Q: How are World Bank PPIs used for monitoring progress on the UN’s Sustainable Development Goals?
A: They are used for monitoring how far the world has come in achieving no poverty (SDG 1), zero hunger (SDG 2), good health and well-being (SDG 3), quality education (SDG 4), affordable and clean energy (SDG 7), decent work and economic growth (SDG 8), better industry, innovation, and infrastructure (SDG 9), and sustainable cities and communities (SDG 11).
Q: How can it be correct that Haiti’s PPI value (.53) is higher than Brazil’s (.44) and Zimbabwe’s PPI value (.54) is higher than South Africa’s (.50)?
A: The PPI values reflect factors such as income, deflation/inflation, disasters, economic activity, productivity, and regulation so the picture is complex for each country. You may wish to consider the dynamics over time too. Both South Africa and Zimbabwe increased slightly between the 2017 and 2021 data, while Haiti increased significantly and Brazil decreased significantly.
Q: Where can I get more information about the World Bank International Comparison Program?
A: https://www.worldbank.org/en/programs/icp/faq
Q: You describe different banding approaches on page 10. Which is used for the banding example on page 8?
A: The band approaches on page 10 are just examples and the purpose of this table is to illustrate that the use of banding can significantly reduce the proportional uplift that would need to be applied to the current price to maintain current total revenues while introducing equitable pricing for all in a single step. This doesn’t have to be the only way to address the shortfall, but it illustrates the relative magnitude of the issue. A more practical approach might be to gradually implement more equitable pricing for customers over several years. One can also change the band boundaries as has been done in the example on page 8.
