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Overview

  • Haiti's economic and social development continue to be hindered by political instability, governance issues, and fragility. With a Gross Domestic Product (GDP) per capita of US$1,149.50 and a Human Development Index ranking of 170 out of 189 countries in 2020, Haiti remains the poorest country in the Latin America and Caribbean region and among the poorest countries in the world.

    The Haitian economy has been battered by multiple shocks since mid-2018. Even before COVID-19 hit, the economy was contracting and facing significant fiscal imbalances. Following a contraction of 1.7% percent in 2019 in the context of the political turmoil and social discontent, GDP contracted by an estimated 3.8% in 2020, as the COVID-19 pandemic exacerbated the already weak economy and political instability.

    Past marginal gains in poverty reduction have been undone by the recent shocks, with current estimates pointing to a poverty rate of nearly 60% in 2020 compared to the last official national estimate of 58.5% in 2012. About two thirds of the poor live in rural areas. The welfare gap between urban and rural areas is largely due to adverse conditions for agricultural production.

    Haiti is among the most unequal countries in the region. The Gini coefficient (based on an income aggregate) was 0.61 in 2012, with the richest 20 percent of the population holding more than 64 percent of the total income of the country, compared to less than 2 percent held by the poorest 20 percent.

    Haiti has made significant progress in controlling cholera, with no laboratory-confirmed cases since 2019. Despite this progress, improvements in human capital have stalled and, in some cases, deteriorated since 2012. Infant and maternal mortality remain at high levels, and coverage of prevention measures (including vaccination and vitamin A supplementation) are stagnating or declining, especially for the poorest households. According to the Human Capital Index, a child born today in Haiti will grow up to be only 45% as productive as they could be if he or she had enjoyed full education and health.

    In addition to the challenges posed by the pandemic and the political stalemate, Haiti remains highly vulnerable to natural hazards, mainly hurricanes, floods and earthquakes. More than 96% of the population is exposed to these types of shocks. Hurricane Matthew, which hit the country in 2016, caused losses and damages estimated at 32% of 2015 GDP, while the 2010 earthquake, that killed about 250,000 people, decimated 120% of the country GDP. Climate change is expected to increase the frequency, intensity, and impacts of extreme weather events, and the country still lacks adequate preparedness and coping mechanisms.

    Last Updated: Apr 26, 2021

  • The World Bank Group Country Partnership Framework (CPF) for Haiti was discussed by the Board of Directors in September 2015 and updated in 2018 through the Performance and Learning Review. It is designed to support the country’s efforts to provide economic opportunities for all its people and to combat poverty.

    Remaining within the broad parameters of the Haiti CPF, the WBG program was adjusted in 2020 to support the Government of Haiti’s response to COVID-19 crises. These adjustments align with the four pillars of the WBG COVID-19 Crisis Response Approach Paper “Saving Lives, Scaling-up Impact and Getting Back on Track,” which include: 1) saving lives; 2) protecting poor and vulnerable people; 3) ensuring sustainable business growth and job creation; and 4) strengthening policies, institutions, and investments for rebuilding better.

    Since April 2020, the Bank has approved several operations and restructured ongoing projects to support the health sector response to save lives, financed social protection measures and cash transfers to protect the poor and vulnerable, as well as initiatives to support food security and livelihoods. The International Finance Corporation (IFC) also provided emergency support to the private sector, for example in the garment sector for production of personal protective equipment for COVID-19 response. In the recovery phase, engagement will focus on strengthening policies, institutions and investments for rebuilding better, with investment operations supporting SMEs and private sector jobs, resilient infrastructure, and digital connectivity.

    WORLD BANK GROUP PROGRAM

    The World Bank's portfolio in Haiti comprises 20 active projects for a total commitment amount of US$915 million as of April 2021. Of this amount, US$874 million is financing from the International Development Association (IDA), complemented by US$40 million from trust funds that support the implementation of these projects.

    The International Development Association (IDA), the World Bank’s fund for the poorest countries, allocated US$260 million for Haiti for the period 2020-2022.

    Haiti has received a fast-tracked US$20 million grant to help address the health emergency of the COVID-19 pandemic.  Another US$20 million grant was approved as budget support financing aimed at increasing Haiti’s capacity to mitigate the impacts of the COVID-19 outbreak and enhance resilience to natural hazards and health-related shocks.

    In addition to this new financing, support has been provided to other critical sectors during the pandemic by reprogramming existing resources, including by activating Contingent Emergency Response Components (CERCs). One CERC has allowed funds to be reallocated under an agriculture project to support food security by safeguarding production for upcoming cropping cycles. A second CERC financed through an Urban development project supported emergency cash transfers to ease some of the economic and social challenges for the most vulnerable.

