The World Bank has projected that by 2030, approximately 622 million people, representing 7.3% of the global population, will still live in extreme poverty, as efforts to eradicate poverty have stalled.
This alarming forecast was revealed in the Bank’s latest “Poverty, Prosperity, and Planet” report, released on Tuesday. According to the report, the global target of ending extreme poverty—defined as living on less than $2.15 per person per day—by 2030 appears out of reach. The Bank warned that it may take another three decades to fully eliminate extreme poverty, especially in low-income countries.
The report highlighted that, as of 2024, nearly 700 million people worldwide, or 8.5% of the population, continue to live on less than $2.15 a day. The World Bank attributes this stagnation to slow economic growth, setbacks caused by the COVID-19 pandemic, and increased political and social fragility in many regions. It also pointed out that poverty levels in low-income countries have worsened since the pandemic began.
3.5 Billion People Struggle with Poverty
Beyond those in extreme poverty, the Bank noted that 3.5 billion people—44% of the global population—are classified as poor by a broader measure more relevant to upper-middle-income countries, where poverty is defined as living on less than $6.85 per day. The number of people living on less than this standard has remained largely unchanged since the 1990s, due to rapid population growth.
The report projects that by 2030, 69 million people will escape extreme poverty, down from the 150 million who did so between 2013 and 2019. Nevertheless, nearly 3.4 billion people, or 40% of the global population, are expected to live on less than $6.85 a day.
Africa Holds Majority of Global Poverty
The World Bank highlighted that Africa bears the brunt of global poverty. As of 2024, Africa accounts for 16% of the world’s population but a staggering 67% of the people living in extreme poverty. The situation is particularly dire in Sub-Saharan Africa, which hosts two-thirds of the global population living in extreme poverty. This figure rises to three-quarters when including fragile and conflict-affected countries.
Additionally, the Bank noted that 72% of people in extreme poverty live in countries eligible for assistance from the International Development Association (IDA), its fund for the world’s poorest nations. Many of these countries face high levels of inequality, particularly in Sub-Saharan Africa, Latin America, and the Caribbean.
A Century to Close the Prosperity Gap
The report paints a bleak picture for closing the global prosperity gap. It warned that at current growth rates, it could take 100 years for a typical upper-middle-income country to reach the same level of prosperity as high-income nations. However, the report suggests that this timeline could be shortened if income growth becomes more inclusive and if inequality decreases.
The Path Forward
Despite the grim statistics, the World Bank emphasized the need for action, particularly from low- and middle-income countries. The report urged low-income nations to prioritize poverty reduction through economic growth and by addressing multidimensional poverty. For middle-income countries, the focus should be on achieving income growth that reduces vulnerability, while also cutting the carbon intensity of their economies.
The Bank also called on upper-middle- and high-income countries, which are responsible for 80% of global greenhouse gas emissions, to transition quickly to low-carbon economies. It highlighted the importance of managing the costs of this transition while ensuring the gains from economic growth are more widely shared.
