BUSINESS & ECONOMY

Distributed Infrastructure: A Solution to Africa’s Urbanization

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2 years ago

November 17, 2021

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Kivomo is a beautiful village in the northern Gisaba district in Rwanda. The small community boasts 196 homes and 876 people. With extremely low incomes, most of the local population works in agriculture, growing and selling mostly beans, maize, and nuts. 30 homes in the village have been connected to electricity through solar home systems (SHS) in the past year by Ignite Power.

“Before getting the light, we used pricy batteries-operated torches”, says Nyirarukundo Esperance, 43, the village leader. “People went to sleep with the sunset, students didn’t have time to study and income was extremely low because we had no time to process and sort our yields”. With 30 households connected, change is already beginning to shape the small community. “Now kids are studying, getting good grades at school, and families are much happier. Women are able to cook at night, and families save money that they once spent on torches and batteries, because solar is much cheaper”.

Although massive efforts and resources are allocated towards the electrification and general infrastructural development of rural sub-Saharan Africa, gaps remain vast. According to McKinsey, more than two-thirds of the global population without electricity is in sub-Saharan Africa, some 600 million people, and electrification pace is the slowest in the world.

African Rural Villagers

India, for example, expanded access to electricity to an additional 100 million people in 2018. In contrast, sub-Saharan Africa only expanded access to 20 million people. Given the massive population growth rates, McKinsey also forecasts that African demand for electricity will quadruple from 2010 to 2040.

Albeit the global focus, the allocation of funds, and private companies taking over the sector, rural Africa remains the least connected area in the world, as challenges still outweigh solutions.

The Last-mile Divide

Across Africa, rural areas are historically underserved, for various geographical and political reasons. Some of the reasons are strictly financial: low population densities result in high capital and operating costs, while delivering last-mile grid connections is complex and financially / logistically challenging. It is estimated that the average international cost to the last mile for any manufacturer works to about 28 percent of the total cost of the product. But within Africa, this cost spirals to 35-55 percent, resulting from issues such as weak infrastructure, limited delivery options, and poor supply chain analytics.

With limited resources and extremely high operational costs, utility companies across the continent are struggling to keep their grid afloat and finance upgrades and essential maintenance of their existing systems. According to the World Bank, Africa’s utility quasi-fiscal can average 1.5% of GDP – while three countries topped 5%, meaning efforts to reach every village and every household are hampered.

The continent’s rural populations are some of the poorest in the world, and the lack of energy access and other basic utilities lead to living conditions remaining at the lowest subsistence level. The lack of financial resources affects people’s ability to pay for electricity, while newly connected customers often use little power and are likely to be served at the lowest tariff, affecting the suppliers’ profitability and, hence, quality and reliability of service. It also poses a financial risk for investors, reducing the incentive to extend the grid and making it difficult to attract private sector investment. Weak infrastructure in Africa’s last-mile, rural communities has vast effects, as it maintains existing social and economical structures, preventing real advancements from taking place. Seeking a brighter, more promising future, millions of rural inhabitants move to Africa’s ever-growing cities.

The Fastest Urbanization in the World

Africa’s projected urban growth rate is astronomical. By 2050, the continent’s cities will be home to an additional 950 million people. In 1950, most African countries were agrarian societies, and only eight countries had an urbanization level above 20 percent. In 2010, 47 Africa countries were over the 20 percent threshold, and the number of countries above 50 percent urbanization more than doubled. At a growing rate of 65 million urban dwellers annually, Sub-Saharan Africa (SSA) is the world’s fastest urbanizing region. Urban areas currently contain 472 million people, and are expected to double over the next 25 years, and urban dwellers will outweigh rural residents for the first time.

At a growing rate of 65 million urban dwellers annually, Sub-Saharan Africa (SSA) is the world’s fastest urbanizing region.

SSA is experiencing an annual urban population growth rate of 4.1 percent, compared with a global 2 percent average. These urban agglomerations are developing without the benefit of policies or investments able to meet the infrastructure challenges that such big settlements demand. The continent requires $90-$150 billion annually to fund infrastructure needs, and according to the African Development Bank, two-thirds of the investments in urban infrastructure required by 2050 have yet to be made.

So how is that any different from the investment gap in rural areas? Well, African cities have a much bigger role in local economies.

