Collaborating for Impact: DECRG and the

Europe and Central Asia Region Research Department (DECRG)

July 2012 – November 2013

2

Slide Topic

3 Cross-Support Provided in FY2013

4 Support to Regional Flagships and Thought Pieces

5-10 Project Cross-Support Highlights

11-13 Support in FY2014 and Beyond

14-22 Appendix

~ Complete List of Projects Supported by the Research Department

~ List of Publications Related to ECA with DECRG Contributions

~ About the Research Department

Table of Contents

3

The research department provided ECA 188 staff

weeks of cross-support in Fiscal Year 2013

• Total of 188 staff weeks*

• 59% of support

concentrated in 5 projects

• 34 research staff provided

support

• ECA received the 2nd

most research support of

any of the regions

Poverty Mapping of New

Members in the European Union

(48 Weeks)

Kyrgyz Republic Health Results Innovation Trust Fund Impact Evaluation

(33 Weeks)

Climate Change-Green Growth Knowledge and

Learning Program (12 Weeks)

Horticulture Policy Note for Uzbekistan

(11 Weeks)

Serbia Survey of Income and Living Conditions

(7 Weeks)

Weeks Provided by DECRG Researchers, Five Largest Projects in FY13

82

114

131

134

188

272

0 100 200 300

MENA

LAC

EAP

SAR

ECA

AFR

Weeks of Cross-support Provided, by Region

* This number does not include support provided by the

impact evaluation unit of DECRG (DIME)

4

Contributions to Regional Flagships and Thought

Pieces

Growing Green: The Economic Benefits

of Climate Action

• Coauthored by Uwe Deichmann (Environment and Energy Team, DECRG) and Fan Zhang (ECSEG)

• Climate Action is one of the three pillars of ECA’s regional strategy

• Part of a series of three reports (along with Balancing Act: Cutting Energy Subsidies and Energy Efficiency) to holistically address the issue of climate in the region

Eurasian Cities: New Realities Along

the Silk Road

• Authored by a team led by Souleymane Coulibaly (ECA), with contributions from Uwe Deichmann and Ioannis Kessides (Environment and Energy Team, DECRG)

• The breakup of the Soviet Union, the emergence of regional powers, and the return of the market all require rethinking cities along the Silk Road.

• The publication addresses the five issues policy makers need to address: rethinking, planning, connecting, greening, and financing.

5

Contributions to Project Delivery: Macedonia Green

Growth and Climate Change Analytic Program

DECRG provided:

• 15 weeks of cross support over the life

of the project (6 weeks in FY2013)

• Govinda Timilsina, Sr. Economist on

the DECRG Environment and Energy

team, led the energy sector work

• DECRG helped design the study

differently from other low-carbon

studies: all sectoral work results were

linked to each other. Even within a

sector like energy, activities were

sequenced in a way that internal

consistency was maintained, thereby

improving the quality of the analysis.

• This trust fund-financed ESW developed a strategy

for Macedonia that is expected to help the country

move toward a cleaner and low-carbon economic

development path, thereby preparing itself to join the

European Union.

• Winner of an award in the category of sustainability

as part of a competition organized during the PREM

Shared Prosperity Days

Presentation of project results at the European Union Delegation with

representatives of Gov’t of Macedonia, USAID and others in November 2012.

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Contributions to a Fee for Service Project: Poverty

Mapping in the European Union

Drawing on the research department’s extensive experience in developing poverty maps, DECRG:

• Has provided 48 weeks of staff time in FY2013, led by Roy Van der Weide (Economist, Poverty & Inequality team)

• Is responsible for: (1) determining which small area estimation methodology to use; and (2) working with counterparts and consultants to develop the poverty maps for ten new EU member states

Outcomes:

• Mamta Murthi (Country Director, Central Europe and the Baltics) presented results to the European Commission (EC) in October that were well received

