Online Media Briefing Center (OMBC) news for accredited journalists
The global economy’s “speed limit”—the maximum long-term rate at which it can grow without sparking inflation—is set to slump to a three-decade low by 2030. An ambitious policy push is needed to boost productivity and the labor supply, ramp up investment and trade, and harness the potential of the services sector, a new World Bank report shows. The report, Falling Long-Term Growth Prospects: Trends, Expectations, and Policies, offers the first comprehensive assessment of long-term potential output growth rates in the aftermath of the COVID-19 pandemic and the Russian invasion of Ukraine. These rates can be thought of as the global economy’s “speed limit.”
Domestic food price inflation remains high around the world. Information from the latest month between October 2022 and February 2023 for which food price inflation data are available shows high inflation in almost all low- and middle-income countries, with inflation levels above 5% in 94.1% of low-income countries, 86% of lower-middle-income countries, and 87.0% of upper-middle-income countries and many experiencing double-digit inflation. In addition, about 87.3% of high-income countries are experiencing high food price inflation. The countries affected most are in Africa, North America, Latin America, South Asia, Europe, and Central Asia.
World Bank Group President David Malpass today announced the creation of a new Vice Presidency for Ethics and Internal Justice to reinforce the Bank Group’s culture, promote corporate values, and strengthen the institution’s Ethics and Internal Justice function to better serve staff. Malpass announced that Lisa Rosen, currently Chief Compliance Officer for the Bank of England, has been chosen to fill this new role.
Image provided by the Bank of England.
Syria’s real GDP is expected to contract by 5.5% in 2023 following the February 6 and February 20 earthquakes that hit the Northern and Western parts of the country, according to a new World Bank damage assessment released today. Economic growth may contract further if reconstruction progress is slower than expected, given limited public resources, weak private investment, and limited humanitarian assistance reaching the affected areas.
This event is timely. I’m going to speak about how the World Bank Group is strengthening our delivery of Private Capital Facilitation—what I’ll call "PCF"—within our operations and knowledge work. These efforts are key to strengthening private sectors, attracting private capital and achieving faster growth.
It is my great pleasure to be here at the UN 2023 Water Conference. Water is the lifeblood of society. We need water for a thriving economy that can run farms, businesses, and factories. We need water for sustainable development—to produce food and deliver low-carbon growth. And we need clean water for healthy children and adults to realize their potential as productive members of society. But today, over 2.3 billion people lack safe drinking water. Global economic cost of water insecurity is nearly $500 billion per year. Our research shows that poor water quality can reduce economic growth by as much as a third.
The global pace of reforms toward equal treatment of women under the law has slumped to a 20-year low, constituting a potential impediment to economic growth at a critical time for the global economy, a new World Bank report shows.
The Board of Executive Directors of the World Bank Group met today under the Chairship of its Dean, Mr. Koen Davidse, to discuss the selection process for the next President of the World Bank Group, following the announcement by Mr. David Malpass on February 15, 2023 that he will be stepping down from his position by June 30, 2023.