Moldova is the poorest country in Europe. Its gross domestic product per capita stands at only $5,200. Around 20 percent of Moldova’s 3.5 million people are poor. There are several causes of poverty in Moldova. Here are a few:
Limited agricultural investment
Poverty is more common among farming families. The country’s history can partly explain why this is.
When Moldova gained independence from the Soviet Union in 1991, the government divided a lot of agricultural land into plots too small to be commercially viable. The small size of the plots–most under 2.5 hectares–meant farmers had to depend on manual labor instead of large, advanced machinery and technology. This led to inefficiencies and poor yields compared to the land’s potential.
Rural Moldovans continue to lack access to new technology, agricultural support services and financial services, which shackles them to a life of subsistence farming. With extension services, they could better contribute to agriculture’s share of Moldova’s GDP, which is around 14 percent.
Trade restrictions
A lack of agricultural investment is not the only cause of poverty in Moldova. Sometimes, families, businesses and entrepreneurs have goods, but they do not have reliable buyers.
Countries that Moldova would usually trade with have imposed strict sanctions or all-out bans on products from the small nation. Russia has repeatedly rejected Moldovan goods, such as wine, fruit and vegetables, by stating they do not meet its high quality standards.
This closed market took a toll on the Moldovan economy, which in turn trickles down to negatively affect citizens. Before the embargo in 2014, 90 percent of Moldova’s apples went to Russia. Now they are sent to other countries that buy them at lower prices.
Government corruption
Corrupt oligarchs and politicians rob citizens of money. In 2015, $1 billion — or about one-eighth of the country’s GDP — was stolen from the country’s three largest banks. Around 40 people, including a former prime minister, either helped or benefited from the massive theft.
The capital city’s mayor, the transportation minister, the agriculture minister, the deputy economic minister, the environmental minister and other public officials face corruption or embezzlement accusations. The many officials facing these charges do not appear to have the general public’s best interest in mind.
Corruption in Moldova makes it difficult for people to succeed in business. Around 30 percent of all companies reported that public authorities requested bribes at least once per year to pass inspections, get permits, obtain utilities access or secure an operating license. The cost of electricity in the country is nearly double the price in the rest of the region, according to the GAN Business Anti-Corruption Portal. These oppressive practices stifle Moldova’s business environment and rank among the causes of poverty in Moldova.
Weak social systems
UNICEF reports that Moldova has a social protection system that comprises 15 benefits and services. But just one of these benefits is for the poor. Furthermore, money earmarked for the poor does not always end up in the right hands. A state report found that 17 percent of social assistance is used inefficiently and goes to families with high incomes.
Adding pressure to government financial resources is an aging population. Low wages, limited educational opportunities and poor job prospects push young Moldovans to leave their home country. Moreover, the birth rate is too low to replenish the population that is lost.
These factors create a disproportionate number of elderly people in the population. The high proportion of the country’s elderly is putting pressure on the country’s pension system.
The government is considering increasing the retirement age to lessen its financial burden, but there are not a lot of jobs for people to get. The labor participation rate was a mere 42 percent in 2016.
Causes of poverty in Moldova include limited agricultural investments, trade restrictions, government corruption and a weak social system. But, the government of Moldova is committed to helping alleviate poverty.
The government works with International Fund for Agricultural Development (IFAD) to create microfinance opportunities for farmers, which supports agricultural investment and can increase farmers’ returns. IFAD has also invested in agro-processing to ensure farmers prepare their goods for domestic and international markets.
Moldova is also making progress in regards to corruption. Parliament passed a new law on prosecution in 2016. It helps in the fight against corruption by strengthening prosecutor independence and doubling salaries, so prosecutors are less prone to accept bribes.
More evidence of the government’s goal to reduce poverty is its “Moldova 2020” National Development Strategy. The strategy details how reforming the pension system and developing the labor market will contribute to poverty rate reduction.
As the above examples demonstrate, leaders have set their sights on fixing the underlying causes of poverty in Moldova.
– Kristen Reesor
Photo: Flickr
Djibouti Poverty Rate Continues to Fall
Djibouti, a small country wedged in the horn of Africa has had a long history of economic instability and poverty. In the last decade, the country boasted some of its highest poverty rates, however, after 2007, the Djibouti poverty rate finally started to decline.
