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Home Lifestyle food

World Bank Warns of Food Shortages

by admin
June 8, 2022
in food, News, World
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World Bank Warns of Food Shortages
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The World Bank has slashed its growth forecast for this year by more than one percent. Bank experts have raised concerns about the risk of “stagflation”, a combination of high inflation and slow growth. World Bank President David Malpas said: “It will be difficult for many countries to avoid a recession.

What Are The World Bank Forecasts?

The World Bank has forecast a growth rate of 2.9% this year. It had forecast a 4.1% growth rate for January 2022. The World Bank has also forecast a 3% increase in production rates for the next fiscal year, 2023 and 2024.

The World Bank has compared the current rising prices to the oil crisis of the 1980s.

The World Bank warned in its new Global Economic Prospects report released on Tuesday that “additional negative figures will increase the likelihood that the global economy will repeat the experience of the 1970s stagflant era.”

According to David Malpas, “the slowdown in growth is likely to continue for a whole decade due to weak investment in most parts of the world.”

“Inflation has now reached its highest level in decades in many countries, while supply is expected to increase gradually, which is likely to keep inflation high for a long time to come,” he said.

What Causes Stag Flashes?

The head of the World Bank says the war in Ukraine, the code lockdown in China and the disruption in the supply chain are affecting global development.

Russia’s invasion of Ukraine disrupted global energy and wheat trade and targeted the global economy, which is recovering from the effects of the Corona virus epidemic.

There are fears that rising commodity prices could affect people’s purchasing power in developing countries. According to David Malpas, “there is a serious risk of an increase in appetite and even famine as a result of malnutrition.”

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