• The EC and EU member countries will use the poverty maps to inform the allocation of EU structural funds in the 2014-2020 budget cycle

• Aimed at assisting the allocation of EU- and

national-level resources for poverty reduction

• World Bank responsible for producing poverty

maps for 10 new EU member states

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Contributions to Project Delivery: Horticulture

Policy Note for Uzbekistan

So far DECRG has provided:

• 10 weeks of staff time provided in

FY2013

• Task Team led by Donald Larson, a

senior researcher on the Agriculture

and Rural Development team (DECRG)

• Delivered a Policy Note (Report No:

ACS4703) that:

• Provides policy recommendations

for the strategic policy document,

Uzbekistan’s Vision 2030 (in draft)

• Formed the foundation for a planned

loan, currently at the concept stage

(Project information document

PIDC1112)

• Uzbekistan’s horticulture subsector benefitted from a policy

experiment that granted greater decision making autonomy to

farmers.

• The note explores the consequences of the policy, chronicles

remaining investment and policy constraints for the sub-

sector, suggests solutions by drawing on experiences from

other countries, and suggests how the framework might be

extended to other subsectors to promote pro-poor growth

• The project draws on the research department’s body of

global knowledge about agricultural policies and incentives,

and approaches that help countries benefit from a closer

integration with the global economy.

The European Commission approached

the World Bank to:

1. Assess the level of implementation and

impacts of the Customs Union

2. Make forward-looking, solution-oriented

recommendations for its improvement.

8

Contributions to Project Delivery: Evaluating the

Impact of Turkey’s Customs Union with the EU

Researcher Area of Support

Will Martin, Research Manager,

Agriculture and Rural Development

Assessed issues for agriculture and proposed improvements in

agricultural trade policy and in related areas such as promoting

improvements in Turkish agricultural productivity growth

Donald Larson, Senior Economist,

Agriculture and Rural Development

Assessed issues for agriculture and proposed improvements in

agricultural trade policy and in related areas such as promoting

improvements in Turkish agricultural productivity growth

Chad Bown, Senior Economist, Trade

and International Integration

Analyzed the impact of discrepancies between the EU and

Turkey in the implementation of safeguards/anti-dumping.

Caglar Ozden, Senior Economist,

Trade and International Integration

Conducted a firm level survey to identify the visa restrictions on

trade and economic integration. Recommended appropriate

policy changes.

Ana Fernandes, Senior Economist,

Trade and International Integration

Firm-level impacts of FTAs (export patterns of EU-owned

foreign firms in Turkey)

So far DECRG has provided:

• 19 staff weeks between July 2013 and October

2014

• Cross-cutting expertise of five DECRG staff,

who worked closely with the ECA and PRMTR

teams in collecting and analyzing underlying

data, preparing policy recommendations, and

participating in missions and briefings.

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Contributions to Project Delivery: Impact Evaluation

of Kyrgyz Performance-Based Payments

DECRG provided:

• 33 weeks of cross support in FY2013.

Four weeks provided in FY2014

through end October.

• Jed Friedman, Sr. Economist on the

the DECRG Poverty and Inequality

team, is serving as prinicipal

investigator.

• DECRG staff have closely collaborated

with ECA colleagues to design the

evaluation and to develop and

implement innovative measures of the

quality of maternal and child health

care, with the aim of shedding light on

the mechanisms behind the impact of a

performance-based payment scheme.

Currently working on a baseline report

that summarizes and analyzes the

baseline IE data.

• Maternal and child mortality in the Kyrgyz Republic

remain high, with infant mortality rates of 34 per

1,000 live births in 2010.

• This impact evaluation aims to build evidence on the

impact and cost-effectiveness of quality-of-care

performance-based payments to Kyrgyz hospitals to

help the Ministry of Health determine whether the

model should be scaled up to the entire country.

Field visit by the IE team to a Kyrgyz hospital. A midwife demonstrates

her newborn resuscitation skills on an anatomical model.

