Tourism in Albania has grown rapidly in recent years and is becoming a powerful tool for reducing poverty and creating economic opportunity. Once seen as a hidden destination, the country is now attracting millions of visitors each year, bringing new income to communities that previously had limited employment options. Through investment in infrastructure, support for small businesses and community-based tourism projects, the industry is helping households earn a stable income and build more secure futures.
Rapid Growth in Visitor Numbers
Albania has shifted from being a hidden destination to becoming one of the Mediterranean’s fastest-growing tourism markets. In 2019, the country welcomed 6.4 million foreign visitors, which was considered a record year at the time. Since then, tourism in Albania has continued to grow rapidly.
By 2024, Albania attracted nearly 12 million international visitors, an 82% increase from 2019. Tourism in Albania also showed strong resilience after the COVID-19 pandemic. By 2022, tourist arrivals were already 5% higher than pre-pandemic levels, allowing the sector to recover faster than many competing destinations in the region.
This quick recovery helped protect jobs and restore income in tourism-dependent communities. The country has also expanded its tourism markets beyond a single source. Albania has established direct air connections and attracted visitors from the U.K., Germany, Italy, France, the U.S. and the Middle East. To meet growing demand, the number of hotels, rooms and beds increased more than tenfold between 2000 and 2019, while international seat capacity continued to rise after 2019.
While national statistics show a massive surge in arrivals, local hosts see this growth through their seasonal calendars. In an interview with The Borgen Project, Akeron, who runs a local Airbnb, explained that the season typically “starts in April and ends in the end of October.” During the peak months of July and August, his accommodations are usually “fully booked,” while June and September maintain high occupancy rates of “70-80%”.
Tourism Revenue and Economic Impact
Tourism has become a major financial pillar of Albania’s economy. In 2023, the sector’s contribution to GDP reached 565 billion Lek ($6.78) billion, a 37% increase from the previous peak in 2019. Estimates show that travel and tourism now contribute roughly one in every four Lek to the national economy.
Tourism has also strengthened Albania’s export earnings. Over the past two decades, tourism generated 38% of the country’s total exports. International visitor spending reached 464 billion Lek ($5.57 billion) in 2023, more than 45% higher than in 2019, bringing money directly into local communities.
This economic shift is felt directly at the household level. For Akeron’s family, the ability to host international visitors has provided a new level of financial security. “For my family, it has made a difference in the amount of money we can save and has helped us think about things we want to do for the future,” Akeron stated.
Job Creation and Social Inclusion
Tourism is one of Albania’s largest sources of employment. In 2023, the sector supported almost 269,000 jobs, representing around one in five jobs nationwide. These jobs range from hospitality and transport to food services and cultural tourism, offering work in areas where few alternatives exist.
Tourism growth has also supported inclusive employment. In southern Albania, more than half of the jobs created through heritage tourism projects are held by women and young people. Some initiatives have also created opportunities for people with disabilities, including maintenance roles at Gjirokastra Castle, helping improve household income, social inclusion and reduce poverty in Albania.
Additionally, tourism has encouraged return migration. Former residents are returning to historic cities such as Gjirokastra and Saranda to invest savings in guesthouses and hospitality businesses. In project-supported areas, the number of tourism-related businesses has more than doubled since 2019, showing how public investment can stimulate local entrepreneurship.
These roles often rely on a collaborative family structure to be successful. Akeron and his parents all maintain other full-time jobs, but they “work together” to manage the guesthouse. He explained the division of labor: “me with the online part and my mom with the cleaning and welcoming guests to make it work.” He also noted that for families where members lack regular employment, this business provides “a very good income.”
Tourism in Rural and Coastal Communities
Tourism has turned family homes into sources of income in many rural and historic areas. In cities such as Gjirokastra, Berat and Përmet, public investment in restoring castle sites and cobblestone streets has encouraged families to convert historic homes into bed-and-breakfasts, restaurants and guesthouses. In these areas, the number of tourism-associated businesses has more than doubled since 2019.
Rural tourism also supports artisanal and cultural income. Around 78% of people employed in the artisan sector are women and nearly half of handicraft businesses are women-owned. Small family-run homestays rely heavily on women’s labor and provide independent income, strengthening household stability.
Infrastructure improvements have helped extend the tourism season beyond the summer months. Projects such as the Saranda promenade have enabled year-round economic activity, stabilizing income for local workers and businesses.
Local hosts often act as a bridge to the wider community by encouraging guests to spend money at nearby businesses. Akeron noted that he frequently recommends “restaurants in the city and by the beach” to his guests. He specifically highlights a restaurant in his village “which serves only Albanian food,” illustrating how tourism income supports traditional culinary businesses.
Community-Based Tourism and Infrastructure Investment
Community-based tourism initiatives have helped ensure that tourism benefits stay within local communities. The Integrated Urban and Tourism Development Project, supported by the World Bank and the Albanian government, focuses on cities including Berat, Gjirokastra, Përmet and Saranda. The project aims to regenerate local economies by restoring heritage sites and upgrading public infrastructure.
This model encourages residents to become active tourism entrepreneurs by converting private properties into guesthouses, cafés and tourism services. Additional EU-funded programs have adopted bottom-up approaches that enable communities to shape tourism growth in line with local needs. Investment in transport and accessibility has supported this growth.
Albania has expanded air connections through low-cost carriers and the construction of new airports. Road networks, walking routes and heritage trails have also improved access to inland regions.
Remaining Challenges
Despite strong progress, challenges remain. Informal employment continues to leave many tourism workers without contracts or social protection, increasing vulnerability during economic shocks. Regional inequality is also visible, as northern areas such as Kukës continue to face high poverty and limited tourism development.
