UN warns of extreme poverty in Africa post-pandemic

Small traders across Africa have been hit hard by coronavirus restrictions

The UN has warned that the economic downturn due to the pandemic could wipe out the gains of the last four years, at a cost of $8.5 trillion (£6.9 trillion) in economic activity.

Its assessment of global prospects says that more than 30 million people are likely to fall into extreme poverty this year, mainly in Africa.

The UN expects the rich economies to shrink more at 5%, but for the developing world even the more moderate decline predicted means a marked increase in poverty.

For many of those countries, the report says, the costs of fighting the pandemic and economic stimulus measures will be prohibitive.

It also says governments in developing countries are spending an ever-increasing share of their revenue on debt interest.

Separately a group of leading politicians, including the former US presidential candidate Bernie Sanders, has called for the cancellation of some of the debts owed by the poorest countries.

DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.

Tags:

Coronavirus in Africa

Poverty Cycle

United Nations