The number of people living in extreme poverty in 2021 was roughly 70 million more than pre-pandemic patterns according to the International Monetary Fund (IMF).
The IMF disclosed this in a blogpost titled ‘A Disrupted Global Recovery’ discussing its World Economic Outlook.
The Fund also stated that only 4% of the population of low-income countries are fully vaccinated.
What the IMF is saying about poverty
IMF noted that extreme poverty increased by a significant amount due to the pandemic. “The number of people living in extreme poverty is estimated to have been around 70 million higher than pre-pandemic trends in 2021, setting back the progress in poverty reduction by several years,” the IMF said.
It also stated that developing countries like Nigeria are posed for an output decline, causing setback to the recovering economy. “Even as recoveries continue, the troubling divergence in prospects across countries persists. While advanced economies are projected to return to pre-pandemic trend this year, several emerging markets and developing economies are projected to have sizeable output losses into the medium-term.”
IMF also mentioned the difference in the vaccination between low-income countries and high-income countries
“As of now, only 4% of the population of low-income countries are fully vaccinated versus 70% in high-income countries. In addition to ensuring predictable supply of vaccines for low-income developing countries, assistance should be provided to boost absorptive capacity and improve health infrastructure,” it added.
The Fund stated that it would be prudent to close the $23.4 billion financing gap for the Access to COVID-19 Tools (ACT) Accelerator and to incentivize technological transfers to help speed up diversification of global production of critical medical tools, especially in Africa.