Beyond employment concerns, a significant hurdle is the “infrastructure missing from the government.” Akeron identified the “lack of water” as a primary issue, explaining that families often have only “1-2 hours a day” to fill storage tanks for basic needs like showering and washing dishes. He recalled a specific instance where the water supply failed while a guest “had just put on the shower gel.” While a neighbor was able to provide water to help, Akeron noted that these daily shortages create constant uncertainty for local hosts.
Tourism in Albania is proving that well-planned growth can do more than attract visitors; it can reduce poverty, create jobs and strengthen communities. By supporting family-run businesses, expanding infrastructure and promoting community-based tourism, Albania has allowed its residents to benefit directly from rising visitor numbers. While challenges remain, continued investment and inclusive planning offer a hopeful path forward, showing how tourism can be a powerful force for shared prosperity and poverty reduction in Albania.
– Aila Alsakka
Aila is based in Nottingham, UK and focuses on Good News and Technology for The Borgen Project.
Photo: Unsplash
Updates on SDG 1 in Mongolia
UNICEF’s Role in Fulfilling SDG 1 in Mongolia
NGOs are playing a crucial role in relieving poverty in Mongolia. UNICEF has been active in Mongolia since the 1960s. Currently, the majority of UNICEF’s funding in Mongolia is directed towards health programs. In 2023, UNICEF helped to launch a program to screen all school children for the bacterial infection that causes strep throat, a disease which when left untreated, can increase the risk of cardiovascular disease in later life. Poor nutrition is another prevalent issue amongst children, with many experiencing vitamin and mineral deficiencies. UNICEF is training school chefs, helping to greatly improve the quality of school meals, as well as promoting healthy diets and eating habits throughout local communities.
The UN
The UN is helping to fulfill SDG 1 in Mongolia by aiding farming communities. The dzud is a disaster unique to Mongolia. Dzuds are extreme winters, characterized by frozen ground, heavy snowfall and freezing temperatures. Many herders suffer great losses to their livestock during these periods; the winter of 2023-2024 saw a loss of 7.4 million Mongolian herd animals. The UN is leading the Humanitarian Country Team in Mongolia, which managed to raise $10.6 million in 2024. The team has worked to mitigate the effects of the dzud, providing hay and fodder for animals, education for farming groups and cash support for the farmers worst affected.
The International Organization for Migration (IOM)
The International Organization for Migration (IOM) has implemented the ‘Addressing Climate Change-Induced Human Mobility in Mongolia’ since 2024. The project aims to increase the resilience of government agencies and local communities to the impacts of changing weather, chiefly migration challenges and natural disasters. The IOM is working to ensure that rural communities have increased access to resources, education and support to negate the impact of climate-related disasters, with a special emphasis placed on the education of women and children. Furthermore, as of October 2025, the IOM has provided livelihood support for climate migrants across 21 provinces and nine districts.
People in Need (PIN)
People in Need (PIN) has been active in Mongolia since 2008, establishing a permanent Mongolian office in 2011. Since 2011, PIN has run around 30 individual aid projects, helping people in both rural and urban settings across 19 different provinces. The aims of these projects have varied greatly, respectively concerning emergency response, gender and social inclusion, change and sustainable livelihoods and civil society empowerment. More recently, PIN has supported both state authorities and civil society organizations in the adoption of digital technology, and has aided with media literacy. PIN also supports local NGOs in accessing international funds and global political expertise.
Looking Forward
Overall, although the Mongolian poverty rate is still relatively high, many NGOs are making great efforts to reduce it through a large variety of aid strategies. The future is positive for Mongolia. The poverty rate decreased by 2.5% between 2016 and 2022. Through the hard work of NGOs and government aid, the poverty rate is set to decrease in the coming years, making SDG1 in Mongolia seem more achievable than ever.
– Arthur Horsey
Photo: Flickr
Westminster Continues Fight Against the Israeli Aid Blockade
The vocal backlash comes in response to a series of statements political representatives made in Commons shortly after the officials announced the ceasefire, which gave updates on the current levels of U.K. support and laid out their ambitions to collaborate with the U.N. and other partners in order to meet the conditions of the peace plan.
Original Aid Pledge & Its Success
On October 14th, Baroness Angela Smith assured her peers that an additional £20 million went toward secure clean water and essential sanitation and hygiene products. Secondly, she reminded them that work continues at the two U.K.-constructed hospitals in Gaza that have between them offered treatment to more than 600,000 patients. On top of this, the NHS has received and begun treating a third group of injured Palestinian children whom authorities flew to the U.K.
However, the Parliamentary Under-Secretary for the Foreign, Commonwealth and Development Office (FDCO), Hamish Falconer, spelt a bleaker picture during his address on January 5th just gone.
Half a million people still lack access to sufficient food, including 100,000 who face allegedly “catastrophic conditions.” The British Red Cross have drawn attention to an urgent lack of water, which in turn exacerbates the spread of infectious diseases such as hepatitis. Furthermore, as the height of winter approaches, flooding and storms have halted reconstruction efforts and prompted a rise in cases of hypothermia. Widespread damage to infrastructure has allowed sewage to flow through the streets and has left emergency services without the essential resources needed to deliver effective medical treatment.
The Extent of the Israeli Aid Blockade
Crucially, the Israeli government has blocked vital aid corridors, notably the Rafah crossing, and disaccredited at least 37 well-established NGOs from offering support, including Medecins Sans Frontiers, Caritas Internationalis, ActionAid and the International Rescue Committee (IRC). Observers estimate that 147 trucks enter Gaza every day, which is 103 short of the 250 that the U.N. agreed to. Moreover, there are also reports that the Israeli authorities prohibit essential items such as tent poles, tents and generators, claiming that they pose potential threats. This has resulted in the cruel irony that it is “easier to get cigarettes and luxury goods into Gaza than the basic medicines and shelter.”
