- The world has spent an additional $ 11.7 trillion to mitigate the impact of the pandemic, of which:
– $ 9.8 trillion, or 83 percent, was spent in 36 rich countries
– 42 billion dollars or 0.4% in 59 low-income countries.
- More than a third of the world’s population, 2.7 billion people, have not received any support from their governments to cope with the pandemic.
This is evidenced by the results of a study conducted by Oxfam, which is summarized in the report entitled ” Shelter from the Storm”.
The study looked at government programs designed to help inject money into different groups of people, particularly people with disabilities, the unemployed, children, and the elderly. A study of 126 low- and middle-income countries found that none of these programs met the needs of those people.
The decades-long social policy, which focused on low levels of proven funding support, has left many countries completely unprepared to fight the COVID-19 economic crisis.
“While countries like South Africa and Bolivia have shown that a comprehensive approach to social protection is affordable, it has a greater impact on reducing inequality and protecting those most in need,” the report said.
In total, the world has spent an additional $ 11.7 trillion to mitigate the impact of the pandemic. Of that, $ 9.8 trillion, or 83 percent, was spent in 36 rich countries, $ 42 billion, or 0.4 percent in 59 low-income countries.
The report found out, that:
41% of the surveyed countries had social protection programs, which assume lump sum payment. Only 13 percent of the programs lasted more than six months.
8 out of 10 countries failed to help even half of its population. Some countries, such as South Africa and Bolivia, were better prepared to provide universal social assistance during the pandemic. Oxfam believes that many countries should achieve this by pursuing better policies and providing more support.
For example, Kenya and Indonesia can reduce their country’s poverty by 25 and 31% by 2030, respectively, investing 17% of their GDP in universal social protection programs.
Many developing countries have been able to mobilize and provide non-financial assistance, such as food aid, but this has often been insufficient to fill the social protection gap.
Oxfam CEO Gabriela Booker says social protection is a lifeline, a human right as well as a powerful and affordable investment in reducing inequality, poverty, need, and vulnerability. However, over the years, low investment and dubious advice in developing countries have left superficial or broken social protection programs and the worst effects of the epidemic.
