WASHINGTON, November 24, 2025—Countries in Europe and Central Asia (ECA) should urgently push to make more efficient use of existing economic assets and invest in the capabilities of its firms and people to unlock faster growth, according to a new World Bank report released today.
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Foreign Direct Investment in Retreat: Policies to Turn the Tide
Foreign direct investment (FDI)—an important source of external financing for emerging market and developing economies (EMDEs)—has weakened since the global financial crisis, heightening the challenges of filling vast infrastructure gaps, reducing poverty, creating new jobs, and addressing climate change. This study provides a broad perspective on the evolution of FDI inflows to EMDEs since 2000, including patterns across regions and changes in sectoral composition.
Continue readingThree barriers to municipal finance—and how to overcome them to create jobs and growth
Cities in low- and middle-income countries are growing fast—but their ability to finance the infrastructure and services needed to support people and jobs is lagging behind.
The consequences are real: without better roads, transit, water, energy, and housing, cities struggle to deliver basic services or attract investment, limiting job creation and economic opportunity. That’s because urban infrastructure lays the foundations for employment, business development, and economic growth.
Continue readingPoorest Economies Face Toughest Conditions in Two Decades
As Share of GDP, Global Aid to 26 Low-Income Economies Falls to 21-Year Low
WASHINGTON, October 13, 2024—The world’s 26 poorest economies—home to about 40 percent of all people who live on less than $2.15 a day—are deeper in debt than at any time since 2006 and increasingly vulnerable to natural disasters and other shocks, new analysis from the World Bank shows. Yet international aid as a share of their GDP has dwindled to a two-decade low, forcing many to obtain financing on punishing terms.
Tackling the pollution crisis to support healthier people and planet

In polluted communities around the world, daily life is mired with challenges.
With nearly 33 million residents, Delhi consistently records one of the world’s highest air pollution levels . The resultant economic consequences on India’s capital city are far-reaching. Families earn less from missed days of work and medical expenses. With reduced worker productivity levels come lower profits for local businesses. In turn, the city and state governments collect less tax, impacting the following year’s budgets for building and maintaining hospitals, public transport and infrastructure, and other essential services. In 2019, this economic loss amounted to 1.08% of Delhi’s state-level GDP.
In addition to these economic effects, pollution causes the premature deaths of more than 9 million people around the world each year. Air pollution alone accounts for 7 million of these deaths – to put this staggering number into perspective, this is equivalent to the number of people that have died from COVID-19 since March 2020 dying each year. The estimated cost of the health damage caused by air pollution amounts to $8.1 trillion a year, equivalent to 6.1% of global GDP. Pollution inhibits our ability to lead productive lives.
Pollution is undermining the competitiveness and growth of economies today and setting economies up to fail tomorrow. UNICEF and Pure Earth estimate that 1 in 3 children – or up to 800 million globally – have blood lead levels at or above 5 micrograms per deciliter when any lead disrupts a child’s neurological development and can cause premature death.
And it’s not just pollution’s impact on economies that is wreaking havoc; pollution is degrading ecosystems on which the wealth of the poor depends, further eroding the ability of communities to get out of poverty. Air and other pollution lead to acid rain, a newly growing scourge across Asia. This pollutes arable lands and impacts crops. Persistent organic pollutants, heavy metals, and other chemical pollutants that reach the environment enter the food supply, impacting both food safety and food security.
On both land and sea, our habitats and ecosystems become less resilient to climate change in the face of high pollution levels. Plastics pollution is perhaps the most visible example. The unmanaged disposal of plastic destroys biodiversity and pollutes the food chain. Every year, 8 million tons of plastic escape into our oceans from coastal nations, impacting the health of our oceans and the species that inhabit them. If that isn’t enough to catalyze action, consider this: 8 million tons worth of plastic is the equivalent of placing five garbage bags full of trash on every foot of coastline around the world, according to National Geographic.