Despite this admittance, Falconer tried to offer some reassurance that over the 2025/26 financial year, the U.K. will provide £116 million for humanitarian and other aid, including health care, food, clean water and sanitation, which includes treatment for 800,000 Palestinians through UK-Med. A research briefing released by the Commons claims that the government plans to commit £101 million of this sum to the Occupied Palestinian Territories (OPT). However, this represents a £28 million reduction from the amount the government provided the preceding year.
The Response From Westminster
Reacting against the lack of funding and the pitiful effort to combat the Israeli aid blockade, the consensus plea around the Commons was to stop offering words of condemnation for the belligerents and words of support for the victims, and demonstrate meaningful action.
Rachel Maskell, Labour MP for York Central, was bemused that the U.K. had not yet utilized the international law apparatus available to hold the Israeli government accountable and urged it to dispel the air of “impunity” emanating from the Knesset and IDF.
Attending to the details, a troop of others have called on the government to enjoin the support of the E.U. and their European neighbors and impose sanctions on Israel. “What leverage are [the U.K.] using to force the Israeli Government to reverse this cruel [aid embargo], and when will they work with E.U. allies to bring in much wider sanctions?” demanded Caroline Voaden. Imran Hussein joined in: “When will [Falconer] finally announce proper meaningful action, including ending all arms sales, putting widespread sanctions on Israel in the same way that we have done to Russia for its war crimes in Ukraine.”
MPs were mostly concerned that trade has continued between the U.K. and the illegally obtained settlements in the OPT, despite a motion that 94 MPs supported in May 2025 which outlined that maintaining such trade links was a direct affront to the International Court of Justice and the U.N. General Assembly.
Looking Ahead
As MPs return to Westminster, the gap between the U.K.’s humanitarian commitments and conditions on the ground in Gaza is drawing sharper scrutiny. While Israeli aid blockades remain in place and funding reduced, MPs from across parties have played a crucial role in exposing these shortcomings and pressing the government to act. Their efforts signal a growing determination in Parliament to move beyond rhetoric and push for meaningful measures that uphold international law and address the ongoing humanitarian crisis.
– Jude Parsons
Photo: Unsplash
How Tourism Is Reducing Poverty in Albania
Rapid Growth in Visitor Numbers
Albania has shifted from being a hidden destination to becoming one of the Mediterranean’s fastest-growing tourism markets. In 2019, the country welcomed 6.4 million foreign visitors, which was considered a record year at the time. Since then, tourism in Albania has continued to grow rapidly.
By 2024, Albania attracted nearly 12 million international visitors, an 82% increase from 2019. Tourism in Albania also showed strong resilience after the COVID-19 pandemic. By 2022, tourist arrivals were already 5% higher than pre-pandemic levels, allowing the sector to recover faster than many competing destinations in the region.
This quick recovery helped protect jobs and restore income in tourism-dependent communities. The country has also expanded its tourism markets beyond a single source. Albania has established direct air connections and attracted visitors from the U.K., Germany, Italy, France, the U.S. and the Middle East. To meet growing demand, the number of hotels, rooms and beds increased more than tenfold between 2000 and 2019, while international seat capacity continued to rise after 2019.
While national statistics show a massive surge in arrivals, local hosts see this growth through their seasonal calendars. In an interview with The Borgen Project, Akeron, who runs a local Airbnb, explained that the season typically “starts in April and ends in the end of October.” During the peak months of July and August, his accommodations are usually “fully booked,” while June and September maintain high occupancy rates of “70-80%”.
Tourism Revenue and Economic Impact
Tourism has become a major financial pillar of Albania’s economy. In 2023, the sector’s contribution to GDP reached 565 billion Lek ($6.78) billion, a 37% increase from the previous peak in 2019. Estimates show that travel and tourism now contribute roughly one in every four Lek to the national economy.
Tourism has also strengthened Albania’s export earnings. Over the past two decades, tourism generated 38% of the country’s total exports. International visitor spending reached 464 billion Lek ($5.57 billion) in 2023, more than 45% higher than in 2019, bringing money directly into local communities.
This economic shift is felt directly at the household level. For Akeron’s family, the ability to host international visitors has provided a new level of financial security. “For my family, it has made a difference in the amount of money we can save and has helped us think about things we want to do for the future,” Akeron stated.
Job Creation and Social Inclusion
Tourism is one of Albania’s largest sources of employment. In 2023, the sector supported almost 269,000 jobs, representing around one in five jobs nationwide. These jobs range from hospitality and transport to food services and cultural tourism, offering work in areas where few alternatives exist.
Tourism growth has also supported inclusive employment. In southern Albania, more than half of the jobs created through heritage tourism projects are held by women and young people. Some initiatives have also created opportunities for people with disabilities, including maintenance roles at Gjirokastra Castle, helping improve household income, social inclusion and reduce poverty in Albania.
Additionally, tourism has encouraged return migration. Former residents are returning to historic cities such as Gjirokastra and Saranda to invest savings in guesthouses and hospitality businesses. In project-supported areas, the number of tourism-related businesses has more than doubled since 2019, showing how public investment can stimulate local entrepreneurship.
These roles often rely on a collaborative family structure to be successful. Akeron and his parents all maintain other full-time jobs, but they “work together” to manage the guesthouse. He explained the division of labor: “me with the online part and my mom with the cleaning and welcoming guests to make it work.” He also noted that for families where members lack regular employment, this business provides “a very good income.”
