Developing countries face economic and climate hurdles. Explore the path forward in our #YearInReview story.fter several years of multiple, continuous shocks, the global economy is finally showing signs of stabilizing. Despite the grimmest predictions, the world managed to avoid a global recession this year. However, while advanced economies have largely recovered, developing countries have yet to catch up. Low-income countries risk being left even further behind. The world faces a harsh reality: despite decades of progress, ending extreme poverty everywhere by 2030 is out of reach. Amid anemic economic growth, the lasting effects of the COVID-19 pandemic, crushing debt burdens, and rising fragility and conflict, the pace of reducing global poverty has effectively stalled. Devastating climate shocks and extreme weather threaten to slow or reverse progress even more. As we close out the year, here are some of the most pressing development issues countries faced in 2024 and how the World Bank Group is working with them to overcome these challengesMultidimensional poverty concentrated in lowest-income countries Poverty goes beyond a lack of income. It can also include insufficient access to education, health, electricity, or basic services such as safe drinking water or sanitation. As of 2024, over one-third of people in countries eligible for support from the World Bank’s IDA and more than half of those in Sub-Saharan Africa are experiencing multidimensional poverty, highlighting how persistent development challenges remain. Earlier this month, the global community came together to reaffirm their commitment to IDA, which offers concessional lending to 78 low-income countries. The 21st replenishment of IDA raised $23.7 billion to boost development for these countries for 2025-28. Thanks to IDA’s unique leveraging model, this will generate $100 billion in affordable financing to help countries spur job growth, deliver better quality health care, improve education, expand electricity access, enhance food security and nutrition, and much more. .Climate change impacts are wide reaching 1.2 billion people around the world face life-changing risks from climate-related hazards, such as floods, heat waves, droughts or cyclones. Many of them are in IDA countries, where nearly half of the population is at high risk. Countries need a combination of more rapid development, more resilient development, and targeted adaptation interventions to reduce climate risks. rewrite as news with headline as 2024 review of world bank
2024 Year in Review: World Bank Addresses Global Challenges Amid Economic and Climate Hurdles
As 2024 comes to a close, the global economy is finally showing signs of stabilizing after several years of continuous shocks. Despite dire predictions, the world managed to avoid a global recession this year. However, the recovery has been uneven, with advanced economies bouncing back while developing countries continue to face significant challenges.
Extreme Poverty and Economic Struggles
Developing countries are struggling to catch up, and the goal of ending extreme poverty by 2030 now seems out of reach. The pace of reducing global poverty has stalled due to slow economic growth, the lingering effects of the COVID-19 pandemic, crushing debt burdens, and rising fragility and conflict. Climate shocks and extreme weather events further threaten to slow or reverse progress.
As of 2024, over one-third of people in countries eligible for support from the World Bank’s International Development Association (IDA) and more than half of those in Sub-Saharan Africa are experiencing multidimensional poverty. This includes not only a lack of income but also insufficient access to education, health, electricity, and basic services such as safe drinking water and sanitation.
Global Community Reaffirms Commitment to IDA
Earlier this month, the global community reaffirmed its commitment to the IDA, which offers concessional lending to 78 low-income countries. The 21st replenishment of IDA raised $23.7 billion to support development in these countries from 2025 to 2028. This funding, leveraging IDA’s unique model, will generate $100 billion in affordable financing to spur job growth, improve healthcare and education, expand electricity access, enhance food security and nutrition, and more.
Climate Change and Its Wide-Reaching Impacts
Climate-related hazards, such as floods, heat waves, droughts, and cyclones, pose life-changing risks to 1.2 billion people worldwide. Many of those affected live in IDA countries, where nearly half of the population is at high risk. To reduce climate risks, countries need a combination of rapid development, resilient development, and targeted adaptation interventions.
World Bank’s Efforts and Future Outlook
The World Bank Group continues to work with countries to overcome these challenges, focusing on sustainable development and poverty reduction. As we look ahead, the path forward involves addressing economic disparities, enhancing climate resilience, and fostering inclusive growth to ensure a better future for all.
Stay tuned for more updates and insights as we navigate the complexities of global development and strive to build a more equitable world.