Archive for category: Global Poverty

Key articles and information on global poverty.

Top 10 Facts About Living Conditions in Myanmar

Top 10 Facts about Living Conditions in Myanmar
Myanmar is currently in the middle of a challenging transition to democracy amid ongoing human rights violations. With 32 percent of the population living below the poverty line, Myanmar is considered one of the most underdeveloped countries in Southeast Asia. Keep reading to learn the top 10 facts about living conditions in Myanmar.

Top 10 Facts About Living Conditions in Myanmar

  1. Energy. As of 2017, over 25 percent of all households in Myanmar use solar energy to power their homes. From 2015 to 2017 the number of households with electricity access — solar and otherwise — increased by 1.1 million, which accounts for about 2 percent of the population. While this is certainly a step in the right direction, to this day, more than 60 percent of households in villages are still not connected to the public grid.
  2. Water. Most areas of Myanmar have abundant rainfall, but some residents still need to transport water from the source to where they live, increasing the risk of contamination. In the Rakhine state, the floods from the 2015 cyclone have damaged access to clean water for 78 percent of villages. However, efforts by PLAN International to clean ponds and build rainwater catchment systems are underway to provide relief.
  3. Education. Literacy rates in Myanmar are now promisingly high at 80 to 90 percent depending on the state. The gender gaps in literacy have also closed and high school enrollment rates have doubled over the last decade. In the same time period, middle school enrollment rates have also risen 20 percent.
  4. Employment. The number of people working in Myanmar has been on the rise, as well as the percentage of households earning income from non-agricultural work. In particular, the number of women employed in Myanmar has increased by over 5 percent in the last decade.
  5. Housing. Housing materials vary greatly due to accessibility to resources, geographic and socioeconomic reasons. According to the World Bank, “eight in 10 households had a quality roof in 2017, compared to four in ten in 2005.” Newly found accessibility to quality roofing materials like corrugated iron has lead to this increase.
  6. Freedom of Expression. When Myanmar’s newly elected government, the National League for Democracy (NLD), took office in 2016 hopes were high for long-awaited law reform. However, under the NLD freedom of expression is still being regularly repressed and restricted with large numbers of peaceful activists, critics and journalists being prosecuted.
  7. Technology. Smartphones have seen the most rapid growth of any consumer good in the past decade and are the most commonly used technology in Myanmar. The majority of households in Myanmar do not own or use a computer, with 10.9 percent being by far the highest ownership rate (in the city of Yangon).
  8. Sanitation. When it comes to sanitation there are again large differences between rural and city areas when it comes to accessibility. For example, only half of all homes in Rakhine have a toilet whereas, in the rest of the country, 94 percent of people have a toilet in their home. PLAN International helps by providing basic sanitation needs and teaching the importance of things like washing hands to stop the spread of diseases.
  9. Refugees. Since 2017, mass killings of Rohingya Muslims in Rakhine have forced over 900,000 Rohingya to flee human rights violations. However, these refugees are now trapped in refugee camps in Bangladesh facing monsoons and flooding seasonally. Out of all Rohingya refugees, 55 percent are children. Due to intensely cramped living conditions, diseases spread rapidly and sanitation facilities are lacking. Sexual violence also remains to be a pressing issue in the camps, in addition to psychosocial suffering. U.N. agencies and humanitarian organizations are providing assistance with food, water and shelter. Additionally, organizations provide psychosocial aid, health and sanitation services when possible.
  10. Child Protection. Due to economic problems and violent government instability, there are currently over 460,000 children in need of humanitarian assistance. Organizations like UNICEF and Save the Children are working to provide psychosocial support as well as other nutrition, and sanitation based support to thousands of children. UNICEF’s WASH team is working to provide clean water, access to toilets as well as promoting the importance of handwashing in order to help with basic health and sanitation needs. Access to these three aspects (clean water, toilets and hygiene services) all together help support one another to alleviate the risk of disease in struggling areas.