Tourism in Rural and Coastal Communities
Tourism has turned family homes into sources of income in many rural and historic areas. In cities such as Gjirokastra, Berat and Përmet, public investment in restoring castle sites and cobblestone streets has encouraged families to convert historic homes into bed-and-breakfasts, restaurants and guesthouses. In these areas, the number of tourism-associated businesses has more than doubled since 2019.
Rural tourism also supports artisanal and cultural income. Around 78% of people employed in the artisan sector are women and nearly half of handicraft businesses are women-owned. Small family-run homestays rely heavily on women’s labor and provide independent income, strengthening household stability.
Infrastructure improvements have helped extend the tourism season beyond the summer months. Projects such as the Saranda promenade have enabled year-round economic activity, stabilizing income for local workers and businesses.
Local hosts often act as a bridge to the wider community by encouraging guests to spend money at nearby businesses. Akeron noted that he frequently recommends “restaurants in the city and by the beach” to his guests. He specifically highlights a restaurant in his village “which serves only Albanian food,” illustrating how tourism income supports traditional culinary businesses.
Community-Based Tourism and Infrastructure Investment
Community-based tourism initiatives have helped ensure that tourism benefits stay within local communities. The Integrated Urban and Tourism Development Project, supported by the World Bank and the Albanian government, focuses on cities including Berat, Gjirokastra, Përmet and Saranda. The project aims to regenerate local economies by restoring heritage sites and upgrading public infrastructure.
This model encourages residents to become active tourism entrepreneurs by converting private properties into guesthouses, cafés and tourism services. Additional EU-funded programs have adopted bottom-up approaches that enable communities to shape tourism growth in line with local needs. Investment in transport and accessibility has supported this growth.
Albania has expanded air connections through low-cost carriers and the construction of new airports. Road networks, walking routes and heritage trails have also improved access to inland regions.
Remaining Challenges
Despite strong progress, challenges remain. Informal employment continues to leave many tourism workers without contracts or social protection, increasing vulnerability during economic shocks. Regional inequality is also visible, as northern areas such as Kukës continue to face high poverty and limited tourism development.
Beyond employment concerns, a significant hurdle is the “infrastructure missing from the government.” Akeron identified the “lack of water” as a primary issue, explaining that families often have only “1-2 hours a day” to fill storage tanks for basic needs like showering and washing dishes. He recalled a specific instance where the water supply failed while a guest “had just put on the shower gel.” While a neighbor was able to provide water to help, Akeron noted that these daily shortages create constant uncertainty for local hosts.
Tourism in Albania is proving that well-planned growth can do more than attract visitors; it can reduce poverty, create jobs and strengthen communities. By supporting family-run businesses, expanding infrastructure and promoting community-based tourism, Albania has allowed its residents to benefit directly from rising visitor numbers. While challenges remain, continued investment and inclusive planning offer a hopeful path forward, showing how tourism can be a powerful force for shared prosperity and poverty reduction in Albania.
– Aila Alsakka
Photo: Unsplash
Commitment to SDG10: Reducing Inequality in South Africa
This inequality continues to limit social mobility, reinforcing a cycle of wealth and poverty. Many individuals are effectively assigned a future of either “rags or riches” at birth. While Sustainable Development Goal 10 aims to reduce inequality, high income and opportunity gaps persist due to long-standing structural injustices.
Inequality in South Africa can largely be traced to three key factors: pre-income distribution, unequal access to education and wage disparities.
Pre-Income Distribution
Pre-income distribution refers to factors that influence wealth and opportunity before income is earned. These include land ownership, inheritance and race, all of which are “born into” factors that cannot be changed, giving individuals a natural advantage or disadvantage from birth.
In South Africa, the Gini coefficient remains at 0.63, with the top 20% of the population accounting for nearly 70% of income. In comparison, the bottom 20% is left with less than 5%. Race remains the most dominant determining factor in pre-income distribution. Fifty years after apartheid, its impact is still evident, leaving lasting reminders of the grip it once had on the country.
Some progress has been made toward transparency in income inequality. Recent Companies Act amendments now require firms to disclose CEO-to-worker pay ratios. The Labor Research Service reports that the current average across the JSE Top 40 companies is approximately 1,270:1. This aspect of inequality has been addressed most effectively through social grants.
With one of the largest social grant systems in the world, South Africa has reached millions of vulnerable citizens. These grants have been widely commended. By 2011, the number of grant recipients had increased by 13.6 million since 1998. Although the Gini coefficient still indicates significant inequality, social grants have helped stabilize the incomes of some of the country’s most impoverished households, preventing inequality levels from rising even further.
Wage Inequality
Even after overcoming barriers to employment, many South Africans continue to face inequality. On average, women in South Africa earn 12% less than their male counterparts. Almost half of this gap (45%) is attributed to women’s disproportionate employment in lower-paying firms.
Structural unemployment is another significant contributor to wage inequality. With the economy in a state of stagnation, the job market is suffering. With jobs themselves hard to come by and few in number, this is a significant driver of inequality.
In recent years, youth unemployment has risen to more than 46%, contributing to poverty and reinforcing the country’s slow economic growth. This has created another major barrier to reducing inequality in South Africa.
Access to Education
Schools in South Africa face significant resource constraints, resulting in wide gaps in students’ fundamental skills. This was highlighted in 2021, when it was found that approximately 80% of Grade 4 learners could not read for meaning, unable to comprehend or extract information from text. This outcome stems from a broader lack of resources.
Infrastructure and qualified teachers remain in short supply, particularly in poorer, rural communities. Still grappling with the consequences of its past, spatial inequality continues to limit access to education. “The legacy of colonialism and apartheid, rooted in racial and spatial segregation, continues to reinforce inequality,” United Nations Human Rights Office.
