Professional Documents
Culture Documents
Paulo de Sa
Practice Manager
Energy & Extractives Global Practice
The World Bank Group
January 13, 2015
Agenda
The World Bank Group: Who we are and What do we do?
Global Mining Industry Issues and Challenges
How can Mining Contribute to Socioeconomic and Human
Development? Three Channels for Action:
Revenue Mobilization
Sound Macroeconomic Management
Inclusive Growth
Evaluating Minings Contribution: The case of SubSaharan Africa
Mining Contribution to Socioeconomic
and Human Development
International
Development
Association
International Finance
Corporation
Multilateral Investment
and Guarantee Agency
Est. 1945
Est. 1960
Est. 1956
Est. 1988
Role: To promote
institutional, legal
and regulatory reform
Clients:
Governments with
per capita income
between $1,025 and
$6,055.
Products:
MIGA
IBRD
-Technical assistance
- Loans
- Policy Advice
To promote
institutional, legal
and regulatory reform
Governments of
poorest countries
with per capita
income of less than
$1,025
- Technical assistance
- Interest Free Loans
- Policy Advice
IFC
To promote private
sector development
To reduce political
investment risk
Private companies in
member countries
Foreign investors in
member countries
- Equity/Quasi-Equity
- Long-term Loans
- Risk Management
- Advisory Services
- Political Risk
Insurance
$200
$0
FY05
FY06
FY07
FY08
FY09
IBRD/IDA
FY10
IFC
FY11
FY12
FY13
FY14
MIGA
Europe and
Central Asia, 4%
Industrial Ores,
12%
Iron, 43%
LAC, 16%
Gold, 17%
Sub-Saharan
Africa, 78%
Diamonds, 18%
Ending
Extreme
Poverty
Developing
Local Supply Chains
Sharing extractives-related
infrastructure
Sharing Extractives-related
Infrastructure
Fostering
trade and foreign
direct investment
Fostering Trade & Foreign
Direct Investment
Adequate Governance
Capacity & Institutions
Transparency
Community
Engagement
Boosting
Shared
Prosperity
Robust E&S
Mitigation
10
Resource Exports
(Average, 2005 - 2010)
11
12
1/ Fiscal:
Optimizing revenue mobilization
Mining
Contribution to
Socioeconomic
and Human
Development
2/ Macroeconomic:
Avoiding the resource curse
3/ Contribution to Social and Human
Development through Inclusive Growth
13
Mining
Contribution to
Socioeconomic
and Human
Development
14
Macroeconomic Route
2/ Macroeconomic - Avoiding the resource curse:
Mining
Contribution to
Socioeconomic
and Human
Development
15
Mining
Contribution to
Socioeconomic
and Human
Development
16
17
18
19
19
Global activities:
Global community of practice for
sustained professional learning
Development of guidance notes and toolkits for design and implementation of
LCPs
Knowledge exchange, Advocacy and
Promotion
20
Remote sensing
Satellite data
Geophysical
(geo-database)
Geological Data
(geo-database)
KEY DELIVERABLE from AMGI
(at 1:50k to 1:100k scale density)
A new initiative
chaired by the
African Union
Commission
aiming at
making geodata accessible
to a global
audience in
Africa.
Cadaster Linked to
geological mapping
(rural land titling) with
mineral inventory and
concession DB/cadaster
21
Guinea
Uganda
US$8-10 bn in oil
investments
US$50 bn in oil
export revenue
Tanzania
Ghana
US$20 bn in
investments in
extractives & related
infrastructure
Cameroon
US$8-10 bn in oil
investments
US$40 bn in export
revenue
US$20 bn investment
in LNG
Possible US$2bn in
govt revenue p.a.
Mozambique
22
23
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They also posted consistently higher rates than the world average.
Source: UNDP, 2012
25
Health
35
25
Mining
30
Non-Mining
20
Non-Mining/Oil
25
World
15
20
15
10
10
5
0
1990-2000
2000-2010
2007-2011
1990-2000
2000-2010
2007-2011
26
Progress in Governance
Mining dependent low- and lower-middle income SSA countries are closing the
governance gap at a higher rate than their regional cohorts, except for government
effectiveness.
Moreover, contrary to resource curse theory, higher increased dependence on
mining did not result in deteriorating governance.
SSA Low- and Lower-Middle Income Countries
Voice Accountability (V), Political Stability (S) and
Government Effectiveness (E) (% Change)
1996-2003
2003-2010
V
Mining
9.9
8.6
7.9
7.1
3.1
-3
NonMining
9.5
3.7
-5.9
-4.5
-0.4
NonMining/
Oil
5.4
-5.9
-3.7
World
-0.4
2.5
-1
1.2
Mining
3.5
8.7
-0.4
6.1
4.6
6.8
-2.4
NonMining
1.2
-0.6
-3.5
-2.3
-2.9
-3.5
-3.5
0.5
NonMining
/Oil
-0.9
-0.6
-4
-4.4
-6.5
-4
1.2
1.2
World
27
12
Angola
10
Mineral rich
Oil rich
Chad
Sierra Leone
Mozambique
Sudan
Ghana
Namibia
Nigeria
Tanzania
Mali
Botswana
Zambia
Mauritania
Burkina Faso
DRC
Cameroon
Gabon
0.5
1H D I
G1.5r o w t h2 %
2.5
3.5 3.5
28
29
Thank you!
30