The Russian Federation’s war with Ukraine has triggered a catastrophic humanitarian crisis and threatened the stability of geopolitical relations. Economic output in the Europe and Central Asia region is forecast to contract by more than 4.1% in 2022—the second major shock and regional recession in two years. Moreover, the war has added to mounting concerns of a sharp global growth slowdown. The economic impact of the conflict has reverberated through multiple global channels, including commodity and financial markets, trade and migration links, and confidence. Neighboring countries in the Europe and Central Asia region are likely to suffer considerable economic damage because of their strong trade, financial, and migration links with Ukraine and Russia. Pandemic disruptions amid rising COVID-19 cases in some major economies have contributed to financial and commodity market volatility, and could ultimately weigh on global growth prospects. The war has also raised the likelihood of a destabilizing wave of refugees, widespread financial stresses among some emerging and developing economies, a de-anchoring of inflation expectations, and food insecurity. A protracted conflict is likely to heighten policy uncertainty and fragment global trade and investment networks. Policy makers need to ensure that they are better prepared to handle future crises as part of a commitment to a comprehensive approach to bolster resilient, inclusive, and green development. They should fortify their macroeconomic policy buffers and institutions to strengthen stability; promote an inclusive and more equal recovery by strengthening their social protection systems to protect the most vulnerable, including the refugees; and keep their focus on improving energy efficiency and green transition to secure a sustainable future.
Among the most critical is the food price crisis, calling into question the affordability and availability of wheat and other essential staples.
There is no downplaying the blow that the war has dealt to food systems, already fragile from two years of COVID-19 disruptions, climate extremes, currency devaluations, and worsening fiscal constraints. Global and domestic food prices were already close to all-time highs before the war, and a large question mark looms over the next seasons’ harvests worldwide due to the sharp increase in fertilizer prices as well.
, not only wheat but barley, maize, and edible oil among others exported by these two countries.“Whether we succeed in managing food price volatility and navigating our way out of this new crisis depends on national policies and global cooperation.”
Conflict, COVID and climate change have combined to create unprecedented challenges for developing countries. At these Spring Meetings – taking place in the shadow of war in Ukraine – the World Bank Group will convene leaders, experts and activists to discuss the impact of these global shocks on the most vulnerable communities.
WASHINGTON, Feb. 24, 2022—David Malpass, President of the World Bank Group, today released the following statement:
“The World Bank Group is horrified by the shocking violence and loss of life as a result of the events unfolding in Ukraine. We are a long-standing partner of Ukraine and stand with its people at this critical moment.
Today, I discussed the situation with our Board of Directors and have mobilized our Global Crisis Risk Platform to accelerate coordination across the World Bank Group.
The devastating developments in Ukraine will have far-reaching economic and social impacts. We are coordinating closely with the IMF to assess these costs.
When I met with President Zelenskyy in Munich on Saturday, I reaffirmed the World Bank Group’s strong support and commitment to the people of Ukraine and the region.
We stand ready to provide immediate support to Ukraine and are preparing options for such support, including fast-disbursing financing. Alongside development partners, the World Bank Group will use all our financing and technical support tools for rapid response.
The World Bank Group is also in active dialogue to support neighboring countries and people that may be affected by this conflict and will make additional resources available.”
WASHINGTON, Feb. 24, 2022—David Malpass, President of the World Bank Group, today released the following statement:
“The World Bank Group is horrified by the shocking violence and loss of life as a result of the events unfolding in Ukraine. We are a long-standing partner of Ukraine and stand with its people at this critical moment.
Today, I discussed the situation with our Board of Directors and have mobilized our Global Crisis Risk Platform to accelerate coordination across the World Bank Group.
The devastating developments in Ukraine will have far-reaching economic and social impacts. We are coordinating closely with the IMF to assess these costs.
When I met with President Zelenskyy in Munich on Saturday, I reaffirmed the World Bank Group’s strong support and commitment to the people of Ukraine and the region.
We stand ready to provide immediate support to Ukraine and are preparing options for such support, including fast-disbursing financing. Alongside development partners, the World Bank Group will use all our financing and technical support tools for rapid response.
The World Bank Group is also in active dialogue to support neighboring countries and people that may be affected by this conflict and will make additional resources available.”
Gender-based violence (GBV), including sexual exploitation, abuse and harassment (SEA-SH), is an unacceptable violation of human values. The impacts of these actions on survivors and victims are devastating and wide-ranging. They undermine their physical and mental health, security, dignity, quality of life and well-being.
The COVID-19 pandemic is leading to increased poverty and inequality, further intensifying the need to focus on a recovery that is inclusive and sustainable. The UN’s Post-2020 Biodiversity Framework is a key step towards the 2050 vision of “Living in harmony with nature,” however, the inconvenient truth is that nature, particularly wildlife, can be very difficult to live with and global solutions do not always easily translate to the local level.
The COVID-19 (coronavirus) crisis has caused thousands of deaths and shaken the world’s richest countries to their core. What happens when it makes its way to low-and middle-income countries, which could face destabilizing and lasting shocks from its health and economic impacts? This is especially true for countries impacted by fragility, conflict and violence (FCV), where cases of COVID-19 infection are increasing. Nearly one-third of our total project investments in 100 countries so far have focused on countries impacted by fragility and conflict —from Afghanistan and Iraq to Somalia and Haiti — to help them face a multi-layered crisis of a magnitude no one has faced before.
of Congo (DRC). Between 2009 and 2017, in fact, there were 364 disease outbreaks in 108 refugee camps. Fragility and conflict reverse hard-won development gains and stunt opportunities for children, youth, and the poorest people. In the process, they deeply weaken health systems, leaving societies more vulnerable to disease outbreaks.
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