Spatial inequality was influenced greatly by the Group Areas Act of 1950. The initiative removed black families from urban areas, relocating them to underdeveloped, rural towns. As families were forced to settle in these new designated areas, generations later, spatial segregation persisted.
Lacking infrastructure, these areas were burdened with numerous encumbrances, allowing families living there to fall behind their thriving suburban peers. This stark contrast remains, most notably in the suburbs and townships of Johannesburg.
Conclusion
Pervasive structural injustices left over from apartheid still linger, despite staggering progress in reducing inequality in South Africa. The nation has nonetheless made impressive strides toward achieving SDG 10. These include social grants and legislative amendments that demand transparency on wage disparities, thereby perpetuating pressure and accountability.
– Maya Hollick
Photo: Flickr
How Clean Energy in Kenya Is Powering Poverty Reduction
Renewable energy benefits the nation’s well-being and economy more than simply endorsing positive environmental pursuits. It actively supports poverty reduction in Kenya by expanding opportunities at the household level.
Expanding Clean Energy Access in Kenya
Millions of Kenyan families suffered from low productivity and bad health for decades due to energy poverty. Families spent a significant amount of their earnings on charcoal, firewood and kerosene. These fuels depleted cash and harmed people’s health.
Respiratory ailments were caused by indoor air pollution and opportunities for education and employment were limited by sporadic lighting. However, recent findings show how the nation has rewritten its past. Kenya has made great strides in expanding access to clean cooking and power through strong regulations and targeted infrastructure investments, according to a recent IEA assessment.
Kenya is positioned as a regional leader in economic and energy growth, thanks to its ambitious implementation plans. Its push for electrification using clean energy technology has put the country on track to achieve universal access to electricity by 2030. “Kenya is showing how the strategic deployment of clean energy technologies and electrification in end-use sectors can significantly improve the lives of millions of the most vulnerable people in the world,” stated IEA Deputy Executive Director Mary Burce Warlick.
A key contributing factor to this remarkable turnaround is the transition to clean energy. The nation is currently among the world leaders in clean power, producing more than 90% of its electricity from renewable sources. Large-scale initiatives like Lake Turkana Wind Power improved the country’s national grid and showed Kenya’s dedication to sustainable development.
Solar Power’s Impact in Kenya
This shift links clean power directly to long-term poverty reduction in Kenya by supporting inclusive economic development. Rural residents who would have had to wait years for grid connections can now get electricity immediately thanks to off-grid solar installations. Businesses like M-KOPA use pay-as-you-go methods to enable families to purchase solar systems with modest daily payments made with mobile money.
Millions of people now have dependable energy for the first time thanks to M-KOPA’s solar power connections to more than two million homes. Solar electricity facilitates exciting opportunities for people in Kenya. Parents may operate small home-run businesses, charge neighbors’ phones and extend store hours after dark with dependable electricity.
Reduced energy expenses provide free money for food, medical care and school tuition. Clean energy enhances pathways to poverty reduction in Kenya, enabling households to transition from a bare minimum existence to a more sustainable future, with potential for future investments. Additionally, clean energy enhances health outcomes, particularly for women and children.
Solar illumination reduces indoor air pollution and replaces kerosene lamps. Families are less likely to have fire hazards and respiratory issues. Furthermore, solar energy helps hospitals by supplying consistent illumination and refrigeration for vaccinations in isolated locations.
Final Remarks
The United Nations (U.N.) lists its Sustainable Development Goals, a notable aim being to ensure access to clean, affordable energy. Kenya’s journey toward sustainable energy is a story of possibility. The nation demonstrates that climate action and economic advancement can coexist by increasing access to reasonably priced renewable energy.
Clean energy today provides security, dignity and a practical way out of poverty for many Kenyan households.
– Prubleen Bhogal
Photo: Flickr
How Public Transportation Access Reduces Urban Poverty
Transport Costs Trap the Urban Poor
For low-income residents, transport costs often represent a significant portion of their daily expenses. In cities where public transit systems are underdeveloped or too expensive, families can spend as much as 25% of their income just on commuting. In Delhi, for example, people living in informal settlements may need to travel long distances to reach work centers, often paying more than what is affordable. This forces them into a cycle of poverty where limited mobility means fewer job opportunities and those they can access are typically low-wage, precarious positions. By reducing transport costs through subsidies and increasing public transport, low-income individuals can retain more of their earnings for basic needs, thus alleviating some of the pressures of urban poverty.
Commute Time Affects Job Access
In large cities, time spent commuting can drastically limit the number of opportunities people can realistically pursue. In Medellín, despite the city’s progress in reducing poverty, many low-income workers still face long and stressful commutes, with some residents spending more than two hours a day just to get to work. This leaves them with less time for family, education or even seeking better job opportunities. The longer the commute, the fewer the employment options available, as many workers simply cannot afford to travel to jobs that are outside a certain radius. Improving public transportation access reduces urban poverty by shortening commute times, and creating more efficient routes can expand the potential labor market for low-income workers, allowing them to apply for higher-paying jobs that might have otherwise been out of reach.
Subsidized Transit Increases Employment Opportunities
In cities like Casablanca, affordable and efficient public transportation can directly reduce poverty by increasing access to jobs, education and health care. The recent introduction of the Bus Rapid Transit (BRT) system in Casablanca is a prime example of how investing in urban mobility can create long-term economic benefits. The BRT system connects densely populated areas to downtown Casablanca, reducing travel time by up to 30 minutes a day. By providing faster, more reliable transportation, the BRT enables workers to access thousands of new jobs and opportunities that were previously out of reach due to long commutes.
Additionally, the system’s affordability and integration with other transport modes make it accessible to low-income families. Increased access to reliable transportation is critical to lifting people out of poverty by allowing them to participate more fully in the urban economy. The system also enhances safety and inclusion, with design features that improve accessibility for women and marginalized groups, contributing to broader social inclusion and economic empowerment.
