Development Effectiveness

The global economy is showing signs of slowing down. Growth for the developed economies is expected to reduce to 1.7 percent in 2020, while emerging and developing economies may experience an increase to 4.6 percent in the same period. The slowdown is a consequence of an uncertain global landscape as the developed nations in the North are seemingly drawing back from globalization processes through protectionist policies, the continuing US-China trade tensions, as well as heightened geopolitical uncertainty, particularly in the South.

The impact of this reduction in overall growth projections will have diverse impacts on ICD’s member countries (MCs). The good news is that most of these countries (38 out of 55) are now middle-income countries with an increased ability to address their development issues. The downside is that many of these MCs have become fragile nations as a result of intensifying conflicts and the emergence of physical facilities. Inequality continues to be a problem across the board.

Main Report Sections

ICD IN ACTION

2019 was a transition year for ICD as it engaged in the analysis and articulation of a new ten-year strategy. While this slowed new approvals, disbursement commitments were met.

USHERING IN THE DIGITAL ERA

The MCs’ participation and integration into the fourth industrial revolution processes will depend heavily on their ability to absorb and utilize digital technology including smart devices.

THE WAY FORWARD

ICD has made considerable progress in enhancing programs and processes to increase its development effectiveness and efficiency to better serve the future development need of its MCs.

2019 Highlights