    An ongoing education project has helped ensure continuity of the school feeding programs despite school closures, and find new methods of remote learning. The ongoing water and sanitation project has ramped up hand washing and hygiene awareness, particularly in high-risk areas like the border crossing, health centers, and marketplaces. More information about the multisectoral response to the COVID-19 crisis is available here. Going forward, the World Bank is also looking at additional initiatives to support the country’s efforts for economic recovery, resilience, and protecting the vulnerable.

    Overall, the urban and resilience sector and the transport sector represents the largest segment of the World Bank portfolio in Haiti, with each 21% of the total financing, followed by the energy and extractives sector at 12%, and the agriculture and food sector with 11% of total financing. Other key areas include, the health, nutrition and population sector with 8%, and the social protection and water sectors, each with 8%. Remaining resources are earmarked for the education, digital development, finance, governance, macroeconomics, and trade and investment, sectors.

    In addition, the International Finance Corporation (IFC) supports the private sector in Haiti. As of March 2021, IFC’s portfolio is comprised of 10 projects with an initial commitment of $154m of which US$29 million has been mobilized from other partners. IFC supports private sector projects in Haiti in the areas of energy, beverages, garment manufacturing, financial markets, and hospitality.

    While supporting the private sector in mitigating the effect of the Covid-19 pandemic and paving the way for a strong recovery, the IFC program aims to increase financial inclusion, create jobs, and facilitate access to sustainable basic infrastructures by making catalytic investments. It also contributes to the development of a competitive and inclusive economy through technical assistance and advisory programs designed to make the business environment more attractive for investors and for micro, small, and medium enterprises. 

    Last Updated: Apr 26, 2021

  • Education 

    • Improved access to quality learning through the delivery of education materials to 50,400 students, 1,800 teachers and 203 directors in 203 public schools and to 9,700 students, 540 teachers and 60 directors in 60 community public schools in Grande-Anse, Nippes, Sud, Sud-Est for school year 2020-2021 through distribution of school kits for all grades;
    • Improved teaching and learning through the provision of trainings to 74 directors and 220 teachers on a scripted reading method for 1st and 2nd year to 54 public schools and 20 non-public schools in Sud, Nippes and Grande-Anse, and on financial management to 610 members of the 203 public schools comittees in the Sud, Sud-Est, Grand'Anse and Nippes departments;
    • Improved access to school through the provision of grants to 57,600 children in 149 public schools and 60 community public schools in the Sud, Sud-Est, Grand'Anse and Nippes departments for school year 2020-2021; 
    • Provided results-based grants to 125 non-public schools serving a total of 33,700 students in the departments of Grand'Anse, Nippes / Fonds-des-Blancs for school year 2020-2021;
    • Improved nutrition through the provision of 1,700,000 school meals and 2,300,000 snacks to 225 public schools and 60 community public schools from September to December 2020, and to an average of 70,000 beneficiaries for school year 2020-2021.

    Health

    • Cholera transmission interrupted, with no new laboratory-confirmed cases since February 2019;
    • Installed more than 500 oxygen concentrators to support COVID-19 patient treatment and an additional 200 are planned to be deployed in health facilities;
    • Delivered more than 3.5 million masks and other personal protective equipment for health workers in the first three months of the COVID-19 pandemic;
    • Improved infrastructure in health facilities, and water and sanitation in more than 180 sites;
    • Expanded of vaccination coverage, resulting in 3.5 million children immunized;
    • Increased prenatal care, with at least four visits for 40% of the women living in the Nord-Est, Centre, Nord-Ouest, and Sud departments last year.

    Water and Sanitation

    • Installed more than 2,100 handwashing stations at critical points in local communities to support response to COVID-19, including markets, border posts, orphanages, prisons, and healthcare centers, repaired priority water systems, and water trucking to areas without access (in partnership with with OREPA and UNICEF);
    • Conducted an awareness-raising campaign on handwashing and hygiene at the onset of the COVID-19 pandemic in collaboration with OREPA and UNICEF;
    • Increased access to drinking water for more than 363,600 people in rural areas and small towns with the construction, rehabilitation, and extension of drinking water supply systems;
    • Provided access to improved sanitation facilities for more than 26,430 people by constructing sanitation blocks in public schools in the South and La Gonave Island, in public markets in the Centre Region, and the north's health center;
    • Supported sanitation strategy through masons training all over the country; procuring mobile material to manual emptier, rehabilitating a wastewater treatment plant in the south, and supporting Potable Water and Sanitation Technicians for the Communes (TEPAC);
    • Initiated a pilot operation for the improvement and protection of priority water springs in Latiboliere, Port Salut, l'Asile, and Bodarie;
    • Provided technical assistance and capacity building to the National Drinking Water and Sanitation Directorate (DINEPA) and the OREPA Sud, Centre, and Nord, especially for unified accounting and the development of a national water and sanitation database;
    • Supported DINEPA to strengthen the ability to plan, program, and budget for the water and sanitation sector.

