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Slovakia

Commitment to Development Index 2012

Slovakia David Roodman and Julia Clark

The Commitment to Development Index (CDI) ranks 27 of the world’s richest countries based on their dedication to policies that benefit poor nations. Looking beyond standard comparisons of foreign aid flows, the CDI measures national policies in seven areas that are important to developing countries: aid, trade, investment, migration, environment, security, and technology. This report reviews Slovakia’s performance on the 2012 CDI. For more details, visit cgdev.org/cdi.

Denmark Norway Sweden Luxembourg Austria Netherlands Finland New Zealand United Kingdom Portugal Canada Germany Belgium France Spain Australia Ireland Switzerland United States Italy Greece Hungary Slovakia Czech Republic Poland Japan South Korea

Overall Score

Slovakia’s 2012 CDI Performance n Overall rank 2012: 23 n Overall score 2012: 3.8 Slovakia ranks 23rd overall in 2012. Slovakia is rewarded for its strong environmental policies, including zero fossil fuel production, no fishing subsidies, and a high level of reporting compliance for multilateral environmental agreements. Compared with other CDI countries, it has relatively low subsidies for domestic agriculture production. Still, Slovakia gives only a small amount of its GDP in foreign assistance, provides meager support to initiatives that promote transparency in extractive industries, bears a small share of the refugee burden during humanitarian crises, and commits few resources to research and development.

Slovakia’s CDI Performance, 2012 Aid Trade Investment Migration Environment Security Technology Overall

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www.cgdev.org/cdi

4

8

12

16


Slovakia Country Report

Aid

Aid quality is just as important as aid quantity, so the CDI measures gross aid as a share of GDP adjusted for various quality factors: it subtracts debt service, penalizes “tied” aid that makes recipients spend aid only on donor goods and services, rewards aid to poor but relatively well-governed recipients, and penalizes overloading poor governments with many small projects.

n Score: 0.8 n Rank: 26

Investment

Rich-country investment in poorer countries can transfer technologies, upgrade management and create jobs. The CDI includes a checklist of policies that support healthy investment in developing countries.

n Score: 2.9 n Rank: 26 Strengths - No restrictions on pension fund investment in emerging markets

Weaknesses - Low net aid volume as a share of the economy (0.08%; rank: 26) - Large share of aid to less poor and worse-governed recipients (selectivity rank: 21) - Allows project proliferation; small average project size (rank: 20) - Fails to report tied aid (rank: 24)

Weaknesses - Loopholes in domestic legislation permit bribe payers to circumvent the OECD Convention - Weak leadership in extractive industry transparency initiatives

Migration

Trade

International trade has been a force for economic development for centuries. The CDI measures trade barriers in rich countries against exports from developing countries.

The movement of people from poor to rich countries provides unskilled immigrants with jobs, income and knowledge. This increases the flow of money sent home by migrants abroad and the transfer of skills when the migrants return.

n Score: 5.8 n Rank: 8

n Score: 0.6 n Rank: 27

Strengths

Weaknesses

- Low tariffs on textiles (6.4% of the value of imports; rank: 3) - Low tariffs on apparel (6.4% of the value of imports; rank: 3) - High level of manufactures imports from poorer countries (10.1% of GDP per capita; rank: 4) - Low agricultural subsidies (equivalent to a tariff worth 8.8% of the value of imports; rank: 8)

Center for Global Development

- Small share of foreign students from developing countries (22.6%; rank: 26) - Bears small share of the burden of refugees during humanitarian crises (rank: 23) - Tuition for foreign students higher than for nationals

Slovakia Country Report

www.cgdev.org/cdi


Environment

Rich countries use a disproportionate amount of scarce resources, and poor countries are most vulnerable to global warming and ecological deterioration, so the CDI measures the impact of policies on the global climate, fisheries, and biodiversity.

n Score: 8.3 n Rank: 1

Technology

Rich countries contribute to development through the creation and dissemination of new technologies. The CDI captures this by measuring government support for R&D and penalizing strong intellectual property rights regimes that limit the dissemination of new technologies to poor countries.

n Score: 2.6 n Rank: 27

Strengths - No fishing subsidies (rank: 1) - High gas taxes ($1.46 per liter; rank: 2) - GDP growth exceeded growth in greenhouse gas (GHG) emissions over the past decade (average annual GHG growth rate/GDP, -5.52; rank: 2) - Low greenhouse gas emissions and fossil fuel production rate per capita (7.3 tons of carbon dioxide equivalent; rank: 5) - Excellent compliance with mandatory reporting requirements under multilateral environmental agreements relating to biodiversity (rank: 2)

Security

Strengths - Will force patent holders to license to meet social needs - Provides patent exceptions for research purposes

Weaknesses - Low government expenditure on R&D (rank by share of GDP: 27) - Low tax subsidy rate to businesses for R&D (rank: 21) - Pushes to extend intellectual property rights in bilateral trade treaties (“TRIPS Plus” measures) that restrict the flow of innovations to developing countries - Does not revoke unused patents

For More

Since security is a prerequisite for development, the CDI rewards contributions to internationally sanctioned peacekeeping operations and forcible humanitarian interventions, military protection of global sea lanes, and participation in international security treaties. It also penalizes arms exports to poor and undemocratic governments.

