Thread by @srinicaps

As we are nearing the #COVID19 #economy #shutdown , schools likely to reopen , #moratorium and Govt pay checks to end soon , let’s see the likely scenario which may play out socially and economically

Middle-income
countries such as India, South Africa, and Brazil are rapidly

experiencing rising levels of social and economic destruction as millions of people that were just about managing have been tipped over the edge by the
pandemic. Even the world’s richest countries are not immune.
The dramatic slowdown in the global economy,

coupled with severe restrictions on movement, has resulted in mass job losses over the last few months. With no income or social support, millions of people cannot afford enough to even eat.
The International Labour Organization estimates that the equivalent of 305 million

full-time jobs have been lost because of the pandemic, with
women and young people especially hard hit.
Up to half a billion people could be pushed into poverty as a result.
Globally, 61% of people work in the informal economy.

40 % are women and many
are young in fact three quarters of young adults earn a living in the informal sector.
workers, including domestic helpers, street vendors, delivery drivers and daily wage labourers on construction sites, have been particularly hard hit by the pandemic

as they have no job security and no access to the benefits
For decades, governments in lower-income countries have failed to invest in agriculture and the rural economy, leaving small-scale producers without the infrastructure, information, or technology

they need to access markets, improve productivity, and adapt to an increasingly hostile climate. For example, between 2014 and 2018 only eight African countries consistently spent 10% or more of their government budget on agriculture

In addition, the powerful agricultural traders, food and beverage corporations, and supermarkets that dominate the food sector are able to dictate the price and terms of food trade. Their focus on reducing costs and maximizing profits means producers and workers are being paid

poverty wages yet shoulder most of the risk associated with food production. A 2019 Oxfam survey of tea plantation workers in Assam, India, for example, revealed that more than half of workers were not able to live on their wages alone.

Meanwhile, Indian domestic tea brands captured 58% of the price paid by consumers
As a result, millions of smallholder producers and food workers are struggling to survive with significant consequences for the food security of communities and countries.

Some urgent steps which can mitigate the severe social and economic issues could be to provide emergency assistance to save lives now , build better and more resilient and more sustainable food system, debt repayments has to be handled very sensitively

and as losses are inevitable, the authorities should chart a plan to ensure the Govts , lenders and borrowers are all made to contribute effectively to tackle this huge setback.

Credits
@Oxfam

@threadreaderapp
Unroll