Economic Growth and Poverty Reduction
Public transportation is a key driver of economic progress and poverty reduction in urban areas, contributing directly to 14 out of 17 SDGs. Cities like Toronto and Japan have integrated transit systems that not only improve mobility but also stimulate economic opportunities by connecting people to jobs, education and health care. By improving access to key services and reducing transport costs, public transit helps lower poverty rates while promoting sustainable urban development. Access to reliable transport systems drives economic growth through urban regeneration, increased land values and better social inclusion. Furthermore, by reducing reliance on private cars, public transport systems cut down on emissions, contributing to environmental sustainability and enhancing livability for all city residents.
Greening Urban Transport Creates Jobs and Reduces Poverty
Shifting to sustainable public transportation can significantly reduce urban poverty by creating new employment opportunities and boosting economic productivity. As cities transition to low-carbon transport systems such as electric buses and hybrid vehicles, there is a clear economic benefit. Studies have shown that increasing public transit ridership and investing in cleaner, more efficient transport options generate jobs not just in public transit operations but also in vehicle manufacturing, infrastructure development and green technologies. This helps to provide affordable access to jobs, services and education for low-income populations, while also stimulating local economies. By making public transport more accessible and affordable, cities can lower commuting costs, reduce economic barriers and create a more inclusive, sustainable economy, ultimately contributing to poverty alleviation in urban areas.
Looking Ahead
Public transportation is much more than just a means to get from one place to another; it is a critical lever in reducing urban poverty. From cutting transport costs and shortening commute times to improving safety and ensuring inclusive access, public transit provides an accessible pathway to economic opportunity for the urban poor. As more cities invest in public transit infrastructure and policy innovations, public transportation access will continue to reduce urban poverty, empowering the urban poor and creating more equitable and resilient communities.
– Chris Tang
Photo: Wikimedia Commons
Quick Facts About Hunger and Poverty in Honduras
What is Food Insecurity?
Food insecurity is a lack of access to vital food sources. This threat heightens illnesses and harm to people’s lives. This can lead to: desperation, disease and death. Families facing this are forced to make an income through selling possessions or skipping meals, as they are desperate to earn a living.
This is traced back to the problem of poverty, which deeply affects the developing countries and the people living there. The hunger crisis is an unfortunate consequence of this.
In Honduras, 63% of the population lives in poverty, which affects the most vulnerable members of society, like children. Children’s health, well-being and education are negatively affected. Eventually, this causes a reduced quality of life for the people of Honduras.
Natural Disasters and Weather Conditions
Honduras’s hunger crisis is a result of natural disasters and destructive weather conditions, like drought, which have harmed farms, increasing the chances of burning the land. Not only a crucial food source, but a hotspot for coffee production, which causes an economic decline. More than 100,000 families rely on the coffee trade as an income, showing the importance of agriculture.
Located in the Dry Corridor, the area is prone to dry spells, making food more difficult to grow and reducing the amount available to the people. With the lack of harvests, some families have to migrate to survive these harsh conditions.
Another part of the hunger crisis is linked with the extreme weather conditions, such as hurricanes. From people fleeing their homes to safety, it has negative effects on lives, not just food sources. In 2024, the hurricane season doubled the expected rainfall. This is bad because it can flood food sources and wash them away. Primarily, this affected the southern and western areas, therefore increasing the possibility of emergency food insecurity.
Malnutrition and Undernourishment
Malnutrition is a prevalent issue in Honduras. Indeed, one in four children under the age of 5 struggles with chronic malnutrition, according to the World Food Program (WFP). This is a severe issue, as it stunts growth. This takes place when a diet does not have enough healthy nutrients. On the other hand, obesity is unfortunately increasing with younger women. Therefore, this shows the issue of food access, as not enough Hondurans are able to have a healthy diet.
In 2024, 20.4% people in Honduras suffered from undernourishment. Rural areas of Honduras are particularly affected, as they face more poverty and starvation. This is because food insecurity is increased by the lack of opportunities for employment and access to standard services. Challenges make it harder for people like: farmers, women and people with medical conditions to access balanced diets.
The people of Honduras are in great need of fundamental food. More than 25% of Hondurans are relying on humanitarian assistance for survival. This takes place by action groups providing help by giving: medical care, food and water.
Lack of Awareness
Honduras was the least funded country in 2023, meaning that the lack of awareness about the daily threats is huge, with violence being one of the examples.
In 2022, there was an average of 253 homicides monthly, translating to 31% of homicides for every 100,000 people.
Fortunately, this has been decreasing yearly, but sexual violence and abuse have remained an issue in society. This has impacted many lives in Honduras.
Solutions
Certainly, Honduras faces many setbacks like hunger, poverty and extreme weather conditions, but this has not stop the country from making progress.
According to the National Institute of Statistics, poverty reduced in Honduras from 73.6% to 60.1%. For extreme poverty, it had reduced from 53.7% to 38.3%. Also, the population above the poverty line has expanded, therefore highlighting improvements in standards of living.
Employment and job opportunities have also increased. From 4.2 million people now working, the unemployment rate has decreased to 4.9%. All of these factors help the country to flourish economically. Even with substantial challenges, Honduras is beginning to develop and transform into a successful country.
– Daisy Sheena
Photo: Flickr
Thailand’s Aid Diplomacy
Indeed, as former Deputy Director of the Thailand International Cooperation Agency (TICA), Paisan Rupanichkij explains, “We try to show that countries from the South can help other countries from the South.” This approach reflects Thailand’s belief that stronger ties with, and greater prosperity in, neighbouring countries strengthen regional security and create economic opportunities for all.