In 2007, when the Djibouti poverty rate saw its first significant spike downwards, it was recorded at 42 percent. Now, with the buffer from aid organizations and economic help from foreign financing and foreign direct investments, Djibouti has successfully lowered its poverty rate to about 18.8 percent. This rate is a tremendous achievement as the last two decades the poverty rate has fallen about 30 percent.
Following its 2007 rate, the Djibouti poverty rate had dropped to 23 percent by 2013 and then to about 18.8 percent currently.
In 2011, Djibouti’s population reached 820,000. Unfortunately, most of the population were living in extreme poverty. The common causes of poverty in the country were consecutive years of drought, loss of livestock, destruction of crops, malnutrition and unemployment.
The little resources the natives did have were stretched thin for the influx of refugees from neighboring Somalia, where refugees were estimated at 15,000 and growing.
With resources quickly being depleted and food and fuel prices rising, organizations such as the U.N., the World Food Programme, UNICEF, the Food and Agriculture Organisation and the World Health Organisation raised approximately $20 million for food, drought relief, water rehabilitation and mobile health units.
With poverty rates falling, Djibouti has seen increases in its GDP, industrial production growth rate and labor force. The GDP in 2016 was reported at $3.34 billion, an increase of $200 million from 2015, while the industrial production growth rate rose to 4.7 percent in 2016, ranking it 40 in the world.
Although the country still experiences a relatively high percentage of poverty and unemployment, the Djibouti poverty rate has successfully fallen and will continue to fall with help from foreign countries.
– Amira Wynn
10 Facts About Refugees From The Comoros
The U.N. Human Rights Council estimates that, currently, there are over 21 million refugees. While coverage tends to be concerned primarily with those from Syria, Somalia and Afghanistan, because of their large refugee populations, a smaller, ongoing crisis exists in the Comoros Islands, off the cost of Mozambique, where people flee economic hardship. Here are the 10 facts about refugees from the Comoros.
These facts about refugees from the Comoros Islands illustrate a situation that is in dire need of a solution. The international community must take a stand in assisting to lift the Cormorian people out of a circle of poverty and deportation.
– Selasi Amoani
Photo: Flickr
Federal Budget Fulfills $1 Million Pledge to Vaccine Alliance
In his proposed 2017-2018 budget, President Donald Trump has pledged to fulfill the U.S.’s $1 billion commitment to Gavi, the Vaccine Alliance. The program has helped immunize hundreds of millions of children and lowered the cost of vaccinations since its creation in 2000.
Gavi, the Vaccine Alliance is an international organization that “aggregates demand” for vaccines from the countries it supports— 60 percent of the world’s births take place in Gavi-supported countries. This demand sends “a clear signal to manufacturers” that these countries are viable markets for vaccines. Countries supported by Gavi pay for a portion of their vaccine programs, but as “a country’s income grows, its co-financing payments gradually increase to cover the full cost of vaccines.” Gavi relies on large donors to run this business model.
In January 2015, USAID dedicated $1 billion to Gavi in support of the organization’s plan to “immunize 300 million additional children and save at least 5 million lives by 2020.” The Obama administration was vocally supportive of global poverty reduction efforts— Obama addressed extreme poverty in three of his State of the Union addresses— but the Trump administration was not expected to contribute to poverty reduction efforts to the same extent. Trump’s pledge to Gavi is refreshing in the midst of the 32 percent overall cuts to international aid proposed in his budget.
Gavi’s website lists the U.S.’s contribution to the program for the period of 2016-2020 as $800 million. If Trump were to have cut the U.S.’s funding for Gavi, the organization would have lost close to a ninth of its $9.2 billion budget. Reducing aid to Gavi would have further damaged the U.S.’s aid reputation, as it spends the least on foreign aid of all developed countries, especially since other countries fund the majority of Gavi’s budget. Notably, the U.K. has contributed $2,515 million, Norway $922 million, and Germany $676 million for the same 2016-2020 cycle.
