Research priorities

The IGC’s research focuses on sustainable growth policies in developing countries. Sustainable growth refers to countries developing their potential in an inclusive way that improves social, environmental, and economic well-being for all, including for future generations.

We are particularly interested in projects that address these issues through one of our four themes (outlined below), all of which play a crucial role in building resilience and promoting sustainable growth.

Firms, trade, and productivity: We seek to understand the sources of the productive potential of all firms in an economy, from large formal firms to small-scale family farms. Our focus is on interventions and policies that reduce barriers preventing firms from developing their capabilities and accessing local and global markets. Recognizing that many firms currently lack the incentives for sustainable innovation, governments should promote green innovation through firm-upgrading policies using a blend of subsidies, tax instruments, and regulations. Furthermore, supporting employment creation takes on added importance in the context of climate change, as formal jobs offer protection against climate adversities.

State effectiveness: The development of an effective state, able to raise revenues and implement policies, and ensuring welfare, stability and security against violence, remains central to our research. This development must also address the challenges presented by environmental externalities, including through the extension of social protection frameworks to help protect individuals from climate shocks and promote adaptive decisions.

Cities: Recognising that the future of the developing world is urban, we emphasise the central role of cities in promoting productivity and growth as well as their potential downsides, such as congestion, emissions and crime that limit growth. Climate change is likely to accelerate urbanisation, requiring governments to protect individuals from these downsides while minimising impediments to innovations in how firms and markets are organised. Place-based strategies can facilitate productivity gains while supporting areas expecting significant emigration.

Energy and environment:Affordable and reliable energy is essential for growth. Our research will explore sustainable avenues to expand electricity access and consumption while addressing the associated externalities, both global and local. The transition to renewable energy will be central to achieving the right balance between economic growth and environmental sustainability, and issues of innovation and political economy will cut across all these areas of research.

For a more detailed research agenda for each theme, please see the IGC research strategy and our country research priorities. In particular, pay close attention to the research questions we seek to answer in both documents. We strongly encourage you to review these as you put your ideas for research together, and then reach out to the relevant team so they can review your ideas and help provide feedback.

For more information on the type of research projects IGC is looking to fund, please refer to our dedicated page with resources for applicants. You can also find recordings from our funding information sessions on this page. All applicants are strongly encouraged to review these documents before preparing their application.