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Industry Investment Rating - The report does not provide a specific investment rating for the industry [1] Core Views - The World Bank Group (WBG) is perceived as a trusted and effective development partner in the Dominican Republic, with significant improvements in key performance indicators compared to FY19 [6][8][13] - Stakeholders value the WBG's technical assistance, financial resources, and knowledge work, with 54% of respondents valuing technical assistance and implementation support the most [56][58] - The WBG's financial instruments are seen as increasingly positive, with respondents agreeing that the WBG insists on accountability and effectively monitors projects [58] Overall Context - Stakeholders in the Dominican Republic are highly familiar with the WBG, with a mean familiarity rating of 7.3, consistent with FY19 [6] - Respondents who collaborate with the WBG reported significantly higher familiarity (8.4) compared to those who do not (5.8) [6] - The WBG is among the most trusted institutions, with trust ratings significantly increasing for most institutions, especially the national government and the Central Bank [8] Development Priorities - Education and skills development remain the top priority for respondents, followed by environment/natural resource management and climate change [27][28] - 37% of respondents identified education and skills development as a priority, while 36% and 33% identified environment/natural resource management and climate change, respectively [29][30] WBG's Engagement and Collaboration - The WBG is increasingly seen as an open, responsive, accessible, and flexible partner, with significant improvements in these areas compared to FY19 [32][33] - Respondents perceived the WBG as collaborating more effectively with the national government, other donors, and civil society compared to FY19 [36][37] - Stakeholders want the WBG to collaborate more with civil society (50%) and provincial/municipal governments (45%) [40][42][44] Financial Instruments and Knowledge Work - 50% of respondents have used the WBG's knowledge work, with those who have used it reporting high satisfaction with its quality [59][60] - The WBG's knowledge work is perceived as contributing significantly to development results, with a mean rating of 8.6 for its contribution to development results [61][64] Future Role of the WBG - Stakeholders suggest that the WBG should engage more with stakeholders, better align with the Dominican Republic's development priorities, and increase financial support [67][68] - Focus areas for the WBG include education, climate change, gender equity, and digital development, with 40% of respondents emphasizing the need for better alignment with local needs [68][69][70][72][73] Communication and Outreach - Respondents prefer to receive WBG communications through events/conferences (56.4%), direct contact with staff (49.3%), and e-Newsletters (44.3%) [96][97] - 70% of respondents recalled hearing or seeing something about the WBG recently, with direct contact, newspapers, and social media being the most common sources [98][99]

Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized REPORT Public Disclosure Authorized ENERGY SUBSIDY REFORM IN ACTION FROM AMBITION TO ACTION Practical Insights on Energy Subsidy Reforms REPORT ENERGY SUBSIDY REFORM IN ACTION FROM AMBITION TO ACTION Practical Insights on Energy Subsidy Reforms Defne Gencer and Beatriz Arizu ABOUT ESMAP The Energy Sector Management Assistance Program (ESMAP) is a partnership between the World Bank and over 20 partners to help low- and mid ...

Investment Rating - The report does not explicitly provide an investment rating for the industry Core Insights - The CEMAC region shows a human capital index ranging from 0.27 to 0.46, indicating that residents achieve between 25% and 50% of their potential [1] - Significant disparities exist within countries, particularly between urban and rural areas, which can be addressed through strategic spending [1] - The report emphasizes the need for increased investment in education, health, and social assistance to strengthen human capital [1] Summary by Relevant Sections Cameroon - The human capital index varies from 0.31 to 0.32 in the East and North-West regions, while the South-West region scores 0.46 [2] - Geographical disparities are evident, with the East, North-West, Adamaoua, and Far North regions performing significantly worse than the Centre, North, Littoral, West, South, and South-West regions [2] Chad - The human capital index ranges from 0.26 to 0.28 across most regions, with N'Djamena scoring the highest [7] - Southern regions face major health challenges, indicated by low survival rates to age 5 [7] Central African Republic - The human capital index is uniform, ranging from 0.28 to 0.30, with the capital Bangui scoring 0.37 [11] - The number of years of schooling in Bangui is significantly higher than in other regions [11] Republic of Congo - The human capital index varies from 0.37 in Likouala and Kouilou to 0.54 in Pointe-Black, with a national average of 0.46 [15] - The Sangha region has the lowest survival probability to age 5 at 88% [15] Recommendations - Prioritize investment in disadvantaged regions to reduce inequalities [17] - Improve access to health and education services through social safety nets [17] - Collect more regional data on human capital dimensions, particularly in Equatorial Guinea and Gabon [17]

