What, according to the writer, are the governments across the world confronted with?

Directions: Answer the given question based on the following passage:

The world economy continues to be in a state of turmoil. The hope of a global economic recovery looks distant with the crisis not abating in the Europe, the US economy still in slow motion, and the persistent contraction in Japan. The declining growth rates in China, India and Brazil – the poster nations of the emerging world – are also a cause of significant concern. Global unemployment rates have surged this year. Governments across the world are confronted with dwindling revenue and more vociferous demands for economic stimuli.
The problems, however, are far more deep rooted. After more than a century of economic progress, we live in a significantly unequal world. The UN Human Development Report data, a barometer of the world’s real progress, suggests that nearly 2 billion people in the world still live in multi-dimensional poverty. By this measure, more than 600 million people in India are severely deprived. Recent CECD studies reiterate that income inequalities have actually widened in the last 30 years in a majority of advanced nations as well as emerging economies.
And that is not all. The race for unbridled material growth has left a planet seriously depleted of environmental resources and perched on the brink of a disaster. The world’s ecological footprint suggests that consumption of natural resources every year is one and a half times more than the earth’s capacity to regenerate. At this rate, the world will bequeath future generations a barren planet in less than 30 years from now.
India has not been impervious to the global contagions of either the recession or the baggage of unsustainable development. One-third of the world’s poor live in India. With 17% of the world population, India accounts for only 2.4% of the global land mass, 4% of the world’s freshwater resources and 1% of the global forest resources. The list of core challenges is therefore significantly intimidating. Poverty alleviation, livelihood creation, food security, water availability and access, provision of education and healthcare, energy security, infrastructure creation, environment replenishment are all issues that need urgent attention.
The recent economic slowdown in India is therefore a concern, because it limits the capacity to tackle these enormous developmental challenges. The widening fiscal and current account deficits, persistently high and sticky inflation, coupled with a depleted appetite for investment, continue to stifle early economic recovery. The imbroglio on several important long-term policy issues is only adding fuel to this fire. The lack of consensus on issues like GST is particularly disconcerting given the well-acknowledged benefits of such a system in terms of tax buoyancy, collection efficiency and facilitation of one common market for India. It is imperative that urgent solutions are found to break this policy impasse and signal a growth impetus that can once again rebuild confidence in the economy.