    Energy

    • Expanded access to electricity for about 233,830 people;
    • Expanded access to electricity with Solar PV systems to about 474 schools, mostly in rural areas;
    • Rehabilitated 4 distribution networks and installed of consumer meters to improve reliability of electricity service in Port-au-Prince;
    • Installed over 1,977 solar streetlamps in priority urban and rural areas;
    • Supported the National Energy Regulation Authority, ANARSE, to improve oversight of the energy sector. 

    Agriculture

    • Supported 12,870 farmers to cope with the economic disruption posed by the COVID-19 pandemic and associated risks to food security. Critical inputs have been provided, including 163 tons of seeds, 1,005 tons of fertilizers and services for land preparation to cultivate 8,790 hectares of land;
    • Individual Technical Packages to support climate and nutrition smart agriculture (e.g: drought tolerant seeds, high nutrition value seeds, agroforestry, soil conservation) for around 20,000 farmers on more than 10,000 hectares;
    • Registered around 150,000 farmers in the National Farmers’ Registry of the Ministry of Agriculture/MARNDR;
    • Identified and registered more than 300,000 cattle;
    • Provided or improved irrigation or drainage services for more than 2,000 hectares of land.

    Disaster Risk Management

    • Contributed through dialogue and technical assistance to the adoption (by Presidential decree on June 5, 2020), of the establishment, organization and operationalization of a National Disaster Risk Management System and the Disaster Risk Management Plan for 2019-2030;
    • Investments made in emergency evacuation shelter infrastructure in the Grand Sud region;
    • Provided technical support to the Civil Protection’s emergency preparedness and response communications campaign for the 2020 Hurricane season, including development of emergency shelter guidelines to integrate COVID-19 considerations;
    • Investments made in large scale flood risk reduction and, and disaster risk analysis incorporated in infrastructure planning in Cap-Haitian and surrounding municipalities;
    • Supported the creation and strengthening of the National Hydrometeorological Unit to provide improved hydro-meteorological and climate information and services customized to the needs of the civil protection;
    • Produced the Rapid Diagnostic of School Infrastructure in Haiti, aiming at better understanding vulnerability of school infrastructure to natural hazards and the impacts of climate change as well as other contributing risk factors.

    Transport

    • Enabled better access to the capital for 500,000 Haitians living in the southeast of the country;
    • Rehabilitated 8 kilometers of road connecting the historic city centers of Cap-Haitian and Labadie;
    • Built back better the Ladigue bridge after Hurricane Matthew, reconnecting over 2 million Haitians in the departments of Nippes, Sud, and Grand'Anse;
    • Stabilized the Marigot-Jacmel and Port-Salut-Les Anglais road network;
    • Reconstructed the Chalon, Dolin, Fauché, La Thème and Boucan Carré bridges with resilient methods;
    • Rehabilitated and protected 210 small bridges, culverts, and road sections;
    • Protected and repaired more than 25 major engineering structures;
    • Purchased 18 emergency bridges to improve the emergency response capacity of Haiti;
    • Rehabilitated 30 kilometers of the most vulnerable rural roads using a spot improvement approach in the Centre and Artibonite Loop Region;
    • Launched the modernization of the air transport sector by approving a 84 million IDA grant that will contribute to critical improvements in safety, resilience, and regulatory oversight of the international airports in Port au Prince and Cap Haitian.

    Regional Development

    • Completed important infrastructure works aimed at supporting the tourism sector and the cultural heritage of Haiti’s northern region, including the public squares of Dondon and Milot, the National Cultural Heritage Institute (ISPAN) documentation center and the Choiseul route that connects to the National Historic Park (PNH-CSSR). Additionally, the works to upgrade the façades of historic streets in the city center of Cap Haïtien are in the construction phase;
    • Implemented the detailed studies for the rehabilitation of the Sans Souci Palace and the Ancienne Capitainerie, while the detailed studies for the rehabilitation of the Citadelle Henri-Ramiers are in the procurement phase;
    • Financed about 30 community sub-projects to promote the safeguarding of cultural heritage.

    Digital development

    • Supported provision of broadband connectivity to four key ministries (MTPTC, MICT, MEF, MSPP) as well as 36 government agencies, including regional offices in 10 regions.

    Last Updated: Apr 26, 2021

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LENDING

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

*Amounts include IBRD and IDA commitments


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