Investment Rating - The report does not explicitly state an investment rating for the industry, but it emphasizes the potential for significant economic growth and job creation through industrial decarbonization efforts in Houston. Core Insights - Houston is positioned to lead in industrial decarbonization, leveraging its existing energy infrastructure and workforce to transition towards a low-carbon future [8][18][20]. - The report identifies four primary levers for decarbonization: energy efficiency, electrification, hydrogen substitution, and point-source carbon capture and sequestration (CCS) [11][40]. - The analysis presents three scenarios for decarbonization pathways: Business-as-Usual (BAU), Selective Investment (SI), and Net-Zero (NZ), each with varying levels of emissions reduction and economic implications [43][56]. Summary by Sections Part 1: Houston's Energy Leadership - Texas accounts for over a quarter of the U.S. energy production and has a significant refining and petrochemical capacity, positioning Houston as a critical player in the energy transition [18]. - The region has a history of reducing emissions through renewable energy integration, with coal and gas in ERCOT's generation profile decreasing from 86% in 2001 to 62% in 2023, while renewables increased from under 1% to 27% [8]. Part 2: Assessment of Houston's Industrial Decarbonization Levers - The report establishes a comprehensive emissions baseline for industrial activities in Houston, identifying major sources of emissions and potential reduction opportunities [35][37]. - The four primary levers for decarbonization are identified as energy efficiency, electrification, hydrogen substitution, and point-source CCS, which are crucial for reducing Scope 1 emissions [11][40]. Part 3: Results by Scenario and Lever - The SI scenario predicts over 76 million tons of Scope 1 emissions reductions by 2050 compared to the BAU scenario, with electrification being the most impactful strategy [14]. - The potential economic impacts of industrial decarbonization are significant, with the SI scenario estimating the creation of over 14,000 jobs annually, while the NZ scenario could see nearly 21,000 jobs added each year [14][16]. Part 4: Economic Outcomes of Decarbonization - The report highlights that industrial decarbonization investments will stem from upgrades to existing assets and new projects to meet global demand for decarbonized products [9][12]. - The analysis quantifies the economic growth and emissions reduction benefits achievable through industrial decarbonization, emphasizing the dual benefits of economic prosperity and environmental sustainability [16][29]. Part 5: Houston's Path Forward for Clean Growth - Recommendations for future considerations include leveraging policy support and international demand to drive industrial decarbonization efforts [9][25]. - The report concludes that Houston can maintain its competitive advantages by embracing decarbonization, which aligns with changing consumer preferences and regulatory landscapes [23][29].

Investment Rating - The report does not explicitly provide an investment rating for the Western Balkans region, but it indicates a moderate acceleration in economic growth, suggesting a cautiously optimistic outlook for investment opportunities [26]. Core Insights - Economic growth in the Western Balkans is projected to accelerate to 3.3 percent in 2024, up from 2.6 percent in 2023, driven by stronger domestic demand and expansionary fiscal policies [26][27]. - The region's labor market is improving, with employment reaching a historical high of 48.5 percent in June 2024, although challenges such as labor shortages and skills mismatches persist [26][27]. - The current account deficit is expected to widen to 5.6 percent of GDP in 2024, influenced by sluggish growth in key trading partners and a decline in net services export inflows [28]. Summary by Sections 1. Overview - The Western Balkans economies are navigating a complex environment, with growth expected to rely more on domestic demand than foreign demand in 2024 [26]. - Economic growth is supported by expansionary fiscal policies, rising credit availability, and easing price pressures, leading to increased consumption and investment [26][27]. 2. Growth Acceleration - Growth in 2024 is forecasted to be 3.8 percent for Serbia, 3.4 percent for Montenegro, and 2.8 percent for Bosnia and Herzegovina, with Kosovo also projected to grow at 3.8 percent [26][30]. - North Macedonia is expected to struggle with growth projected at 1.8 percent, reflecting ongoing economic challenges [26]. 3. Employment Trends - The labor market saw the creation of 114,000 jobs between mid-2023 and mid-2024, with Serbia and Bosnia and Herzegovina leading in job gains [26][27]. - Despite improvements, Kosovo's employment rate remains low at 37.1 percent, highlighting regional disparities [26]. 4. Poverty Reduction - Poverty reduction continues but at a slower pace, with an estimated annual decline of about 1 percentage point [26][27]. 5. Fiscal Policies - The average fiscal deficit for the WB6 is expected to increase to 2.5 percent of GDP in 2024, with Serbia maintaining its deficit level while Montenegro experiences the highest increase [27][28]. - Public debt is projected to rise slightly as a share of GDP, driven by increased spending pressures and capital investments [27]. 6. Inflation Trends - Inflation rates have decreased, with regional averages showing a decline from 4.4 percent to 3.2 percent by July 2024, although some countries still report higher rates [27][28]. 7. Financial Stability - Credit growth rebounded in 2024, reaching 9.4 percent in June, with Albania and Kosovo showing significant increases [27][28]. 8. External Sector Dynamics - The current account deficit is expected to widen, with Albania, North Macedonia, and Serbia projected to experience the most significant increases [28][29]. 9. Growth Outlook - The growth outlook indicates a shift towards consumption and investment as key drivers, with export demand remaining muted [28][29]. 10. Spotlight on Migration - Migration remains a significant issue, with nearly one in four people from the Western Balkans residing abroad, impacting labor markets and economic dynamics [29].