Building Roads to Prosperity
In Thailand’s regional development assistance, a large share of aid focuses on economic infrastructure such as transport, roads, rail and logistics, and recent expansions include social infrastructure like water supply and waste management, according to the U.N., helping previously underserved communities access health care, education, and economic opportunities that raise household income and quality of life and support poverty reduction.
Laos has become one of the greatest beneficiaries of regional aid from Thailand, which has pledged support in transforming Laos from a land-locked to land-linked country. The expansion of railway connections and the construction of the fifth Thai-Lao Friendship Bridge (completed in December 2025) provide two important examples. Thailand also benefits from this partnership: it invests in and purchases significant amounts of energy from Laos, particularly in hydropower, which totalled 10,500MW in 2022. This mutually beneficial economic relationship supports Thailand’s own energy security (under its Power Development Plan, which stresses the need to increase the country’s share of renewable energy and promote energy efficiency) while simultaneously raising important development revenue for Laos.
The Sharing of Expertise
While infrastructure dominates Thailand’s aid portfolio, there is an increasing awareness and focus on knowledge transfers and expertise. As an emerging donor, Thailand does not rival the financial clout of other major donors, yet it does have “a [wealth of] expertise, know-how and technology that could apply to other developing countries,” according to Rupanichkij.
Thailand’s agricultural expertise has been a central pillar of its development cooperation, sharing affordable and easily transferable technology to recipient nations, both in Southeast Asia and beyond. Recent agreements with several African nations have focused on agricultural development and food security, including capacity-building for smallholdings, increasing productivity and leveraging innovation.
Thailand’s maternal health program – which achieved a mortality rate of 24.6 deaths per 100,000 births, far below the SDG goal of 70 – has been successfully shared with Laos through midwifery training programs. Between 2015 and 2017, through Government cost-sharing, $45,000 went for improving human resource skills and systems in these programs, with a return on investment (in terms of estimated social value) of $4 for every dollar spent.
A Model for South-South Cooperation
Thailand’s aid diplomacy carries particular significance as Western donors reassign foreign assistance priorities: regional aid from Thailand demonstrates that geographic proximity and shared development experiences create advantages that distant donors cannot replicate. The country’s approach reflects its Philosophy of Sufficiency Economy, which emphasises moderation, balance and self-immunity in building resilience to the extensive and rapid changes in the material, social, environmental and cultural conditions of the world. The principle is intended as a means towards community empowerment, as the foundation of the local economy, and emphasises corporate responsibility and governance. As such, it puts forth a replicable vision for regional development.
Thailand’s dual identity as both aid recipient and donor offers valuable lessons for other middle-income countries. Nations need not wait to graduate ‘developing’ status before contributing to regional development. Thailand’s strategic aid diplomacy boasts a plethora of benefits: promoting regional stability and thus security, economic benefits through regional integration and soft power advantages through fostering positive international relationships. But crucially, it proves developing nations can be powerful agents of poverty reduction – for themselves and their neighbours. As Newin Sensir, former President of Thailand’s Neighbouring Countries Economic Development Cooperation Agency (NEDA) emphasized, “by working together, we ensure that growth is spread throughout the region,” the U.N. reports.
– Caroline Sheehan
Photo: Flickr
Using Social Impact Bonds For Clean Water Projects in East Africa
That gap has opened the door for a financing idea that is starting to reshape development funding conversations: social impact bonds for clean water. Social impact bonds for clean water, also called pay-for-success financing, flip the usual spending order. Instead of paying for inputs first and hoping for results later, the model links repayment to independently verified outcomes.
How Pay-For-Success Financing Works
Results-based financing ties funding to pre-agreed results and pays once those results are achieved and verified. In a typical social impact bond structure, three roles show up again and again:
Because payments depend on measured performance, social impact bonds for clean water appeal to funders who want stronger accountability and to investors who are willing to take on risk when the metrics are clear.
What Counts as “Results” in Water Projects
Clean water outcomes are not just about “infrastructure built.” In pay-for-success models, the focus is on what that infrastructure delivers in real life. This includes households gaining first-time access to clean or reliable water. It also covers whether water points remain functional and reliable over time.
Other outcomes include reduced exposure to unsafe water, which lowers the risk of waterborne diseases. Time savings also matter when water is closer, more dependable or available on-site. The “time saved” piece is especially relevant in rural and peri-urban areas where water collection still shapes daily schedules. UNICEF has estimated that women and girls collectively spend 200 million hours every day collecting water.
Health impacts are part of the same equation. WHO tracks the disease burden tied to unsafe water, sanitation and hygiene and links unsafe WASH to major preventable illnesses and deaths.
A Real Example in East Africa: Uganda’s “Social Success Note”
One of the clearest East African examples of outcome-tied water financing comes from Uganda, where a pay-for-success instrument called a “Social Success Note” was designed to expand clean water access in schools. Climate Policy Initiative describes the model as a five-year loan that began in 2018, starting with a $500,000 working-capital loan from UBS Optimus Foundation to support Impact Water’s installation of purification systems. In that structure, schools repay the loan using savings from reduced fuel costs that would otherwise be used to boil water.
At the same time, outcome payments and incentives adjust based on performance targets. The same case study reports that the program installed systems in 600 schools. It also set a goal to determine whether Impact Water could provide an additional 1.4 million children with access to clean, safe water over the term.
This is where social impact bonds for clean water start to look like a “new market” tool. The project’s monitoring and evaluation role is built into the financing and payments are tied to outcomes that a third party can track.
Why Investors Pay Attention
Traditional water infrastructure finance often depends on public budgets, donor grants or concessional loans. Pay-for-success models add a different lever: performance risk can shift toward investors, while public or philanthropic outcome payers commit to pay for verified results. For investors, the pitch is not only social.