The current situation in Myanmar is very complicated and clearly presents some challenges to mend the gaps between living conditions in rural versus city areas.

– Amy Dickens
Photo: Flickr

How Farm Africa is Helping in the Fight Against Poverty

How Farm Africa is Helping in the Fight Against Poverty
Farm Africa is a nonprofit organization that is reducing poverty in Eastern Africa by helping farmers “grow more, sell more, and sell for more”. The organization focuses on three aspects: agriculture, environment and business.

Agriculture

Agriculture in Eastern Africa accounts for 70 percent of the population’s income. Farm Africa is enabling farmers to maximize the use of their land by sharing its expertise in growing the most appropriate crops for the region in regards to climate and soil composition, as well as the most profitable crops. They also help to provide the necessary tools in order to achieve a successful harvest year after year.

Environment

In an interview with Aid For Africa, Bridget Carle, a graduate student working in South Africa, said, “Agricultural researchers have found that increased carbon dioxide in the atmosphere can affect crop production…But now we are learning that higher levels of CO2 are likely to reduce levels of essential nutrients like zinc, iron and Vitamin A, as well as the protein content of crops.” Farm Africa is aware of the changing environment and uses its knowledge to encourage African farmers to use sustainable farming practices. The organization also helps farmers develop holistic approaches to their farming, taking special care to not overuse resources.

In Ethiopia, Farm Africa is currently working with citizens to employ sustainable practices to preserve their forests and increase their economy. One such example is teaching community members to produce honey, weave baskets and make bamboo furniture in order to generate income rather than chopping down trees so they can sell timber.

Business

Forbes Africa wrote an article showing how investing in irrigation has seen positive outcomes for Ethiopia’s economy. This article includes a section about how Farm Africa, the Ethiopian Bureau of Agriculture and local extension officers have come together in a joint effort to “help women and young people adopt small-scale irrigation…[as]part of an initiative to increase their incomes and improve their nutrition.” This project came close to reaching 6,400 women and landless people.

There are three parts to Farm Africa’s approach to business; business development, finance and trade. The organization helps Africa’s rural entrepreneurs expand their businesses and give them the tools to be successful over the long term. Farm Africa encourages the growth of co-operatives so that farmers may sell their products in bulk.

Farm Africa has 170 employees across four countries in Eastern Africa: Tanzania, Kenya, Ethiopia and Uganda. The organization works on the ground with farmers, helping them develop sustainable farming practices and yield higher quality crops year after year. They are teaching community members to be environmentally conscious as they give them different business tools to help them grow their businesses and thrive in larger markets. By focusing on agriculture, the environment and business, Farm Africa is helping to reduce poverty in Eastern Africa.

– CJ Sternfels
Photo: Flickr

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Ending Female Genital Mutilation in Sierra Leone

FGM Sierra Leon
Female Genital Mutilation in Sierra Leone has recently become a topic of conversation both nationally and internationally since it is one of the 28 African countries that still partake in the practice. The World Health Organization officially described female genital mutilation (FGM) as “procedures that intentionally alter or cause injury to the female genital organs for non-medical reasons.” The procedure usually involves some kind of cutting or removing of the genital flesh of a female as part of the initiation into womanhood. Several organizations are spreading awareness of the devastating results of this barbaric procedure and working to end this practice once and for all.

Why FGM Occurs?

The reasons for the procedure of FGM depend on the culture, they but usually fall into four categories: psychosexual, as a way to control female sexuality and maintain virginity; sociological and cultural, the practice is viewed as a vital tradition to the cultural heritage; hygiene and aesthetics, as some communities view the external female genitalia as unappealing and unclean; and finally, socio-economic factors since FGM is often a pre-requisite for marriage and the right to inherit.

The procedure is often performed with penknives, razors or even cut glass, and can result in severe pain, bleeding, cysts, infections, complications in childbirth, infertility and in extreme cases, death. The initiation can also often result in psychological issues from the trauma and pain of the event as well as from the inability to experience sexual pleasure thereafter. An estimated 200 million women and girls have undergone the procedure worldwide, with a staggering 90 percent in Sierra Leone.

