David Malpass, David, $80 discussed on Bloomberg Surveillance
Mild move lover down. 17 were off by about 4/10 of 1%. The bigger move is in the NASDAQ is in Big tech, John I notice while 67 or seven and Brent crude or yet to frame out $70 a barrel, let alone people looking at the $80 a barrel as well. We will watch tech the tape a little weak and again the text story a little bit behind, but I really want to emphasize Standard and poor's 500 incurred. Action mowed down 0.25% a quarter of 1% from recognizing Dow with that 32,000 statement yesterday, devastating as well right now, and this is timely on the global impact of the vaccines. Can America prosper out of pandemic? If the rest of the world does not. David, Mile past joins us the World Bank President, Mr Montez wonderful to have you with us. Your World Bank wants a shared prosperity and want you to explain to our fancy audience why we need the impoverished world to get beyond the vaccine in the pandemic to get beyond a pandemic. So we can prosper as well. Great question. Hi everybody into to your to your well manicured audience. The challenge is both the moral the moral issues, meaning we really want people everywhere in the world to do well, but there's a very hard economic reason as well that that That people will create markets of the future, and they will also be the innovators, the the really practitioners off growth that's got to come from all over the world, So I think there's there's both the responsibility to be engaged in countries worldwide on also the the the profit motive for everyone in the world. We all do better. It's a positive sum game if everyone can be in The global economy in a positive way and constructive and keeping track of global public goods like climate history, David I have said this for years full disclosure, Mr Male passes in my book of eons ago, David Malpass. I want to make clear you on the word fast. You have always looked at the calculus of the global economy, and now you do it through the prism of the World Bank. We recovering fast? Some of the countries are you know China didn't even really have a recession in 20 in 2020. The US now looks to be in in a fast recovery, which is welcome on But as as we look at the rest of the at many parts of the world, the inequality is the more striking condition So you can see that you I heard you, the announcer prior talking about commodity prices, and you were talking about oil 70 or $80. That has a differential impact on different countries. Commodity exporters are feeling the rise right now from commodity prices. And so that's good. But the countries that that used commodities that aren't commodity producers, for example, if your primary export is tourism, you know the tourist destinations in the developing world. They're still feeling it very hard, and I think it's going to be a hard 2021. David. As we believe. In this reflection, Trader at least markets do globally. There's been a lot of money that's flown into the developing world into emerging markets assets. Do you think the chance of a debt crisis in the developing world has basically gotten diminished to near nothing? Or do you think that that's still a really prominent risk? I think it's a prominent risk for a lot of the country's I at the bottom on that has to do with the difficulty of getting new investment. You know, it's not enough to get just new debt. You need to have that debt applied in the country's two projects that are really going to create growth. We're trying to provide the vaccine support that we can that helps the people of the country begin to put it back together again. Food insecurity is a big problem because Both the things going on on a global scale in terms of climate changes, but also because the supply change were disrupted. So all of those mean that the people at the bottom are still not are not feeling a lift, and I think they really need some new systems that will give them that kind of lift. One new system would be at least wiping out some of their debt to give them a leg up as they try to enter a new growth trajectory. There's been some talk nascent talk. About linking at debt reduction to addressing climate change issues. How far along are you in those talks? We're working closely with the I'm up on ways that we can envision the connection. It's not just climate, its development in general, the country's need, as if there if there could be debt reduction that would That would temporarily disadvantage the creditors, but it would provide resource is in the country for them to invest into healthcare into covert response on did into climate on so the rest of the world should see that there's a beneficial linkage from foreign countries where their debt is unsustainable because maybe past governments took on too much debt. Or the projects that they were being financed, didn't work out. Some some of the countries have giant white elephants projects that someone thought five years ago or 10 years ago thought it was a good project, and it doesn't work out and still the people the country have to pay the debt a year after year after year, So there's got to be some way out of that for the poorest countries. Mr Bell Pass, I have to ask for Craig Gordon in our Washington team. The delicate question always asked when we see a change in administrations. You were appointed by President Trump to a five year term after World Bank I believed her 2024. But now you have a different president explain the dynamic of the president of the World Bank with a new Biden administration and how you see that unfolding here in the coming months. Yeah, I think pretty well. I was proposed by President Trump. But I was selected by the board of the of the World Bank. I worked for the World Bank and for the shareholders of the World Bank and the governor's, which countries around the world. So as the Biden administration comes in, they guide the relationship as the biggest shareholder in the in the World Bank. But I work for the for the bank. And we're doing things that Biden administration is supportive of. I think Can I? I'm sure that they're very supportive of global growth of developing countries. Doing better of a recognizing the importance of climate change is in the in the formation of economic policies in countries. All of those are work synergistically and work well. And they also I think I mean, I'm sure are very interested in the poverty reduction goals of the World Bank. That's one of the cores and I'm looking forward to that new relationship. David Malpass. Thank you so much. The World Bank president this morning with the good news we've seen over the last number of weeks. Better pandemic statistics. John I really think we have to turn to where we are in 6.5 minutes Leases played this up nicely. Which is the shock still of 708 under dare I say 900,000 claims 25 the estimate 125,000 previous rate was 861 is gonna take a while. I go back to Governor Brain this speech. In the last 24 to this I missed human. He steps on in a very, very simple way for people to understand. Previously the Federal Reserve's for unemployment going lower and try to get ahead of it before it starts to stoke inflation. I've been conditioned by experience not.