Economics & Development

As a small open economy increasingly oriented toward European integration, Moldova’s road network is a crucial element of its economic infrastructure. Persistent structural constraints limited institutional capacity, and mounting pressures on capital and social spending underscore the need for deeper reforms to strengthen resource allocation and enhance overall fiscal performance. This Financing and Spending Review (FSR) evaluates the efficiency and effectiveness of public spending in the roads sector, identifies structural impediments to performance, and proposes a reform roadmap aligned with Moldova's European Union (EU) accession objectives and the EU Growth Plan. The World Bank’s 2022 Public and Expenditure Review (PER) underscored the importance of improving the efficiency and targeting of public expenditures in Moldova. The PER found that the country could achieve similar outcomes while spending roughly 40 percent less, or it could reach the frontier service quality while holding spending constant. Recent International Monetary Fund (IMF) assessments have emphasized the importance of sectoral spending reviews and expenditure rationalization as a means to improve the effectiveness of public spending and safeguard fiscal sustainability, while the EU Growth Plan and the annual Economic Reform Program (ERP) require Moldova to submit credible, sector specific reform commitments supported by evidence on spending efficiency and medium-term fiscal sustainability, with spending reviews embedded in the regular budget cycle. Against this backdrop, sectoral PERs have become indispensable tools for guiding expenditure reprioritization, aligning public spending with EU-accession objectives, and strengthening governance and accountability - thereby ensuring that scarce fiscal resources are directed toward growth enhancing investments and critical social sectors.

Indonesia memasuki tahun 2026 dengan momentum pertumbuhan yang kuat, didorong terutama oleh permintaan domestik yang tangguh, dengan PDB tumbuh sebesar 5,6 persen secara tahunan pada triwulan I 2026—tertinggi sejak pertengahan 2021—yang didukung oleh konsumsi rumah tangga yang kuat, belanja Ramadan lebih awal, bonus sektor publik, serta perluasan program sosial seperti makanan bergizi gratis, sementara konsumsi pemerintah dan investasi juga menguat dengan pembentukan modal tetap bruto meningkat menjadi 6,0 persen dan indikator frekuensi tinggi yang mengonfirmasi aktivitas ekonomi yang meluas; namun, ketahanan ini diuji oleh dua guncangan eksternal, yaitu tekanan pasar keuangan setelah kekhawatiran MSCI terhadap sekuritas Indonesia yang memicu aksi jual saham, penurunan arus masuk modal, dan pengetatan kondisi pembiayaan, serta eskalasi konflik di Timur Tengah yang mendorong harga minyak di atas US$100 per barel, meningkatkan tekanan inflasi, beban subsidi fiskal, dan gangguan rantai pasok sekaligus melemahkan permintaan global; meskipun demikian, pertumbuhan triwulan I tetap relatif tidak terpengaruh karena adanya keterlambatan transmisi dampak dan dukungan fiskal yang berlanjut, dengan sektor jasa tetap menjadi pendorong utama pertumbuhan didukung oleh manufaktur, sementara inflasi meningkat namun tetap berada dalam kisaran target Bank Indonesia berkat intervensi pemerintah, dan pasar tenaga kerja menunjukkan perbaikan terbatas meskipun tantangan struktural tetap ada, termasuk kualitas pekerjaan yang lemah, meningkatnya setengah pengangguran, dan penurunan upah riil, yang menjadi risiko bagi pertumbuhan yang berkelanjutan dan inklusif.

Kosovo’s digital sector represents one of the most credible pathways to more and better jobs in the country. Given its growing contribution to gross domestic product (GDP) about 6 percent in 2025 and increasing demand for talent, the sector offers significant opportunities for quality employment, particularly for women, whose participation in the workforce remains below its potential. But without adequate upskilling, Kosovo’s workforce risks losing its competitive position in digital services at a time when demand for specialized digital talent is accelerating in export markets. This report identifies and analyzes the constraints that hinder access to employment in the digital sector, with a particular focus on women. The report uses a mixed-methods approach that combines primary quantitative and qualitative data with a review of existing literature and recent analyses on digital skills and employment pathways in Kosovo. The analysis primarily draws on student and graduate surveys, focus groups, and stakeholder interviews to capture perspectives from digital companies, education and training providers, and young people.

