World Bank says coronavirus pandemic will push 119-124 million into poverty
This will be the first significant rise in poverty in 20 years, the World Bank has said.
January 24, 2021 / 11:04 AM IST
The World Bank estimates that the COVID-19 pandemic will push between 119 and 124 million people across the globe into extreme poverty, higher than its previous forecast.
"In October 2020, using the June vintage of growth forecasts from the Global Economic Prospects, we estimated that between 88 and 115 million people around the globe would be pushed into extreme poverty in 2020. Using the January 2021 forecasts from GEP, we now expect the COVID-19-induced new poor in 2020 to rise to between 119 and 124 million," the World Bank said on January 11.
The increase in global poverty in 2020 was truly unprecedented, the World Bank said.
The number of new poor due to the COVID-19 outbreak is calculated as the difference between poverty projected with the pandemic and poverty projected without the pandemic.
The international organisation said the pandemic will cause a setback to success made in reducing poverty over the past 20 years. It also said poverty is said to rise significantly for the first time in 20 years.
"In the two-decades since 1999, the number of people living in extreme poverty worldwide has fallen by more than 1 billion people. Part of this success in reducing poverty is set to be reversed due to the COVID-19 pandemic," the World Bank added.