African Village

SSA’s 143 cities generate a combined $ 0.5 trillion, totaling 50 percent of the region’s gross domestic product (GDP), and many SSA economies are concentrated, and even reliant, on the productivity of their urban centers. These centers play a critical role in fighting poverty and sustaining economic growth, often considered the future of prosperity in the developing continent. In fact, it is very rare to transition from a low-income country (LIC) status to a middle-income country (MIC) status without first going through a process of urbanization.

These urban agglomerations are developing without the benefit of policies or investments able to meet the infrastructure challenges that such big settlements demand.

Yet, the current situation encompasses many urban areas in SSA that are ill-equipped to mitigate the various risks associated with unmanaged urbanization. Without improved infrastructure and services that meet the needs of the growing urban population, negative repercussions are bound to arise, and various countries across the region are already witnessing negative per capita income growth, weak investment, and a decline in productivity.

There is no doubt that urbanization management efforts must be linked to different stakeholders, and the ever-increasing process has to be utilized as an opportunity for growth. But alongside the needed investment, rural areas must not be forgotten. Even more so, they must be put center stage, as further growth of rural communities can help curb the urbanization curve.

Investing in Rural Infrastructure to Even Out Urbanization Rates

Rural areas across Africa present the greatest opportunity for impact and prosperity, as well as a real chance to mitigate the massive urbanization rates. If rural communities finally get the infrastructure they need and deserve, entire families could choose to continue their lives and prosper in their familiar surroundings, while financial constraints they currently face could be lifted.

Rural areas across Africa present the greatest opportunity for impact and prosperity, as well as a real chance to mitigate the massive urbanization rates.

The only road toward implementing proper utilities in last-mile, rural areas across SSA goes through the newly-established distributed infrastructure sector. With affordability, scalability, and a stand-alone aspect, distributed infrastructure solutions are taking the continent by storm. Off-grid solar systems and mini grids are becoming the go-to answer for electricity, gas balloons are already prominent in clean cooking, satellite-based stand-alone solutions are replacing costly fiber-based broadband, and off-grid pumps are replacing national water pipes. All these products embody the core needs of African governments and rural communities alike, as they answer the various problems presented by national grid solutions.

According to the International Energy Agency (IEA), reaching the global “electricity for all by 2030” target would require annual investment of $52 billion per year and the majority will have to be directed to sub-Saharan Africa. Specifically, microgrids would require a total investment of $187 billion, while electrification efforts using off-grid systems and grid expansion require $90 billion and $114 billion. By focusing on the off-grid solutions, that cost could be cut by half.

To foster rural development and adequate living conditions for the rural population, as well as curbing urbanization rates, distributed infrastructure solutions must become the go-to solution for governments across the continent. It is the only way to promote real financial growth, while establishing an inclusive reality for all.

Courtesy: Impact Entrepreneur

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BUSINESS & ECONOMY

Argentina’s Economic Turmoil’s and IMF

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1 week ago

September 11, 2023

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By Prof. Engr. Zamir Ahmed Awan

The picturesque streets of Argentina are currently marred by a storm of economic instability, as the nation faces an chronic crisis characterized by soaring inflation, price hikes, interest rate fluctuations, currency devaluation, and an unsettling law and order situation marked by incidents of looting and social unrest. At the heart of this turmoil lies a contentious relationship with the International Monetary Fund (IMF), raising questions about the role of harsh IMF policies in exacerbating the nation’s economic woes.

Inflation and Price Hikes

Argentina’s economy, once a beacon of promise in South America, has been grappling with relentless inflation that has eroded the purchasing power of its citizens. Recent reports from the Argentine Central Bank indicate an annual inflation rate of over 50%, a staggering figure that has led to significant price hikes in essential goods and services. But some experts believe the actual inflation may have touched three figures (Above 100 %). The price of basic necessities such as food, fuel, and medicines has surged, pushing many vulnerable populations to the brink of survival.

Interest Rates and Economic Stability

The nation’s interest rates have been oscillating amid efforts to curb inflation and stabilize the currency. The Argentine Central Bank has undertaken measures to control the monetary situation, but these moves have led to fluctuations in interest rates. The Bank is stuck with INF conditions and cannot make policies in the national interest. These uncertain interest rate movements have not only impacted borrowing costs for businesses but have also discouraged investment, hindering economic growth prospects.

