This report is a review of the Lesotho's financial system covering: i) the macro-financial environment; ii) safety and soundness of the banking system; iii) non-bank financial institutions; and iv) microfinance and finance for small and medium enterprises. The report was based on data and other information collected during the March 2003 mission.

Urban growth is, in all parts of the
world, inevitable and welcomed. Despite concerns that local
governments will not be able to address those issues
associated with increased urban population, the number of
people living in urban centers will sur-pass those of the
rural population by 2030. Since productivity levels are
consistently higher in urban areas than in rural settings,
this would seem a reason to rejoice since it suggests more

This review of the active portfolio of
World Bank projects aimed at improving urban environmental
quality was carried out during 2002-03 in order to assess
the level of commitment of the institution to urban
sustainability. The review focuses on the contributions of
key sectors to urban environmental improvements, in
particular on those belonging to the Infrastructure
Vice-Presidency, and on how projects are contributing to

Since independence in 1966,
Guyana's economy has gone through a state control of
major productive sectors, and financial institutions -
including controls of prices, credit, and foreign exchange -
to a combination of political/social unrest, with terms of
trade deterioration, and slow economic growth. This led
Guyana to become the fourth poorest country in the Western
Hemisphere, despite its rich endowment in mineral resources,

Successive armed conflicts, which lasted
almost three decades after independence, have devastated
Angola and its economy. However, since the peace accord of
April 2002, Angolans have begun a transition toward national
reconciliation and lasting peace. For the Government of
Angola (GoA), one of the main challenges ahead is to
reconstruct the economy and reunite society after a war that
has left its most visible marks on the millions of displaced

This volume presents a set of Policy
Notes prepared by the World Bank's Brazil Team with
partners during 2002 as a contribution for the debate of
policies by the new federal and state governments elected in
October 2002. The objectives of making these Policy Notes
available to a broader audience is twofold. It could
contribute to the discussion in Brazil and elsewhere about
public policies to be formulated by the Brazilian

This Country Economic Memorandum is the
first economic report in a decade. It gives priority to
updating knowledge about the evolution of social and
economic developments during the 1990s. It reviewareas of
progress in macroeconomic reforms and the lack of success in
governance and institutional reforms. Substantial reforms
were undertaken in this period , but the civil war continued
to have a serious negative impact on Sudan's people and

This Fisheries Sector Approach Paper has
been written in recognition of the mounting challenges that
the World Bank and the developing world face in meeting the
fishery sector-related Millennium Development Goals and the
outcomes of the 2002 World Summit on Sustainable
Development. It augments the Bank's Rural Strategy,
Reaching the Rural Poor, which advocates a holistic approach
to rural poverty reduction, and support for equitable

The author discusses the revolution in
public sector thinking that is transforming the public
sectors of developing and transition countries. Countries
are reconsidering their fiscal systems and searching for the
right balance between central government control and
decentralized governance. Political decentralization has
advanced in most countries. Subnational expenditures in
developing countries as a percentage of total public

The rapid urbanization in many
developing countries over the past half century seems to
have been accompanied by excessively high levels of
concentration of the urban population in very large cities.
Some degree of urban concentration may be desirable
initially to reduce inter- and intraregional infrastructure
expenditures. But in a mature system of cities, economic
activity is more spread out. Standardized manufacturing

How effective are public interventions in addressing significant regional disparities in formal manufacturing concentration in a developing economy? The authors examine the aggregate and sectoral geographic concentration of manufacturing industries for Indonesia, and estimate the impact of factors influencing location choice at the firm level. They distinguish between natural advantage, including infrastructure endowments, wage rates, and natural resource endowments, and production externalities, arising from the co-location of firms in the same or complementary industries.

This article intends to summarize
findings from a study carried out by the author between the
winter of 1995 and spring of 1996 among the Buems on the
Ghana side of the Ghana-Togo border. The objective in this
paper is to identify and discuss the main philosophical
contexts within which the indigenous Buem conflict
management system operates. The paper also assesses the
relevance of these principles to the management of modern