You are here: Home » Current Affairs » News » National
Business Standard

India, China and US driving global growth: World Bank's David Malpass

David Malpass also expressed concern over growing inequality due to the Covid-19 pandemic

Topics
World Bank  | India economy | Inequality

Press Trust of India  |  Washington 

World Bank Group President David Malpass attends a news conference after a meeting at the Chancellery in Berlin. Photo: Reuters
File photo: World Bank Group President David Malpass

There is now a faster global growth driven primarily by the US, China and India, president has said even as he expressed concern over growing due to the COVID-19 pandemic.

He said here is also the concern of in terms of vaccinations and median income that's not going up very fast for some countries.

"But there's also the concern that there's Inequality in terms of vaccinations, in terms of median income that's not going up very fast for some of the countries and may even be going down. There's the interest rate differential, where poor countries face much higher interest rates and they haven't gone down the way global interest rates have done," he said.

"There's the good news that there is faster global growth driven primarily by the US, China, and India, having strong rebounds," Malpass told reporters at the start of the Spring meeting of the International Monetary Fund (IMF) and the

The annual spring meeting, which is being held virtually, focusses on vaccines, climate change, debt and recovery.

Malpass said there is an inequality in terms of the bankruptcy process, which is not available to sovereign countries, so the poorer countries do not have a way out of these very heavy debt burdens.

"There's also inequality in terms of access to credit with a lot of the stimulus going to the upper end, and people that don't have pristine credit ratings, for example, or small businesses, new entrants, women that would like to start a business, having great difficulty getting credit," he said.

According to Malpass, the and the IMF are working closely together to have successful implementation of the G20's Common Framework to deal with unsustainable debt situations.

There was a call for the private sector to provide comparable treatment with regard to debt, he said.

Responding to a question, Malpass said that the slowness in the vaccine rollout, particularly in Europe, is concerning.

"It's disappointing. We see in the news everyday some of the various challenges that the countries face. I fervently believe or wish for and hope for a faster rollout as excesses become available in other countries. And, we can look to the regulatory agencies to work smoothly toward their approvals so that more vaccines can be approved," he said.

He said that people getting vaccinated is an important part of their safety and global recovery.

"So, I share that sentiment that Germany said today at the G20 that there may be a softening of their GDP (Gross Domestic Product) growth forecast related to the vaccine problem, and it redoubles everyone's urgency and efforts to have more vaccines available worldwide," Malpass added.

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Thu, April 08 2021. 06:32 IST
RECOMMENDED FOR YOU
.