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Higher Education and the World Bank

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hands-on rather than arm's-length. Comparative advantage is created not given ... Strategic planning exercises. Leadership training. Financial management ... – PowerPoint PPT presentation

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Title: Higher Education and the World Bank


1
Higher Education and the World Bank
  • Richard Hopper
  • Education Specialist
  • The World Bank
  • 15 April 2007

2
  • Enrollment trends

3
Enrollment rates by income level (1980-2001)
4
Enrollment rates by region (1970-2001)
5
  • Equity

6
Equity remains a problem
  • Mexico (2005)
  • Only 1 of 15-24 year olds from poorest quintile
    attend tertiary education
  • While 32 from richest quintile attend
  • USA (2005)
  • Only 8.3 of students from the poorest income
    quintile are likely to access top-ranked
    universities
  • While 50 of richest quintile are likely to
    attend
  • France (2005)
  • Only 6 of students from the lowest quintile are
    likely to attend a Grande Ecole
  • While 15 of the middle quintile are likely to
    attend

7
Tertiary Enrollment by Quintile
8
  • Quality

9
Quality and relevance of studies increasingly
important
  • Knowledge-driven economic growth
  • Requires higher labor productivity and an
    increased demand for skilled workers
  • Changes the education and training needs of the
    labor force as skills become obsolete and require
    updating
  • Aging populations and the need for updating
    skills means a more diverse set of clients
    (students) in tertiary education
  • lifelong learning

10
Changes in demand for job skills 1960-1998
Source Autor, Levy, and Murnane (2003) The
Skill Content of Recent Technological Change An
Empirical Exploration, Quarterly Journal of
Economics.
11
Divergence in returns to schooling by education
level in Latin America from Holm-Nielsen et al.
(2001)
12
  • Finance

13
Tertiary education spending relative to GDP, OECD
1998
14
Poor internal efficiency remains a waste of
public resources
  • Proportion of enrolled students who never finish
    their studies
  • 75 in Argentina
  • 60 in Morocco
  • 30 in Australia
  • Proportion of students who graduate on time
  • 13 in Italy

15
Proportion of private enrollment 2003
16
Longstanding challenges
  • How can governments develop a financially
    sustainable tertiary education system in the face
    of expanding demand?
  • How can governments maintain or improve the
    quality of tertiary education under such
    financial pressures?

17
Importance of Science and Technology
18
RD
Science Development and Creation
Design Engineering
Technician Craft Skills Capabilities
Science Use, Operation and Maintenance
Basic Operators Skills and Capabilities
Higher levels require higher-order capacity of
human resources
19
ST Lessons From World Bank Operations
  • Developing human capital is an essential
    pre-requisite for ST capacity building
  • Sustained long-term engagement is key
  • Specific investment loans have better results
    than budget support
  • hands-on rather than arms-length
  • Comparative advantage is created not given
  • Salmon, grapes in Chile
  • Cut flowers in Tanzania
  • Electronics in Korea and Taiwan
  • Interventions work best when grounded in each
    country's own ST and industrial strategy

20
ST Challenges
  • Ability to produce new knowledge (RD) is
    important, yet absorptive capacity of enterprises
    and labor force must be developed spillovers
    are not automatic
  • Few centers of excellence or competition among
    many institutions?
  • Tension between expanding the supply of skilled
    workers and industry demand for skilled workers
  • chicken and egg problem
  • brain drain vs. skill shortage
  • Vietnam
  • supply with limited demand
  • Thailand or Malaysia
  • demand with limited supply
  • Long term commitment
  • ST requires long-term political engagement
  • gt10 years for capacity to affect development

21
Country analysis Korea
22
  • Knowledge economy

23
Economic Revolution
Technological Revolution
Knowledge Economy
New Face of Higher Education
Fast Connected Evolving Quality-driven Agile
Slow Isolated Static Seniority-driven Rigid
New Opportunities
24
Knowledge for Development
  • Tariff and non-tariff barriers
  • Property rights
  • Regulation

1
  • Universal basic education enrollment and
    completion
  • Secondary enrollment, completion and quality
  • Tertiary enrollment, quality, system flexibility
  • Lifelong learning to update skills multiple
    entry points

2
  • Telephone capacity/capita
  • Computers /capita
  • Internet hosts /capita

3
  • Researchers in RD
  • Manufacturing trade as of GDP
  • Scientific articles/million pop.

