Logo of Phnom Penh Post newspaper Phnom Penh Post - No swerving from poverty elimination goal

No swerving from poverty elimination goal

Content image - Phnom Penh Post
Between 88 million and 115 million people could fall into extreme poverty this year as a result of the global health crisis. AFP

No swerving from poverty elimination goal

The latest report from the World Bank projects that the global pandemic will push hundreds of millions of people in the developing world back into poverty.

Depending on countries’ responses as well as the extent of economic contraction, the World Bank Group’s biennial Poverty and Shared Prosperity Report estimates that in 2020, between 88 million and 115 million people could fall into extreme poverty as a result of the global health crisis, with an additional increase of between 23 million and 35 million people next year, potentially bringing the total number of people newly pushed into extreme poverty to between 110 million and 150 million. The crisis is also poised to increase inequality in much of the world.

With economies forced into stagnation as businesses suspend their activities or close, global growth is anticipated to drop 5.2 per cent this year, the largest drop in 80 years. And a recovery may take as long as a decade, according to some less-than-optimistic forecasts.

Although the consequences of the pandemic are being felt worldwide, South Asia will be the region hardest hit, according to the report. It projects 49 million to 57 million additional people in the region will be pushed into extreme poverty.

Sub-Saharan Africa will be the next most affected region, with between 26 million and 40 million additional people pushed into extreme poverty. And more than four-fifths of the total new poor, some 72 million people, are anticipated to be in middle-income countries.

For global poverty alleviation endeavours, which have been making headway over the past decades, this is a severe setback. Some progress made in the past may evaporate overnight, as the global scope of extreme poverty is already expected to rise for the first time in 20 years.

Stagnant national economies are directly affecting the life quality of all income groups, the middle- and low-income groups in particular.

In part because of its timely, forceful, and effective pandemic containment regime, China has emerged from the pandemic relatively early and is already on track toward full recovery. But that alone does not mean it does not have to worry. The drain of manufacturing jobs in the export-oriented coastal belt is only part of the pandemic’s impact on the Chinese economy. And as the recession broadens and deepens overseas, the negative effects will be felt more dearly at home.

Nonetheless, the country is persevering with its ambitious campaign to declare an official end to extreme poverty nationwide, despite the unanticipated pressure from the bleak economic reality.

That means, as President Xi Jinping has stressed, efforts must be made to make up for the time lost and the damage incurred due to the pandemic.

Thus the finishing touches to achieve that goal will entail greater efforts in the poorest communities to lift people out of poverty and prevent people falling back in.



  • Angkor lifetime pass, special Siem Reap travel offers planned

    The Ministry of Tourism plans to introduce a convenient, single lifetime pass for foreign travellers to visit Angkor Archaeological Park and potentially other areas. The move is designed to stimulate tourism to the culturally rich province of Siem Reap as the start of the “Visit

  • Bosba: The first Khmer woman composer from UK’s Cambridge

    Bosba Panh is just 25 years old, but she’s already accomplished some impressive milestones for herself and the Kingdom. On July 24, she graduated with a Master’s degree from the University of Cambridge as the first Khmer woman composer and Khmer music graduate ever at

  • ‘Golden’ Angkor Wat likely due to natural phenomenon: ANA

    Pictures and video clips of the Angkor Wat temple, its spires seemingly coated in gold, have been shared tens of thousands of times on social media, prompting a sense of wonder among those who have seen them. Hong Sam Ath, who took the pictures and

  • Pailin longan winery tries to break through to the big time

    Longan aren’t quite as glamorous as some fruits. They don’t have the star-power of mangos or generate the excitement of a pricey seasonal niche fruit like the pungent durian. Unlike bananas or oranges, which are known and loved everywhere, longan remains a decidedly

  • Debt restructuring over, time to tackle rising NPL ratio

    The Cambodian banking system has just completed a 26-month debt restructuring exercise where scores of loan accounts were revised, classified and provisioned as the rate of non-performing loans inched up, sparking a slight credit risk unease Implemented in April 2020, the Covid-19 debt restructuring measures came

  • Koh Slaket studio resort brings culture with style

    Davitra (Cambodia) Co Ltd’s multi-million-dollar 13ha Koh Slaket studio-cum-resort just east of the capital was inaugurated in the first phase on August 6, providing national and international tourists with a new travel option and job opportunities for locals. The man-made cultural and scenic lakefront getaway