Don't miss

Replay


LATEST SHOWS

MEDIAWATCH

Fans and players react online to Arsene Wegner's club departure

Read more

THE WORLD THIS WEEK

Syria alleged chemical attack: Gunfire delays deployment of weapons inspectors

Read more

FRANCE IN FOCUS

Cashing in on local French currencies

Read more

YOU ARE HERE

Life on the canals of northern France

Read more

INSIDE THE AMERICAS

What lies ahead for Cuba after the Castros?

Read more

#TECH 24

Discovering and harnessing the power of the sun

Read more

DOWN TO EARTH

Can France bid 'adieu' to popular weedkiller glyphosate?

Read more

#THE 51%

Harmful for your health: When gender bias affects medical diagnosis

Read more

REPORTERS

Africa’s donkeys slaughtered for Chinese ‘miracle elixir’

Read more

Business

World Bank predicts shortfall for developing countries

Latest update : 2009-03-09

The economic crisis will have damaging effects on developing countries this year, says the World Bank, which is asking richer nations to contribute from their own stimulus plans to help cover the shortfall.

AFP - Developing countries face a financial shortfall of 270 to 700 billion dollars this year, the World Bank found in a study published Sunday, warning that international institutions alone cannot fill the gap.

The shortfall comes "as private sector creditors shun emerging markets, and only one quarter of the most vulnerable countries have the resources to prevent a rise in poverty," the Bank said in statement.

Published ahead of meetings for ministers of the G20 developing and industrialized nations to be held in London March 13 and 14, the study found that "international financial institutions cannot by themselves currently cover the shortfall" for the 129 developing countries.

"We need to react in real time to a growing crisis that is hurting people in developing countries," said World Bank Group president Robert Zoellick.

"This global crisis needs a global solution and preventing an economic catastrophe in developing countries is important for global efforts to overcome this crisis."

Zoellick, who in February called for a fund to which each developed country would contribute 0.7 percent of its stimulus package to help poorer countries, urged more investment in safety nets, infrastructure, and small and medium-sized companies.

The World Bank repeated forecasts that the global economy would likely shrink this year for the first time since World War Two.
 

Date created : 2009-03-09

COMMENT(S)