Development Research Group

The 7th World Bank/ODI Global/IFS Public Finance Conference is now accepting paper submissions! Submit your paper and join leading researchers and policymakers in London this September 2025 to discuss cutting-edge public finance research. The organizers invite submissions across all areas of public finance, including Tax Policy and Administration; Subsidies and Compensation / Wage Bill Reforms; Political Economy of Fiscal Reforms; Public Financial Management, Public Goods Provision, and Procurement; and Cash Transfers, Social Protection and other Poverty Alleviation, and Inequality Reduction Programs.

📅 Submission deadline: May 15, 2025

A new report from the World Bank Group, Financing Firm Growth: The Role of Capital Markets in Low- and Middle-Income Countries, explores the surge in capital market financing in low- and middle-income countries from 1990 to 2022. Drawing on data from nearly 80,000 firms worldwide, the study shows how capital markets have been a key driver of investment and job creation in developing countries.

The accompanying Capital Markets Portal enables users to compare capital market financing at country, regional, or income levels against selected benchmarks through dynamic graphs and maps.

In many developing countries, tax policy is often driven more by pragmatism rather than the pursuit of optimal outcomes. Barriers such as informality, low tax capacity, political roadblocks, and limited data analytics often result in inefficient and inequitable tax structures that persist over time.

On April 7, 2025, Dario Tortarolo discussed how new data-driven approaches are reshaping how governments design and evaluate tax systems in real time, enabling policymakers to move beyond educated guesses toward informed, evidence-based decisions.

Development doesn’t happen by chance—it happens where the right foundations exist. When countries invest in strong physical and digital infrastructure and put sound regulations in place, they create the conditions for inclusive job markets and productive private sectors.

This edition of Research Insights highlights four sets of findings on how the right infrastructure investments—paired with effective enabling policies—can support these goals.