Archive for category: Developing Countries

Information and stories about developing countries.

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More Natural Disasters?

It’s widely accepted by scientists today that natural disasters are on the rise and there’s increased risk for everyone. It’s more likely that people are going to experience a natural disaster in their lifetime.

One reason for this is that there are simply more people and many are concentrated in areas that are prone to disaster. The proportion of people living in cities of developing countries has doubled since 1960. This is important because 13 of the world’s 19 largest cities are located in coastal regions that are naturally at risk for disaster. This proportion is expected to rise 55 percent, too, by the year 2030.

It’s important to note also that developing countries, harboring the greatest populations in the world, experienced 94 percent of the world’s natural disasters between 1990 and 1998.

On the other hand, there are more natural disasters today than there used to be. The earth’s southern hemisphere is most likely to bear the brunt of climate change, a fairly well-known driver of the planet’s increase in the frequency of natural disasters. Since 1950, there have been more droughts, hurricanes, floods and windstorms than there used to be. And most developing countries can be found in the global south.

But regardless of what’s causing these disasters to tear cities and lives apart, the experiences are costly. Since the 1960s, the costs of natural disasters have increased sevenfold and low-income economies are at the greatest risk. Here, the poor stand to suffer the most. Consequently, natural disasters are quickly rising as a major issue in efforts at global poverty reduction.

Recall the recent typhoon Rammasun in the Philippines, which flooded streets in Quezon City, killed thirty-eight and left eight missing. It came on the heels of the devastating Typhoon Haiyan which killed more than 5,000. These storms left the already-poor coconut farmers of the nation in devastation after having lost their livelihoods in the storm. Poor fishers, whose boats were destroyed, were threatened with relocation away from coasts, as well.

In southern Karnataka in India, coffee growers fear for their yield as the yearly monsoon rains have delivered 14 percent more water than normal.

But there is hope. Despite the increasingly costly nature of natural disasters, data shows that this year represents a leveling-out in disaster costs, which have generally been on the increase over the past ten years. The first six months of 2014 have had costs nearly 50 percent lower than the $95 billion average.

As climate change moves across the globe as an unstoppable force behind disaster and people concentrate in vulnerable regions, we can only hope that losses continue to fall with increased responsiveness and preparation.

– Rachel Davis

Sources: IMF, CBC, The Hindu, Actuarial Post
Photo: The Stress Surfer

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Economic Growth: Will a Rising Tide Lift All Boats?

Developing countries around the world face the tremendous challenge of promoting sustainable growth while also reducing poverty and increasing the living standards of their populations.

Around the world, conventional wisdom holds that by focusing development policy on economic growth, inequality will be reduced and incomes of every segment of society will increase–a rising tide lifts all boats.

While poverty has been reduced dramatically all around the world (700 million fewer people live in conditions of extreme poverty in 2010 than in 1990), big challenges still exist to further reducing this number. One of these challenges is rising inequality within and between nations.

Listed below are three reasons why income inequality must be addressed in both the developed and developing world in order to ensure long-term economic growth benefits for everyone and not just a select few.

1. Economic growth is not always equal

China, one of the countries where poverty reduction has been dramatic, is astoundingly tolerant of large gaps in inequality in exchange for growth. Deng Xiaoping, a top Communist Party leader from 1978 to 1992 who initiated economic reforms, is thought to have acknowledged, “It is good for some people to get rich first.”

While this may be true in some cases or at the beginning of market reforms, recent studies undertaken in Indonesia, South Africa, India and China reveal an increase in the gap between the rich and poor. This gap in income inequality can not only prevent further reduction in poverty, but it also has long term implications in the ability of large parts of the population of each country to be able to contribute to the country’s economy and growth.

2. Education, health, and job creation policies must be pursued simultaneously with growth policies

In order for a country’s population to contribute to and participate in the country’s economy, individuals must have the skills. Pursuing policies only focused on increasing GDP may improve growth outlook in the short run. However, in the long run, without education initiatives to match, a large segment of the population will remain poor.

In the 1990s, Brazil pursued a pro-equity growth policy in which it provided grants to help boost education. Average years of school for the poor shot up and when growth hit; they too were able to take advantage of the better jobs.

