Jokowi’s pro-investment reform push will founder

2019 ◽  
Keyword(s):  
Presidential Elections ◽  
Good Governance ◽  
Constitutional Amendment ◽  
Presidential Power ◽  
Middle Income ◽  
Content Type ◽  
Finance Minister ◽  
Middle Income Trap

Significance In his inauguration speech, he expressed commitment to reforms that he believes can help the country attract investment and escape a middle-income trap. Meanwhile, there are indications that several parliamentary parties want to amend the constitution to reduce presidential power. Impacts Jokowi will probably delay implementing some of his controversial reforms to the country’s leading anti-corruption body. Any constitutional amendment to end direct presidential elections would raise fears among investors about good governance in Indonesia. Most investors will welcome Jokowi’s retention of Sri Mulyani Indrawati as finance minister.

Election could erode New Zealand budget repair

2017 ◽  
Keyword(s):  
Prime Minister ◽  
Fiscal Year ◽  
National Party ◽  
Middle Income ◽  
Content Type ◽  
Finance Minister ◽  
National Rule ◽  
Productivity Commission ◽  
Commission Report ◽  
Consecutive Term

Significance Increased economic optimism will be welcomed by Prime Minister Bill English, who is hoping that his National Party will win a fourth consecutive term in government this September. Finance Minister Steven Joyce presented a confident budget for the 2017-18 fiscal year in May that focused principally on low-to-middle-income taxpayers, laying out the government’s economic agenda. Impacts A tight labour market will push up wages and paint a positive picture of National rule for the electorate. High levels of household debt could undercut consumer confidence once monetary policy begins to tighten. No shifts in climate policy are anticipated until a June 2018 Productivity Commission report is released.

scholarly journals Qualitative validation of a financially affordable Islamic home financing model

2018 ◽  
Vol 10 (2) ◽  
pp. 143-161
Author(s):  
Mohd Zaidi Md Zabri ◽  
Mustafa Omar Mohammed
Keyword(s):  
Good Governance ◽  
Third Sector ◽  
Limiting Factors ◽  
Structured Interviews ◽  
Middle Income ◽  
Content Type ◽  
Small Industry ◽  
The Government ◽  
Medical Relief ◽  
The Right

Purpose This study aims to validate a potential synergistic venture between cash waqf (Islamic endowment) institutions (CWIs) and financial cooperatives (FCs) in the provision of affordable Islamic home financing (IHF) in Malaysia. Design/methodology/approach The study adopted semi-structured interviews with ten experts to validate the cash waqf-financial-cooperative-mushārakah mutanāqiṣah (CWFCMM) model. Thematic analysis technique was used to analyse the verbatim texts. Findings The findings show that the majority of the informants have positive perceptions of the potential of the CWFCMM model to provide financially affordable IHF products in Malaysia. Nevertheless, this study sheds light on the varying degrees of latent issues and challenges that might arise in the implementation of this model. For example, FCs need to practice the correct business model, implement good governance structures and employ the right people. Meanwhile, CWIs need to work on their accountability issues by publishing their audited accounts in mainstream newspapers, much like what is being done by non-governmental organisations such as the widely recognised Malaysian Medical Relief Society (MERCY Malaysia). Research limitations/implications This study interviewed a small, industry-specific number of informants in generating its findings. Time and budget constraints are some of the limiting factors in carrying out the study. Because of these factors, the generalisation of the study’s findings will be limited. Practical implications First, the CWFCMM model offers an alternative, financially affordable IHF instrument to low- and middle-income households in Malaysia. Second, the involvement of third-sector institutions such as FCs and CWIs in the provision of IHF will reduce the burden of the government in its spending on home financing solutions for civil servants. Third, this model will harness the potential of waqf-based financing beyond the contemporary limited applications to mosques, graveyards and taḥfīẓ (Qurʾan memorization) schools. Originality/value This study presents an alternative IHF model that transcends the current institutional framework that is heavily dominated by Islamic commercial banks and government-owned home financing institutions. The study does not focus on a single third-sector institution but on an integration of at least two of them, CWIs and FCs, in implementing the IHF model.

