https://quillette.com/2020/10/19/the-coming-post-covid-global-order/
The COVID-19 pandemic has devastated economics in the West, but the harshest impacts may yet be felt in the developing world. After decades of improvement in poorer countries, a regression threatens that could usher in, both economically and politically, a neo-feudal future, leaving billions stranded permanently in poverty. If this threat is not addressed, these conditions could threaten not just the world economy, but prospects for democracy worldwide.
In its most recent analysis, the World Bank predicted that the global economy will shrink by 5.2 percent in 2020, with developing countries overall seeing their incomes fall for the first time in 60 years. The United Nations predicts that the pandemic recession could plunge as many as 420 million people into extreme poverty, defined as earning less than $2 a day. The disruption will be particularly notable in the poorest countries. The UN has forecast that Africa could have 30 million more people in poverty. A study by the International Growth Centre spoke of “staggering” implications with 9.1 percent of the population descending into extreme poverty as savings are drained, with two-thirds of this due to lockdown. The loss of remittances has cost developing economies billions more income.
Latin America had seen its poverty rate drop from 45 to 30 percent over the past two decades, but now nearly 45 million, according to the UN, are being plunged into destitution as a result of the novel coronavirus pandemic. In Mexico alone, COVID-19 has caused at least 16 million more people to fall into extreme poverty, according to a study by the National Autonomous University of Mexico (UNAM).