Law and Order Situation: Looting and Unrest

A distressing undercurrent of civil unrest has emerged in tandem with the economic crisis. Incidents of looting and protests have escalated, further straining the nation’s social fabric. Supermarkets and stores have been targeted by looters in search of essential supplies, painting a grim picture of desperation among the populace. Law enforcement agencies are working diligently to restore order, but the underlying economic distress continues to fan the flames of unrest.

The IMF Connection

Argentina’s history with the IMF is not new, and the current crisis raises questions about the impact of IMF policies on the nation’s economic trajectory. Over the past few decades, Argentina has entered into several agreements with the IMF, seeking financial aid to alleviate economic woes and stabilize its currency. However, the harsh conditions attached to these loans, often requiring austerity measures and structural reforms, have been sources of contention.

IMF Policies and National Economy

Critics argue that the stringent conditions imposed by the IMF in exchange for financial assistance have exacerbated the economic challenges faced by Argentina. A notable example is the 2001 financial crisis, where the IMF-supported policies were met with massive protests and political upheaval. These conditions are believed to have contributed to deepening economic woes rather than providing a sustainable solution.

A Complex Scenario

While the IMF’s policies have been a contentious point, it is important to recognize that Argentina’s economic challenges are multifaceted. A history of political instability, mismanagement of resources, and external shocks have also played a role in the nation’s current predicament. Experts emphasize the need for a balanced approach that addresses both the structural issues within Argentina’s economy and the role of international institutions.

Looking Forward

As Argentina navigates these turbulent waters, it is crucial for policymakers, international institutions, and citizens to work collaboratively towards sustainable solutions. A thorough review of economic policies, tailored to Argentina’s unique circumstances, is necessary. The nation’s rich potential and resilient spirit are assets that can be harnessed to steer the economy towards recovery and growth.

Argentina’s current economic crisis is a complex confluence of internal and external factors. The IMF’s role in this crisis remains a subject of debate, as the nation grapples with inflation, price hikes, interest rate fluctuations, and social unrest. Finding a way forward requires a comprehensive approach that acknowledges the intricate interplay of economic, political, and social dynamics, steering the nation towards a brighter future.

Lessons to be learned

Argentina is in IMF programs for several decades and could not revive it economy. The current disastrous situation is alarming not only for Argentina m but, also many other nation under IMF programs. Egypt and Pakistan are also typical examples of IMF regime. Till date, both have not made any breakthrough in their national economy and are facing heavy external debt as well as currency devaluation, inflation and interest rates. Although the law and order situation in both countries is still under control, but, is it we are following Argentina’s foot print? What will be future of these and other nations which are under strict IMF control? It is a time, where everyone need to think wisely and smartly. Should IMF require reforms, as, the current practices of IMF are proved counterproductive. Think twice!

Prof. Engr. Zamir Ahmed Awan, is a Sinologist (ex-Diplomat), Non-Resident Fellow of CCG (Center for China and Globalization), National University of Sciences and Technology (NUST), Islamabad, Pakistan.

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BUSINESS & ECONOMY

Is Brazil Heading Towards a Soft Landing?

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2 weeks ago

September 4, 2023

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By Shireen Mahdi

A “soft landing” is the difficult and often elusive feat of successfully lowering inflation after having tightened monetary policy, but without triggering a recession. When fighting inflation, policy makers raise interest rates to make credit more expensive. This dampens aggregate demand and takes some of the inflationary steam out of the economy. The challenge is not take-out more “steam” than is necessary and inadvertently induce a recession. It’s an outcome that requires skillful policy making and economic resilience, aided by the absence of adverse shocks.

Is Brazil heading in this direction? Inflation, now at 4% has come a long way down from its peak at 12% in April 2022. The latest labor market figures placed unemployment at 8% by June of this year, the lowest it has been since 2015. The number of underemployed (individuals working less than 40 hours a week) has also declined over the past year. These trends have prompted economic analysts to upgrade growth forecasts and lower risk ratings during the course of the year. Importantly, they provided the conditions for a shift in the monetary policy cycle, with a 50 basis point reduction in the SELIC in July, pointing to start of a cautious monetary policy easing cycle.

What helped Brazil reach this point? A strong harvest offered a cushion against slowing commodity prices, contributing to a stronger trade balance (the trade balance in June 2023 was up by 18% compared to the previous year). Household consumption, although dented by inflation, has been somewhat cushioned by a robust job market and transfers to vulnerable households.