Innovation System
4
25
Crisis prevention vs. coherent policy
  • Many countries tend to be reactive
  • Lack of national policy debate and framework for
    higher education lead countries to react to
    problems
  • The World Bank helps governments avoid reactive
    practices by developing and implementing higher
    education strategies
  • More flexible systems and institutions
  • Focus on governance, finance (efficiency),
    quality (innovation), and equity

26
State role in strategy development
  • Describing the status quo
  • Identifying issues, diagnosing problems
  • Presenting potential options
  • Engaging stakeholders in dialogue
  • Developing a shared vision
  • Investing in elements that improve
  • Institutional agility
  • Education quality
  • Internal and external efficiency
  • Equity
  • Initiating innovative resource distribution
    mechanisms that focus on organizational behaviors
  • Engaging stakeholders in throughout the process

27
  • Range of World Bank interventions and investments
    in higher education

28
Governance
  • Move from state control to state oversight
  • Encourage private sector development
  • Ease restrictions on private providers
  • Develop reasonable oversight for private sector
    so as not to stifle innovation or growth
  • Maintain equal standards for public and private
    provision
  • Build institutional management capacities at
    public institutions in support of greater
    autonomy
  • Governing board development and training
  • Accountability systems (stakeholder / civil
    society membership)
  • Strategic planning exercises
  • Leadership training
  • Financial management / procurement capacity
  • Management information systems
  • Curriculum reviews and revisions
  • Human resources management
  • Modular academic programs (LMD, credit systems,
    lifelong learning)
  • Admissions reform (entrance exams, etc.)
  • Civil service adjustment

29
Finance
  • Investment budget mechanisms
  • Formula funding
  • Bloc grants
  • Competitive funding
  • Linked to quality improvements or government
    priorities
  • Research funding
  • Recurrent budget mechanisms
  • Performance-based financing
  • Demand-side financing
  • Student loans
  • Vouchers, scholarships
  • Cost recovery mechanisms

30
Quality
  • Centers of excellence
  • Quality assurance systems (accreditation)
  • Establish quality assurance systems
  • Reform existing quality assurance systems
  • Develop institution-level quality practices
  • Develop professional licensing capacity
  • Link financing to quality assurance
    determinations
  • Develop benchmarking capacity
  • Develop system and institution performance
    indicators
  • Develop measurements for student learning
    outcomes
  • Encourage mutual recognition systems
  • Faculty training and upgrading of skills to
    improve pedagogy, teaching methods, student
    learning
  • Develop competency frameworks

31
Efficiency and equity
  • Expansion of private sector
  • With parallel finance innovations
  • Efficiency gains in public sector
  • Double sessions
  • Repetition reduction
  • Non-university tertiary education
  • Develop pathways to link technical vocational
    education with university education
  • Distance education, non-traditional learning
  • University partnerships and sandwich programs
  • Labor market observatories
  • Graduate tracer surveys
  • Support public-private partnerships between
    universities and industry

32
Infrastructure
  • Post-conflict reconstruction
  • Leverage as opportunity to rethink pre-existing
    system
  • Construction of new institutions
  • Installation or upgrading of information
    technology

33
Science and technology
  • Millennium Science Initiatives
  • Universities and research institutes
  • Science and technology projects
  • Universities, research institutes, industry
  • Agricultural technology investments
  • Private sector development investments

34
World Bank Lending for Tertiary Education by
Region, Fiscal 1990 2006
35
Ten Largest Borrowers for Tertiary Education,
Fiscal 1990 2006
36
World Bank Lending for Tertiary Education by
Region, Fiscal 2001 2006
37
Ten Largest Borrowers for Tertiary Education,
Fiscal 2001 2006
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