World Bank publishes new economic report for the Western Balkans

SARAJEVO, (Patria)  - New editions of World Bank notes are now available, examining the impact of COVID-19 on health systems, poverty and household welfare, education, social protection, labor markets, and air quality management in the Western Balkans.  

These notes complement the recently published Western Balkans Regular Economic Report  and accompanying  Notes - published on April 29 - and show projections of the impact of COVID-19 on the population in the region, the Central Bank of Bosnia and Herzegovina announced. 

 

The latest notes include: How COVID-19 May Affect Poverty and Household Welfare in the Western Balkans, The Estimated Impact of COVID-19 on Education and Country Responses, The Impact of COVID-19 on Health Systems in the Western Balkans, Labor Markets and the COVID-19 Shock in the Western Balkans, How COVID-19 Could Exacerbate Air Pollution Challenges in the Western Balkans Opportunities for Social Protection Responses to the COVID-19 Crisis in the Western Balkans.
 

The World Bank estimates that, without government response, over 400,000 people in the region could fall into poverty and the middle class could significantly shrink.  Many of those who could fall into poverty currently do not use any social protection, and workers in the informal sector, who lack unemployment insurance and are not entitled to other support, are particularly at risk.

Compared to the EU average, low and inefficient per capita health spending before the crisis makes the region particularly vulnerable to this and future public health crises. High air pollution in several major cities, and consequently, a higher rate of respiratory diseases, increases this vulnerability, especially if the pandemic returns next winter.

Furthermore, the necessary school closures to reduce the spread of the virus will lead to a significant reduction in learning outcomes, which may take years to compensate for: it is estimated that the number of those who do not possess basic reading skills could increase from the current 53% to 61% if schools remain closed until the end of June. The educational impacts will be disproportionately greater for those in disadvantaged situations, with a significant portion of students regressing towards functional illiteracy and potential school dropout.

Reports can be downloaded at: http://www.worldbank.org/eca/wbrer