World Bank Study Reveals 26 Countries in Deeper Debt
The World Bank recently released a study highlighting 26 countries that are facing unprecedented levels of debt, with many nations poorer today than they were before the COVID-19 pandemic. Countries such as Afghanistan, Yemen, Syria, and North Korea are among those struggling with high debt levels, along with several nations in sub-Saharan Africa.
These countries, with an average annual per capita income of less than $1,145, rely heavily on the World Bank’s International Development Association for financial assistance. World Bank chief economist Indermit Gill emphasized the importance of IDA in supporting these low-income economies through difficult times.
Furthermore, the report revealed that government debt in these countries now accounts for 72% of economic output, the highest level in 18 years. Additionally, the study highlighted the increased vulnerability of these nations to natural disasters, which are exacerbated by climate change.
The World Bank’s findings underscore the urgent need for global support to address the economic and environmental challenges facing these vulnerable countries.