September 26, 2018
A driver from the Malaysian ride-hailing tech startup, Grab, picks up a passenger in Jakarta, Indonesia: digitalization is transforming Asia’s businesses and governments (photo: Afif C. Kasuma/iStock by Getty Images)
Asia’s digital revolution shows no signs of slowing down. From e-commerce giants like China’s Alibaba and Japan’s Rakuten, to ride-hailing, and digital payment tech startups, like Indonesia’s Go-Jek and India’s Paytm, and the widespread use of industrial robots for manufacturing, digitalization is changing the way the region’s businesses operate. […]
September 18, 2018
A customer pays at a supermarket using her smartphone in Bangkok, Thailand: urban and rural areas in the region widely use mobile payment platforms to access financial services (photo: Li Mangmang Xinhua News Agency/Newscom)
In Asia, the world’s fastest-growing region, expanding access to financial services for more people will mean higher growth, as well as lower poverty and inequality. […]
By Tao Zhang
March 22, 2018
Versions in Português (Portuguese)
Congested streets in Dhaka, Bangladesh. In a third of low-income countries, including Bangladesh, government deficits finance investment in much needed infrastructure (photo: Motoya Taguchi/Jiji Press/Newscom).
Government debt in some of the world’s poorest countries is rising to risky levels, a new IMF report shows. The report looks at economic developments and prospects among the world’s low-income countries, which account for a fifth of the world’s population but only four percent of global output. […]
March 20, 2018
Climate change is one of the greatest threats facing our planet. Its negative effects on health, the biosphere, and labor productivity are already being felt throughout the world. Aware of the danger, communities, households, and governments have started taking measures to reduce their exposures and vulnerability to weather shocks and climate change. Our study in the World Economic Outlook shows that public investment in adaptation can partially reduce the economic costs of severe weather events. […]
July 7, 2017
If sunlight is the best disinfectant, as US Supreme Court Justice Louis Brandeis once famously said, can it also be a money maker? We have tried to quantify the financial gains from greater transparency that emerging market countries can achieve.
By Min Zhu
(version in Español)
The growth story for frontier economies isn’t the same as China’s in the last two decades, or the United States a hundred years ago. These fast growing, low-income countries have their own story, and it’s not what you might think.
In May of this year, I wrote about who they are and how they are different, and now I want to go into a bit more detail about how their economies have been on the rise and how they have moved themselves to the frontier.
By Min Zhu
There is a group of fast-growing low-income countries that are attracting international investor interest—frontier economies. Understanding who they are, how they are different, and how they have moved themselves to the frontier matters for the global economy because they combine huge potential with big risks.
Get to know them
The first thing to note is that some of these countries already have moved to the lower-middle income group. While a working definition of frontier economies is subject to further discussion, broadly speaking, these countries have been deepening their financial markets, such as Bangladesh, Kenya, Nigeria, Mozambique, and Vietnam.