Other factors are of a more institutional nature. A more flexible labor market supported a rapid recovery in job numbers as the pandemic eased, allowing the labor force to return to various forms of work in a context of high uncertainty. Prudent management of public finances, even as the country adapted and debated the form of its fiscal rules, was a source of macroeconomic stability (the primary balance stood at -0.24% in June 2023, almost 10 percentage points below its peak in 2020). And critically, Brazil’s early and credible monetary policy response to inflation would have been weaker in the absence of an independent and competent central bank.

These indicators provoke a sigh of relief , but it’s not all good news. The outlook also holds a set of important risks that could create turbulence along the way. Monetary policy is still tight, and it takes effect with a delay, meaning that its full impact on economic activity and jobs may not have been felt yet. Indeed, the recent signs of cooling in the pace of the labor market recovery (net formal job creation in the first half of 2023 was 26% below the same period last year) underlines the need to carefully manage this risk.

On the global front, a softening commodity price outlook and slowing momentum in global growth, including amongst some of Brazil’s main trading partners, can make for more challenging conditions. The El Nino weather phenomenon adds further potential obstacles. Problems of a more structural nature, the low-productivity economic model that has underpinned Brazil’s lackluster economic performance over the past two decades in particular, traps the country in a low growth scenario and limits its ability to confront shocks.

Cautious macroeconomic policy making will be essential to tackle remaining inflationary pressures, especially any remaining momentum in core prices, whilst also rebuilding fiscal buffers. But equally as important is advancing the structural reforms that have long eluded this economy. The indirect tax reform is a priority among them; securing this critical reform will help boost confidence and investment in the economy at a time when tailwinds might be receding. Also essential is shifting to a policy mix that stimulates competitiveness and job creation through greater competition in markets, deeper trade integration and by stimulating technological adoption. This will offer policy makers an alternative to the unproductive mix of tax incentives and “wars”.

Such measures would not only make a soft landing more likely but would also build a longer and smoother landing strip to soften the landings for future shocks.

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BUSINESS & ECONOMY

Beyond Economics: Assessing IMF Austerity’s Effects on Women’s Rights

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3 weeks ago

August 28, 2023

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By Rameen Siddiqui

In the intricate web of global economic policies, the International Monetary Fund (IMF) plays a pivotal role as a financial lifeline for nations facing economic turbulence. Austerity measures, a common prescription offered by the IMF to stabilize economies, have been a subject of extensive debate and analysis for their far-reaching consequences. While austerity policies are intended to restore fiscal balance, their impact is far from uniform, often exacerbating existing inequalities. This article delves into the intersection of economic policy and gender dynamics, exploring how IMF austerity measures can reverberate through societies in ways that disproportionately affect women. From the erosion of social safety nets to the undermining of women’s access to essential services, we navigate the intricate landscape of austerity and its intricate implications for women’s rights.

Introduction to IMF Austerity

The IMF engages in regular economic monitoring of nearly all nations through its Article IV consultations, frequently providing policy recommendations. These suggestions might be disregarded by more affluent nations but wield significant influence over the policy decisions of less economically developed countries. In instances where countries face a debt crisis and require financial assistance from the IMF, which acts as a lender of last resort, the IMF imposed even more forceful policy advice and requirements. Over the past four decades, the essence of IMF guidance has remained largely unchanged, starting from the introduction of Structural Adjustment Programmes (SAPs). However, this guidance is presented, characterized, and marketed in novel ways.

The prevailing model followed by the IMF has been rooted in neoliberal ideology for many years. This ideology advocates for a specific set of policies, including austerity, the liberalization of markets, the removal of capital and exchange controls, the privatization of public services and government-owned enterprises, as well as a decrease in direct tax rates alongside an increased reliance on broad consumption taxes, all justified under the banner of economic ‘development’. The IMF’s definition of ‘development’ is narrowly confined to economic growth, despite these policies consistently facing criticism for eroding human rights and livelihoods, as well as regularly falling short of achieving the elevated growth rates promised.

The concept of structural adjustment places emphasis on prioritizing ‘fiscal fundamentalism’ rather than focusing on achieving economic and social equity and ensuring the realization of human rights. Governments primarily target the reduction of their fiscal deficits as a primary objective. A significant portion of the critique directed at IMF policy recommendations stems from this conventional macroeconomic perspective. This approach advocates for a shrinking government budget allocation for services while giving precedence to fiscal responsibility, even if it comes at the expense of other factors such as social, economic, and gender parity.

