‘In life-and-death matters such as the COVID-19 pandemic, a focus on financial matters can seem misplaced. But for the world’s poor, the financial impacts of COVID-19 can be devastating and far more immediate.’
CGAP
The COVID-19 pandemic has affected everyone, in one way or another, however, the world's poorest have been hit the hardest. With nearly half of the population on lockdown from the pandemic, many have lost their incomes. Many of them do not have a roof over their heads to quarantine, but also have limited savings to provide food and supplies for their families. Nearly 780 million people do not have access to clean drinking water. “The lack of running water, access to nutritious food and dilapidated housing conditions in poor communities makes advice such as handwashing, maintaining good nutrition, and self-quarantine matters of privilege” one Manila doctor says. The predictions for the effect of this pandemic are devastating, some experts believe that nearly half a billion people could possibly be pushed into poverty due to the COVID-19 pandemic, the World Food Programme suggests that this pandemic is also threatening to the food security of low income communities. The UN’s Framework for the Immediate Socio-Economic Response to COVID 19 Crisis warns that ‘ The COVID-19 pandemic is far more than a health crisis : it is affecting societies and economies at their core. While the impact of the pandemic will change from country to country , it is most likely to increase poverty and inequalities at a global scale’. This virus is the biggest threat to the world right now, this could lead to a financial crisis in the world.