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### "Pro-Poor Growth: Enhancing Transport Infrastructure for Poverty Reduction" ###

This document examines the critical role of transport infrastructure in driving pro-poor growth and poverty reduction. It outlines strategies for improving infrastructure efficiency, ensuring poor populations benefit from economic growth, and leveraging transport as a means to enhance market access. Citing historical perspectives on transport's impact on growth, the document reflects on challenges faced in making transport services more accessible and efficient for the disadvantaged. Key principles guide the coordinated efforts of donors and stakeholders aimed at bolstering infrastructure investments for sustainable outcomes. ###

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### "Pro-Poor Growth: Enhancing Transport Infrastructure for Poverty Reduction" ###

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  1. PRO-POOR GROWTH Linkages to transport infrastructure Mikael SöderbäckDevelopment Co-operation Directorate

  2. TRANSPORT AS A BARRIER TO GROWTH AND POVERTY REDUCTION 1994

  3. TRANSPORT: THE PATTERN OF GROWTH 1997 "Good roads, canals and navigable rivers....... the greatest of all improvements” Adam Smith, An Inquiry into the Nature and Causes of the Wealth of Nations, 1776

  4. OECD/DAC POVERTY REDUCTION NETWORK (POVNET) 2003-2006 ECONOMICConsumptionIncomeAssets Focus on the economic dimension of poverty

  5. WHAT IS PRO-POOR GROWTH? A pace and a pattern of growth that enhances the ability of poor people to participate in, contribute to and benefit from growth. “Promoting Pro-Poor Growth”, March 2006

  6. WHAT IS PRO-POOR GROWTH? Annual change in poverty headcount (%) On average 1% GDP growth reduced income poverty by about 1,7% 8 - 8 - 4 Annual GDP per cap. growth (%) - 10 Data from OPPG country case studies early (1990s to early 20000s)

  7. WHAT IS PRO-POOR GROWTH? Annual change in poverty headcount (%) 1% GDP growth resulted in between 0.7% and 2.4% reduction in poverty 8 - 8 - 4 Annual GDP per cap. growth (%) - 10 Data from OPPG country case studies early (1990s to early 20000s)

  8. TASK TEAM ON INFRASTRUCTURE The Four Guiding Principles: • Use partner-led frameworks as a basis for coordinated donor support • Enhance infrastructure’s impact on poor people • Improve management of infrastructure investment to achieve sustainable outcomes • Increase infrastructure financing and use all financial resources efficiently

  9. TRANSPORT: THE PATTERN OF GROWTH • The curse of remoteness • Infrastructure and inequality • Market access • Risk and vulnerability

  10. CHALLENGES TO TRANSPORT How to make existing transport service markets work better for the poor?

  11. CHALLENGES TO TRANSPORT Klein et. al. 1994 “Back to the future” How to improve efficiency of existing transport utilities?

  12. CHALLENGES TO TRANSPORT Infrastructure back on the development agenda: how to avoid the old mistakes?

  13. THE END OF THE BEGINNING ... Thank you! www.oecd.org/dac/poverty

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