This came in a message addressed by the Moroccan King to the annual meetings of the Bank and the International Monetary Fund, hosted by his country.
He said: “The global financial system must be reconsidered and worked to improve it to become more equitable and inclusive for the benefit of everyone. Perhaps these annual meetings constitute the most appropriate space to embrace dialogue and constructive discussion regarding this reform.”
He pointed out that “the world today is witnessing geo-economic fragmentation and the growth of sovereignty disputes, part of which is attributed to the desire to reset the balance of economic and political power at the global level.”
Around the world, there are 92 countries that are unable to fully fulfill their obligations towards the debts owed to them, including 52 countries demanding the cancellation of their debts due to their inability to proceed with paying their installments, according to the World Bank.
The President of the World Bank, Ajay Banga, had warned of the consequences of declining growth in the coming years.
He said in his speech during the meetings, “Economic growth in a number of developing countries has declined over the past two decades, and it is expected to continue to do so during the coming period.”
He explained that losing 1 percent of growth pushes 100 million new individuals into poverty and 50 million into extreme poverty. “We warn of a decline in progress in a number of countries, which slows down the fight against poverty and achieving food security.”
For his part, Ukrainian Finance Minister Sergei Marchenko pointed to the challenges facing a number of countries, such as continued high inflation, climate crises, political fragmentation, and food shortages, which complicate matters.
In his speech, he pointed out that growth in the medium term will be the lowest in decades… “while the debt burden is still rising in emerging markets and developing countries, in addition to financial risks.”
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