Is the Glass Half Empty Or Half Full?: Issues in Managing Water Challenges and Policy Instruments

Author/Editor:

Kalpana Kochhar ; Catherine A Pattillo ; Yan M Sun ; Nujin Suphaphiphat ; Andrew J Swiston ; Robert Tchaidze ; Benedict J. Clements ; Stefania Fabrizio ; Valentina Flamini ; Laure Redifer ; Harald Finger

Publication Date:

June 2, 2015

Electronic Access:

Free Download. Use the free Adobe Acrobat Reader to view this PDF file

Disclaimer: This Staff Discussion Note represents the views of the authors and does not necessarily represent IMF views or IMF policy. The views expressed herein should be attributed to the authors and not to the IMF, its Executive Board, or its management. Staff Discussion Notes are published to elicit comments and to further debate.

Summary:

This paper examines water challenges, a growing global concern with adverse economic and social consequences, and discusses economic policy instruments. Water subsidies provided through public utilities are estimated at about $456 billion or 0.6 percent of global GDP in 2012. The paper suggests that getting economic incentives right, notably by reforming water pricing, can go a long way towards encouraging more efficient water use and supporting needed investment, while enabling policies that protect the poor. It also discusses pricing reform options and emphasizes an integrated and holistic approach to manage water, going beyond the water sector itself. The IMF can play a helpful role in ensuring that macroeconomic policies are conducive to sound water management.

Series:

Staff Discussion Notes No. 2015/011

Subject:

Notes:

See Also: Technical Note and Infographic:




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English

Publication Date:

June 2, 2015

ISBN/ISSN:

9781484391198/2617-6750

Stock No:

SDNEA201511

Pages:

44

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