Due to a strong rebound in the United States and China, the global economy is expected to grow 5.6% in 2021 but this recovery will be uneven given the lasting effects of the pandemic on developing countries, says Bank World in a new report released Tuesday.
“The global economy is expected to grow 5.6% in 2021, the fastest post-recession pace in 80 years, in large part thanks to strong rebounds in a few major economies. However, many emerging markets and developing economies continue to struggle against the Covid-19 pandemic and its consequences, ”said the international financial institution in its“ Global Economic Outlook ”in June.
Global production will be about 2% lower than pre-pandemic projections by the end of this year, says same source who expects losses in per capita income will not be offset by the end of this year. 2022 for around two-thirds of emerging countries and developing economies. In low-income economies, where immunization has fallen behind, the effects of the pandemic have reversed gains in poverty reduction and exacerbated insecurity and other long-standing challenges. “While there are encouraging signs of a global recovery, the pandemic continues to inflict poverty and inequality on people in developing countries around the world.”World Bank Group President David Malpass said in a statement.
He believes that “coordinated efforts at the global level are essential to accelerate vaccine distribution and debt relief, especially for low-income countries.” “As the health crisis eases, policymakers will need to address the lasting effects of the pandemic and take action to stimulate green, resilient and inclusive growth while preserving macroeconomic stability.”, he said.