Friday 12th, July 2024
canara news

Global poverty rate to fall below 10 percent: World Bank

Published On : 05 Oct 2015


Washington, (IANS) The number of people living in extreme poverty around the world is likely to fall to below 10 percent of the global population in 2015, according to a forecast released by the World Bank on Sunday.

The forecast used a new international poverty line of $1.9 a day, an upgrade from the previous line of $1.25 a day, which was set in 2005, reports Xinhua.

The upgraded poverty line incorporated new information on differences in the cost of living across countries and preserved the real purchasing power of the previous line.

The reason for the World Bank to adjust the poverty line is to correct for the fact that prices had risen since 2005 and $1.25 now would no longer buy what it bought in 2005, said the World Bank chief economist Kaushik Basu in a blog post.

The method used to upgrade the poverty line was to take the average inflation in the poorest nations of the world and raise the nominal poverty line in order to hold it constant in real terms, according to Basu.

Using the new line, the World Bank projected that global poverty will fall from 902 million people or 12.8 percent of the global population in 2012 to 702 million people, or 9.6 percent of the global population this year.

The continued major reductions in poverty were due to strong growth rates in developing countries in recent years and investments in people's education, health and social safety nets, said Jim Yong Kim, president of World Bank Group.

In order to further reduce poverty and boost shared prosperity, the World Bank president called on countries to boost broad-based growth that generates sufficient income-earning opportunities to invest in areas such as education, health and sanitation, and to protect the poor and vulnerable against sudden risks of unemployment, hunger, illness and other calamities.







More News

Sensex, Nifty fall 1% as crude oil prices surge
Sensex, Nifty fall 1% as crude oil prices surge
Aamir Khan calls 'Thugs of Hindostan' role one of his toughest
Aamir Khan calls 'Thugs of Hindostan' role one of his toughest
Fuel prices continue to fall as global crude rates ease
Fuel prices continue to fall as global crude rates ease

Write your Comments

Disclaimer: Please write your correct name and email address. Kindly do not post any personal, abusive, defamatory, infringing, obscene, indecent, discriminatory or unlawful or similar comments. canaranews.com will not be responsible for any defamatory message posted under this article.

Please note that under 66A of the IT Act, sending offensive or menacing messages through electronic communication service and sending false messages to cheat, mislead or deceive people or to cause annoyance to them is punishable. It is obligatory on CANARANEWS to provide the IP address and other details of senders of such comments, to the authority concerned upon request.

Hence, sending offensive comments using canaranews will be purely at your own risk, and in no way will canaranews.com be held responsible.