Gender Lens on Austerity

These measures of austerity, also known as ‘fiscal consolidation,’ have the potential to influence women’s rights through diverse channels. Nevertheless, it is the combined effect of these policies that is exceptionally destructive. The reduction of publicly provided childcare services in nations intensifies the impact of higher consumption taxes and weakened enforcement of labor regulations against discrimination. This combination adversely affects women’s ability to secure equitable wages and satisfactory employment opportunities. Reductions in critical public sector positions, where women constitute a significant proportion, such as in healthcare and education, are experienced acutely.

Austerity measures entail various ways through which women’s economic security is directly and unfairly jeopardized. Austerity packages frequently involve wage freezes and significant reductions in the public sector workforce. Given societal norms and workplace segregation, women predominantly occupy sectors in the public realm, often targeted for cutbacks. This includes vital frontline roles such as nursing, teaching, and social work, along with lower-level administrative and part-time positions. Consequently, these measures push a considerable number of women into unemployment, precarious employment, or informal labor markets. This transition leads to enduring financial and asset losses, potentially exacerbating gender-based wage disparities while undermining women’s overall economic well-being.

Regressive Fiscal Consolidation: A Threat to Women’s Rights

Sufficient funding for the public sector and investments in social programs and public services have been crucial for women’s economic rights in recent decades, ensuring access to quality employment. In contrast, reductions in public spending linked to austerity have resulted in cutbacks to essential social and physical infrastructure, including education, healthcare, and transportation services. These actions distinctly affect women more than men and hinder advancements in gender equality. This is compounded by the historical context of gender inequality and bias, structural disadvantages, biological distinctions, societal norms, and disparities in the practical application of laws and policies.

i). Budget cuts directly impact women’s income and economic security

Reductions in public expenditure have an uneven and severe impact on women, manifesting through distinct pathways. Broadly, the consequences for women’s rights due to budgetary cutbacks occur through three primary mechanisms: i) direct income losses, ii) curtailed access to crucial services, and iii) heightened burdens of unpaid labor and time scarcity. These factors are interdependent, exacerbating the overall negative effects on women. The repercussions of budget reductions on women’s income and economic stability are extensive and multifaceted

ii) Diminishing Public spending impedes women’s access to crucial services

Among the most insidious consequences of reduced public spending, marked by enduring and disproportionate impacts, lies in how these reductions amplify the obstacles often faced by women when accessing vital public services of high quality. On occasions, budget cuts are directed straight at programs and services primarily benefiting women. Frequently, these cuts extend to services that cater to the wider populace, such as healthcare or vocational training, yet are of particular significance to women due to their economic disadvantages or specific needs (e.g., heightened reliance on healthcare services for pregnancy and maternity needs). An additional measure under austerity is the introduction of fees for essential services, purportedly as a ‘cost-saving’ strategy, which unfortunately escalates disparities in access to care. This disproportionately affects women due to the gender pay gap and limited control they may exert over household finances.

iii) Austerity-driven fiscal restraint intensifies women’s unpaid care work and deprivation

A third vital aspect is the profound significance of austerity measures in exacerbating women’s unpaid care responsibilities and their ensuing time scarcity. Unpaid care labor across the globe is overwhelmingly carried out by women, with one estimate suggesting that women contribute three times as much unpaid care work as men on a global scale (UN High Level Panel, 2016). Particularly for women and girls grappling with poverty in regions marked by inadequate infrastructure and under-resourced public services (such as limited or absent access to piped water, affordable childcare, or eldercare), this translates into a considerable depletion of their time, energy, and prospects, often commencing from an early age. This unequal and burdensome distribution of unpaid care labor has been acknowledged as a substantial impediment to women’s exercise of their human rights, encompassing political engagement, healthcare, employment, and education opportunities.

Labor Market Impact: Road to Women’s Unemployment

The IMF has unequivocally advocated for and endorsed essential measures aimed at elevating female labor force participation rates in developing nations. However, the IMF’s professed objective of promoting women’s employment is undermined by a pivotal element within its supported policies across all three countries: the reduction of the public sector’s scope, which primarily employs women, achieved by constraining public sector job opportunities and curtailing wages. The Fund contends that “elevated public employment has been a deterrent to labor force participation. Notably, higher levels of public employment have correlated with reduced labor force participation, both globally and regionally, particularly among women.”