Together, the impacts of pollution spell a global crisis. Current linear economies have for too long disconnected the benefits of trade and industrialization from the degradation they leave behind. The theory behind growing now and cleaning up later has proven vulnerable to the reality of the death, disease, and economic stagnation caused by pollution. Since pollution is a problem for today’s economies and tomorrow’s economic building blocks, inaction is no longer an option. That is why the World Bank is working to clean up pollution today and help cities and countries build a low-pollution, low-emission world in which cleaner air, water, and land build green, resilient, and inclusive economies.
We are supporting countries to:
- Build robust policies, such as through supporting client countries as they negotiate on an international legally binding instrument on plastic pollution. The World Bank Group’s Pathways out of Plastic Pollution report provides good practice guidelines to support countries in their plastic pollution reduction goals.
- Build capacity for credible institutions, including stronger ministries of environment that are better able to address the cumulative environmental challenges, but also able to grasp the new opportunities offered by the circular economy.
- Construct the necessary public infrastructure to scale up circular economy approaches, including by strengthening the country’s digital architecture, “greening” public transportation, and investing in nature-based solutions.
- Unlock finance, both public and private, including by repurposing subsidies, supporting the SME financial sector ecosystem, and mobilizing international public finance and private capital.
Back in India, encouraging work is well underway. In 2019, the government launched the National Clean Air Program, which aims to improve lives and reduce particulate matter pollution by 30% by 2024. Meanwhile, in Egypt, the World Bank has supported the Government in adopting an integrated approach to tackling pollution, waste and climate change. From improving solid waste management to piloting e-buses and removing harmful fuel subsidies, the Government of Egypt is developing the building blocks for a successful circular economy.
In Indonesia, the Bank has supported the government in meeting its ambitious solid waste management goals and reducing plastic pollution. Our Plastics Policy Simulator allows policymakers to estimate the impacts of various government measures to address plastic pollution on businesses and households. These data-driven tools can help the Indonesian government develop better-informed policy interventions to reduce plastic pollution.
As the world takes strong action to reverse the impacts of climate change and biodiversity loss, tackling the pollution crisis remains of equal importance and urgency. Tackling pollution now will bring benefits today as well as tomorrow – a World Bank study found that a 20% decrease in PM2.5, a particularly harmful form of air pollution, is associated with a 16% increase in employment growth rate and a 33% increase in labor productivity.
We can do better.
Joint World Bank, UN Report Assesses Damage to Gaza’s Infrastructure
Damages to Physical Structures Estimated at $18.5 billion as of end January
WASHINGTON, April 2, 2024 – The cost of damage to critical infrastructure in Gaza is estimated at around $18.5 billion according to a new report released today by the World Bank and the United Nations, with financial support of the European Union. That is equivalent to 97% of the combined GDP of the West Bank and Gaza in 2022.
Continue readingTackling the pollution crisis to support healthier people and planet

In polluted communities around the world, daily life is mired with challenges.
With nearly 33 million residents, Delhi consistently records one of the world’s highest air pollution levels . The resultant economic consequences on India’s capital city are far-reaching. Families earn less from missed days of work and medical expenses. With reduced worker productivity levels come lower profits for local businesses. In turn, the city and state governments collect less tax, impacting the following year’s budgets for building and maintaining hospitals, public transport and infrastructure, and other essential services. In 2019, this economic loss amounted to 1.08% of Delhi’s state-level GDP.
In addition to these economic effects, pollution causes the premature deaths of more than 9 million people around the world each year. Air pollution alone accounts for 7 million of these deaths – to put this staggering number into perspective, this is equivalent to the number of people that have died from COVID-19 since March 2020 dying each year. The estimated cost of the health damage caused by air pollution amounts to $8.1 trillion a year, equivalent to 6.1% of global GDP. Pollution inhibits our ability to lead productive lives.
Pollution is undermining the competitiveness and growth of economies today and setting economies up to fail tomorrow. UNICEF and Pure Earth estimate that 1 in 3 children – or up to 800 million globally – have blood lead levels at or above 5 micrograms per deciliter when any lead disrupts a child’s neurological development and can cause premature death.