Visit cgdev.org/cdi for the complete 2012 edition of the Commitment to Development Index. There, you can explore the numbers with our interactive graphing tool, view additional publications and background papers, and dive deeper into the CDI methodology by downloading our data and code.

n Score: 5.5 n Rank: 10 Strengths - Significant personnel contributions to UN-sanctioned peacekeeping operations over last decade (rank by share of GDP: 4)

Weaknesses - Low personnel contributions to internationally-sanctioned, non-UN peacekeeping and humanitarian interventions over last decade (rank by share of GDP: 24) - Has not ratified the Convention on Cluster Munitions (CCM

Center for Global Development

Slovakia Country Report

www.cgdev.org/cdi


Commitment to Development Index 2012 Country Denmark Norway Sweden Luxembourg Austria Netherlands Finland New Zealand United Kingdom Portugal Canada Germany Belgium France Spain Australia Ireland Switzerland United States Italy Greece Hungary Slovakia Czech Republic Poland Japan South Korea

Rank 1 2 3 4 5 6 7 8 9 10 11 11 13 13 15 15 17 18 19 20 21 22 23 24 25 26 27

Aid 11.5 13.0 12.6 13.0 3.1 9.5 6.6 3.3 6.8 3.1 5.0 3.9 6.4 4.2 4.0 4.3 7.5 5.2 3.2 1.3 1.6 0.8 0.8 1.1 0.7 1.6 1.0

Trade 5.3 1.1 5.8 5.3 5.6 5.9 5.8 8.1 5.5 5.6 6.2 5.5 5.5 5.6 5.5 7.4 5.2 1.5 6.7 5.7 5.3 5.4 5.8 5.5 5.6 0.1 -1.3

Investment 4.7 6.1 5.3 4.2 4.8 6.3 5.1 4.3 6.3 5.2 6.1 6.3 5.3 6.1 5.9 6.1 2.9 4.4 5.0 5.4 4.0 3.6 2.9 3.9 4.1 5.2 5.6

Migration 6.2 9.9 7.8 6.8 11.7 5.5 4.4 6.4 4.7 4.0 7.0 6.9 5.0 4.0 5.4 4.2 2.8 8.6 5.2 4.7 6.4 1.7 0.6 1.3 0.6 1.9 1.3

Environment 6.8 3.2 7.3 5.5 6.2 6.7 7.4 6.2 7.2 7.2 2.5 6.9 7.0 6.9 6.4 3.8 6.5 5.8 4.3 6.7 5.9 7.9 8.3 7.2 7.4 4.5 4.2

Security 7.7 7.6 1.2 5.0 6.1 3.2 6.6 7.3 5.4 6.0 5.7 3.7 3.6 3.7 3.4 5.1 6.9 4.4 4.6 5.0 5.7 5.4 5.5 1.6 3.8 4.5 1.4

Technology 6.6 5.7 4.7 4.2 5.7 5.4 5.9 4.8 4.3 7.4 5.5 5.0 4.6 6.6 5.8 5.2 3.9 4.8 4.9 4.2 2.8 3.4 2.6 5.3 2.7 6.1 7.0

Overall Score 7.0 6.6 6.4 6.3 6.2 6.1 6.0 5.8 5.7 5.5 5.4 5.4 5.3 5.3 5.2 5.2 5.1 5.0 4.8 4.7 4.5 4.0 3.8 3.7 3.6 3.4 2.7

Change since 2003 -0.2 +0.7 -0.3 n/a +0.7 -0.1 +0.1 0.0 +0.7 +1.1 +0.3 +0.5 +0.5 +1.0 +0.7 +0.2 0.0 +0.2 +0.8 +0.7 +0.7 n/a n/a n/a n/a +1.3 n/a

The above table lists scores for each of the 27 CDI-ranked countries across seven policy areas. A country’s overall performance is the average of its seven component scores, each of which are scaled so that an average score in 2012 equals 5.0. The final column shows the change in each country’s overall score since the CDI began in 2003 (using 2012 methodology).

About The CDI The Commitment to Development Index has been compiled each year since 2003 by the Center for Global Development (CGD), an independent think tank that works to reduce global poverty and inequality through rigorous research and active engagement with the policy community. CGD senior fellow David Roodman is the chief architect of the CDI, and collaborators have included William R. Cline on trade; Theodore H. Moran on investment; Jeanne Batalova, Kimberly A. Hamilton, and Elizabeth Grieco on migration; Amy Cassara and Daniel Prager on environment; Michael E. O’Hanlon, Adriana Lins de Albuquerque, Mark Stoker and Jason Alderwick on security, and Keith Maskus and Walter Park on technology. The Index is supported by the CDI Consortium.

Center for Global Development

Independent Research and Practical Ideas for Global Prosperity www.cgdev.org 1800 Massachusetts Ave., NW • Washington DC 20036 Tel: 202.416.4000 • Fax: 202.416.4050


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