Over the last 20 years, economic growth has helped to lift almost a billion people out of extreme poverty. But 1 billion people are still extremely poor. 1.1 billion live without electricity and 2.5 billion people without access to sanitation. For them, growth has not been inclusive enough.
In addition, growth has come at the expense of the environment. While environmental degradation affects everyone, the poor are more vulnerable to violent weather, floods, and a changing climate.
Development experts, policymakers, and institutions like the World Bank have learned a major lesson: If we want to succeed in ending poverty, growth needs to be inclusive and sustainable.
There is a growing consensus that a new approach is needed to meet the financial needs of developing countries to ensure sustainable, inclusive and resilient growth paths. We all know that Official Development Assistance (ODA) finance is limited and cannot address the massive investment needs of countries. In addition to increased domestic resource mobilization, the more effective engagement of a variety of players, especially from private sector, NGOs, and philanthropic organizations, will be key to close the finance gap.
Most people now realize the cost of inaction to deal with climate change is far higher than the cost of action. The challenge is mustering the political will to make smart policy choices.
A new report by the Global Commission on the Economy and Climate, of which I am a member, shows climate action delivers local development benefits as well as emissions reductions. In fact, smart policy choices can deliver economic, health and climate benefits for developed and developing countries alike.
At the core of the encyclical is both a concern for the health of the planet and for the earth’s poor, reflected in a commitment to social values and integrity, environmental resilience, and economic inclusion.
The stock-taking begins, aptly, with pollution: “Some forms of pollution are part of people’s daily experience. Exposure to atmospheric pollutants produces a broad spectrum of health hazards, especially for the poor, and causes millions of premature deaths.” The World Bank’s latest edition of the Little Green Data Book finds indeed that in low and middle-income countries, 86% of the residents are exposed to air pollution levels (measured in exposure particulate matter less than 2.5 microns in diameter) that exceed World Health Organization (WHO) guidelines. The WHO last year made headlines when it calculated that 7 million people had died prematurely from indoor and outdoor air pollution in 2012. From safer cookstoves in rural areas, to better air quality management in fast growing cities, this is an area where solutions are known and must be urgently applied.
In a joint post, World Bank Director for Climate Change James Close teams up with Environment and Natural Resources Global Practice Senior Director Paula Caballero and Health, Nutrition and Population Global Practice Senior Director Tim Evans to comment on a new report released by The Lancet, which touches upon aspects of each of their portfolios and underscores the value in working collaboratively toward development solutions.
In a new report released today, the Lancet Commission on Health and Climate Change tells us that “tackling climate change could be the greatest global health opportunity of the 21st century.”
Among its recommendations, it calls on governments to invest in climate change and public health research and monitoring and surveillance, and to scale-up financing for climate-resilient health systems worldwide.
At the World Bank, we couldn’t agree more.
Every year, we lose 24 billion tons of fertile soil to erosion and 12 million hectares of land to desertification and drought. This threatens the lives and livelihoods of 1.5 billion people now.
In the future,. Land degradation could also reduce global food production by up to 12% and push world food prices up by 30%. In Egypt, Ghana, Central African Republic, Pakistan, Tajikistan and Paraguay, land degradation could cause an annual GDP loss of up to 7%.
Pressure on land resources is expected to increase as populations grow, socio-economic development happens and the climate changes. A growing population will demand more food, which means that unsuitable or especially biodiverse land will be claimed for farming and be more vulnerable to degradation. Increased fertilizer and pesticide use related to agriculture will increase nutrient loading in soils, causing eutrophication and declines in fertility over time.—especially in drylands, which occupy 40% of global land area, and are inhabited by some 2 billion people. Urban areas, which are located in the world’s highly fertile areas, could grow to account for more than 5% of global land by mid-century.
Unless we manage our land better, every person will rely on just .11 hectares of land for their food; down from .45 hectares in 1960.
I work in one of the most rewarding fields imaginable – helping low- and middle-income countries develop so that poor people have a fair chance at reaching their full potential. My field of work is at a critical crossroads, and it is no exaggeration that the decisions we make this year will have an impact on everyone in the world and especially the poorest.
Editor’s note: Kalyan Panja was the grand prize winner of our first Spring Meetings blogging contest. His winning post covered two events related to food and agriculture. His prize was the opportunity to interview Ethel Sennhauser, the World Bank’s director of agriculture.
What is the most striking crisis in the agricultural sector that needs to be addressed urgently?
The world needs to feed 9 billion people by 2050 — but climate change, declining soil health, and overstretched resources could drive down agricultural productivity in the long run. Droughts and extreme weather events are already having a negative impact on farming and productivity. In the future, yields could drop by more than 25%.
Awareness is certainly progressing. From the streets of Sao Paulo, Brazil - a country that hosts nothing less than the mighty Amazon River, to the farmlands of California, people are coming to the realization that resources such as water are not limitless. More and more businesses are looking at the security of their supply chains and the footprint of their operations with zeal fueled by self-interest. And countries seem poised to adopt Sustainable Development Goals that signal an understanding that economic, social and environmental issues are inherently interdependent.
Climate change, water shortages and other environmental crises are bringing home the message loud and clear: we need to connect the dots between human actions across the landscape and seascape, or the earth will cease to care for us. It will cease to grow food, to store water, to host fish and pollinators, to provide energy, medicine and timber. Changing temperatures will stress systems already overwhelmed by unsustainable patterns of production and consumption, while a growing middle class will further strain planetary boundaries.
How can we help economies develop better, for lasting poverty reduction and prosperity, within the limits of natural resources? How can we make more rational use of natural and financial resources to maximize social and economic benefits and reduce carbon emissions while increasing our resilience to climate extremes?
When my colleague and friend Pabsy Pabalan informed me that she was going to cover the 2015 World Bank Group-International Monetary Fund Spring Meetings, I thought she meant producing blogs or writing articles. But her plan was a little more unusual and fresh. Pabsy was on a mission to explore the other side of the meetings, interview participants, and educate a younger audience by producing short daily videos. As someone who is toward the younger side (or would like to think so), I was looking forward to watching videos with a different approach on World Bank Group events. I soon became a huge fan of #PabsyLive.