. In a post-COVID-19 scenario of no remediation and low mitigation effectiveness for the effects of school closures, the simulations show that learning poverty increases from 53 to 63 percent. Most of this increase seems to occur in lower-middle-income and upper-middle-income countries, especially in East Asia and the Pacific, Latin America, and South Asia. The countries that had the highest levels of learning poverty before COVID-19 (predominantly in Africa and the low-income country group) might have the smallest absolute and relative increases in learning poverty, reflecting how great the learning crisis was in those countries before the pandemic. Measures of learning poverty and learning deprivation sensitive to changes in distribution, such as gap and severity measures, show differences in learning loss regional rankings. Africa stands to lose the most. Countries with higher inequality among the learning poor, as captured by the proposed learning poverty severity measure, would need far greater adaptability to respond to broader differences in student needs.
    Keywords: null
    Date: 2020–10–21
  43. By: Tabuga, Aubrey D.; Arboneda, Arkin; Vargas, Anna Rita P.
    Abstract: This study aims to understand the nuances and dynamics in the labor market outcomes of 4Ps beneficiaries. The 4Ps or Pantawid Pamilyang Pilipino Program is the Philippine government’s key social assistance program with the purpose of breaking inter-generational poverty by incentivizing human capital investment. To help achieve human capital development, accessing sustainable livelihood is crucial. Using the survey data sets collected and used in previously conducted studies on the 4Ps program, this study formed a panel of households and members to examine the changes or the lack of changes in labor status of individuals across the years. The idea is to draw insights that can be utilized in the design or redesign and implementation of related programs such as the Sustainable Livelihood Program for improving the labor market outcomes of 4Ps beneficiaries. The study finds a wide gender gap in terms of labor market status, with males being better off in having a stable work status. Meanwhile, majority of females exclude themselves from the labor force to do unpaid work in the form of household and family duties. The study highlights the importance of the Sustainable Livelihood Program, which was found to mostly benefit women, and the need for sustainable and fully-packaged livelihood programs that target young women and young mothers in poorer communities. For women who engage in economic activities, the study found that they usually remain in the same industry within the period of interest. Meanwhile, male adult members of 4Ps households appear to be more flexible in the way they participate in the labor force. While these results reflect women’s lack of flexibility because of their socially dictated roles, these show important aspects for possible interventions for women in 4Ps households. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: Pantawid Pamilyang Pilipino Program; labor market outcomes; labor dynamics
    Date: 2021
  44. By: Hannah Van Borm; Louis Lippens; Stijn Baert (-)
    Abstract: Over the last decades, researchers have found compelling evidence of hiring discrimination toward ethnic minorities based on field experiments using fictitious job applications. Despite increasing efforts to discover why ethnic minorities experience hiring penalties, the academic world has not yet found a satisfying answer. With this study, we aim to close this gap in the literature by conducting a state-of-the-art scenario experiment with genuine American recruiters. In the experiment, we ask recruiters to assess fictitious job applicants of variousrace-ethnicities but consistent social class. The applicants are rated on 22 statements related to the dominant explanations for ethnic discrimination in hiring that the models of taste-based and statistical discrimination have offered. We find that different race-ethnicity groups are evaluated rather similarly, except for Asian Americans, who are perceived to have better intellectual abilities and organizational skills and to be more ambitious, motivated, efficient, and open. These results suggest that the hiring discrimination found in previous experimental research might be overestimated because part of the reported hiring penalty may be attributed to aspects other than race-ethnicity.
    Keywords: hiring, ethnic discrimination, statistical discrimination, social class, stigma
    JEL: J71 J15 J24
    Date: 2022–11
  45. By: Albert, Jose Ramon G.; Monje, Jennifer D.; Muñoz, Mika S.
    Abstract: Since 2011, the government, through the Department of Social Welfare and Development (DSWD), has implemented the Social Pension (SocPen) Program which gives a noncontributory monthly pension of PHP 500 to qualified seniors, i.e., indigent Filipinos aged 60 and above. Initially, the DSWD had sought to provide assistance to 1.2 million indigent senior citizens identified by the Listahanan, on a PHP 8.71 billion budget allocation. Insufficient funds had prompted the department to realistically target only 138,960 seniors at program inception, though the actual served were 140,576 senior citizens with an actual budget of PHP 843.5million. Budget allocation for the SocPen has increased exponentially since program inception to over PHP 23.4 billion in 2021. With this 2,540 percent jump of a budget in a span of 10 years, the 2021 physical target has also increased to 3,835,066 senior citizens, a 2,634 percent increase. The 2020 physical target for SocPen is nearly two-fifths (37.8%) of senior citizens. This study describes the SocPen’s design and current implementation processes, especially in the wake of Covid-19, and attempts to increase the financial assistance and coverage of beneficiaries. The examination will also look into the recent experience of DSWD with the Social Amelioration program, which included cash transfers for SocPen beneficiaries and other vulnerable populations. While overall the program is well-intentioned and is welcomed by seniors, and the SocPen has undergone some changes in response to criticisms of several external evaluations, implementation deficits persist. These need to be addressed, especially as the SocPen is currently one of the largest social protection programs of the government, and has the potential to significantly impact the lives of elderly indigent beneficiaries. Comments to this paper are welcome within 60 days from the date of posting. Email
    Keywords: process evaluation; social pension; senior citizens; indigent; SocPen; vulnerable population; social protection
    Date: 2021
  46. By: Stefan Pollinger (ECON - Département d'économie (Sciences Po) - Sciences Po - Sciences Po - CNRS - Centre National de la Recherche Scientifique)
    Abstract: This paper studies how to optimally combine contact tracing and social distancing to halt the transmission of a new infectious disease. It finds that the crucial tradeoff is between the intensity of the cost from control measures and health outcomes and the time the population needs to endure them. The optimum is a simple function of observables, which eases its implementation. Sufficiently stringent social distancing ensures consistently decreasing case numbers, such that contact tracing can gradually take over the control of the disease. The total cost of suppression depends critically on the efficiency of contact tracing since it determines how fast the policymaker can relax economic restrictions. A calibration to the COVID-19 pandemic in Italy and Singapore illustrates the theoretical results.