Just as an overall boost in education and health is important, so is robust job creation. People must have the opportunity to input the skills they have learned back into the economy.

For this reason, inequality cannot be solved without government involvement. The market left as is does not ensure that growth is shared equally. A combination of strong government programs and a strong private sector ensures better opportunities for more people.

3. Positive GDP growth can hide underlying inequality

The main measure of inequality within a given country is through the gini coefficient. The gini coefficient is a variable that measures how equal a country’s income is with zero representing an instance where everyone’s income is exactly equal, and one representing an instance in which one person has all of the income and the rest have none.

In South Africa, while the government is vocally committed to fighting poverty and inequality, between 2003 and 2008 overall income inequality increased. During this period, South Africa’s gini coefficient rose from an already high .66 to .70 – one of the highest in the world. So despite an average GDP growth rate of 3.2 percent (1994-2012), steps still need to be taken to ensure that the bottom segment of society is able to contribute and benefit from that growth.

Today, nearly 80 percent of humanity lives on less than $10 per day and over 3 billion live on less than $2.50. High levels of inequality exacerbate problems of poverty and reduce opportunities for the poor to move beyond their circumstances. Fewer opportunities for children to rise up economically means that inequality becomes more exaggerated over time and can affect the social structure of a country – leading to unrest, crime and violence.

Developed and developing countries alike all face the challenge of reducing their gini coefficient while also promoting growth. While each country faces unique challenges, this is one problem that can benefit from collaboration at the international level. From the information above, it becomes clear that poverty cannot be fully eliminated without measures in place that simultaneously address income inequality.

– Andrea Blinkhorn

Sources: Science Mag, Global Issues, Global Issues 2, Politics of Poverty, United Nations, South Africa, Hvistendahl, M. (2014). While emerging economies boom, equality goes bust. Science,344(6186), 832-835.
Photo: PBS

Cob Homes in Developing Countries

A natural building technique called cob is emerging as an alternative home construction method in developing countries. Cob building has many advantages, including more readily available materials, less environmental impact and decreased expenses.

Building with cob involves mixing sand or clay with local subsoil and straw. This creates a stiff substance that can be molded and smashed together into small loaves (cobs). These cobs are then stacked to form the walls and foundations of buildings.

The practice of cob building has its roots in historic techniques, such as adobe and wattle-and daub construction.

“A sculptural technique, which lends itself to curved organic shapes, cob requires minimal tools and can be built by young and old alike,” according to Joseph F. Kennedy of the National Buildings Colloquium.

Unfortunately, cob is very labor intensive and building walls can take up to a year to complete.

However, cob structures are incredibly sturdy and able to withstand a wide variety of climatic conditions, including fires and earthquakes.

Cob can absorb large amounts of water without softening, and it is naturally insulated so it will stay cool in the summer and warm in the winter.

Cob buildings in the British Isles have withstood centuries of harsh weather and still remain in use today. Five hundred year old cob houses in England have recently been discovered in near perfect condition.

Cob is also preferable to other commercially available materials. Brick and concrete blocks are often too expensive for developing countries, while the materials needed to make cob are all locally available.

Additionally, the U.S. Environmental Protection Agency reports that the production of concrete is the third largest source of greenhouse gas pollution in the United States. Making one ton of cement results in the emission of roughly one ton of carbon dioxide.

Cob homes are the cost-effective, environmentally friendly alternative to concrete structures.

Cob buildings are currently going through code-testing procedures in the U.S., and have experienced a major revival in England, where homebuilders are turning to cob as a natural, sustainable construction strategy.

Natural methods of building also have a growing future in humanitarian aid efforts abroad. At the U.N. Habitat II conference in Istanbul, volunteers and local labor built a domed prototype house from compressed earth blocks in a week.

Buildings constructed with this natural, cost-effective and environmentally friendly technique could be the future for aid efforts that provide shelter for those in need.

– Grace Flaherty

Sources: Network Health, Bare Foot Builder, Scientific American, MIUN
Photo: Yahoo

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Food Waste Contributing to Poverty

We all know that wasting food is wrong, but do we ever stop to think how this careless act directly impacts those who are less fortunate? The U.N.’s Environment Programme (UNEP) and the World Resources Institute (WRI) recently revealed that almost one-third of all the food produced in the world is either lost or wasted in food production and consumption systems—food that could have fed the hungry.