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DIME is conducting impact evaluations focused on ECA’s

strategic pillars of competitiveness and social inclusion

ECA Pillar 1: Competitiveness

• Georgia: Tax Reform

What is the impact of simplification of the tax regime for

SMEs on the firm entry and tax compliance?

• Romania: The Impact of Insolvency Law

Information on Borrower Behavior

What is the impact of new out-of-court debt restructuring

guidelines on at-risk borrowers' loan repayments and loan

applications?

• Romania: Business Environment/SME support

Under discussion

ECA Pillar 2: Social Inclusion

• Azerbaijan: Second Rural Investment Project

How have rural infrastructure investments effected access

to and use of rural infrastructure; access to markets and

basic social services; improved economic opportunities for

rural households; social capital strengthening?

• Romania: Health

Under discussion

• Romania: Labor/Social Protection

Under discussion

The Development Impact Evaluation Initiative’s (DIME) portfolio includes:

• 1 completed evaluation (Georgia)

• 2 underway (Romania and Azerbaijan)

• 3 under discussion (Romania)

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In FY2014 research support continues for existing

projects and is ramping up on newer projects…

• 33 staff weeks provided through October 2013

• Continued support to projects from FY2013, including:

• EU Poverty Mapping

• Horticulture Development in Uzbekistan

• Kyrgyz Republic Health Results Innovation Trust Fund Impact Evaluation

• Turkey Customs Union

• Support to new projects in FY2014, including:

• Trade and Customs: Serbia, Albania and FYROM

Evaluate impact of customs reform on trade and time at the border and value improvements in border crossing times for

countries in the region. (Note: Cross-support provided via joint IFC-WB Investment Climate department)

• Geography, Trade and Smart Specialization in Croatia

Development of a gravity model of trade for Croatia to measure the correlation of the gravity parameters with regional

chracteristics

• Georgia Irrigation and Land Market Development Project

Increase agricultural productivity in selected project areas.

• Romania Climate Change Reimbursable Advisory Services

Help the client’s understanding of climate change and green growth, form and/or update national strategies and policies,

build the analytic and implementation capacity of key implementing agencies, and assist in policy implementation.

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…and the forward-looking strategic objectives of

ECA and the research department are aligned.

• DECRG is supporting a stream of research on Productivity, Competitiveness, and Job Creation, covering issues of entrepreneurship, the impact of regulatory reforms, and the role of active government policies in supporting firms.

ECA Pillar 1: Competitiveness

• DECRG has a long-standing program of research around issues of the science of delivery of health and education. Additional facets of social inclusion are now receiving new attention, e.g. the recently launched Global Financial Development Report focused on financial inclusion.

ECA Pillar 2:

Social Inclusion

• DECRG supports a research program around Environment and Energy that focuses climate change, including impacts, adaptation, migration, and international responses. Our program of research on measuring poverty and inequality is adding a new emphasis on examining the impact of climate change on the prospects for ending extreme poverty by 2030.

ECA Pillar 3:

Climate Action

Questions or ideas for new projects on which the

research department and ECA can work together?

Send us an email at research@worldbank.org or get in touch with our

management team (see slide 20 for a complete list).

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Appendix: ~Complete List of Projects Supported in FY13

~List of Publications Related to ECA with DECRG Contributions

~About the Research Department

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Complete List of Projects Supported in FY13

Title Project Code DECRG Staff Weeks

Bulgaria Power Sector Diagnostic Assessment TA-P145623-TAS-BB Esteban Ferro 0.2

Climate Change-Green Growth Knowledge and Learning Program KP-P144146-KMPD-BB Uwe Deichmann 12.1

COMO - MACRO MONITORING - TR - ECSPE 2028368 Luis Serven 0.5

Economic Mobility and Labor Markets in Europe and Central Asia TA-P127607-TAS-TF010534 Hai-Anh H. Dang 2.9

