IMF and World Bank point out discrepancies among affected population

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Another consequence: the increase in extreme poverty, the first global increase in the index since 1998

When the pandemic began to spread across the world, the feeling that anyone could be hit equally seemed to be a consensus.

The reality, however, has been shown to be different. Countries with extensive testing capabilities and good health systems have fared better than others.

The discrepancies between the infected population also deserve attention: in New York, the virus is twice as deadly among blacks and Latinos, compared to whites, due to structural differences in access to health in society.

As a result of these differences, recent data from international organizations has warned that the pandemic may deepen the imbalance between rich and poor nations. Another consequence: the increase in extreme poverty, the first global increase in the index since 1998.

The International Monetary Fund’s projections show that rich countries are investing more than emerging and poor countries in responses to the coronavirus. While the seven most industrialized countries in the world invest almost 6% of GDP in stimulus plans, the members of the G-20, which includes emerging countries like Brazil, invest on average 3.5%.

In the US alone, the Trump administration’s package to keep the economy warm reaches $ 2 trillion – the equivalent of more than $ 11 trillion – or 10% of GDP. In Japan, the bailout announced earlier this month is equivalent to 20% of the country’s economy. In Brazil, the IMF estimates the response at 2.9% of GDP, similar to that of Malaysia (2.8% of GDP).

Poverty

The World Bank, on the other hand, predicts that the trend of world poverty reduction, registered in the last five years, will be reversed in 2020. In the comparison with 2019, 40 million to 60 million people will increase the contingent of the population. population living in conditions of extreme poverty – the equivalent of less than $ 1.90 a day. And the tendency is for this to be accentuated in the places that are already the most affected.

“The crisis will have a disproportionate impact on the poor, through job losses, high prices and severe disruptions in education and the health system,” says the bank.

Countries like Uganda have an ICU for every 1 million inhabitants, and half of the low-income countries do not have data to allow researchers to know the real situation in the local health system.

A study by the International Food Policy Research Institute shows that, with the 1% decline in world activity – more optimistic than recent projections of a 3% decline in the global economy – the number of people living in extreme poverty could grow up to 3% . The survey also points out that, in absolute terms, the greatest impact would be on Sub-Saharan Africa, which would concentrate almost half of the world’s extreme poverty.

Source: https://www.infomoney.com.br/economia/dados-do-fmi-e-banco-mundial-projetam-aumento-da-desigualdade-entre-paises/

Another consequence: the increase in extreme poverty, the first global increase in the index since 1998

When the pandemic began to spread across the world, the feeling that anyone could be hit equally seemed to be a consensus.

The reality, however, has been shown to be different. Countries with extensive testing capabilities and good health systems have fared better than others.

The discrepancies between the infected population also deserve attention: in New York, the virus is twice as deadly among blacks and Latinos, compared to whites, due to structural differences in access to health in society.

As a result of these differences, recent data from international organizations has warned that the pandemic may deepen the imbalance between rich and poor nations. Another consequence: the increase in extreme poverty, the first global increase in the index since 1998.

The International Monetary Fund’s projections show that rich countries are investing more than emerging and poor countries in responses to the coronavirus. While the seven most industrialized countries in the world invest almost 6% of GDP in stimulus plans, the members of the G-20, which includes emerging countries like Brazil, invest on average 3.5%.

In the US alone, the Trump administration’s package to keep the economy warm reaches $ 2 trillion – the equivalent of more than $ 11 trillion – or 10% of GDP. In Japan, the bailout announced earlier this month is equivalent to 20% of the country’s economy. In Brazil, the IMF estimates the response at 2.9% of GDP, similar to that of Malaysia (2.8% of GDP).

Poverty

The World Bank, on the other hand, predicts that the trend of world poverty reduction, registered in the last five years, will be reversed in 2020. In the comparison with 2019, 40 million to 60 million people will increase the contingent of the population. population living in conditions of extreme poverty – the equivalent of less than $ 1.90 a day. And the tendency is for this to be accentuated in the places that are already the most affected.

“The crisis will have a disproportionate impact on the poor, through job losses, high prices and severe disruptions in education and the health system,” says the bank.

Countries like Uganda have an ICU for every 1 million inhabitants, and half of the low-income countries do not have data to allow researchers to know the real situation in the local health system.

A study by the International Food Policy Research Institute shows that, with the 1% decline in world activity – more optimistic than recent projections of a 3% decline in the global economy – the number of people living in extreme poverty could grow up to 3% . The survey also points out that, in absolute terms, the greatest impact would be on Sub-Saharan Africa, which would concentrate almost half of the world’s extreme poverty.

Source: https://www.infomoney.com.br/economia/dados-do-fmi-e-banco-mundial-projetam-aumento-da-desigualdade-entre-paises/

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