India bats for more powers in World Bank

India bats for more powers in World Bank

Champions the cause of developing nations with the financial institution

“We should carry forward the decision taken at Pittsburgh (G-20 meeting) and aim at six per cent shift in voting power to developing and transition countries,” Finance Minister Pranab Mukherjee said at a meeting of the Development Committee of the World Bank in Istanbul.
Ahead of annual IMF-World Bank meetings in the Turkish city, he said such a significant shift in voice for developing countries alone would bring parity in the governance of the World Bank.

Primary criteria

He suggested that economic weight of a country must be the primary criteria in any methodology for any realignment of voting powers in the World Bank. Mukherjee said GDP at Purchasing Power Parity should be the most relevant measure. Instead of economic growth as given in a country’s currency, purchasing power parity measures the GDPs of countries by comparing purchasing power of their respective currencies.Calling for a World Bank specific formula for voting power, he said it should not be linked to IMF. “Developing countries need a reliable lender who can provide adequate financial resources at a stable and cheaper rate,” he said.

Construction sector to face skill shortage; road sector requires Rs 87,440 cr spend

If India is to move in its high growth trajectory over next 8 years, the Indian construction industry is likely to witness a huge shortage of skilled human resources by 55 to 64 per cent, says a new World Bank study reports DHNS from Mumbai.

To meet this demand, the number of civil engineering graduates and diploma holders would have to go up by at least a factor of 3, says a new World Bank study titled: India’s Road Construction Industry: Capacity Issues, Constraints and Recommendations.
Amongst suggestions to improve construction industry the study has recommended a Road Appellate Tribunal for faster dispute resolution.  It also mooted a construction law to improve legal and regulatory environment in the country.  India’s road sector may require an investment of Rs 87,440 crore by 2012 to achieve high growth rate, a latest study of the World Bank said. The study ‘India’s Road Construction Industry: Capacity Issues, Constraints and Recommendations’, said industry capacity to build roads will have to gear up to respond to the increase in demand.