The Graduate Program in Economic Development at Vanderbilt University

The book argues that poor countries, especially those in Sub-Saharan Africa, can potentially raise tens of billions of dollars annually through innovative methods of raising market-based development finance: securitization of future-flow receivables; diaspora bonds; and GDP-indexed bonds. It also highlights the role of sovereign ratings in facilitating access to international markets.

Developing countries need additional, cross-border capital channeled into their private sectors to generate employment and growth, reduce poverty, and meet the other Millennium Development Goals. Innovative financing mechanisms are necessary to make this happen. Innovative Financing for Development is the first book on this subject that uses a market-based approach. It compiles pioneering methods of raising development finance including securitization of future flow receivables, diaspora bonds, and GDP-indexed bonds. It also highlights the role of shadow sovereign ratings in facilitating access to international capital markets. It argues that poor countries, especially those in Sub-Saharan Africa, can potentially raise tens of billions of dollars annually through these instruments.

The chapters in the book focus on the structures of the various innovative financing mechanisms, their track records and potential for tapping international capital markets, the constraints limiting their use, and policy measures that governments and international institutions can implement to alleviate these constraints.

"This book will help better our understanding of development finance..."  
M. Yunus, Nobel Laureate

AUTHORS

Suhas Ketkar

Visiting Professor, Vanderbilt University

Ketkar is a recognized expert on the emerging markets of Asia, Europe, and Latin America. He is currently Professor of Economics and Director of the Graduate Program in Economic Development at Vanderbilt University. Previously he worked as a financial economist and strategist for 25 years with several Wall Street firms including RBS Greenwich Capital, Credit Suisse First Boston, Marine Midland Bank, and Fidelity Investments.

Dilip Ratha

Lead Economist, Migration and Remittances Team, Development Prospects Group, World Bank

Mr. Ratha's work reflects a deep interest in financing development in poor countries. He has been working on emerging markets for nearly two decades while at the World Bank and prior to that, at Credit Agricole Indosuez, Singapore; Indian Institute of Management, Ahmedabad; the Policy Group, New Delhi; and Indian Statistical Institute, New Delhi.

LINKS:

Buy the Book on line from Infoshop
Book Launch and Panel Discussion
About Professor Suhas Ketkar
The book on Google Book
Book Presentation (856 kB)