According to the IMF’s perspective, this phenomenon arises from the presence of higher-paying and secure positions in the public sector that extend benefits to the entire household. This, in turn, might discourage other family members, particularly women, from seeking additional paid employment. Consequently, the assertion is that diminishing public sector employment and diminishing the protection (alongside rights) it provides could motivate women to enter the labor market, as they would be compelled to do so in order to compensate for the reduction.

Gender-Based Violence and Vulnerabilities

An analysis of austerity’s impact on women’s rights must encompass the intricate interplay between economic policies, social services, and the intricate fabric of gender-based vulnerabilities as it extends beyond economic realms, intertwining with increased vulnerabilities to gender-based violence. The reduction in public services and social safety nets often forces women to navigate precarious circumstances, amplifying their exposure to various forms of violence and exploitation. Austerity-driven cuts to essential services like healthcare and education can create conditions where women’s physical and psychological well-being are compromised. Moreover, economic strain resulting from austerity policies can escalate tensions within households, contributing to an elevated risk of domestic violence. The erosion of social support systems, coupled with limited access to resources, can heighten women’s vulnerabilities, further undermining their safety and impeding their ability to exercise their rights fully.

Policy Recommendations:

The persistent unwavering trust of policymakers in the ‘austerity-for-growth’ fiscal misconception carries genuine economic, political, and human rights consequences, which cannot be mitigated solely through band-aid social safety nets and targeted gender equality initiatives. To uphold the commitments of governments to human rights principles, ensuring human rights and advancing gender equality during times of fiscal hardship necessitates a broader approach than short-sighted financial restraint. It requires adopting a progressive strategy centered on redistributive measures that shift the burden of adjustments onto those with greater financial capacity, rather than penalizing low-income women and their families, who often lack representation in mainstream political spaces. More specifically, the IMF should:

1. Acknowledge within an officially sanctioned policy stance that achieving gender equality, encompassing the comprehensive realization of women’s human rights and the eradication of gender-based discrimination, demands substantial and continuous public investments. This includes investments in social and caregiving infrastructure, emphasizing that advocating for a reduction in state financial commitment might impede progress in attaining gender equality and fulfilling women’s human rights.

2. Persist in endorsing benchmarks for social expenditure, while guaranteeing that these benchmarks are adequately substantial to drive meaningful advancements in upholding women’s rights. These benchmarks should also be in line with the minimum essential public spending required to achieve pertinent Sustainable Development Goals. For example, allocate around 5 percent of GDP for healthcare (in accordance with WHO recommendations) and approximately 6 percent of GDP for education (aligned with the Education for All initiative’s recommendations).

3. Acknowledge that conventional macroeconomic strategies and loan programs possess inherent gender biases, affecting women’s roles in both productive and reproductive spheres. Incorporate a gender lens in the formulation of policies and programs, integrating it as a core aspect rather than an incidental addition.

4. Encourage governments to adopt legislation that is attuned to gender considerations, safeguarding women’s interests within the workforce. Ensure equitable working conditions in the private sector for both women and men. Engage women’s groups, workers’ unions, and other civil society organizations in shaping social and macroeconomic policies. In order to facilitate this and ensure the inclusion of women’s voices, it is essential for the IMF to confirm that its programs do not inadvertently contribute to constraining civic engagement.

5. Advocate for gender-responsive budgeting, facilitated through the participation of women-led civil society organizations. This approach empowers governments to allocate adequate resources for the effective implementation of laws, policies, and initiatives that promote gender equality.

Conclusion

In conclusion, the repercussions of IMF-led austerity measures on women’s rights are both profound and complex. The fiscal policies, often underpinned by the ‘cut-to-grow’ approach, inadvertently exacerbate gender disparities and hinder progress toward gender equality. While the IMF has acknowledged the importance of women’s empowerment, its policies, particularly those targeting public sector employment and social spending, can have adverse effects on women’s economic prospects, access to services, and vulnerability to gender-based violence. To truly advance gender equality and uphold human rights, a transformative shift is needed. This entails adopting a more holistic and gender-responsive approach to policy-making, focusing on robust social investment, inclusivity, and equitable distribution of economic burdens. By prioritizing women’s voices and needs, the IMF can play a pivotal role in not only mitigating the negative impact of austerity but also fostering sustainable development that benefits all members of society, irrespective of gender.

Courtesy: Modern Diplomacy

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