Challenges in Stopping the Practice

The practice is ingrained into the culture and holds high social significance. In fact, 69 percent of women and 46 percent of men aged 15-49 believe in the continuation of the practice. FGM has been viewed as an initiation into womanhood and has been an important cultural touchstone for the people of Sierra Leone. This makes it difficult to stop the practice, as many see it as socially embarrassing and being unworthy of marriage if they have not received the initiation.

Another challenge faced to end FGM is that many Soweis, who usually perform the initiation, refuse to end the practice as they see it as a threat to the traditions of the Bondo society. They also receive large amounts of money for the initiations and do not want to lose this source of income.

Organizations Working to End FGM

The Amazonian Initiative Movement (AIM) is a non-governmental organization aiming to end the procedure. It was founded in 2002 by Rugiatu Turay, a victim of FGM herself, and many other women while living in a refugee camp in Guinea during the Sierra Leon’s civil war. AIM activists visit villages and speak with the women who perform this procedure and try to convince them to give it up. They have convinced 700 practitioners from 111 villages to stop practicing FGM.

AIM believes that one of the most efficient ways to begin the ending of practice is to teach women how to read and write since most of the procedures are performed by illiterate elder women. Providing them with the knowledge to read and write will open opportunities for them to pursue alternate means of income and reduce their interest in performing FGM.

Another non-governmental organization, AMNet, is fighting against the old fashioned initiation rite. AMNet works with Soweis, the senior female community members, to change the social stigmas surrounding women in regards to FGM in local communities. The group has high profile supporters like Sia Koroma, the first lady of Sierra Leone, which helps bring attention to their cause.

Legislation is Needed

Non-governmental organizations are working hard to provide knowledge on the issues surrounding FGM, but formal legislation against the practice will further help end the societal pressures and stigmas that encourage the continuance of the initiation rite. Several countries have banned the practice, including more than 20 countries in Africa and most Western European countries. Ending the practice has also become a part of the United Nations 2030 sustainable development agenda.

Female Genital Mutilation in Sierra Leone is not yet illegal, though progress is being made to eradicate the procedure. The country recently ratified the African Unions 2003 Maputo Protocol on Women’s Rights, stating in Article Five of the protocol that female genital mutilation should be prohibited by the government in order to finally end the procedure.

Female Genital Mutilation in Sierra Leone has been a huge cultural touchstone for many communities. The procedure, though, is highly dangerous for females in many areas of their mental and physical health. Many of the activists fighting to end the procedure recognize that immediate ending of the practice will not work, but could lead to underground practices, as the social and cultural significance of the initiation is far too important to many communities. Instead, they hope to use education to spread awareness about the harms of the practice, hopefully, changing opinions over time with respect to cultural significance.

– Mary Spindler
Photo: Flickr

Increasing Access to Vaccines in Egypt

Vaccines in Egypt
For the past 20 years, the Centers for Disease Control and Prevention (CDC) of the United States has assisted the Egyptian government by providing aid to fight vaccine-preventable diseases. Efforts such as strengthening immunization services, responding to public health emergencies and conducting surveillance studies and surveys have contributed to the reduction of these fatal diseases. The CDC has provided financial support for diseases that can be prevented by vaccines in Egypt through the World Health Organization (WHO), which focuses on polio, measles and rubella elimination.

Impeding Access to Vaccines

In 2006, vaccinations in Egypt eradicated wild poliovirus transmissions. The government continues to monitor the environment for wild polioviruses in a program involving the CDC and other organizations. However, despite the efforts of these organizations, many of those living in poverty in Egypt still do not have access to the vaccination. This presents a problem in the eradication of vaccine-preventable diseases since disease such as the wild poliovirus could return.

According to WHO, full immunization coverage for the poorest to the wealthiest populations showed national levels in Egypt to be under 20 percent. Studies show that the high rates of unemployment and low literacy rates contribute to the increase in the population living in poverty. This results in many individuals being unaware of the healthcare and medical aid they are entitled to and leads to the low proportions of immunization within the population.