It is also about clarity. When metrics are defined and verification is credible, capital can move into areas often described as “hard to finance.” There is also a broader economic case for scaling water access.
The World Bank notes that access to clean water and sanitation improves public health and frees up time, enabling more people, especially women, to participate in the workforce. The same World Bank overview states that every $1 spent on water supply and sanitation in Africa generates a $7 return.
Clean Water Infrastructure Still Matters: Tanzania’s Market Signal
Not every private-capital tool in East Africa is a pay-for-success contract. However, the momentum around “investable” water projects is real. In Tanzania, the U.N. Capital Development Fund (UNCDF) highlighted a subnational green bond issued for Tanga’s water utility, with proceeds aimed at expanding and strengthening water services. UNCDF reports that the bond’s plan included extending the distribution network by 60 kilometers.
It also involved connecting 6,000 new households and rehabilitating 110 kilometers of old piping to reduce water losses. UNCDF also states that around 26,000 people are expected to gain access to clean water for the first time through the upgrades. That is not a social impact bond in itself.
However, it shows how water projects can be structured to attract investors, which is the same direction that social impact bonds for clean water aim to take.
Why This Model Is Becoming a “New Market” Tool
Results-based financing has become a major approach to development spending, in part because it promises greater accountability and clearer incentives. The World Bank describes results-based financing as linking funding to verified results and notes that the approach has grown to a market of more than $25 billion in development spending. For East Africa’s clean water needs, social impact bonds for clean water sit at the intersection of that trend and a basic reality: water systems need long-term money for construction, maintenance and reliability, not just short-term projects.
If outcome-based contracts can consistently show that households gain reliable access, children in schools can drink safely and communities save time while reducing disease risk, pay-for-success financing begins to look less like an experiment. Instead, it becomes an investable pathway for scaling water solutions.
– Aiden Moriarty
Photo: Unsplash
Malnutrition and Poverty in India
For families like Savitri’s, malnutrition is not just a health crisis; it’s a poverty trap that limits learning, weakens productivity and keeps entire communities from escaping hardship. The issue of malnutrition and poverty in India remains deeply intertwined, particularly in urban slums where wages are low and food prices rise faster than incomes.
The Cycle of Poverty and Malnutrition in India
The world’s highest concentration of undernourished people is found in India. The Global Hunger Index 2025 states that 32.9% of children under 5 in India are stunted and 12% of the country’s population is undernourished. This crisis is made worse in Delhi’s urban slums by overcrowding, contaminated water and inconsistent incomes.
Daily-wage families frequently rely on the least expensive, high-calorie foods that are deficient in vital nutrients to make ends meet. Poor nutrition harms both economic and educational outcomes. Malnourished children are more likely to experience cognitive delays, poorer academic performance and lower adult incomes.
According to the Food and Agriculture Organization, chronic malnutrition can result in decreased productivity and lower a nation’s GDP by 2-4%.
A Mother’s Struggle in Delhi
The connection between food and survival is painfully obvious to Savitri, who sells plastic bottles gathered from trash heaps. “I can’t work if I get sick. We don’t eat if I’m not working,” she says. Similar experiences are shared by many Seemapuri women who juggle taking care of malnourished children while working long hours in informal jobs.
According to the National Family Health Survey (NFHS-5), 24% of children under 5 in South Delhi are underweight and 27% are stunted. These figures underscore the severity of nutritional inequality, even in India’s affluent capital.
Government Efforts: ICDS and PM Garib Kalyan Anna Yojana
Through Anganwadi centers, the Integrated Child Development Services (ICDS) program remains India’s premier nutrition initiative, providing food, health examinations and preschool education. The Delhi government operates more than 10,000 centers serving children and pregnant women. Savitri states, “My daughter receives one hot meal per day from the Anganwadi, but occasionally they close early or run out of supplies.”
Delivery irregularities and infrastructure gaps continue to impact the access of the most impoverished families. More than 800 million people received 5 kg of food grains per person per month through the PM Garib Kalyan Anna Yojana (PMGKAY) during the COVID-19 pandemic. This lifeline helped Savitri’s family and many other urban low-income families avoid hunger.
She remembers: “We got rice from the ration shop during those months.” “At least there was something, even though it wasn’t enough.” Under the National Food Security Act, the government continues to distribute free food grains, even though PMGKAY ended in 2023.
Why Nutrition Is an Economic Investment
Malnutrition and poverty in India deplete public resources as well as human potential. According to the World Bank, increased productivity and lower health care costs can result in up to $16 in economic returns for every $1 invested in nutrition. Women who eat healthily are more likely to keep steady jobs and take better care of their families.
Better nutrition could lower health care costs, increase work participation and improve school attendance in Delhi’s informal settlements. The nutritional status of the city’s most vulnerable communities can be improved by enhancing maternal education, ensuring consistent food supply chains and strengthening local Anganwadi infrastructure. India’s poverty and malnutrition problems demonstrate that investing in nutrition is a prudent financial decision, rather than a charitable endeavor.
Breaking the Cycle
More than just distributing food is needed to end malnutrition; social inclusion and accountability are also necessary. “Perhaps they would understand if officials came and asked us what we really need,” Savitri says. Community participation through local monitoring committees and women’s groups can help ensure that programs respond to lived realities rather than relying solely on statistics.
The cycle of poverty can start to end when individuals, governments and nongovernmental organizations collaborate to make nutrition a key component of development. Appropriate nutrition is not charity for the millions of people living on the margins in Delhi; rather, it is a basis for growth, opportunity and dignity.
– Chhahat Kaur Gandhi
Photo: Flickr