Race to succeed Correa gets underway in Ecuador

2016 ◽  
Keyword(s):  
Presidential Elections ◽  
Oil Prices ◽  
The Other ◽  
Middle Income ◽  
Content Type ◽  
International Investors ◽  
The Government ◽  
The One ◽  
The Right ◽  
Ruling Party

Subject Possible successors to President Rafael Correa. Significance The surprising news that President Rafael Correa will not stand in the 2017 presidential elections has triggered a debate over who the ruling party, Alianza Pais, will select as its candidate. The task confronting the party is to choose a candidate who has the potential to secure low and middle-income votes on the one hand and appeal to national and international investors on the other. Striking this balance will be particularly important as the collapse of world oil prices and slowdown of economic growth has damaged the government and fuelled social and political tensions. Impacts Whoever Alianza Pais selects is likely to be the strong favourite, despite the government's difficulties in recent months. The key election battle is likely to be over control of the legislature rather than the presidency. The primary challenge for the opposition to the right will be to find a candidate capable of uniting various leaders and factions.

An empirical approach to understanding the lower-middle and upper-middle income traps

2019 ◽  
Vol 18 (2) ◽  
pp. 171-190
Author(s):  
M. Adnan Kabir ◽  
Ashraf Ahmed
Keyword(s):  
Income Inequality ◽  
Random Effect ◽  
Exchange Rate Volatility ◽  
Growth Dynamics ◽  
Fixed Effect ◽  
Cross Sectional ◽  
Middle Income ◽  
Content Type ◽  
Income Groups ◽  
Middle Income Trap

Purpose The purpose of this paper is to investigate the factors that are significant in contributing to the per capita income growth of countries that are experiencing or have experienced the lower-middle and upper-middle income traps. Design/methodology/approach The study comprises 85 countries over the period 1960 to 2017 spanning across three income groups: lower-middle, upper-middle and high. A panel data structure was used to run a fixed effect and random effect estimation on three models of income groups. The Hausman specification test, which was used for further statistical fitness, confirmed the appropriateness of fixed effect over the random in explaining the estimation of factor variables. Findings The results show that unemployment is a pervasive problem that negatively affect countries at all income levels. Foreign direct investment and population of dependents are associated with economic progression of countries that have experienced or are experiencing the lower-middle income trap. Furthermore, rising income inequality and foreign aid assistance are detrimental to countries that have experienced or are experiencing the upper-middle income trap. Moreover, income inequality, disproportionate urban population and rising dependent population are damaging for high income countries that never experienced any of the middle-income traps. Conversely, openness to trade, inflation and exchange rate volatility had limited capacity in explaining growth dynamics. Research limitations/implications This study could not incorporate geopolitical, demographic, geographical and other such exogenous factors, which could have episodes of influences on the economic development of countries. These were outside the study's realm of quantitative analysis. Originality/value This paper contributes to existing literature by providing an empirical cross-sectional comparative analysis of countries belonging to different income groups. The prevailing literature lacks such a cross-tabulated presentation of factors affecting countries that avoided the middle income trap and those that could not.

Reform deficit risks middle-income trap for Indonesia

2015 ◽  
Keyword(s):  
Economic Policy ◽  
Capita Income ◽  
Industrial Innovation ◽  
Middle Income ◽  
Content Type ◽  
Middle Income Countries ◽  
Administrative Reforms ◽  
The World ◽  
Per Capita ◽  
Middle Income Trap

Subject Economic prospects. Significance With per capita income of some 3,600 dollars, Indonesia is at the lower end of the World Bank's 1,000-12,700 dollar range for middle-income countries. There is growing concern that rising protectionism and uncertainty regarding economic and administrative reforms could impede gains in productivity, innovation and competitiveness. A sustained decline in competitiveness would risk a 'middle-income trap' as investment and growth slow, and incomes stagnate. Impacts Indonesia's inward-looking economic policy risks impeding progress on infrastructure, skills and industrial innovation. Competitors such as Malaysia and Thailand would gain if Indonesia fails to boost its competitiveness. Stagnant education and skills levels carry instability risks given Indonesia's youth bulge.

