The Spring Meetings of the Group of world Bank and you International Monetary Fund took place this year in a context marked by a combination of global crises. The war in Ukraine has indeed worsened a situation already made difficult by inflation, COVID-19, climate change and debt, but also by the rise of fragility and conflict in a large number of countries.
Low- and middle-income countries will be hardest hit, the Development Committee said in a statement. statement (a) published on Friday. And especially their most vulnerable populations, namely women and children, added the presidency of this joint forum which brings together the ministers of the 189 member countries of the two institutions. With countries still at risk of suffering from the pandemic and uneven vaccine deployment, geopolitical tensions are affecting investment, trade and growth, jeopardizing economic recovery.
During its speech (a) before the Committee, the President of the Group of world Bank focused on the impact of these crises on the global economy. David Malpass spoke of the atrocities committed once morest civilian populations in Ukraine and the devastating effects of loss of life and destruction of livelihoods caused by war. This conflict has repercussions all over the world, to the detriment of the most vulnerable populations, who bear the full brunt of rising energy and food prices, particularly in Africa and the Middle East. “The war must end now,” said President Malpass.
The situation demands swift action, both to support the people of Ukraine and to provide continued and strong support to low- and middle-income countries facing these multiple crises. As the Chairman of the Group of the world Bank during a ministerial round table organized within the framework of the Meetings, the institution quickly mobilized more than 3 billion dollars for Ukraine to support the maintenance of essential public services, this amount including donations, guarantees and parallel financing from donor countries . Ukrainian President Volodymyr Zelensky also addressed the participants. During the Meetings, the Group of the world Bank presented a policy document detailing the approach that will best support the country and its people; the cost of damage to buildings and infrastructure in Ukraine is currently estimated at $60 billion.
During a meeting with the press (a) who initiated the Meetings, David Malpass indicated that the World Bank Group was working to mobilize regarding $170 billion in financing (a) to respond to crises and meet the needs of its client countries between April 2022 and June 2023. This support is a continuation of the Bank’s rapid efforts in the face of COVID-19, with $157 billion allocated over a period of 15 months to help countries deal with the health, economic and social consequences of the pandemic.
With the war in Ukraine and its followingmath high on the agenda, the Spring Meetings also featured a series of public events designed to promote dialogue on today’s major development challenges. Public officials, experts, influencers and other key players discussed issues of the digital revolution, climate action, trade and subsidies, fragility, debt and human capital. Here are the key takeaways from their discussions:
- Digital technologies are transforming many jobs and services ; they can help foster long-term growth and prosperity, as well as build resilience to crises. However, a large number of inhabitants in developing countries are still not connected or do not yet benefit from the advantages of digital technology. A collective commitment from the public and private sectors is needed to bridge this divide and build a fair digital economy for all.
- To meet the challenges of climate change as well as those of developmentit is essential to transform high-level commitments into real and tangible actions, which notably requires large-scale investments in the low-carbon transition and the strengthening of resilience.
- Fragile and conflict-affected economies need investment and a dynamic private sector to create jobs, generate economic growth and develop infrastructure. In the face of the global crisis of forced displacement, refugees can be enabled to contribute to social and economic prosperity through policies and investments that promote their inclusion.
- If we want to ensure that the loans contracted by the countries benefit the developmentallow for rapid debt restructuring, support medium-term reductions when the debt burden is unsustainable, and put in place best practices to ensure the sustainability of future borrowing, greater transparency and increased accountability in loan agreements.
- Countries have demonstrated innovation in developing and protecting human capital— all the resources in knowledge, skills and health that individuals need to realize their full potential. While COVID-19 has erased much of this progress, sustained political commitment and financing is needed to shore up human capital and support stronger and more inclusive growth.
In a speech Speaking from Warsaw, the President of the World Bank Group urged countries to take action to avert a global food crisis, keep markets open and encourage investment inflows. Countries must broaden investment portfolios and avoid a concentration of wealth and income in the hands of a small segment of the population, stressed David Malpass. And to also note that security, stability and peace require constant efforts to strengthen institutions, reduce inequalities and raise living standards. Efforts that the World Bank Group is committed to supporting, concluded President Malpass: “You can count on us, just as we count on you to promote innovative approaches on the development front. This is where we can win the battles once morest the many crises we face. »
