Pathways out of the Polycrisis: Poverty, Prosperity, and Planet Report 2024 released by World Bank Group

Posted 16 Oct 2024

2 min read

Report aims to provide a framework that can manage the trade-offs and deliver the best possible outcomes on the three corners of the iron triangle of economic development – Poverty, Prosperity, and Planet.

Key findings of the Report

Stalled Global poverty reduction: It has slowed to a near standstill during past 5-years impacted by ‘polycrisis’.
- Polycrisis refers to a situation where the multiple crises of slow economic growth, increased fragility, climate risks, and heightened uncertainty have come together at the same time - making national development strategies and international cooperation difficult.
Non-attainment of targets: Global population living in extreme poverty is projected to be 7.3% in 2030 (8.5% in 2024). This is double the World Bank target of 3% and farther from the elimination target of UN SDGs.
Global Prosperity Gap: Stalled progress since pandemic, highlighting slowdown in inclusive income growth.
- Prosperity Gap is the average factor by which incomes need to be multiplied to bring everyone in the world to the prosperity standard of $25 per person per day.
India: Significant fall in Indians living in extreme poverty from 431 million (1990) to 129 million (2024).
- Currently, World Bank defines extreme poverty as living on less than $2.15 per person per day.

Proposed Pathways and Priorities

Faster and inclusive growth: Increasing labour productivity, income, and employment.
Climate resilience: Protecting from climate shocks by enhancing risk management and mitigation, synergising policies to ameliorate trade-offs between growing incomes and lowering emissions.
Priorities from global perspective
- Low-income countries: Prioritize poverty reduction by fostering investment in human, physical, and financial capital.
- Middle-income countries: Prioritize income growth that reduces vulnerability and pursue synergies such as cutting air pollution.
- High-income and upper-middle-income countries: Accelerate mitigation while managing transition costs.