    Keywords: COVID-19,suppression strategies,contact tracing,Zero COVID
    Date: 2021–12–30
  47. By: Prof. Iwan Jaya Azis (Bank Indonesia); Arnita Rishanty (Bank Indonesia); Canyon Keanu Can
    Date: 2021
  48. By: Dervisevic,Ervin; Garz,Seth Aaron Levine; Mannava,Aneesh; Perova,Elizaveta
    Abstract: This paper analyzes how local leaders make targeting decisions in the context of a public workfare program in the Lao People~^!!^s Democratic Republic. The study finds that village heads are progressive in their targeting, prioritizing the poorer households in their villages. The study benchmarks this decentralized selection to the common alternative proxy means test method and finds that village heads are at least as progressive as a proxy means test method approach. To illuminate what poverty-related information village heads could plausibly be incorporating into their internal selection decisions, the study designs and administers a set of exercises for village heads to rank villagers on land ownership, access to nutrition, and experience with recent shocks -- indicators that are likely to differ in their observability to village heads and could plausibly be associated with need for public support. The study finds that village heads~^!!^ perceptions, as revealed through the ranking exercise, differ substantially from actual levels reported in surveys of the villagers themselves. The study then uses a data-driven machine learning approach to identify the predictors of village head selection. It concludes that village heads rely on a combination of easily observable household characteristics, forming a holistic impression of household welfare, rather than specific indicators like actual land ownership, nutrition, or economic shocks.
    Keywords: Inequality,Nutrition,Urban Governance and Management,Municipal Management and Reform,Urban Housing,Urban Housing and Land Settlements,Services&Transfers to Poor,Economic Assistance,Access of Poor to Social Services,Disability,Roads&Highways
    Date: 2020–11–03
  49. By: International Monetary Fund
    Abstract: This technical assistance (TA) mission on Government Finance Statistics (GFS) was conducted remotely during February 2022-April 2022. The main purpose of the mission was to review the progress made by the authorities in implementing previous TA recommendations and provide further support to strengthen the compilation and dissemination of GFS in line with international standards set out in the Government Finance Statistics Manual 2014 (GFSM 2014).
    Keywords: Government Finance Statistics Public Financial Management (PFM) Budget Planning and Preparation Expenditure Financial Statements
    Date: 2022–10–25
  50. By: Jardine A Husman (Bank Indonesia); Ali Sakti (Bank Indonesia)
    Abstract: Agriculture has not yet impressed the formal financial institutions as the focal distribution of funds. In the meantime, agriculture has survived the pandemic and has become one of the sectors contributing to positive national economic growth. Unlike its conventional counterparty, who merely acts as a lender or creditor, the Islamic financial institutions presumably grab the opportunity to be farmers' partners, beyond being simply the creditor, due to regulation advantage. Therefore, this research attempts to propose practical models of Islamic modes of financing for the agricultural sector. We conduct qualitative and quantitative approaches from both supply and demand sides. We gathered data from the literature, focus group discussions, questionnaires through surveys and in-depth interviews. A total of 51 works of literature, ten experts from the supply side, seven experts from the demand side, 463 microscale farmer respondents, and six experts for in-depth judgment have been studied, interviewed, and surveyed for being analyzed using content analysis, cross-tabulation, and regression per agricultural subsector of food crops, horticulture, plantation (estate crops), fisheries, livestock, and forestry. The result emphasizes that the off-takers take a strategic role as the market guarantor. Each sector is proven to have a significantly different nature of Islamic institution selection, including social and commercial institutions, the nature of Islamic financing modes, and the financial need-stage in production. Salam, or forward transaction, is expected to prom Islamic financial institutions distributing their funds to farmers. We recommend further supportive regulation to attract the financial institution.
