The Global Forum on Development hosted last week by the Organization for Economic Cooperation and Development discussed how sustained and inclusive growth could be achieved in development, despite structural development challenges and lagging productivity.
One of the main problems identified was the non-convergence of many middle-income countries expected to reach OECD income levels by 2050, due to growth stagnation in emerging economies and decreasing external demand. Overall low productivity levels in low- and middle-income countries — which are responsible for non-convergence with advanced economies — ultimately increase the danger of countries facing the middle-income trap.
There were five key points to take away from the discussions in Paris: