Key messages:

  • A fair recovery, which seeks to ameliorate both the health and socio-economic impacts of the pandemic, is central for South Asia to achieve the 2030 Agenda. Therefore, it is critical policymakers choose the right priorities and effectively implement them at an early stage of recovery from the COVID-19 pandemic.
  • To sustain poverty reduction, restore employment, create new opportunities, and improve overall welfare, South Asian countries need to focus on providing universal health care, mainstreaming gender into social protection systems, and reducing the digital divide in education.
  • Vaccination policy is economic policy. The region must ensure that vaccination expenditures are prioritised; distribution is equitable; hesitancy is addressed, and incentives are provided to increase vaccinations.
  • For a fair recovery, a progressive taxation system, which will shift the burden from the poor to the rich, is necessary. This can be achieved through simplifying and digitising the tax process, reducing compliance costs, and investing in track and trace capacities.
  • Accelerating financial inclusion is a regional priority. Countries should focus on expanding access to financial services, improving digital and financial literacy levels, and increasing women’s inclusion in financial systems to promote a fair recovery from the COVID-19 pandemic.