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Samuel Paul

Many consider the use of community participation inappropriate, or too difficult, in large-scale internationally funded projects. But in some fields it may be the key to success

Aubrey Williams

For the latest thinking about the international financial system, monetary policy, economic development, poverty reduction, and other critical issues, subscribe to Finance & Development (F&D). This lively quarterly magazine brings you in-depth analyses of these and other subjects by the IMF’s own staff as well as by prominent international experts. Articles are written for lay readers who want to enrich their understanding of the workings of the global economy and the policies and activities of the IMF.

Kathryn McPhail

This paper describes the need to broaden the agenda for poverty reduction. The broadening of the agenda follows from a growing understanding that poverty is more than low income, a lack of education, and poor health. The poor are frequently powerless to influence the social and economic factors that determine their well being. The paper highlights that a broader definition of poverty requires a broader set of actions to fight it and increases the challenge of measuring poverty and comparing achievement across countries and over time.

International Monetary Fund. External Relations Dept.

IMF Acting Managing Director Stanley Fischer announced in a press release dated April 14 that he has named Flemming Larsen, a national of Denmark, as Director of the IMF’s Office in Europe. Larsen, who is currently the Deputy Director of the IMF’s Research Department, succeeds Christian Brachet.

International Monetary Fund. External Relations Dept.
The Web edition of the IMF Survey is updated several times a week, and contains a wealth of articles about topical policy and economic issues in the news. Access the latest IMF research, read interviews, and listen to podcasts given by top IMF economists on important issues in the global economy. www.imf.org/external/pubs/ft/survey/so/home.aspx
International Monetary Fund. External Relations Dept.
La edición en Internet del Boletín del FMI, que se actualiza varias veces a la semana, contiene numerosos artículos sobre temas de actualidad en el ámbito de las políticas y la economía. Consulte las últimas investigaciones del FMI, lea entrevistas y escuche podcasts de los principales economistas del FMI sobre importantes temas relacionados con la economía mundial. www.imf.org/external/pubs/ft/survey/so/home.aspx
Boriana Yontcheva
This paper presents a dynamic game of strategic delegation between a principal and an agent. The principal can choose between two organizational designs: a traditional hierarchy where she retains authority over the choice of projects to be implemented or a delegation where she allows her agent to select the project. The key objectives of this model are to identify the long-run determinants of the principal’s choice and verify the impact of the authority allocation on the agent’s effort levels and on the principal’s payoffs. We apply the model to the relationships between institutional donors and nongovernmental organizations.
Gilles Nancy and Boriana Yontcheva
This paper studies the aid allocation of European nongovernmental organizations (NGOs). Once population is controlled for, poverty consistently appears as the main worldwide determinant of NGO aid allocation. NGOs do not respond to strategic considerations. Their funding source does not seem to exert a great influence on their aid allocation decision. We also find differences across regions. Militarization and the political nature of the regime of the recipient country affect aid allocation in the Middle East. Life expectancy influences aid allocation in countries in the Western Hemisphere and the Middle East.
International Monetary Fund. External Relations Dept.

IMF Managing Director Rodrigo de Rato visited Chad on May 19-20, combining policy discussions with the authorities with a firsthand view of one of the refugee camps that Chad is supporting with help from the international community.

International Monetary Fund. External Relations Dept.

During July 2-8, in his first visit to sub-Saharan Africa since taking office, IMF Managing Director Horst Köhler met with government authorities and representatives of civil society in Nigeria, Senegal, Mozambique, Botswana, and South Africa. The purpose of his visit was, first, to hear from the authorities on the economic situations and challenges facing their countries and, second, to listen to the views of African leaders on the IMF’s role and its involvement in restructuring African economies. In his meetings, he emphasized that there is today a single integrated world economy and the development of Africa is an essential component in ensuring its health. At the same time, he agreed with the African leaders he met that the IMF should stay fully engaged in Africa and should not succumb to any mood of “Afro-pessimism.”