Governments should invest in healthcare and education for children in order to boost economic growth, the World Bank urged on Thursday.
More than half of all children born this year will lose half of their potential lifetime earnings due to poverty, poor health and a lack of education, according to the World Bank’s Human Capital Index.
The global institution defined human capital as a person’s knowledge, wellbeing and skills accumulated over a lifetime.
“Human capital is a key driver of sustainable, inclusive economic growth, but investing in health and education has not gotten the attention it deserves,” World Bank Group President Jim Yong Kim said in a statement.
The institution noted that the development of human capital was key to reducing poverty and boosting economic growth throughout the 20th century, especially in countries in East Asia.