Nearly half a billion people could be pushed into poverty as a result of the coronavirus pandemic unless drastic action is undertaken, an Oxfam report released Thursday said
MOSCOW (Pakistan Point News / Sputnik - 09th April, 2020) Nearly half a billion people could be pushed into poverty as a result of the coronavirus pandemic unless drastic action is undertaken, an Oxfam report released Thursday said.
The charitable organization called on wealthy countries to mobilize as much as $2.5 trillion in order to avert widespread economic collapse in developing countries, including an immediate cancellation of up $1 trillion in debt.
In a statement accompanying the report, Chief Executive of the UK branch of Oxfam Danny Sriskandarajah called on world leaders to pull together at next week's virtual summit between G20, the World Bank and the International Monetary Fund (IMF).
"Next week's World Bank and G20 meetings are an important opportunity for world leaders to collaborate on a joint economic rescue package to protect the most vulnerable people" Sriskandarajah said in the statement.
The report, titled "Dignity Not Destitution: An Economic Rescue Package for All," called on the world's rich countries to set up a $1trillion international reserve fund and to ramp up international aid by an additional $500 million.
The report estimated that six to eight percent of the global population, some 434 million people, could see their subsistence fall below $5.5 per day, setting the clocks back 30 years on the global fight against poverty.
The paper also mapped out recommendation for how separate nations may benefit from aid packages.
Ghana, for example, in 2018 spent 11 times more on servicing its international debt than on healthcare. Slashing its foreign obligations may free up funds to allocate $20 a month for every child in the country.
Sriskandarajah in the statement added that "the choices being made now could have profound implications for our collective future. We must build back better; permanently changing our economies to create a fairer, more sustainable world."