Ethnicity and Development Outcomes in ECA EW-P113647-ESW-BB Michael Woolcock 0.6

Eurasia Growth/Diversified Development EW-P129995-ESW-BB Russell Henry Hillberry 1.0

Eurasia Growth/Diversified Development EW-P129995-ESW-BB William F. Maloney 0.2

Europe and Central Asia Aging EW-P143978-ESW-BB John T. Giles 3.3

FBS Romania Spatial and Urban Strategy TA-P143087-TAS-BBFBS Brian Blankespoor 6.9

FBS Romania Spatial and Urban Strategy TA-P143087-TAS-BBFBS Roy Van der Weide 0.4

FBS-09-FY13 LV Towards Enhanced Competitiveness TA-P132802-TAS-BB William F. Maloney 0.2

FBS-19-FY12 Fee-Based Service Program on Innovation TA-P131556-TAS-BBFBS Eva Vivalt 2.5

Fostering Entrepreneurship in the Southern Caucases EW-P130171-ESW-BB Leora Klapper 2.0

Geographic Immobility in the Europe and Central Asia RF-P131466-RESE-BBRSB Caglar Ozden 2.0

Green Growth and Climate Change Analytic Program EW-P123048-ESW-BB Govinda R. Timilsina 6.5

Horticulture Policy Note for Uzbekistan EW-P129253-ESW-BB Donald F. Larson 10.7

Integrating distributional analysis EW-P145041-ESW-BB Calogero Carletto 1.1

Integrating distributional analysis EW-P145041-ESW-BB Talip Kilic 1.0

Jobs Regional Report EW-P130997-ESW-BB William F. Maloney 0.2

Kosovo LFS Support TA-P132962-TAS-BB Diane E. Steele 0.6

Kyrgyz Railways Trade Link TA-P131555-TAS-BB Brian Blankespoor 3.0

Kyrgyz Republic HRITF Impact Evaluation IE-P126917-IMPE-TF010423 Eeshani Kandpal 29.1

Kyrgyz Republic HRITF Impact Evaluation IE-P126917-IMPE-TF010423 Jed Friedman 3.6

Macro Monitoring Montenegro 2054669 Ioannis N. Kessides 1.0

Montenegro CEM Growth and Competitiveness EW-P127778-ESW-BB Ioannis N. Kessides 4.8

Post Crisis Banking Sector Issues and Policies in ECA EW-P096847-ESW-BB Maria Soledad Martinez Peria 2.0

Poverty Analysis Program EW-P101613-ESW-BB Brian Blankespoor 0.9

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Complete List of Projects Supported in FY13

(continued…) Title Project Code DECRG Staff Weeks

Poverty Analysis Program EW-P101613-ESW-BB Hai-Anh H. Dang 0.6

Poverty Analysis Support for Tajikistan and Kyrgyz Republic GP-P122067-GAPT-TF098743 Brian Blankespoor 4.0

Poverty Analysis Support for Tajikistan and Kyrgyz Republic GP-P122067-GAPT-TF098743 Michael M. Lokshin 2.6

Poverty Mapping of New Members in EU TA-P130960-TAS-TF011966 Qinghua Zhao 17.9

Poverty Mapping of New Members in EU TA-P130960-TAS-TF011966 Roy Van der Weide 16.8

Poverty Mapping of New Members in EU TA-P130960-TAS-TF011966 Thomas Pave Sohnesen 12.8

Poverty Mapping of New Members in EU TA-P130960-TAS-TF011966 Hai-Anh H. Dang 1.0

Programmatic Roma Inclusion AAA TA-P127280-TAS-TF013779 Kathleen G. Beegle 0.2

Programmatic Roma Inclusion AAA TA-P127280-TAS-TF013779 Talip Kilic 0.2

Public Finance Review EW-P127662-ESW-BB Roberto N. Fattal Jaef 2.0

Regional work EW-P145042-ESW-BB Diane E. Steele 0.3

Rural Investment Climate Assessment (RICA) in Tajikistan EW-P125867-ESW-BB Forhad J. Shilpi 6.2

