According to the World Bank Europe and Central Asia Economic Update, the biggest issues affecting and escalating poverty in Kyrgyzstan in 2022 will continue to be high food costs and employment instability.
The poverty rate is predicted to rise to up to 25.5% (3.65 dollars per day, 2017PPP), AKIpress reports.
The government’s actions, including raising pensions and expanding the reach of the social security program for the poor, will assist to lessen the negative consequences of lower labor earnings and greater inflation.
According to the World Bank, the region’s combined GDP for Europe and Central Asia is now anticipated to increase by 0.3 percent in 2023.
In comparison to the bank’s June prediction of a decline of 2.9%, the 0.2% shrinkage forecast for 2022 was noticed as being significantly better.
The updated predictions for the 23-country area, which includes Ukraine and Russia, take into account some of the major economies in the region’s higher-than-anticipated resilience as well as extensions of stimulus packages from the epidemic era in several nations.
According to the article, the bank has revised its prognosis for Ukraine’s GDP to a 35% decline from an earlier prediction of a 45% contraction.
“The overlapping crises of the war in Ukraine, the ongoing pandemic and the surge in food and fuel prices are painful reminders that governments need to be prepared to manage massive, unexpected shocks that unravel very quickly,” Anna Bjerde, the World Bank’s vice president for Europe and Central Asia, said in a statement, as reported by Radio Free Europe.
