The IMF is warning of a dangerous divergence.
In high-income countries where vaccines have been distributed and COVID-19 is being brought under control, there is a positive economic growth story. But in many low- and middle-income countries, where access to vaccines remains scarce, growth is slowing and poverty is increasing as economies sputter under continuing waves of COVID-19 cases.
Economic divergence has always existed, but it’s been exacerbated by the pandemic. In this episode, Abebe Aemro Selassie, Director of the IMF’s African Department, and Charlie Robertson, Global Chief Economist and Head of Macro Strategy at Renaissance Capital, join Gyude to discuss how to reverse this divergence. How do we increase investment—in transport, power, water, health, and education infrastructure—to enable economic growth and give African countries a chance to close the gap?
CGD blog posts reflect the views of the authors, drawing on prior research and experience in their areas of expertise. CGD is a nonpartisan, independent organization and does not take institutional positions.