It is important that the U.S. continue to support international vaccination programs like Gavi, the Vaccine Alliance as they allow healthier populations to become more stable, self-sustaining and economically stronger. Gavi projects $100 billion in economic gain worldwide as more people are immunized and the world moves closer to global poverty eradication.
– Caroline Meyers
Photo: Flickr
Hunger in Montserrat
Located in the Lesser Antilles region of the Caribbean Sea, Montserrat is a tiny British overseas territory with a population of less than 6,000. After a series of volcanic eruptions in the late 1990s, the island became more difficult to reach. Even today, it is relatively isolated compared to other tourist-oriented Caribbean islands, but there are a growing number of tourists coming to see the “Caribbean Pompeii”.
The economy of Montserrat today is based mostly on service and construction due to the impact of both Hurricane Hugo and the severe volcanic eruptions that began in July 1995. The city of Plymouth was covered with ashes and boulders, and even though it is not completely reconstructed, it is still officially the capital of the island. Approximately two-thirds of the inhabitants fled the island to escape hunger and general insecurity in Plymouth area. Some of them still live in poor housing, struggling with their economic situation after the loss of their homes, incomes and family members.
The economic downturn after the hurricane increased unemployment, reduced working hours and increased pressure on household budgets. There is widespread criticism of the government’s performance, ranging from the failure to control prices or reduce taxes to the perception that administration only takes care of their own employees.
A 2007 study of poverty and hardship called “Montserrat Survey of Living Conditions” (MSLC) and research undertaken by the World Bank showed that economic factors are the main causes of poverty in Montserrat. According to the International Comparisons of Poverty table, 36 percent of the population is poor and 34 percent are food insecure. Children are the most vulnerable in general, and make up a third of the population affected by hunger in Montserrat.
Hunger in Montserrat is caused by high food prices, low wages and lack of employment opportunities. Many families are struggling to buy food every day and educate their children. This stress is made worse by high rates of criminal behavior, domestic violence and drug abuse. Because of the situation, many inhabitants have left the island to find work or to join their families in Britain.
Even though there are no opportunities for rapid economic growth in Montserrat, some government initiatives in the past few years, like the establishment of the Montserrat Development Corporation, promise to be beneficial for everyone.
The Department of Agriculture has several potential projects in the works, and there are plans to increase the number of small companies. The Ministry of Health and Wealth offers a number of services to the poor and vulnerable, including social assistance in cash and counseling for the poor.
Even though the general number of people affected by hunger in Montserrat remains high, some overall progress has been made in lowering the rate of extreme poverty. Most households have access to basic services and women are being empowered with educational programs. The government elected in 2014 is now investing in geothermal energy, tourism and sand mining. In an interview with The Guardian, premier Donaldson Romero declared that the “long, hopeless period” that started after the eruptions is finally over.
– Edita Jakupovic
Photo: Flickr
Addressing Three Main Causes of Poverty in Guadeloupe
Poverty in Guadeloupe has been severe for over a decade. Multiple factors contribute to the French territory’s 12.5 percent poverty rate, including natural disasters, a poor job market and a high crime rate.
Disasters
Guadeloupe is in an island region located in the Caribbean, which means that it is located in an area that is plagued by natural disasters. The region was hit by Hurricane Dean in 2007, which destroyed an estimated 80 percent of the banana crop. This was devastating to the country, as bananas are one of Guadeloupe’s three top exports, in addition to sugar and rum.
According to the U.S. Geological Study, Guadeloupe was also struck by a magnitude 5.7 earthquake in 2014. Along with earthquakes and hurricanes, Guadeloupe regularly faces clouds of ash from Montserrat’s volcano. These clouds can block the sun, damaging the production of all of their crops, which greatly affects their economy.
Since Guadeloupe is prone to such natural disasters, efforts have been made to help these affected areas more effectively and efficiently. One of the first steps, taken in 2003, was to establish a flood forecasting support service, as flooding can be caused by hurricanes and earthquakes, two of the most prevalent natural disasters. Guadeloupe also has Regional Health Agencies that have divided themselves between the three territories, including the two new communities in Saint Martin and Saint Barthelemy, to help provide health care to those who face injury in disasters.