Poe will be decisive in Philippines 2016 election

2015 ◽  
Keyword(s):  
Economic Reform ◽  
Presidential Elections ◽  
Good Governance ◽  
Vice President ◽  
Liberal Party ◽  
Content Type ◽  
Reform Agenda ◽  
Party Choice ◽  
2016 Election ◽  
Front Running

Subject Update on the outlook for the 2016 presidential elections. Significance Opinion polling in June saw current Vice-President Jejomar Binay, presently the only declared 2016 presidential candidate, lose his front-running position. Although allies cite ongoing investigations of Binay as the cause, interpreting these polling results as minor and transitory, Senator Grace Poe-Llamanzares is emboldened, while Liberal Party president and current interior secretary Manuel 'Mar' Roxas is the probable Liberal Party choice. Binay is the clear opposition candidate, while Roxas and Poe will compete or cooperate for the mantle as the most likely to continue incumbent President Benigno 'Noynoy' Aquino's economic reform agenda. Impacts Binay's present polling difficulties portend further losses of support, although he could recover by 2016. A Poe or Roxas presidency would probably see greater continuity with Aquino's economic reforms and foreign policy. Perceptions of Philippines macroeconomic stability would probably be higher under a Roxas or Poe presidency. A Poe or Roxas presidency would probably see continuity in Aquino's good governance and anti-corruption agenda.

South-east Asian economies risk 'middle income trap'

2016 ◽  
Keyword(s):  
Structural Changes ◽  
Low Cost ◽  
Private Investment ◽  
The Philippines ◽  
Political Systems ◽  
Public And Private ◽  
Middle Income ◽  
Content Type ◽  
Middle Income Trap ◽  
East Asian Economies

Subject Economic development in South-east Asia and the 'middle income trap'. Significance Indonesia, Malaysia, the Philippines, Thailand and Vietnam will struggle to transition to being high-value economies due to lagging structural reforms that make it difficult to compete with both low-cost and technologically advanced nations. There is evidence that Thailand and Malaysia are already in the 'middle income trap', and Vietnam may become another entrant. Impacts To compete in global markets, the five economies will need more public and private investment in innovation. Broadening industrial bases will create opportunities for technology and logistics firms, among others. Ineffective political systems and political instability could further block badly-needed structural changes.

Rwandan president's victory masks internal challenges

2017 ◽  
Keyword(s):  
Direct Investment ◽  
Presidential Elections ◽  
Constitutional Amendment ◽  
Content Type ◽  
Social Challenges ◽  
The Media ◽  
Effective Development ◽  
Restrictive Measures ◽  
Development Spending ◽  
Political Economic

Subject President Paul Kagame's looming challenges. Significance Paul Kagame’s victory in the August 4 presidential elections with 98.63% of the vote has secured him a third term in office. Under a recent constitutional amendment, he could extend his rule until 2034. The degree of popular coercion required for such a landslide victory -- and the prospect of a presidency lasting 17 more years -- raise questions about the state of democracy and governance in Rwanda. While the ruling Rwandan Patriotic Front (RPF) has achieved significant socio-economic gains since coming to power, the country will face significant political, economic and social challenges over the course of Kagame’s seven-year term. Impacts Restrictive measures against opposition parties, civil society and the media will increase resentment and create discord with donors. Despite frictions, minimal corruption and effective development spending will encourage donors to continue their extensive aid programmes. Attracting major foreign direct investment will be a challenge, with repercussions for growth and employment. Instability in neighbouring countries will push more refugees into Rwanda, increasing pressure on land and resources.

scholarly journals The Sixth Sector Industrialization of Agriculture and the Relay Shipping of Vegetables in Japan

2021 ◽  
Vol 8 (7) ◽  
pp. 350-368
Author(s):  
Hitoshi Yonekura
Keyword(s):  
Value Chain ◽  
Agricultural Policy ◽  
Good Governance ◽  
Resource Mobilization ◽  
Middle Income ◽  
The Core ◽  
A Value ◽  
Sustainable Value ◽  
Zero Growth ◽  
Middle Income Trap

This paper aims to extract lesson from the experiences of Japan for escaping from the middle income trap which many countries in Asia and Africa confront. This paper will review in detail the efforts to increase the income levels of rural and agricultural firms by establishing a value chain under an almost zero growth economy in the 2000s in Japan. After referring to the condition of Japan agriculture and the framework of structural reform of agricultural policy of Japan, the core action schemes of the Sixth Industrialization and Relay Shipping are focused on. The mechanisms of relay shipping of vegetables and the institutions for facilitating the scheme are reviewed in detail. It is revealed that institutional capacity for greater inter-sector and government coordination are essential for implementing the schemes to establish effective and efficient value chain. These are institutional reform and capacity building efforts in Japan. Experiences in Japan reveal that various executing agencies with good governance are required to establish the mechanism of effective resource mobilization and implement reform of value chain. There have been no detail studies on implementing such reform for establishing sustainable value chain in countries where escaping middle income trap is needed. This study should be useful lesson for countries confronting the middle income trap.

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