According to the U.N., 842 million people suffer from the effects of hunger globally, and using the UNEP and WRI’s estimates, the one-third of the world’s food wasted could equal up to 1,520 calories for each hungry person in developing countries where malnourishment is widespread.

There is also a moral imperative involved in resolving this issue as the President of the World Bank Group Jim Yong Kim points out, “Millions of people around the world go to bed hungry every night, and yet millions of tons of food end up in trash cans or spoiled on the way to market. We have to tackle this problem in every country in order to improve food security and to end poverty.”

What people may not realize is that food waste unfortunately occurs in both industrialized and developing countries. In industrialized countries, food waste is typically caused by consumers buying too much food and being too concerned with the food’s appearance.

While the problem itself is the same in developing countries, food waste in these countries is caused by the lack of technology, harvesting techniques, post-harvest management and even marketing methods. Insect infestations and high temperatures also affect the quality of food products. For example, at least a quarter of the crops grown are wasted in Africa, where 65 percent of the labor force completes agricultural work.

The environment is also negatively affected by food waste as fertilizers, pesticides and other chemicals are wasted while the rotting food creates more methane, a harmful greenhouse gas that is one of the greatest contributors to climate change.

Many are also fearful of the effect the growing population will have on the availability of food after the Pew Research Center revealed that 9.6 billion people are expected to populate the world in 2050, emphasizing the importance of future food security.

As a global issue, many campaigns such as Think.Eat.Save. are now focusing on ensuring food security and reducing the amount of food wasted. A campaign of the Save Food Initiative, Think.Eat.Save works to alleviate the negative humanitarian, environmental and financial effects food waste has on both developed and developing countries.

As the organization’s name suggests, we can all do our part in ensuring that we are not wasting food by following these three simple steps:

1. Think. Planning meals and creating a grocery list before shopping is a great way to ensure that you’re only buying what you will eat.

2. Eat. Be mindful of what you eat, and save time and money by eating food out of the fridge first.

3. Save. Freeze produce so it stays fresh longer and don’t forget to make the most of leftovers.

Food wasting is a serious global issue that affects millions, but through these simple steps we can all do our part in reducing our “foodprint.”

– Meghan Orner

Sources: World Bank, World Bank 2, U.N. Environment Programme, U.N. Regional Information Centre for Western Europe, United Nations, Pew Research Center, Global Issues, Society of St. Andrew, Think. Eat. Save
Photo: World Food Day USA

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Chinese Foreign Aid: Setting a Good Example

China is considered a developing country. Interestingly, it also has the second-largest economy in the world. This paradox may seem impossible. In reality, however, this paradox has taught the country’s economic leaders valuable lessons about how to most successfully engage in the global economy. By aiding other developing countries, China’s economic strategy has become one of the most effective in the world.

In 2000, China began a mission lending aid to countries with underdeveloped economies. Chinese government officials recognized their own economic stability and began to implement assistance initiatives in developing countries with which China had connections through trade.  The initiatives, which are still in existence today, improve education, sustainability, medical facilities and other aspects of daily life in these countries.

Many of these countries export more goods to China than to any other place in the world. Therefore, Chinese consumers are crucial to the growth of the economies of these African and Asian countries. In response, the Chinese government recently has lifted tariffs on some imports from these developing countries.

China’s decisions to help other developing countries are more than acts of goodwill; they are intelligent business initiatives. In providing assistance and allowing developing countries’ markets to flourish, China is building trusting relationships with valuable trade partners.

Establishing trade relationships is vital in the global economy. China and its partners know that they can count on each other for fair trade and support.

China and many other developing countries engage in relationships through the South-South Cooperation. The South-South Cooperation allows developing countries to collaborate to form strong trade relationships and share strategies that may help other countries escape the barriers of poverty. China has been an active member of the cooperation for many years.

By helping to lift developing countries out of poverty, China can expect a great return of help from them in the future. As previously stated, China is a developing country itself. While it provides assistance to many places outside of its borders, poverty still exists within the country.

China’s economic strategy sets a positive example for other global economic leaders. It has used foreign assistance as a successful way to ensure strong trade relationships, return investments and hope for future repayment. China’s economy is proof that foreign assistance offers more help than harm to a country’s own financial status.

