Pandemic will widen global inequality: WB

The economic impact of the pandemic will be more lasting and serious in the poorest countries and will end up widening inequality with advanced economies, the World Bank warned.

This will end up affecting the well-being of the poorest households and will make the recovery of pre-pandemic levels even slower, they said.

Within its Global Economic Perspectives, which it released this week, the agency explained that poor countries do not have a sufficiently developed institutional framework that allows for the production of vaccines, their distribution, or the capacity for care in their health systems.

Countries with fewer resources also do not have the income that allows them to fund strategies that help cushion the economic impact of a health emergency, nor do they have the conditions to access the debt market.

Inside the document, which was presented in Washington by the president of the World Bank, David Malpass, they mention that another evidence of how inequality deepened as a result of the pandemic is the labor market.

They take information from the Covid-19 monitoring panel, to show that in most countries, workers with university education have been less likely to stop working than those with a lower educational level and less skills for handling technologies. .

The sectors that registered the greatest job losses were in industry and urban services. There the workers have not been able to operate from home when the temporary confinement has been presented.

Educational backwardness, another scar

They warned that school disruptions have also harmed the poorest countries and the poorest segments of the population, which will also end up widening inequality gaps for several generations.

Given these findings, President Malpass stressed that he is very concerned that these lags end up generating a much more permanent scar on world development.

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Reference-www.eleconomista.com.mx

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