Industry Overview - The Western Balkans region, comprising Albania, Bosnia and Herzegovina, Kosovo, Montenegro, North Macedonia, and Serbia, is highly vulnerable to climate change, with cities facing increased risks from extreme weather events such as floods, heatwaves, and droughts [16][17] - Urban areas in the region are particularly affected, with more than half of the population residing in cities that are experiencing rapid urbanization and demographic shifts, including population decline in smaller cities and growth in larger ones [16][31] - The region's cities are characterized by low population density, isolated housing units, and inadequate infrastructure, which exacerbate the risks posed by natural disasters and climate change [16][31] Climate Change Impact on Cities - The frequency of extreme heat events in Western Balkan cities has increased significantly, from 0.09 months per year in the 1990s to 1.32 months per year in 2011-2020, while extreme cold events have declined [44][47] - Both extreme dry and wet weather events have been on the rise since the 2000s, with the average number of extremely dry months increasing from 0.05 in the 1970s to 0.24 in 2011-2020 [51][52] - Cities in the region are more susceptible to natural hazards than their counterparts in the broader Europe and Central Asia (ECA) region, with heat stress, water stress, floods, and wildfires being the primary contributors to climate risk [54][55] Urban Development and Emissions - Urban sprawl in the Western Balkans has led to increased greenhouse gas (GHG) emissions and air pollution, with cities like Niš, Novi Sad, Pristina, and Sarajevo exhibiting unplanned growth patterns that exacerbate these issues [80][81] - Green and blue spaces in cities act as carbon and pollution sinks, but urban sprawl and soil sealing have reduced these areas, negatively impacting the carbon and pollution footprint of cities [82][84] - Poor waste management is a significant issue, with illegal dumpsites and poorly managed landfills contributing to methane emissions and worsening climate hazards such as wildfires [72][74] Resilience and Infrastructure Challenges - Cities in the Western Balkans face significant challenges in building resilience to climate change due to inadequate infrastructure, poor service provision, and high exposure to hydro-climatic hazards [79][92] - Informal settlements in the region are particularly vulnerable to climate risks, with poor-quality buildings and a lack of adaptation infrastructure increasing the risk of flooding, urban heat, and landslides [97][99] - The region's centralized but siloed approaches to disaster preparedness leave cities largely unprepared for large-scale disasters, with limited funding and capacity to address climate-related risks [105][107] Pathways for Sustainable Urban Development - To promote green, resilient, inclusive, and competitive cities, the report suggests revising zoning and land-use regulations, encouraging mixed-use development, and investing in sustainable mobility [19][20] - Nature-based solutions, such as green and blue strategies, are recommended to mitigate climate risks and improve the well-being of vulnerable communities [19][20] - Inclusive pathways involve community engagement, partnership building, and citizen empowerment to address inequality and promote social equity, while competitive pathways focus on private sector involvement and capital mobilization to drive economic growth [19][20]