– Emily Walthouse

Sources: Global Post, RAND Corporation, United Nations Office for South-South Cooperation
Photo: China Daily Mail

Digital Banking Changes the World

Cash-based systems for holding money are inefficient and hold a lot of risk, with especially high consequences for the world’s poor. With ‘digital cash’ and saving methods, more people are able to experience financial inclusion in modern banking, suffer less risky consequences and begin investing in their future.

Much of this banking is done through mobile phones, which have become increasingly available to developing countries. About 89 mobile phones exist per 100 people in these areas. Even non-financial institutions, such as small businesses, use mobile payments in order to perform faster business and expand their customer base.

Studies in Mexico have shown that in areas where more banking institutions were introduced, there was a rise in informal small businesses, as well as a seven percent rise in incomes. This demonstrates that greater access to banking systems can lead to economic stimulation.

Having financial transactions performed on mobile phones makes banking services cheaper and more feasible for the poor. Digital banking also comes with better financial records, making it easier for banks and other lending programs to develop credit scores, and lending methods that are tailored to their clients.

With digital banking, immediate transactions can be made from the comfort of one’s home, saving people time and money by avoiding a possibly long commute and day away from work in order to get to a bank. Digital banking also makes money less susceptible to common risks such as thievery, natural disasters, or manipulative friends and relatives.

Some people in these situations even pay others to keep their money safe, adding another unnecessary payment to their expenses.

Long distance transfers also become easier to accomplish. Many households in developing countries receive their income from a family member working in other parts of the country who sends money periodically.

A poll was conducted in 11 sub-Saharan African countries that discovered that 83 percent of those polled had made a payment to someone far away using cash. This involved giving money to bus drivers, asking friends to carry money, or taking time off work to deliver the money themselves.

These processes are not only unsafe, but they can be unreliable and slow.

After a bank was set up in a region in Malawi in 2002, farmers used it to hold their money after the harvest, so that they would be able to continue buying fertilizer throughout the year. Their crop yields grew, therefore increasing overall income, while allowing these farming families to send children to school for even more future investment.

Recently in Kenya, clients of M-Pesa, a mobile money program, were observed and compared to Kenyans without the program. When natural disasters or unexpected events came, M-Pesa clients were able to receive financial assistance from friends and relatives at a much faster rate, making any negative impact much smaller, and allowing their regular lives to be interrupted as little as possible.

The success of M-Pesa has sparked motivation for other countries to create similar programs. Tanzania has over 47 percent of their population using mobile banking, and Uganda has begun the process, and already has 26 percent of their population as a member of a mobile banking system.

Even governments benefit from mobile banking. Since Mexico’s adoption of digital banking in 1997, their government lowered their spending on wages, pensions and social welfare by $1.3 billion, or 3.3 percent annually.

A study was done in India that concluded the government could save $22 billion annually just by digitizing all payments and transfers.

Although digital banking is expanding throughout the developing world, there are still 2.5 billion people without any banking system. Governments, non profits and private groups are now working on making banking more digital, and therefore more accessible to these bank less people.

-Courtney Prentice

Sources: Skoll World Forum, Bill & Melinda Gates Foundation, Forbes, Global Envision, TIME, Foreign Affairs
Photo: Gulf Business

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Dangerous Roads Create a Bumpy Ride to Development

Dangerous Roads
A recent study by the University of Michigan has found that Africa, Latin America and the Middle East host the world’s most dangerous roads, and that traffic accidents in developing nations claim more victims than in wealthier countries.

Similar conclusions have recently been drawn by the Federation Internationale de l’Automobile (FIA) which specifically examined this year’s mortality rates due to traffic accidents in Latin America. The FIA study reports that Brazil has the worst record, at 20 traffic-related deaths per 100,000 inhabitants.

FIA regional representative Leandro Perillo of Argentina observes that “the biggest problem we face [in Latin America] is the lack of enforcement of the rules.”

The Inter-American Development Bank (IDB) sees dangerous roads as a serious development issue in Latin America, reporting that “at 17 deaths per 100,000 inhabitants, this region’s roadway fatality rate is nearly double that of higher income countries.”

