UN warns of fragile and uneven economic recovery | News

The United Nations Organization (UN) warned this Monday about the fragile and uneven economic recovery experienced globally in 2021, after world productive growth behaved at a rate of 5.5 percent.


UN warns of threat of humanitarian disaster in Tigray

The UN details in its report World Economic Situation and Prospects (WESP) 2022, that production is expected to increase by 4.0 percent in the present 2022; and only 3.5 percentage points for 2023, due to several negative incidence factors such as the new waves of Covid-19 infections; and the constant problems in the labor market.

To which is added the growing inflation and the pressures derived from it in the national economies; and problems associated with trade; supply chain; as well as costs related to transportation, and the stagnation of goods in intermediate destinations, among other issues.

The Secretary General of the UN, Antonio Guterres, stressed in this regard the need for “better oriented and coordinated political and financial measures to be adopted at the national and international levels.”

“The time has come to close the inequality gaps within and between countries. If we work in solidarity – as one human family – we can make 2022 a true year of recovery for people and economies alike.”

For his part, the Assistant Secretary General of the United Nations Department of Economic and Social Affairs, Liu Zhenmin, argued that “without a coordinated and sustained global approach to contain COVID-19 that includes universal access to vaccines, the pandemic will continue to pose the greatest risk to an inclusive and sustainable recovery of the global economy.”

The document details that employment levels will remain well below pre-pandemic levels for the next two years, and possibly for a longer period of time.

Being Africa, Latin America and the Caribbean, and Western Asia the regions where this recovery process behaves at an even slower pace. In Africa, for example, it is estimated that the upward trend in the number of people living in poverty will continue until 2023.

Meanwhile, the recovery of the Gross Domestic Product (GDP) in those continents will continue to be difficult, where Africa and Latin America and the Caribbean are estimated to register gaps of 5.5 and 4.2 percentage points, respectively, compared to the projections prior to the pandemic.

In contrast to what is projected to happen with this indicator in the nations of developed economies, where an almost total recovery of this item is expected by 2023.

The document deepens that this unequal recovery trend aggravates the gaps in terms of income towards the interior of the countries; with women, especially those in developing countries, suffering the highest levels of employment decline as a result of the pandemic.