Many children are also part of the child labor industry. Working interferes with their school attendance and education, resulting in low literacy rates, which perpetuate the ongoing poverty cycle. Without awareness of health and safety maintenance, those who live under the poverty line may not have the necessary knowledge to access vaccinations in Egypt.

Improvements Made in Vaccinations

The Expanded Program of Immunization (EPI) in Egypt focuses on saving lives by controlling vaccine-preventable diseases such as measles, diphtheria, tetanus, polio and whooping cough through constant surveillance and an increase in vaccine coverage. Despite the extreme decline of cases of vaccine-preventable diseases in the past decades, outbreaks of measles in 2013 and 2014 suggests that full immunization coverage is not yet supported for all populations of Egypt.

However, despite 60 percent of the population living under the poverty line and a large number of people not receiving immunizations, resources and efforts towards improving access to vaccinations in Egypt have increased. WHO claims that only 24 cases of measles, 5.9 cases of mumps and 34 cases of rubella were reported in 2017. A drastic decrease compared to decades of consistent outbreaks in the thousands. Part of the progress could be a result of the fact that 94 percent of children aged 12-23 had received measles vaccinations in 2017. Furthermore, in 2008-2009, there was a significant increase in vaccines in Egypt for measles, mumps and rubella, with 95 percent of children having been vaccinated, an increase of 53 percent from 2007.

The Future of Disease Control

The Ministry of Health and Population (MoHP) works to promote the funding of the Haemophilus influenza vaccine as a part of the PENTA vaccine, a type of vaccine designed to protect the receiver from multiple diseases. The PENTA vaccine will help fight bacterial pneumonia, a communicable disease that contributes to high mortality rates. With WHO supporting the MoHP, the push for programs that fight viral hepatitis is stronger as more resources are being devoted to procuring equipment, allocating funding and the constant surveillance of vaccine-preventable disease outbreaks.

Efforts to control vaccine-preventable diseases are allocating funding to provide coverage for those who may not be able to afford it. Now, increased focus on spreading awareness to the population about the importance and availability of vaccines in Egypt is needed in order to increase coverage and finally eradicate some of the vaccine-preventable diseases in the country.

– Aria Ma
Photo: Flickr

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Israel: The Start Up Nation

Start Up Nation 
Out of the ashes of World War II rose a small, independent nation situated on the Mediterranean Sea. Since 1948, the nation of Israel has become a great leader in innovation and technology. In just 70 years, Israeli settlers have transformed the country’s desert landscape into lush green gardens by high-tech agricultural methods. With a population just over 8.5 million, Israel has earned the nickname “Start-Up Nation” which rose to popularity in 2009 after Israeli author Dan Senor’s book.

MASHAV Providing Humanitarian Aid

Since 1958, Israel has been committed to providing humanitarian aid through the Foreign Ministry’s Center for International Cooperation and provides more assistance to more than 140 countries. MASHAV helps alleviate hunger, disease and poverty by providing technology and training to places all across the globe including Cambodia, Guatemala, Albania and Ethiopia.

Since 1959, MASHAV has been sending Israeli eye-doctors to countries throughout the developing world to help combat preventable blindness and ocular disease. It has also introduced Israeli drip-irrigation systems to sub-Saharan African countries to aid in providing water to more regions, especially during times of drought. MASHAV has also started a project called Indo-Israel Agriculture Project, which teaches farmers throughout India new agricultural methods.

The Pears Program for Global Innovation

Israel has made it a priority to assist developing countries through entrepreneurial efforts. The country has “the largest number of startups per capita in the world, 1 startup for every 1,400 people.” One example is a company called The Pears Program for Global Innovation, which aids people affected by poverty by supporting Israeli innovators and companies that create technology-based, financially sustainable solutions.

