World Bank head warns of stagflation‘SHARP SLOWDOWN’: The global median income has dropped 4 percent, the first decline since the World Bank begun measuring the indicator in 1990, a report saysReuters, WASHINGTONWorld Bank president David Malpass on Wednesday said that it could take years for global energy production to diversify away from Russia after its invasion of Ukraine, prolonging the risk of stagflation, or a period of low growth and high inflation. Those developments would have grave consequences for developing countries, Malpass said, citing what he called “consequential” and “worsening” challenges facing development. A volunteer packs boxes of food for distribution at the Capital Area Food Bank in Washington on Oct. 5 last year. Such adjustments would improve the allocation of global capital, providing a path to reduce inflation while restarting growth in median income, he said. More funding for education, health preparedness and adaptation to climate change was urgently needed, he said, along with steps to reduce the staggering debt levels burdening many developing countries.

Source: Taipei Times September 30, 2022 03:59 UTC