Commodity prices were almost a quarter cheaper in 2023 than in 2022, marking the most significant drop since the novel Coronavirus pandemic, says the World Bank.
However, the gap between wealthy and poorer nations has never been wider, it says.
Despite the price decline, commodities such as energy and water remained more costly than before 2019. Still, the World Bank forecasts further reductions of around 4% on average in 2024.
Oil is expected to cost €74 per barrel this year, while base metal prices should decrease by approximately 5%. Prices are projected to stabilise by 2025.
The overall price drop has not narrowed the wealth gap between rich and poor communities. While poverty has been stable or decreasing in countries like Belgium, it is more severe than ever in low-income regions. If 2022 was a year of uncertainty, 2023 was the year of inequality, the Bank notes.
About 700 million people currently live in extreme poverty worldwide, surviving on less than €1.96 per day, according to the World Bank..
From 2010 to 2019, there was an annual decline in the number of extremely poor people, but this trend was reversed by the Covid-19 pandemic.
The world has lost three years in the fight against poverty, the World Bank notes.