Industry Overview - The global payments industry handled 3.4 trillion transactions in 2023, accounting for $1.8 quadrillion in value and generating $2.4 trillion in revenue [6] - Payments revenue grew 7% annually from 2018 to 2023, driven by transaction digitization and higher interest rates, but growth is expected to slow to 5% annually through 2028 [6] - Net interest income contributes 47% of total payments revenue, up 3 percentage points from 2021 [8] - Asia-Pacific accounts for nearly half of global payments revenue, with commercial revenues increasing from 60% to 62% of total payments revenue from 2018 to 2023 [11][12] Key Trends Shaping the Industry 1. **Decline of Cash**: Global cash usage is at 80% of 2019 levels and declining 4% annually, with $26 trillion still transacted in cash [16] - Instant payments are rapidly replacing cash in developing markets like India, Malaysia, and Indonesia [18] - In card-dominated markets like the US, cash transactions represent just 5% of consumer payment value [18] 2. **Rise of Instant Payments**: Instant payments are displacing other methods, with two types of markets emerging - card-entrenched (e.g., US, UK) and cash-heavy (e.g., Brazil, India) [19][20] - In the EU, instant payment transactions are expected to grow from 3 billion to 30 billion by 2028, a 50% annual growth rate [21] 3. **Digital Public Infrastructure (DPI)**: DPI initiatives in markets like Brazil, Estonia, and India are catalyzing digital payments through digital ID systems and interoperability [22][23] - India's UPI has been successfully launched in 10 countries, including Singapore and the UAE [25] 4. **Platform Aggregation**: Commerce is aggregating onto platforms like Shopify and Amazon, which process 30% of global consumer purchases [26] - Vertical-specific software solutions captured over 50% of SME spending in the US in 2023 [27] 5. **Transaction Banking Evolution**: Transaction banking is becoming a differentiator for leading institutions, with banks like Citi and HSBC emphasizing these units [31] - Commercial customers are demanding intuitive interfaces and faster integration of bank and corporate systems [31] 6. **Central Bank Digital Currencies (CBDCs)**: Over 90% of central banks are pursuing CBDC projects, with more than 30 pilots launched [33] - CBDCs are expected to set the baseline for digital currency functionality and cost [33] Growth Opportunities - **Cross-Border Payments**: Initiatives like Project Nexus are connecting domestic instant-payment schemes across countries, with 23% of UK SMEs using nonbank providers for cross-border payments [36][38] - **Treasury Management**: The digitization of CFO offices is accelerating, with fintechs like Taulia and C2FO scaling their offerings [39] - **Payouts and Payroll**: Instant payments are enhancing gig economy worker satisfaction and customer loyalty through immediate compensation and refunds [42][43] Challenges and Investments - **Fraud Prevention**: Fraud in online commerce is rising twice as fast as transaction volume growth, with global losses from payment card fraud projected to reach $400 billion over the next decade [44][45] - **Infrastructure Modernization**: Payments players must invest in real-time infrastructure and technology to remain compliant and competitive, with instant payments requiring 24/7/365 availability and enhanced fraud prevention [48][49] - **Regulatory Pressure**: Regulators are intensifying demands for faster, more efficient payment processes while maintaining low costs and increasing consumer protections [51][54]

Investment Rating - The report does not explicitly state an investment rating for the steel industry but emphasizes the growing importance of scrap steel as a critical resource in the transition to greener steel production methods. Core Insights - The steel industry is under pressure to decarbonize, with a focus on reducing CO2 emissions by transitioning from traditional blast furnaces to Direct Reduced Iron (DRI) and Electric Arc Furnaces (EAF) [2][6][9] - The demand for steel is projected to rise, making the decarbonization of steel production essential for achieving sustainability goals [2][5] - The scarcity of clean scrap steel is expected to drive prices higher, highlighting the need for steelmakers to secure sufficient scrap supplies [3][24] Summary by Sections Industry Overview - Steel production accounts for approximately 7% of global CO2 emissions, necessitating urgent action to reduce its carbon footprint [4][6] - The European Union aims to cut CO2 emissions from steel production by nearly 25% by 2030, reflecting regulatory pressures on the industry [2][6] Technological Transition - The shift from blast furnaces to DRI and EAF technologies is crucial for reducing emissions, but it requires significant investments and a reliable supply of competitively priced green energy and scrap steel [3][10][12] - EAF technology is mature, while DRI technology is still developing, with no large-scale hydrogen-powered DRI facilities yet operational [14][15] Scrap Steel Market Dynamics - The report highlights the increasing global competition for scrap steel, particularly clean scrap, as demand grows due to the transition to EAFs [5][24] - In Europe, an estimated annual shortage of 9 million tons of scrap is projected by 2030, which will likely increase prices and competition for supplies [24][25] Investment and Economic Considerations - Meeting the EU's 2030 targets requires an estimated €85 billion in investments, with significant reliance on state subsidies to fund new green steel projects [15][16] - The cost of processing scrap steel is competitive compared to DRI processes, making it an economically viable option for steel production [22][24] Strategic Recommendations - Steel producers are encouraged to build ecosystems and circular economies to secure scrap supplies through partnerships and acquisitions [34][35] - Companies should explore global sourcing for cost-effective scrap, particularly from regions like Africa and Latin America, to meet growing demand [34][35]