Rural Investment Climate Assessment (RICA) in Tajikistan EW-P125867-ESW-BB Brian Blankespoor 0.2

Rural Land Titling & Cadastre Development Project PE-P035777-SPN-BB Klaus W. Deininger 0.9

Second Science & Technology Project PE-P127308-LEN-BB Eva Vivalt 0.1

SILC Survey RE-P124355-LEN-TF012266 Diane E. Steele 4.5

SILC Survey RE-P124355-LEN-TF012266 Talip Kilic 3.0

Support for Sub-national governments in Poland TA-P127443-TAS-BB Sergio L. Schmukler 0.1

Tajikistan HRITF Impact Evaluation IE-P128567-IMPE-TF011050 Damien B. C. M. de Walque 1.3

Tools for Conflict and Fragility Sensitive Approaches in Central

Asia RE-P132630-LEN-BB Michael Woolcock 0.4

Turkey Customs Union EW-P144290-ESW-BB William J. Martin 2.2

Turkey Customs Union EW-P144290-ESW-BB Ana Margarida Fernandes 2.2

Turkey Customs Union EW-P144290-ESW-BB Donald F. Larson 1.2

Turkey Customs Union EW-P144290-ESW-BB Chad P. Bown 1.0

Turkey Trade CEM: Upgrading Turkey's Exports EW-P129350-ESW-BB Donald F. Larson 2.1

Turkey Trade CEM: Upgrading Turkey's Exports EW-P129350-ESW-BB Chad P. Bown 1.0

Ukraine Agriculture and Land Monitoring TA TA-P133393-TAS-BB Donald F. Larson 0.2

Uzbekistan Vision 2030 TA-P143449-TAS-BB Donald F. Larson 1.6

Western Balkans Poverty Assessment TA-P143093-TAS-BB Thomas Pave Sohnesen 2.0

Note: This list reflects publications released between July 1, 2012 and November 30, 2013 with at least one DECRG staff member

listed as an author.

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List of Publications Related to ECA with

DECRG Contributions

Title Authors Region/Country Date

Demand collapse or credit crunch to firms ? evidence from the

world bank's financial crisis survey in Eastern Europe

(English)

Nguyen, Ha; Qian, Rong Europe OCT 01, 2013

Dissecting foreign bank lending behavior during the 2008-

2009 crisis (English)

Choi, Moon Jung; Gutierrez, Eva; Peria, Maria

Soledad Martinez The World Region OCT 01, 2013

Russian Federation - National and regional trends in

regulatory burden and corruption (Russian)

Kisunko, Gregory; Knack, Stephen; Islam, Roumeen;

Ponamariov, Branco Russian Federation SEP 05, 2013

Are mega-farms the future of global agriculture? : exploring

the farm size-productivity relationship for large commercial

farms in Ukraine (English)

Deininger, Klaus; Nizalov, Denys; Singh, Sudhir K. Ukraine AUG 15, 2013

Georgia rising : sustaining rapid economic growth - country

economic memorandum (English)

Anderson, Kym; Tiongson, Erwin; Kvivlidze, Zviad;

Varela, Gonzalo; Wagle, Swarnim; Wada, Tomoko;

Matin, Kazi; Sundaram, Ramya; Athukorala,

Premachandra; Reis, Jose Guilherme; Nekaien-

Nowrouz, Zakia; Namicheishvili, Tamuna; Loayza,

Norman; Khan, Faruk; Karmali, Nadeem

Georgia JUL 01, 2013

Micro dynamics of Turkey's export boom in the 2000s

(English) Fernandes, Ana M.; Cebeci, Tolga Turkey MAY 01, 2013

Growing green : the economic benefits of climate action

(English) Deichmann, Uwe; Zhang, Fan

Europe and Central

Asia APR 15, 2013

Kyrgyz Republic - Market accessibility and regional maps

(English) Blankespoor, Brian

Kyrgyz Republic,Europe

and Central Asia APR 01, 2013

The Global Findex database : financial inclusion in Europe

and Central Asia (English)

