Economics & Development

Growth will recover modestly over the medium-term and remains insufficient to meaning fully improve jobs and poverty outcomes. Although poverty declined by about 6 percentage points since 2014, close to 60 percent of South Africans live below the upper-middle-income poverty line, while unemployment remains above 30 percent. With public debt nearing 80 percent of GDP, sustaining fiscal credibility while improving efficiency and impact of public spending remains critical.

The conflict in the Middle East is affecting Kuwait's economy through multiple channels. Disruptions to shipping in the Strait of Hormuz have completely halted oil exports and inflated import costs. Infrastructure damage, emergency military spending, and weaker investor sentiment are straining a public spending model that has long relied on hydrocarbon windfalls. Further prolongation or escalation of the conflict could exacerbate existing fiscal pressures.

Economic activity has been severely disrupted by conflict, economic sanctions, and social unrest. The rising cost of the conflict and potential disruption to oil exports could add severe fiscal pressures. Disruptions to imports of essential goods add inflationary pressures and raise food security risks. The outlook is subject to significant downside risks given the high uncertainty surrounding conflict scope and duration.

This statement, delivered by Anuradha Thakur, Secretary (Economic Affairs), Ministry of Finance, India, on behalf of Bangladesh, Bhutan, India, and Sri Lanka to the 113th Meeting of the Development Committee on April 16, 2026, addresses the evolving global development outlook amid heightened geopolitical tensions, energy market volatility, and increasing risks to growth, inflation, and financial stability, particularly for emerging markets and developing economies. It highlights the impact of recent escalations in West Asia on global growth and inflation trajectories while supporting the World Bank Group’s (WBG) emphasis on job creation and the enabling environment as central to sustainable development. The statement underscores the importance of continued MDB reforms, a stronger One‑WBG approach, affordable financing for middle‑income countries, and enhanced Global South representation in governance and knowledge creation. It outlines India’s strong macroeconomic performance, fiscal consolidation, inflation control, external sector resilience, and wide‑ranging structural reforms focused on deregulation, investment, digital transformation, energy transition, and data‑driven policymaking. The statement also highlights India’s leadership in digital public infrastructure, artificial intelligence, critical minerals, and climate action, while reaffirming the role of multilaterals in fostering inclusive, resilient global value chains. It further presents country perspectives from Bangladesh, Bhutan, and Sri Lanka, emphasizing macroeconomic stabilization, structural reforms, disaster resilience, and recovery efforts. Overall, the statement calls for deeper multilateral cooperation, finance‑plus‑knowledge engagement, and tailored development support to sustain growth, stability, and inclusive development across the constituency.

This statement, delivered by Roland Lescure, Minister of the Economy, Finance, and Industrial and Energy Sovereignty of France, to the 113th Meeting of the Development Committee on April 16, 2026, sets out France’s priorities for strengthening the World Bank Group’s (WBG) role in an international context marked by multiplying conflicts, energy shocks, fiscal constraints, and rising fragility. It calls on the WBG to combine emergency response with long‑term resilience, with sustained engagement in conflict‑affected settings including Ukraine, Palestine, and countries facing fragility, conflict, and violence, while strengthening prevention, reconstruction, and private‑sector engagement. The statement underscores the urgency of accelerating the global energy transition, reducing reliance on fossil fuels, and maintaining an ambitious, results‑oriented climate and nature agenda aligned with the Paris Agreement and the “livable planet” mission. It emphasizes the need to modernize the development finance architecture by shifting toward partnership‑based approaches that promote ownership, domestic resource mobilization, targeted concessionality, and reduced fragmentation. France supports reforms to IDA allocation and sustainability, expanded use of guarantees and blended finance, and stronger mechanisms to mobilize private capital without compromising impact, particularly in poor and fragile countries. The statement highlights priorities on jobs, critical minerals, quality infrastructure, gender equality, and procurement reform, while reaffirming support for governance and shareholding reforms that enhance representation and voice. Overall, France calls for an ambitious, coordinated, and results‑driven multilateralism, with the World Bank Group at its core, to deliver stability, resilience, and inclusive development.

Cette déclaration, présentée par Roland Lescure, ministre de l’Économie, des Finances et de la Souveraineté industrielle et énergétique de la France, à l’occasion de la 113e réunion du Comité du développement le 16 avril 2026, expose les priorités de la France pour renforcer le rôle du Groupe de la Banque mondiale (GBM) dans un contexte international marqué par la multiplication des conflits, les chocs énergétiques, les contraintes budgétaires et l’aggravation de la fragilité. Elle appelle le GBM à conjuguer réponse d’urgence et résilience de long terme, en maintenant un engagement soutenu dans les contextes touchés par les conflits, notamment en Ukraine, en Palestine et dans les pays affectés par la fragilité, les conflits et la violence, tout en renforçant la prévention, la reconstruction et l’implication du secteur privé. La déclaration souligne l’urgence d’accélérer la transition énergétique mondiale, de réduire la dépendance aux énergies fossiles et de maintenir un agenda ambitieux, axé sur les résultats, en matière de climat et de nature, aligné sur l’Accord de Paris et la mission d’une « planète vivable ». Elle met également en avant la nécessité de moderniser l’architecture du financement du développement en privilégiant des approches fondées sur le partenariat, favorisant l’appropriation par les pays, la mobilisation des ressources domestiques, une concessionnalité mieux ciblée et une réduction de la fragmentation. La France soutient les réformes visant l’allocation et la soutenabilité de l’IDA, l’extension du recours aux garanties et au financement mixte, ainsi que le renforcement des mécanismes de mobilisation des capitaux privés, sans compromis sur l’impact, en particulier dans les pays pauvres et fragiles. La déclaration met en exergue les priorités relatives à l’emploi, aux minéraux critiques, aux infrastructures de qualité, à l’égalité de genre et à la réforme des marchés publics, tout en réaffirmant le soutien aux réformes de gouvernance et d’actionnariat visant à renforcer la représentation et la voix des pays. Dans l’ensemble, la France appelle à un multilatéralisme ambitieux, coordonné et orienté vers les résultats, avec le Groupe de la Banque mondiale en pilier central, afin de garantir stabilité, résilience et développement inclusif.