And it’s not just pollution’s impact on economies that is wreaking havoc; pollution is degrading ecosystems on which the wealth of the poor depends, further eroding the ability of communities to get out of poverty. Air and other pollution lead to acid rain, a newly growing scourge across Asia. This pollutes arable lands and impacts crops. Persistent organic pollutants, heavy metals, and other chemical pollutants that reach the environment enter the food supply, impacting both food safety and food security.
On both land and sea, our habitats and ecosystems become less resilient to climate change in the face of high pollution levels. Plastics pollution is perhaps the most visible example. The unmanaged disposal of plastic destroys biodiversity and pollutes the food chain. Every year, 8 million tons of plastic escape into our oceans from coastal nations, impacting the health of our oceans and the species that inhabit them. If that isn’t enough to catalyze action, consider this: 8 million tons worth of plastic is the equivalent of placing five garbage bags full of trash on every foot of coastline around the world, according to National Geographic.
Together, the impacts of pollution spell a global crisis. Current linear economies have for too long disconnected the benefits of trade and industrialization from the degradation they leave behind. The theory behind growing now and cleaning up later has proven vulnerable to the reality of the death, disease, and economic stagnation caused by pollution. Since pollution is a problem for today’s economies and tomorrow’s economic building blocks, inaction is no longer an option. That is why the World Bank is working to clean up pollution today and help cities and countries build a low-pollution, low-emission world in which cleaner air, water, and land build green, resilient, and inclusive economies.
We are supporting countries to:
- Build robust policies, such as through supporting client countries as they negotiate on an international legally binding instrument on plastic pollution. The World Bank Group’s Pathways out of Plastic Pollution report provides good practice guidelines to support countries in their plastic pollution reduction goals.
- Build capacity for credible institutions, including stronger ministries of environment that are better able to address the cumulative environmental challenges, but also able to grasp the new opportunities offered by the circular economy.
- Construct the necessary public infrastructure to scale up circular economy approaches, including by strengthening the country’s digital architecture, “greening” public transportation, and investing in nature-based solutions.
- Unlock finance, both public and private, including by repurposing subsidies, supporting the SME financial sector ecosystem, and mobilizing international public finance and private capital.
Back in India, encouraging work is well underway. In 2019, the government launched the National Clean Air Program, which aims to improve lives and reduce particulate matter pollution by 30% by 2024. Meanwhile, in Egypt, the World Bank has supported the Government in adopting an integrated approach to tackling pollution, waste and climate change. From improving solid waste management to piloting e-buses and removing harmful fuel subsidies, the Government of Egypt is developing the building blocks for a successful circular economy.
In Indonesia, the Bank has supported the government in meeting its ambitious solid waste management goals and reducing plastic pollution. Our Plastics Policy Simulator allows policymakers to estimate the impacts of various government measures to address plastic pollution on businesses and households. These data-driven tools can help the Indonesian government develop better-informed policy interventions to reduce plastic pollution.
As the world takes strong action to reverse the impacts of climate change and biodiversity loss, tackling the pollution crisis remains of equal importance and urgency. Tackling pollution now will bring benefits today as well as tomorrow – a World Bank study found that a 20% decrease in PM2.5, a particularly harmful form of air pollution, is associated with a 16% increase in employment growth rate and a 33% increase in labor productivity.
We can do better.
Nature’s high returns
As we chart a course to reignite global growth and drive green, resilient, and inclusive development, we must not ignore these interlinkages. Nature – meaning biodiversity and the services that healthy ecosystems provide – is central to this endeavor, especially in developing countries, where poor people in rural areas tend to rely heavily on nature’s services and are the most vulnerable to its depletion.
Annual Campaign: 16 Days of Activism Against Gender-Based Violence (GBV)
The 16 Days of Activism against Gender-Based Violence is an annual international
campaign from November 25 to December 10, 2022. During this time, individuals and organizations around the world coalesce to call for the prevention and elimination of violence against women and girls.
Tackling violence against women is essential for economic growth in Central Asia
“Where are all the women?” I asked my team after assuming the duties of the World Bank
director for Central Asia in July 2021. In my introductory meetings with heads of state, governments, and major cities across the region, I and other World Bank officials were usually the only women in the room.


highlighted the interdependencies between people, planet, and the economy.