Poor Job Market
One of the biggest aspects of a strong economy is a stable job market. Unfortunately, as of 2010, roughly 23.5 percent of the population in Guadeloupe was unemployed. With nearly one in four people jobless, unemployment is one of the major causes of poverty in Guadeloupe.
Even those who have jobs continue to face problems. In 2009, nearly 50 unions gathered together under the Collective against Extreme Exploitation to protest for weeks for higher living wages, adding €200 $250 to base salaries. These protests caused widespread issues, as supermarkets and government offices closed and a food shortage spread across the nation. The Collective’s demands were finally met on March 4, 2009 and $216 million of aid was sent from France.
Crime
Guadeloupe is also facing a high rate of violent crime. According to the United Nations Office on Drugs and Crime report, in 2009 the homicide rate in Guadeloupe was 7.9 percent per 100,000 people, which is higher than the United States’, at 5.01 percent the same year. Crime has continued to rise since then, and in September 2016 France sent 70 police officers to help stop the crime that was devastating Guadeloupe. France hopes to protect its citizens, and to help restore Guadeloupe’s status as a tourist attraction where tourists can feel safe.
With all these causes culminating to create poverty in Guadeloupe, it may seem like there is little hope. However, Guadeloupe has been on a resurgence and its efforts to rebuild are taking effect. For example, before Hurricane Irma hit in the beginning of September 2017, France had already mobilized military and health care personnel so that they were stationed in Guadeloupe to provide help after the storm. This effort made a lasting impact on Guadeloupe and its people, sparing many lives. With continued support from France, the people of Guadeloupe will be able to move out of poverty and thrive as a nation.
– Scott Kesselring
Photo: Google
How Online Education Can Alleviate Global Poverty
Information technology and the ever-increasing access to it has been a product of the 21st century. It has been both a blessing and a curse to the modern world, but does it also have an opportunity to give rise to global access to education? Some argue that the faults of an online education lead students to abuse internet access when “learning” subjects, while others see it as a tool to springboard educational opportunities for both young people as well as those whose community’s systems for education may not have adequate resources.
Massively open online courses, or MOOCs, have recently been made more readily available for online education. With these, students can take courses on several areas of discipline at a variety of different levels, ranging from single courses in business and finance to a more extensive series of courses on web design.
An online education platform utilizing MOOCs, Coursera, has been a forerunner in this type of educational experience by making these courses available for free to any student with access to a computer or smartphone. Co-founder Daphne Koller has made it her mission to enable impoverished communities by making these classes available as a “real course” experience, as opposed to a watered down or less intuitive version that a naysayer may argue is the downfall of online education.
These courses also provide a legitimate certificate that can act as college credit or be presented to a potential employer once a course or set of courses is finished. Koller contends that an online education not only makes courses more accessible, but is also a more enriched way of learning. The courses employ interactive techniques and self- and peer- evaluation during the lesson, where otherwise a student may be complacent or simply not paying attention.
So, students can enjoy a flexible and valuable education online from essentially anywhere in the world, but what does this mean for the future of global poverty?
Platforms such as these not only provide insight into education experiences through models of self-evaluation, self-tutoring, and accessibility, but also open doors for entrepreneurial self-starters. People with the drive to lift themselves out of poverty situations through their own ingenuity and passion would be able to do so, as long as this tool is made available. With seemingly limitless and fast-paced technology advances, online education has the potential to revolutionize the educational experience as a whole and enable more people to take advantage of the power of knowledge.
– Casey Hess
Photo: Flickr
Causes of Poverty in Moldova
Moldova is the poorest country in Europe. Its gross domestic product per capita stands at only $5,200. Around 20 percent of Moldova’s 3.5 million people are poor. There are several causes of poverty in Moldova. Here are a few:
Limited agricultural investment
Poverty is more common among farming families. The country’s history can partly explain why this is.
When Moldova gained independence from the Soviet Union in 1991, the government divided a lot of agricultural land into plots too small to be commercially viable. The small size of the plots–most under 2.5 hectares–meant farmers had to depend on manual labor instead of large, advanced machinery and technology. This led to inefficiencies and poor yields compared to the land’s potential.