Demirguc-Kunt, Asli; Klapper, Leora; Randall,

Douglas

Europe and Central

Asia APR 01, 2013

Russian Federation - National and regional trends in

regulatory burden and corruption (English)

Kisunko, Gregory; Knack, Stephen; Islam, Roumeen;

Ponamariov, Branco Russian Federation FEB 24, 2013

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List of Publications Related to ECA with

DECRG Contributions (continued…)

Title Authors Region/Country Date

Trade policy flexibilities and Turkey : tariffs, antidumping,

safeguards, and WTO dispute settlement (English) Bown, Chad P. Turkey JAN 01, 2013

Growing green : the economic benefits of climate action

(English) Deichmann, Uwe; Zhang, Fan

Europe and Central

Asia JAN 01, 2013

Bank ownership and lending patterns during the 2008-2009

financial crisis : evidence from Latin America and Eastern

Europe (English)

Peria, Maria Soledad Martinez; Cull, Robert Latin America,Europe SEP 01, 2012

Health equity and financial protection datasheet : Europe and

Central Asia (English)

Buisman, Leander; Wagstaff, Adam; Prencipe, Leah;

Bredenkamp, Caryn; Klingen, Nicole; Rohr, Devon

Europe and Central

Asia AUG 01, 2012

Eurasian cities : new realities along the silk road (English)

Heroiu, Marcel Ionescu; Kunaka, Charles;

Deichmann, Uwe; Dillinger, William R.; Kessides,

Ioannis N.; Saslavsky, Daniel; Coulibaly, Souleymane

Europe and Central

Asia JUL 09, 2012

• Original research on important development issues; both issues

faced now and those likely to emerge in the future.

• to achieve the overarching goals of ending poverty and boosting

shared prosperity

• Inform and influence policy debates, both globally and within specific

countries

• Connect key stakeholders:

• data producers connected with data users; data geared to addressing

the most important development issues

• development practitioners connected with latest development thinking

• Develop robust data and tools to facilitate analysis by practitioners

including in developing countries.

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What does DECRG research aim to do?

Who Are We?

20

Asli Demirguc-Kunt

Director of Research

Will Martin

Manager, Agriculture

and Rural Development

Mike Toman

Manager, Environment

and Energy

Michael Lokshin

Manager,

Computational Tools

Sole Martinez Peria

Manager, Finance and

Private Sector

Development

Luis Serven

Manager,

Macroeconomics and

Growth

Adam Wagstaff

Manager, Human

Development and

Public Services

Peter Lanjouw

Manager, Poverty and

Inequality

Aaditya Mattoo

Manager, Trade and

International Integration

Arianna Legovini

Acting Manager,

Development Impact

Evaluation

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Recent and Upcoming Research Reports

Synthesizing our research to increase our policy impact:

Policy Research Reports (PRR) • Poverty and Shared Prosperity

• Governance

• Energy

Global Financial Development Reports (GFDR) • GFDR2014: Financial Inclusion

• GFDR2015: Long-Term Finance

World Development Reports (WDR) • WDR2014: Risk and Opportunity

• WDR2015: Behavioral and Social Foundations

of Development

Attend our Policy Research Talks:

Monthly presentation by a senior researcher synthesizing cutting-edge research on critical issues for World Bank operations.

Sign up for our Monthly Research e-Newsletter:

A concise guide to all of the newest outputs from the research department

Visit our Website:

News, Events, Publications, Researcher Profiles, and Data, all in one convenient location

econ.worldbank.org/research

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How can I find out more about the work of the

Research Department?