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.

"The partial budget blueprint released by the White House recently will put U.S. leadership in science and technology at serious risk if Congress goes along. In addition to the obvious damage that would result from the proposed $5.8 billion cut at NIH, the $2 billion cut in applied energy R&D, the $900 million cut in DOE’s Office of Science, the abolition of ARPA-E, and the research cuts at NOAA and EPA, a less immediately obvious potential casualty would be U.S. scientific cooperation with a wide variety of other countries on a wide variety of topics."

Indian Prime Minister Narendra Modi traveled to Washington last week, making his fourth trip to the United States since taking office just two years ago. India and South Asia Program Fellow, Ronak Desai examines the strategic approach to India's relations with the United States.

The Belfer Center hosted Secretary of State John Kerry in October for a discussion of diplomacy and challenges in critical hotspots around the globe.

Center Director Graham Allison asked Secretary Kerry about his concerns and plans related to Iran, Syria, Russia, and the Islamic State. The overflow event included questions from the more than 500 Harvard students and faculty in attendance.

"Barack Obama's tenure, particularly his second term, is studded with peacemaking deals, from the Iranian nuclear agreement, to the Trans-Pacific Partnership, to the re-opening of relations with Cuba, and to now the accord on climate change. His first term brought us the Affordable Care Act. When are we going to back off our disappointment at his clear lack of bombast?"