Rural Moldovans continue to lack access to new technology, agricultural support services and financial services, which shackles them to a life of subsistence farming. With extension services, they could better contribute to agriculture’s share of Moldova’s GDP, which is around 14 percent.
Trade restrictions
A lack of agricultural investment is not the only cause of poverty in Moldova. Sometimes, families, businesses and entrepreneurs have goods, but they do not have reliable buyers.
Countries that Moldova would usually trade with have imposed strict sanctions or all-out bans on products from the small nation. Russia has repeatedly rejected Moldovan goods, such as wine, fruit and vegetables, by stating they do not meet its high quality standards.
This closed market took a toll on the Moldovan economy, which in turn trickles down to negatively affect citizens. Before the embargo in 2014, 90 percent of Moldova’s apples went to Russia. Now they are sent to other countries that buy them at lower prices.
Government corruption
Corrupt oligarchs and politicians rob citizens of money. In 2015, $1 billion — or about one-eighth of the country’s GDP — was stolen from the country’s three largest banks. Around 40 people, including a former prime minister, either helped or benefited from the massive theft.
The capital city’s mayor, the transportation minister, the agriculture minister, the deputy economic minister, the environmental minister and other public officials face corruption or embezzlement accusations. The many officials facing these charges do not appear to have the general public’s best interest in mind.
Corruption in Moldova makes it difficult for people to succeed in business. Around 30 percent of all companies reported that public authorities requested bribes at least once per year to pass inspections, get permits, obtain utilities access or secure an operating license. The cost of electricity in the country is nearly double the price in the rest of the region, according to the GAN Business Anti-Corruption Portal. These oppressive practices stifle Moldova’s business environment and rank among the causes of poverty in Moldova.
Weak social systems
UNICEF reports that Moldova has a social protection system that comprises 15 benefits and services. But just one of these benefits is for the poor. Furthermore, money earmarked for the poor does not always end up in the right hands. A state report found that 17 percent of social assistance is used inefficiently and goes to families with high incomes.
Adding pressure to government financial resources is an aging population. Low wages, limited educational opportunities and poor job prospects push young Moldovans to leave their home country. Moreover, the birth rate is too low to replenish the population that is lost.
These factors create a disproportionate number of elderly people in the population. The high proportion of the country’s elderly is putting pressure on the country’s pension system.
The government is considering increasing the retirement age to lessen its financial burden, but there are not a lot of jobs for people to get. The labor participation rate was a mere 42 percent in 2016.
Causes of poverty in Moldova include limited agricultural investments, trade restrictions, government corruption and a weak social system. But, the government of Moldova is committed to helping alleviate poverty.
The government works with International Fund for Agricultural Development (IFAD) to create microfinance opportunities for farmers, which supports agricultural investment and can increase farmers’ returns. IFAD has also invested in agro-processing to ensure farmers prepare their goods for domestic and international markets.
Moldova is also making progress in regards to corruption. Parliament passed a new law on prosecution in 2016. It helps in the fight against corruption by strengthening prosecutor independence and doubling salaries, so prosecutors are less prone to accept bribes.
More evidence of the government’s goal to reduce poverty is its “Moldova 2020” National Development Strategy. The strategy details how reforming the pension system and developing the labor market will contribute to poverty rate reduction.
As the above examples demonstrate, leaders have set their sights on fixing the underlying causes of poverty in Moldova.
– Kristen Reesor
Photo: Flickr
How to Help People in Romania
1. Love Light Romania
Love Light Romania believes that poverty can be reduced through increased access to education. Their education project, Jacodu Education Project, currently supports more than 50 children. Aside from giving children an education, the program aims to rebuild their homes and families. Jacodu Children’s Project is unique in its ability to reach a wide range of children, including children with special needs. Volunteer openings are available in all programs and projects for Love Light Romania. Workers are also wanted for renovation purposes.
2. Humanium
Humanium focuses on childrens’ rights in Romania. Of the most significant rights, access to healthcare is a top priority. Humanium claims poverty is the main contributor to the lack of healthcare within the region. Poor working conditions in impoverished areas force doctors to work in cities abroad. As a result, children in Romania are vulnerable to malnutrition, disease and death. Fortunately, this establishment offers a program called Sponsor a Child. Through a monthly donation of $10 or more, a child’s rights, such as the right to adequate healthcare, will be protected. Interning or volunteering are two other examples of how to contribute to Humanium’s progress.