Leading reasons for this discrepancy besides lax law enforcement include roadways clogged with bicycles, motorcycles and all around bad driving. Anyone who has traveled throughout Latin America understands that traffic lights, lane markers and warning signs are more like suggestions than rules. Poor infrastructure, including the infamous baches (potholes that many times resemble sinkholes) and lomadas (mountainous, unmarked speed bumps,) can also play a part in driving accidents.

Automobile wrecks take more lives in Latin America each day than does HIV/AIDS, and road incidents kill 100,000 people every year in Latin America and the Caribbean. Additionally, car crashes have become the leading cause of death for individuals between the ages of 15 and 29.

Injuries due to poor roads and bad drivers also have a high social and economic cost. The Inter-American Development Bank estimates that Latin America loses two percent of its GDP to traffic accidents each year.

Speaking on the importance of road safety in Latin America, IDB Transport Division Chief Nestor Roa states that “when it comes to improving road safety, isolated efforts will only get us so far. Curbing our region’s high traffic death rates requires making this issue a priority for our national development agendas and committing everyone to achieve this goal.”

The IDB is becoming more involved in the region’s transportation situation, performing vehicle evaluations and overseeing the design of better roadways. The institution states that successful confrontation of this issue will require “the coordination and collaboration of virtually all sectors of society, from governments to schools, NGOs, motor vehicle manufacturers, drivers, passengers, cyclists and pedestrians.”

Although road safety is not typically seen as a central development concern, addressing this issue will help pave the way to a safer and healthier future for developing nations.

– Kayla Strickland

Sources: Global Post, University of Michigan, Inter-American Development Bank
Photo: GravityBolivia

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Poverty and Depression in the Developing World

In 2003, psychiatrists Vikram Patel and Arthur Kleinman suggested that there is a correlation between poverty and depression, as well as other common mental illness, in developing countries. They argued that the “experience of insecurity and hopelessness, rapid social change and the risks of violence and physical ill-health” explain why impoverished people are so vulnerable to mental illnesses such as depression.

In the United States, as of 2011, 30.9 percent of people in poverty are depressed. While this isn’t a global statistic, it does illuminate the relationship between the global depression phenomenon and global stressors, such as insecurity, violence, etc. These external factors are crucial to the development of depression, but so are internal or hereditary ones; a combination of the two is what neuroscientists now believe causes the neurological disorder.

Studies of the neurology of depression center around the neurotransmitter serotonin, a chemical messenger found in the brain associated with feelings of well-being, mood regulation, memory and cognition. Neurons release serotonin into the synaptic cleft, the space in-between neurons, and receptors on adjacent neurons receive it.

Different receptors have specialized effects. The two most important serotonin receptors in depression research are 5-hydroxytryptamine receptor 1A (5HT1A) and 2A (5HT2A.) The former is associated with increased activity, while the latter is associated with decreased activity.

One theory is that depression is caused by an uneven ratio of 5HT1A to 5HT2A receptors, with an excess of 5HT2A. This is an hereditary occurrence that leaves one more prone to depression, though not necessarily depressed. If there is insecurity, violence, etc. in this person’s environment, however, he or she is likely to develop symptoms of depression.

Another theory suggests that people suffering from depression naturally produce less serotonin than those who do not. This is, again, genetic and will only ever make one vulnerable to depression; it’s most likely a combination of genetic predisposition and external influences from one’s environment that cause this mental illness.

To counteract genetic predispositions to depression, neurologists, commonly use an antidepressant medication called selective serotonin re-uptake inhibitor (SSRI) drugs. They block what is called re-uptake, a process during which neurotransmitter transporters limit the amount of a neurotransmitter – in this case serotonin – in the synaptic cleft by taking it from receptors and driving it to other areas of the brain. Blocking re-uptake increases one’s serotonin levels where it counts, in the synaptic cleft where neurons communicate.

The effects of this medication may seem counter intuitive.

“Regardless of the emotion being happy or sad it would seem SSRI drugs dampens the experienced intensity of the emotion,” said Albert Gjedde, a neuroscientist who studies antidepressant SSRI drugs. “People in treatment with SSRI dugs describe it as if the peak of their emotions are cut away.”

