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World Bank Urges Increased Aid for Conflict-Stricken Economies Facing Rising Poverty

The United States is moving to cut foreign aid, raising fears of deeper crises in fragile states.

The World Bank logo is seen at the 2023 Spring Meetings of the World Bank Group and the International Monetary Fund in Washington, U.S., April 13, 2023. REUTERS/Elizabeth Frantz/File photo
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Overview

  • The World Bank’s report finds that the 39 fragile and conflict-affected countries have experienced an average annual per capita GDP decline of 1.8% since 2020, compared with 2.9% growth in other developing economies.
  • More than 420 million people in these nations live on under $3 a day, and that number is projected to reach 435 million or nearly 60% of the world’s extreme poor by 2030.
  • Annual conflicts in these states now exceed 20,000 events, and their lethality has risen to almost 194,000 deaths per year, with high-intensity conflicts shrinking GDP by about 20% over five years.
  • Around 200 million people in the 39 countries are experiencing acute food insecurity, a rate far above that in other low and middle-income nations.
  • The bank calls for increased international support through aid, debt relief and targeted reforms as the United States moves to cut foreign assistance, risking deeper crises in fragile economies.