Overview

  • Haiti is extremely vulnerable to natural hazards, with more than 90 percent of the population at risk. The southern peninsula is still rebuilding after Hurricane Mathew, a natural disaster that caused damages equivalent to 32 percent of GDP.

    Nevertheless, the country has taken significant steps to prepare for these inevitable natural disasters. While Hurricanes Irma and Maria skirted the island of Hispaniola, initial assessments show that the Haitian authorities were better prepared and had incorporated lessons learned from the experience with Hurricane Matthew.

    Haiti remains the poorest country of the Americas: based on the most recent household survey (2012), over 6 million of Haiti’s population of 10.4 million (or 59 percent) live below the national poverty line of US$2.41 per day, and more than 2.5 million (24 percent) fall below the national extreme poverty line (US$1.23 per day). Haiti is also one of the most unequal countries in the world, with a Gini coefficient of 0.61 in 2012.

    The economic growth rate should show a modest increase from 1.2 percent in 2016-2017 to 1.6 percent in 2017-2018, owing primarily to the performance of the agricultural sector. However, the gourde has continued to depreciate against the US dollar and inflation remains high.

    Faced with a drop in concessional financing from Venezuela and the decline of donor funding, the Government agreed in 2017, within the framework of the IMF program for the promotion of effective management, to eliminate fuel subsidies as a strategy to preserve fiscal sustainability and enhance the provision of public services. Nevertheless, the Government’s attempt on July 6, 2018 to eliminate the subsidies led to violent demonstrations that caused the authorities to put an end to the reform. The continued use of subsidies will have an impact on the country’s fiscal balance and may result in a drop in social expenditure while limiting the Government’s capacity to provide public goods and services.

    Last Updated: Sep 21, 2018

  • The World Bank Group Country Partnership Framework for Haiti was validated by the Board of Directors in September 2015. It is designed to support the country’s efforts to provide economic opportunities to all its people and to combat poverty. In the context of the rapid reduction in international aid and the drop in concessional financing, the objectives of the Framework are to strengthen institutions and government capacity, and enhance public financial management. The Framework is based on three priority pillars and one cross-cutting pillar on governance:

    • Promote inclusive growth by creating greater economic opportunities, particularly outside of Port-au-Prince, by strengthening access to energy, developing renewable energy, facilitating access to financing and promoting the competitiveness and productivity of the private sector through the development of public and private energy and port infrastructure. 
    • Strengthen human capital and access to services by improving primary education and maternal and child healthcare, while extending access to water and sanitation in the communes most affected by cholera and implementing preventative healthcare and treatment measures. 
    • Improve capacity to adapt to climate shocks, by strengthening capacity to respond to disasters and protecting a greater number of Haitians through investments in mechanisms to combat flooding as well as in other climate-resilient infrastructure projects, including drainage systems, reinforced bridges and all-weather roads.
    • Strengthen governance to improve State effectiveness by investing in mechanisms to promote transparency and accountability, including accountability within the framework of public financial management, strengthen institutions and government capacity to generate key data and adopt policies based on reliable data; and, finally, to enhance government capacity to finance the provision of basic services.

    The World Bank’s portfolio in Haiti now stands at $728.67 million and covers 16 active projects. With over 24 percent of the allocated resources, the transport sector is the largest recipient of World Bank funding, followed by the social, urban and resilience sectors with almost 17 percent, the energy sector with 14 percent, the health sector with 13 percent, the agricultural and environmental sector with 12 percent and the water and sanitation sector with 12 percent. The remaining resources are earmarked for the education, governance, trade and competitiveness sectors.

    This sum ($728.67 million) includes the $100 million that was mobilized after Hurricane Mathew, within the framework of the IDA’s Crisis Response Window (CRW), to provide additional financial support to agriculture, health, water and sanitation as well as for transport and disaster risk management. The implementation of these 16 projects is supported by various trust funds totaling over $91 million in additional resources.

    The envelope allocated to Haiti under the Eighteenth Replenishment of IDA (IDA-18, which covers the 2017-2020 period) totals $260 million (compared to $120 million under IDA-17). This funding allocation may be strengthened by contributions from global trust funds.

    Support to the Private Sector

    The investment climate in Haiti is constrained by a number of factors related to the business climate, the availability of land, and property rights, as well as by the level of access to basic infrastructure, logistical and financial services and capacity issues. IDA resources finance tourism development in the northern region, the transportation networks and market infrastructure in the central and Artibonite regions, the development of regional value chains in each of the 10 departments, and technical assistance for financial inclusion.

    In addition to IDA activities, the World Bank Group also supports the Haitian private sector through the International Finance Corporation (IFC).

    The IFC strategy in Haiti is twofold:

    • In the immediate term, and notwithstanding the obstacles facing the country in these areas, to create jobs, facilitate access to basic infrastructure and financial services, and create revenue sources by making investments that have a catalytic effect;
    • To contribute to the development of a sustainable and inclusive economy through advisory programs designed to promote problem solving and enhance the climate for investors and for micro, small and medium enterprises.

    The IFC portfolio in Haiti stands at $117 million, of which $51 million has been mobilized from other partners. IFC provides support to a number of large private sector projects in Haiti in the areas of energy, water, transport, manufacturing, financial markets and the hotel industry. These investments and IFC’s advisory services program in Haiti have helped generate 8,000 jobs and preserve 5,000 others, as well as provide water and clean energy at affordable prices and strengthen the competitiveness of the real economy.