3. Firm Foundations Romania
This NGO is transforming Romania through love and care. Founded after the fall of communism, Firm Foundations Romania (FFR) feels an overwhelming responsibility to attend to the needs of abandoned children. FFR reports that poverty is the main reason behind children being left after birth. Because of this, their team operates a project which provides care for the discarded children of Romania. This program offers hospital care for children until they can be placed in a good home. Firm Foundations Romania provides the best protection through donations and volunteer work. You can support this organization by contributing on their website.
How to help people in Romania starts by acknowledging the lives of children. Once children are lifted out of poverty, future generations will have an improved chance at life. Volunteering and contributions are imperative, but commitment and patience are just as vital. With your assistance, these three organizations can continue working to break the vicious cycle of poverty in Romania.
– Emilee Wessel
Photo: Flickr
SpacerPAD in Developing Countries: Empowering Women
In an effort to combat the lack of health products for menstruation in developing countries, researchers Karin Högberg and Lena Berglin from the Swedish School of Textiles and the University of Borås, respectively, have begun creating a potentially revolutionary product. The SpacerPAD is a reusable, recyclable and quick-drying sanitary pad for use by women in developing countries who don’t have access to proper women’s health products.
The idea for the SpacerPAD in developing countries came to Högberg when she witnessed the significant obstacles that menstruation posed to women in Nairobi, Kenya. She described how women often resorted to using leaves, rags and sometimes cow dung to absorb the blood. Furthermore, because menstruation is such a taboo topic, many women, especially those in low-income and rural areas, don’t have the opportunity to use other washable hygiene products as they cannot be hung up to dry.
The SpacerPAD is currently undergoing testing that focuses on stopping leakage and potential bacterial growth and the ability to dry quickly in a lab at the Swedish School of Textiles. Once this testing is complete, the next step would be to produce a prototype and begin to distribute the SpacerPAD in developing countries.
In recent years, as the awareness of women’s health issues continues to grow, there have been more efforts to create an affordable reusable product as an alternative to the expensive disposable products available in most developed countries. Unfortunately, the stigma against menstruation and the belief that it is an unclean process is preventing women around the world from utilizing safe and clean hygiene products.
Additionally, while it is not intended for use in developed countries, the SpacerPAD researchers believe that it can be successful in the Swedish market where there is a lack of recyclable sanitary products.
Proper access to hygiene products is a human right and without it, millions of women around the world are suffering from health issues as well as humiliation due to the stigma.
– Akhil Reddy
Photo: Flickr
Addressing the Curacao Poverty Rate
Enthusiasm was short lived. Soon after gaining autonomy, the assassination of politician Helman Wiels plunged the island into turmoil. Between 2012 and 2013, Curacao had four prime ministers, greatly increasing the instability. As a country plagued with such unrest, it should be no wonder that the Curacao poverty rate is over 25 percent.
A small island country located in the Caribbean, much of the economy in Curacao is based around tourism and is thus highly sensitive to fluxes in the world market. Most of the country’s necessities are imported, leading to large trade deficits.
The Curacao poverty rate is likely increased by the country’s “brain drain” problem. Like many other developing island nations, citizens who are ambitious and educated often leave, moving to other countries with better opportunities for people with their skill sets.
However, Curacao has committed itself to addressing the country’s widespread poverty. With the support and assistance of the U.N. Development Program, Curacao has created a National Development Plan (NDP), which will focus on improving the economy through a series of steps from 2015 to 2030.
The NDP focuses on five themes to accomplish its goal: education, economy, sustainability, national identity and good governance. As diminishing the Curacao poverty rate is a priority, economy is one of the most important themes. In order to accomplish this, Curacao will focus on structural reform, government support, sectoral growth, supporting investments and broadening ownership of industry and land.
With the NDP, Curacao has taken a significant step towards strengthening the economy and the country as a whole. While there is much work to do, the country’s history as a long time trading center and large deep water port point to a high probability of success.
– Connor S. Keowen
Photo: Flickr