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Surge In Conflicts Fuels Extreme Poverty — World Bank

Economies in fragile and conflict-affected regions have become "the epicenter of global poverty and food insecurity," the bank said.

By Channels Television
Updated June 27, 2025
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Children join a queue of jerrycans at a watering point at Lushagala camp for Internally Displaced Persons (IDP) in the city of Goma, the capital and largest city of the North Kivu Province in the eastern region of the Democratic Republic of the Congo on February 03, 2025. Congolese President Felix Tshisekedi and Rwandan President Paul Kagame will attend a joint summit this weekend to discuss the crisis in the eastern DR Congo, Kenya’s presidency said Monday. Tshisekedi and Kagame have both been no-shows at previous talks attempting to broker peace between the two sides. (Photo by Tony KARUMBA / AFP)

 

Conflicts and related fatalities have more than tripled since the early 2000s, fueling extreme poverty, the World Bank said Friday.

Economies in fragile and conflict-affected regions have become “the epicenter of global poverty and food insecurity, a situation increasingly shaped by the frequency and intensity of conflict,” the bank added in a new study.

This year, 421 million people get by on less than $3 a day in places hit by conflict or instability — a situation of extreme poverty — and the number is poised to hit 435 million by 2030.

Global attention has been focused on conflicts in Ukraine and the Middle East for the past three years, said World Bank Group chief economist Indermit Gill.

But “half of the countries facing conflict or instability today have been in such conditions for 15 years or more,” he added.

 

An Iraqi soldier stands guard as people march during celebrations to mark the ceasefire between Israel and Iran in the southern city of Basra on June 24, 2025. Iranian President Masoud Pezeshkian announced the “end of the 12-day war” imposed by Israel, in a message to the nation carried by the official IRNA news agency on June 24. (Photo by Hussein FALEH / AFP)

 

Currently, 39 economies are classified as facing such conditions, and 21 of them are in active conflict, the Washington-based development lender said.

The list includes Ukraine, Somalia, South Sudan and the West Bank and Gaza.

It also includes Iraq although not Iran.

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The report flagged that moves to prevent conflict can bring high returns, with timely interventions being “far more cost-effective than responding after violence erupts.”

 

Displaced people fetch water at the Kashaka IDP (Internally Displaced Person) camp in the outskirts of Goma on February 3, 2025. A Doctors Without Borders (MSF) health clinic in conflict-hit eastern DR Congo’s city of Goma resumes services after the Rwanda-backed armed group M23 took the North Kivu provincial capital last week following weeks of fierce battles with the Congolese army. (Photo by Jospin Mwisha / AFP)

 

It also said that some of these economies have advantages that could be used to reignite growth, noting that places like Zimbabwe, Mozambique and the Democratic Republic of Congo are rich in minerals key to clean tech like electric vehicles and solar panels.

“Economic stagnation — rather than growth — has been the norm in economies hit by conflict and instability over the past decade and a half,” said Ayhan Kose, World Bank Group deputy chief economist.

The bank’s report noted that high-intensity conflicts, which kill more than 150 per million people, are typically followed by a cumulative fall of around 20 percent in GDP per capita after five years.

AFP

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