Environment & Climate Change

Sovereign wealth funds (SWFs) have traditionally been created to recycle excess reserves from natural resource or non‐commodity revenues. However, in recent years funds are being established under conditions of capital scarcity with objectives to contribute domestic economic development, often through the buildout of national infrastructure programs. Such trends in new fund creation represent a fundamental shift in the sovereign wealth fund paradigm and raise serious questions about how these entities are to be capitalized and also the implications of capitalization models on their sustainability. This study examines the recent evolution of SWF models focused on economic development. Its analytic focus is drawn, in particular, to countries that are neither endowed with oil wealth, nor otherwise enjoy export surpluses to be used to capitalize a development‐oriented SWF. While this study is relevant to and expands the scope of the broad literature on SWFs, its specific contribution is as a focused analysis of how SWF funding sources impact achieving long‐term financial and socio‐economic development objectives.

This paper is a background review representing part of the initial phase of the Financing the Urban Transition work program. The review builds on a growing body of research that highlights both the importance of national sustainable infrastructure and the need to develop more effective and efficient financing mechanisms for delivering compact, connected cities that meet the UN’s Sustainable Development Goals. While progress has been made in both these areas over the last five years, there remains a policy gap between the international/national level and the municipal level.

"Belfer Center Newsmakers" highlights members of the Belfer Center community who have been featured recently in the news.

Kyriakos Mitsotakis (Harvard BA ’89), president of the Greek opposition party Nea Dimokratia (New Democracy,) laid out his vision for a tough but achievable strategy to revitalize the Greek economy and strengthen the nation’s ties to the European Union in an October 13 seminar.

The Project on Managing the Atom offers fellowships for pre-doctoral, post-doctoral, and mid-career researchers for one year, with a possibility for renewal, in the stimulating environment of the Belfer Center for Science and International Affairs at the Harvard Kennedy School. The online application for 2016-2017 fellowships opened December 15, 2015, and the application deadline is January 15, 2016. Recommendation letters are due by February 1, 2016.

"Over decades, Canadian governments have emasculated or killed institutions that gave independent advice on science and technology so that they are now among the weakest in the G7. Federal and provincial governments increasingly demand that research funding be tied to matching money from industry, so work that threatens industry's interests does not get funded. It's a good idea to tie some applied work in engineering to industrial interests, but this requirement must not apply to policy analysis."

The Fall/Winter 2014/15 issue of the Belfer Center newsletter features recent and upcoming activities, research, and analysis by members of the Center community on critical global issues. This edition highlights discussions at the Belfer Center about Iran and its nuclear program. Former U.S. National Security Advisor and Center Senior Fellow Thomas Donilon and former Israeli National Security Advisor Yaakov Amidror added their voices to Center debate on this issue during a Harvard Kennedy School forum on a possible deal to prevent development of nuclear weapons in Iran.

In "Stopping ISIL," a number of Belfer Center security experts weigh in on what must be done in the next year to stop the spread and brutality of the Islamic State (ISIL). Graham Allison, Nicholas Burns, Chuck Freilich, Nawaf Obaid, Ariane Tabatabai, Payam Mohseni, David Petraeus, Gary Samore, and Barak Mendelsohn suggest solutions to this strategic challenge.

And much more...

The Spring 2014 issue of the Belfer Center newsletter features recent and upcoming activities, research, and analysis by members of the Center community on critical global issues. This edition highlights the Belfer Center’s deepening engagement with China and increasing collaboration with Harvard Kennedy School’s Ash Center for Democratic Governance around critical issues related to China. We announce former Australian Prime Minister Kevin Rudd as a new Belfer Center senior fellow who will lead efforts to explore possibilities and impacts of a new strategic China-U.S. relationship. Read about this and much more.