WINDHOEK – Inequality continues to dog the world, with 85 people owning half of the world’s wealth, as threats of substantial increase in the frequency of natural disasters, along with economic and environment shocks haunt human development, says the just-released Human Development Report 2014.
The report singles out sub-Saharan Africa as having experienced the highest loss in human development index value, which looks at life expectancy, education, income, and health levels. The sub-Saharan African region slipped back on health, when compared to records of 2010.
“Beyond income, about half of the world’s wealth is owned by the richest 85 people collectively holding the same wealth as the poorest half of the world’s population. Globalisation, technological progress, deregulation of labour markets and misguided macroeconomic policies are likely to create and sustain these large gaps in income and wealth,” says the report that was launched by the National Planning Commission and the United Nations Development Programme in Windhoek last week.
Going forward, the report notes though financial instability, food price volatility, natural disasters, and violent conflict as “key challenges to sustaining and advancing human development”. Food supply is constrained by soil degradation, climate change and low investment in agriculture, especially the neglect of research and extension services. “Prices are likely to be more volatile as a consequence of higher frequency of extreme weather events, and the financialisation of commodity markets and the volatility in exchange rates,” the report says.
It also notes that natural disasters are increasing in frequency and intensity. Between 1901 and 1910 the world witnessed 82 disasters, a minute figure when compared to more than 4 000 disasters that hit planet earth between 2003 and 2012.
“Even allowing for better recording, the increase is substantial. Particularly worrying is the much greater incident of hydrological and meteorological disasters. Although fatalities from natural disasters appear to be declining, the number of people affected is increasing,” says the report, calling for people to take drastic actions in reducing global warming.
The report also notes that increases in civil unrests have been fuelled by a growing perception that policymaking has not prioritised people’s needs or listened to their voices, which should be taken as an important call for better governance.
“The world has always been subjected to uncertainty and unpredictability. But the growing frequency and severity of economic and environmental shocks threaten human development,” it says.
Thus governments are asked to implement greater accountability and to be responsive to people’s concerns. “Profound transformations are needed beyond changes in government as the Arab spring has illustrated.
Growing economic and social tensions – emerging from increasing inequality and a lack of economic opportunities – are likely to continue to fuel social unrests,” says the report.