CDC Group Releases New Study on Investment and Poverty Reduction

The CDC Group, the UK’s development finance institution, has released a new report examining the relationship between investment and poverty reduction in Sub-Saharan Africa and South Asia. Authored by Gregory Thwaites and Paddy Carter, and employing a series of statistical regressions, the study “shows that higher rates of private investment are associated with faster poverty reduction. It also shows that investment is a more powerful predictor of poverty reduction than two other factors: increases in the prices of primary commodities (from which many lower-income countries derive income) and improvements in ‘institutional quality’.” The full study can be found HERE