Stablecoins in Humanitarian Cash Transfers explores how digital currencies can improve the delivery of cash assistance in fragile and conflict-affected settings. The report highlights key challenges in traditional transfers, including high costs, delays, and limited access, and examines two models of stablecoin use, via local partners and direct-to-recipient wallets. It finds that stablecoins can enhance cross-border efficiency and transparency, but do not eliminate costs and may shift risks and financial burdens to recipients. The study concludes that while stablecoins offer potential benefits, their effectiveness depends on infrastructure, regulatory context, and program design.

Cambodia has made substantial progress in improving population health outcomes over the past two decades, including increased life expectancy and major reductions in maternal and child mortality. Despite these achievements, important challenges remain. Significant disparities persist across socioeconomic and geographic groups, with rural, poor, and marginalized populations experiencing worse health outcomes. Moreover, while health service delivery has expanded, access to quality care remains uneven, and financial protection is limited, with high out-of-pocket expenditures. A key constraint to further progress is the shortage and uneven distribution of a competent health workforce. Many public health facilities are understaffed, and skills gaps and deficiencies in training systems affect service quality. These challenges highlight the need for targeted investments in workforce development, particularly in strengthening primary healthcare (PHC) capacity. The introduction situates the study within Cambodia’s national policy framework, including the Health Strategic Plan 2025–2034 and the Health Workforce Development Plan, which prioritize workforce planning, education quality, governance, and equitable distribution. Strengthening the PHC workforce is identified as essential for improving access, promoting preventive care, managing chronic conditions, and enhancing health system efficiency and equity.

The objective of the Sectoral Transformation Investment Plan (s-TIP) Preparation Project is to support the preparation of the Namibia Sectoral Transformation Investment Plan (s-TIP) under the Climate Investment Fund (CIF) Industry Decarbonization Program (IDP). The GREEN SEED operation (P508359) is expected to support a catalytical role of the GRN to unlock private sector investments at scale in green industrialization area, and to maximize the associated job creation. A 500,000 dollar Grant Facility for Project Preparation (GFPP - P181994) has been allocated to the GRN to hire a Transaction Advisor that is assisting the GRN in defining and implementing the necessary financial and infrastructure structures to support green industrialization, with a focus on the first pipeline or private sector projects being developed in Namibia. The GFPP GREEN SEED preparation grant is under implementation with EIF serving as the implementation agency. To generate synergies among the WBG institutions, the IBRD energy team is working closely with the IFC teams, manufacturing and blended finance units, on the preparation of the GREEN SEED operation, as well as on the preparation of the Namibia s-TIP. Together, these projects will support development of green industrialization in Namibia and facilitate its green, resilient, and inclusive socio-economic growth, fostering job creation.

This report examines how digital technologies can accelerate climate action and support South Africa’s transition to a sustainable, low-carbon economy. It explores opportunities at the green-digital nexus, including the use of digital solutions in renewable energy integration, smart grids, climate-smart agriculture, carbon markets, climate data management, and digital infrastructure. The report also assesses the environmental footprint and climate resilience of the digital sector and provides recommendations to strengthen innovation, sustainability, emissions reduction, and climate adaptation through public-private collaboration.

This report, examines livelihood constraints faced by beneficiaries of Myanmar’s Maternal and Child Cash Transfer (MCCT) program in the context of the country’s ongoing economic, social, and humanitarian crises. Conducted in May 2026 across peri-urban areas of Yangon and Mandalay, the study employed qualitative methods, including focus group discussions and key informant interviews with 109 participants, to identify barriers that limit women’s economic participation and inform the design of economic inclusion interventions linked to the MCCT platform. The findings reveal that women’s livelihood opportunities are shaped by a combination of household-level and structural constraints. Key household-level barriers include caregiving responsibilities, limited access to affordable credit, lack of productive assets, weak social networks, and housing insecurity. Structural constraints include conflict and military conscription, lack of civil documentation, and unreliable electricity, all of which restrict employment, mobility, business expansion, and access to financial services. These challenges are further compounded by the effects of displacement, inflation, declining labor opportunities, and the loss of productive assets resulting from conflict and the 2025 earthquake. Despite these challenges, the study finds strong interest among women in self-employment and home-based enterprises such as market vending, tailoring, weaving, food preparation, and small retail businesses, which are viewed as more compatible with childcare and household responsibilities. The report highlights the potential of the MCCT program to serve as a platform for “cash-plus” interventions that combine cash transfers with complementary support such as childcare services, savings groups, financial literacy training, productive grants, asset transfers, mentorship, and referral services. An integrated and locally adapted approach that addresses multiple constraints simultaneously is recommended to promote sustainable livelihoods, strengthen household resilience, and advance economic inclusion among vulnerable women and families in Myanmar.