Global illiteracy rates have increased by an average of 2.2% in 2024 and 2025, with 773 million people worldwide unable to read at all, according to a new report released by the World Literacy Foundation yesterday on International Literacy Day.

The report revealed that 61% of children from low socioeconomic backgrounds do not own a single book, while two billion people globally struggle to read a simple sentence. The economic impact of illiteracy now costs the global economy an estimated $1.4 trillion annually, according to the report.

"Literacy is fundamental to a nation's progress," Andrew Kay, CEO of the World Literacy Foundation, said in a statement. "As we mark International Literacy Day 2025, we are reminded that literacy empowers individuals, drives economic growth, and strengthens societies. It enables people to access vital information, take part in economic and democratic life, and make informed decisions for themselves and their communities."

The report highlights significant disparities across the world, with 70% of 10-year-olds in developing and emerging countries struggling to read a sentence. Sub-Saharan Africa is the region with the highest rates of illiteracy, with 33% of the population unable to read, while generally, children from low-income families and ethnic minorities face the highest risk of illiteracy.

Singapore has the highest rates of literacy, followed by Ireland, Estonia, Japan, and South Korea.

The report identified technology as an emerging solution, noting that wider access to e-books, online literacy resources, smartphones, and artificial intelligence is having a positive impact in helping children access tools that assist in helping them learn to read.

The report found that every dollar invested in teaching a child to read yields a $13 economic return, indicating substantial market potential for literacy-focused publishing initiatives. The World Literacy Foundation has called on governments, NGOs, and private sector organizations to increase efforts to address the literacy gap.