    By virtue of these advisory programs with the private sector and the Government, IFC helps promote access to financing, public-private partnerships, an improved investment climate and mechanisms to strengthen the productivity of small and medium enterprises. Notably, these programs have provided support for the training of some 3,000 entrepreneurs and managers (45 percent of whom are women) through the vehicle of the Haitian Development Finance Corporation (SOFIHDES) and facilitated insurance coverage against natural disasters for 60,000 micro entrepreneurs within the framework of the MiCRO Project. 

    Last Updated: Sep 21, 2018

  • The World Bank Group has helped Haiti make significant progress in a variety of areas: education, health, water and sanitation, energy, agriculture, regional development, disaster risk management, infrastructure, private sector growth, capacity building in the area of statistics, and public financial management.

    The following is an overview of the results obtained:

    Education

    • Over 480,000 tuition waivers were financed in over 1,000 schools;
    • Over 3,500 teachers were trained under the Accelerated Initial Training Program and 220 teachers across the 61 community-managed public schools received support and payments. 2,400,000 hot meals and 2,400,000 snacks were served in 61 schools to over 20,500 pupils during the 2017-2018 school year;
    • 91 schools or semi-permanent structures were built or rehabilitated following the passage of Hurricane Matthew in October 2016;
    • Over 4,000 items of school furniture and 18,000 school kits were provided to a number of schools impacted by Hurricane Matthew;

    Health

    • Treatment and health education and cholera prevention training for more than four million persons;
    • Extension of the epidemiological surveillance network and patient sample transport system to ensure that the entire country is covered;
    • Reestablishment of the cold chain in the country’s southern region following the passage of Hurricane Mathew; financing of all routine vaccines at the national level for the years 2016 and 2017 and of the special diphtheria vaccination campaign for the years 2017 and 2018;
    • Increase in access to prenatal care  (at least four prenatal care visits) for over 39 percent of women living in the Nord-Est, Centre, Nord-Ouest and Sud departments;
    • Cholera training for more than 6,000 health and hygiene officers and other medical personnel;
    • Decline of fatality rate for patients hospitalized with cholera to 0.99 percent. The fatality rate was in excess of 1 percent in 2015;

    Water and Sanitation

    • Improved access for 270,000 persons to safe drinking water through emergency interventions;
    • Construction, rehabilitation and expansion of safe drinking water supply systems in Anse-à-Pitres (Sud-Est), La Gonave (Ouest) and several sites in the Sud and Centre departments;
    • Support to build the institutional and project management capacity of the Direction nationale de l’eau potable et de l’assainissement (DINEPA), Haiti’s water and sanitation authority;

    Energy

    • Access to electricity for more than 184,000 persons;
    • Access to electricity for over 500 rural schools;
    • Support from the Government to set up the “Energy” Unit to improve oversight of the operations of sector companies;
    • In the aftermath of Hurricane Matthew, rehabilitation of the electricity infrastructure and restored access to electricity for more than 200,000 persons in the cities of Cayes and Jérémie;

    Agriculture

    • Grants and the establishment of farmer field schools for the benefit of 6,000 farmers, more than 45 percent of whom are women;
    • Approximately 12,000 persons, 50 percent of whom are women, belonging to over 60 farmer organizations in the Nord, Nord-Est and Sud departments benefited from the program to build the technical and financial capacity of rural producer organizations;
    • Vaccination of almost two million head of cattle against anthrax;
    • Identification and registration of nearly 250,000 head of cattle that received veterinary care and a vaccination certificate in a computer database, to combat livestock theft;
    • More than 20,000 farmers registered in the national farmers’ register;

    Regional Development

    • Almost 35,000 residents in northern Haiti are benefiting from the Cultural Heritage Preservation and Tourism Sector Support Project, thanks to improved infrastructure, economic opportunities and assistance with the organization of cultural events;
    • Renovation of the National Historic Park, which includes the Citadelle Henri, Palais Sans Souci, Chapelle Sans Souci and the Ramiers buildings, is under way;

    Disaster Risk Management

    • Complete coverage of the national territory by a LiDAR-based digital terrain model, high-resolution aerial photography and a high-resolution flood model available online at “haitidata.org”;
    • A diagnostic study of risk management conducted in key institutions and line ministries;
    • Support provided to establish over 140 commune-level protection committees and build their capacity in emergency planning and management;

    Infrastructure

    • Rehabilitation of eight kilometers of roads linking the historic city center of Cap-Haïtien to Labadie;
    • Construction of the Ladigue bridge in the post-Matthew period to connect the Ouest, Nippes, Sud and Grand’Anse departments and restore access for more than two million Haitians;
    • Repair of the road linking Port-au-Prince to Jacmel, restoring access to the capital for a half million Haitians living in the south;
    • Construction and rehabilitation of 10 small bridges and gutters;
    • Protection and rehabilitation of sturdy roads and bridges, with the rebuilding of the Chalon, Fauch, Dolin Maniche and Boucan Carré bridges;
    • Stabilization of the Marigot-Jacmel and Port-Salut-Les Anglais main roads;

    Technical Assistance

    In adition to investments in the form of projects in various sectors, the World Bank is also providing a technical assistance package to:

    • Conduct in-depth diagnostic assessments in certain sectors or on certain issues, to help build a solid analytical base for national policy making;
    • Strengthen the technical and institutional capacity of ministries and government institutions;
    • Support the implementation of projects and identify new sectors for intervention on the basis of challenges.

    Last Updated: Sep 21, 2018

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LENDING

Haiti: Commitments by Fiscal Year (in millions of dollars)*

*Amounts include IBRD and IDA commitments


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Additional Resources

Country Office Contacts

USA +1 202 458 2656
1818 H Street NW, Washington, DC 20433
cchapoy@worldbank.org