    Keywords: agriculture, Islamic financing, off-taker, salam, supply-demand side
    JEL: D64 G21 G23 O13 Q14
    Date: 2021
  51. By: Ly Dai Hung (Vietnam Institute of Economics, Hanoi, Vietnam)
    Abstract: The paper analyses the sustainable development and its key features in economic ideology in Germany. Currently, the Germany economy attains the week sustainability and in process to strong sustainability. The development of this country can be described as "Uniform Sustainability" as the sustainability is uniformly distributed over territory space. This pathway is based on some key economic ideology in sustainable development, including the balance of economic-social-environmental aspect; bottom-up fund raising, quite independent from State budget; and localization of sustainability objectives.
    Keywords: Economic Ideology,Sustainable Development,Germany
    Date: 2022–09–10
  52. By: Michele Fioretti (ECON - Département d'économie (Sciences Po) - Sciences Po - Sciences Po - CNRS - Centre National de la Recherche Scientifique); Alessandro Iaria (University of Bristol [Bristol]); Aljoscha Janssen (SIS - Singapore Management University); Robert K Perrons (QUT - Queensland University of Technology [Brisbane]); Clément Mazet-Sonilhac (Centre de recherche de la Banque de France - Banque de France, ECON - Département d'économie (Sciences Po) - Sciences Po - Sciences Po - CNRS - Centre National de la Recherche Scientifique)
    Abstract: We investigate the effect of technology adoption on competition by leveraging a unique dataset on production, costs, and asset characteristics for North Sea upstream oil & gas companies. Relying on heterogeneity in the geological suitability of fields and a landmark decision of the Norwegian Supreme Court that increased the returns of capital investment in Norway relative to the UK, we show that technology adoption increases market concentration. Firms with prior technology-specific know-how specialize more in fields suitable for the same technology but also invest more in high-risk-high-return fields (e.g., ultra-deep recovery), diversifying their technology portfolio and ultimately gaining larger shares of the North Sea market. Our analyses illustrate how technology adoption can lead to market concentration both directly through specialization and indirectly via experimentation.
    Keywords: Market structure,Competition,Specialization,Experimentation,Upstream oil and gas markets,North Sea,Innovation,Adoption
    Date: 2022–05–24
  53. By: Mangal Goswami (South East Asian Central Banks (SEACEN) Research and Training Centre); Victor Pontines (South East Asian Central Banks (SEACEN) Research and Training Centre); Yassier Mohammed (South East Asian Central Banks (SEACEN) Research and Training Centre)
    Abstract: Using high-frequency, proprietary data on daily net non-resident portfolio flows to emerging markets, our study finds in the time domain connectedness framework that, to varying degrees, there is less interconnectedness in non-resident debt and equity portfolio flows to our sample of emerging market (EM) economies during normal times. In contrast, during times of uncertainty and stress, the interconnectedness of portfolio flows intensifies. This indicates the notion of asymmetry in the spillovers of these portfolio flows during periods of stress relative to normal times. More importantly, over most of the sample period, we find that shocks in the broad EM US dollar exchange rate can have important effects on these interconnections where, based on estimates of the net directional spillover index, the broad EM US dollar exchange rate is a net transmitter of shocks to debt and equity portfolio flows of the EM economies. Using the more recent frequency domain approach to connectedness, we find that the broad EM US dollar exchange rate is a net transmitter of shocks to the EM economies' debt and equity flows with the impact of such shocks hitting portfolio capital flows within at least a week to 100 days. In addition to the importance of pre-emptive prudential policy levers, efforts toward better monitoring of risks can contribute to creditors and investors in EM economies becoming more resilient to global shocks, particularly, during times of US dollar appreciations when these portfolio flows tend to reverse.
    Keywords: portfolio debt flows, portfolio equity flows, connectedness, directional spillover
    JEL: C58 F31 F41 G15
    Date: 2022–10
  54. By: Ferry Syarifuddin (Bank Indonesia); Toni Bakhtiar
    Abstract: With their various motivations, many central banks still develop CBDC to explore its potentials and the drawback of implementation. This research examines the macroeconomic and monetary policy consequences, then determine optimal CBDC design to support monetary policy strategy. First, this research wants to develop DSGE model to quantify macroeconomic and monetary policy consequences in implementing CBDC. The DSGE model is consist of seven sectors namely households, retail firms, wholesale firms, capital producing firms, banks, central bank, and government. Shock generator that used in this model is technology shock and the shock on Taylor rule of interest rate. Second, as we know the outcome of the consequences, we continue to determine optimal CBDC design using SWOT with purposive sampling meta-analysis approach and its implementation strategies. According to the simulation, CBDC could effectively maintain inflation through CBDC rate. Meanwhile, optimal CBDC design that could support monetary policy is retail and wholesale coverage, interest bearing (wholesale) and non-interest bearing (retail) remuneration, account-based and tokenbased payment system, traceable degree of anonymity, hybrid architecture, DLT ledger system, and domestic and cross-border scope.
    Keywords: CBDC, Optimal design, DSGE, SWOT, Monetary policy
    JEL: E42 E44 E52 E58 G21
    Date: 2021

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