Drugs such as SSRIs can help people with innate biases toward depression, but until poverty and its consequences are reduced, there will always be those at risk. Neuroscientists and philanthropists must work in tandem to mitigate the effects of depression and, eventually, to annihilate it.

– Adam Kaminski

Sources: The Atlantic, ScienceNordic
Photo: Salon

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Fighting Terror with Education Investments

The Global Partnership on Education (GPE) held a “replenishment summit” on June 25, where it asked donor countries to provide funding for another four years. By disbursing billions of dollars in donations from 20 countries toward educational programs in 50 developing nations, GPE has become one of the most influential global education organizations.

As the chairwoman of GPE, former Australian Prime Minister Julia Guillard has been advancing the message that “it is enlightened self-interest to invest in education.” Her argument ahead of the summit has been that whoever is interested in promoting economic growth and reducing extremism should start by building classrooms and training teachers.

“Ms. Guillard says the abductions of schoolgirls in Nigeria by Boko Haram militants should act as an alarm bell for the threat of extremism and also a catalyst for protecting education.” It is “the subject of such dedicated assault by terrorists and extremists shows the potency and importance of education in such communities,” she says.

However, skepticism is still in the air as to how much impact educational programs are having on reducing extremism and terrorist threats. Moreover, the question remains as to why industrialized nations should dedicate part of their budgets toward educating children in developing nations.

Guillard argues that organizations like GPE can really make a long-term difference and that it cannot be expected that change will happen overnight. Additionally, she asserts that it cannot be expected that donor countries and organizations like GPE bear all the weight of educating children in developing countries. It is imperative for recipient nations to step up their game, she says. This is not only about just allocating funding for the public schooling system. Guilliard states that each country should be an active participant in the development and implementation of the various educational programs.

In this realm, it can be said that the summit was a success. The $22.85 billion raised from donor nations also comes with a commitment by recipient nations to increase their own investment in public education.

While there have been many missed promises when it comes to global public education, one of them being the 2015 Millennium Development Goals, the latest GPE summit promised and delivered a new round of funding for public educations. Now it is about the implementation of adequate measures and programs.

– Sahar Abi Hassan

Sources: BBC News 1, BBC News 2 Photo: VIP Properties

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Bahrain Expels Human Rights Official

bahrain
Bahrain’s government, which until now has maintained good relations with the United States despite being accused of widespread human rights violations over the past three years, has expelled U.S. Assistant Secretary of the State for Democracy, Human Rights and Labor Tom Malinowski from the nation. Bahrain’s expulsion came after Malinowski’s recent meeting with the opposition group, Al Wefaq. The group is fighting for more representation for the Shiite majority in Bahrain’s politics.

The ministry claimed that Malinowski “met with a particular party to the detriment of other interlocutors,” and deemed the meeting as interference with the nation’s internal affairs. Over the past few years, the Bahrain government has used extreme forces to inhibit protests against the Sunni royal family, including beating and jailing dissidents and calling in help from the Saudi Arabian army. Nevertheless, Malinowski attributes his expulsion to the government’s attempt at “undermining dialogue,” and urges opposition groups to continue toward reconciliation.

Scheduled to last for three days, Malinowski’s stay in Bahrain has been cut short thanks to his removal. While he is still on their grounds, he will not be meeting with government officials. Though Malinowski’s stance may seem surprising to some, his previous experience may shed further light.

Malinowski, who served as the director for Human Rights Watch’s Washington, D.C. branch, wrote a dispatch in 2012 titled “Bahrain: Prison Island,” in which he highlighted many of the crackdowns on Arab Spring protests. “Police torture and abuse have simply moved from police stations to the alleyways and back lots of Shiite villages,” he wrote. “Though their convictions were based on nothing more than the content of their speeches and participation in meetings and rallies challenging the monarchy.”

The visit, which was coordinated in advance and was meant to strengthen ties between the two countries, has “deeply concerned” the United States government. Noting these recent actions are “inconsistent” with their previous relationship, the United States insists the Bahraini government was “well aware” that the U.S. met with all officially-recognized political societies, including Al Wefaq. Nevertheless, their decision to expel the Assistant Secretary remains adamant, causing many to question the future of the two countries’ relationship.

– Nick Magnanti

Sources: Think Progress, Yahoo News, ABC News
Photo: El Venezolano