PEGNet was founded in 2005 as a joint initiative of the Kiel Institute for the World Economy, Germany's (Federal Ministry for Economic Cooperation and Development), its implementing agencies Deutsche Gesellschaft für Internationale Zusammenarbeit and KfW Entwicklungsbank as well as the universities of Göttingen and Frankfurt. It was created to bring policymaking in line with research findings and practical realities for development. As of 2011, PEGNet had more than 100 institutional and individual members.
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