A special analysis in June 2015's Global Economic Prospectsfinds that low-income countries, many of which depend on commodity exports and investment, are vulnerable in the current environment.
During the commodity price boom of the mid-2000s, these economies strengthened considerably with new discoveries of key metals and minerals, rising investment in resources, and expanding commodity exports. However, the medium-term outlook is looking increasingly challenging. Prospects are for a protracted adjustment to lower- and more-volatile commodity prices, weaker demand for exports, and reduced resource investment and production in the next few years. Risks are significant and tilted to the downside. This puts a premium on policies to build buffers that can ease the transition, and on reforms that support growth in the non-resource sector.
http://www.worldbank.org/en/publication/global-economic-prospects/Global-Economic-Prospects-June-2015-Special-Analysis-after-the-commodities-boom
