COVID-19 is estimated to push 88 to 115 million more people into extreme poverty this year
Washington:
The World Bank today warned that by 2021 up to 150 million people will likely be in extreme poverty due to the coronavirus pandemic and countries will need to prepare for a “different economy” after COVID by allowing capital, labor, skills and innovation to enter new companies and new sectors.
The COVID-19 pandemic is estimated to push an additional 88 million to 115 million people into extreme poverty this year, with the total reaching up to 150 million by 2021, depending on the severity of the economic contraction, according to Washington . global lender based.
This would represent a regression to the rate of 9.2% in 2017, according to the biennial report on poverty and shared prosperity.
If the pandemic had not rocked the world, the poverty rate should have fallen to 7.9% in 2020, he said.
The pandemic and global recession could push more than 1.4% of the world‘s population into extreme poverty, said World Bank Group President David Malpass.
In order to reverse this serious setback in development progress and poverty reduction, countries will need to prepare for a different economy after COVID, allowing capital, labor, skills and innovation to take the lead. to new businesses and new sectors, he said.
Noting that the new poor will be found in countries that already have high poverty rates, the report indicates that a number of middle-income countries will see significant numbers of people slide below the extreme poverty line.
About 82% of the total will be in middle-income countries, the report estimates.
The convergence of the COVID-19 pandemic with the pressures of conflict and climate change will put the goal of ending poverty by 2030 out of reach without swift, meaningful and substantial political action, the World Bank said, adding that by 2030, the global poverty rate could be around seven percent.
In its report, the World Bank noted that the lack of recent data on India severely hinders the ability to monitor poverty around the world.
The lack of recent data for India, one of the economies with the largest population of extreme poverty, creates substantial uncertainty around current estimates of global poverty, the Bank said.
Observing that effective approaches harnessed the skills and dedication of community members, the World Bank said that in Mumbai, city officials were able to stem the rapid spread of the coronavirus in Dharavi, one of the largest urban agglomerations of the city, mobilizing community members and staff from private medical clinics for a strategy based on mass screening for fever and oxygen levels.
Within three months, by July 2020, reported cases in the region had been reduced to 20% of their May peak. To help poor families during lockdown, foundations, non-governmental organizations and volunteers have provided thousands of households with ration kits.
Dharavi’s success stems from a combination of personalized solutions, community involvement and persistence, he added.
According to the Johns Hopkins Coronavirus Resource Center, the contagion has infected more than 35 million people and killed more than a million across the world.
The United States is the most affected country with more than 7.5 million cases and more than 2.10,000 deaths.
COVID-19, which originated in the Chinese city of Wuhan in December last year, has also hit the global economy, with the International Monetary Fund saying the global economy is set to experience a “severe recession.”
Scientists are racing against time to find a vaccine or drug for its treatment.
(Except for the title, this story was not edited by GalacticGaming staff and is posted from a syndicated feed.)