The Pears Program is responsible for several innovations that could have a lasting impact on the world. For example, through its support to the Mosteq company, Israel has found a way to sterilize mosquitos, which could significantly lower, and eventually, end the spread of diseases like malaria. The company, Soapy, has invented smart capsules containing soap and water to facilitate hygiene in countries where sanitation is an issue or there is little access to clean water.

Ideas for the Future

According to Technion International, “Israel has more companies listed on the NASDAQ than Europe, Japan, Korea, India, and China combined.” What is the secret that makes Israel so ingenious and resourceful? “At the heart of this combined impulse is an instinctive understanding that the challenge facing every developed country […] is to become an idea factory, which includes both generating ideas at home and taking advantage of ideas generated elsewhere,” says Senor in his book “Start-Up Nation.”  Furthermore, Israel values education, which helps to foster innovation.

Idea generation has become the backbone of Israeli society. It has allowed the country to thrive in a desert ecosystem, deliver aid to thousands of countries and defend itself from outside attacks. According to the New York Times, “Years of dealing with terrorist attacks, combined with an advanced medical technology sector, have made Israel one of the nimblest countries in disaster relief.” Other humanitarian programs in Israel are continuing efforts outside and inside the country, like Ziv Hospital, which has treated more than 2,000 Syrian refugees who have crossed the border seeking urgent medical attention.

The Israeli Innovation Authority estimates that, over the next decade, there will be a shortage of 10,000 engineers and programmers in the high-tech sector. Although this gap allows for future economic growth, it is a big concern for policymakers. Who will fill these gaps? Will Israel continue to be the Start-Up Nation of the World? Hopefully, Israel’s commitment to entrepreneurship in developing countries will come in handy and create more jobs within the country for migrant workers.

– Grace Klein

Photo: Flickr

Sustainable Agriculture in Nigeria

sustainable agriculture in Nigeria
The country of Nigeria is located on the Gulf of Guinea on the western side of Africa. Two major rivers run through the country. The Benue River is located on the east and it flows into the western river, the Niger River. With two large rivers flowing through their sub-Sharan climate, one might presume that agriculture would be a major source of income for the country. However, this is yet not the case.

Agriculture in Nigeria

Agriculture and, more recently, sustainable agriculture in Nigeria is an industry that employs most of the country’s population. The number of people employed in this sector is around 70 percent. However, it only makes up 22 percent of the nation’s GDP. This is indicated mostly through Nigeria’s unemployment rate that sits at 70 percent. Things may change soon. Various initiatives, speeches, articles and organizations in Nigeria all point to a bright future for sustainable agriculture in Nigeria and especially the future for the younger generations working for it.

Ade Adefeko’s Speech

In 2018, Ade Adefeko gave a speech to the Franco-Nigerian Chamber of Commerce and Industry, an economic body set-up to aid business relations between ex-French colonies and France. Adefeko, who is currently Head of Corporate and Government Relations at OLAM Nigeria, outlined many important factors that hinder the growth of sustainable agriculture in Nigeria. He pointed especially to a lack of government funding. The funding has lowered down to just 1 percent of the total budget in 2018 from previously recorded 5 percent in 2008.

He also blames the lack of mechanization and techniques. Techniques are especially important for sustainable agriculture. Access to irrigation system is very hard for small farmers in Nigeria. This is rather odd having in mind that there is plenty of water from Nigeria’s rivers. To simplify his solution for the problem in two parts, Ade Adefeko would like to see a streamlined approach of land and water distribution from the government.

OLAM’s Role in Sustainable Agriculture in Nigeria

He would also like to see his employer OLAM, an international agricultural organization that supports sustainable agriculture in Nigeria and all around the globe, take even more active role in aiding Nigeria’s government and people. He would like to see OLAM continue to help the government store any excess crop yield. The other part of his suggestion is educating farmers so that they are more productive and can sell their crops more efficiently. Ade Adefeko and OLAM are not the only ones who see education of the population as the best way to understand the importance of sustainable agriculture in Nigeria and to provide solutions for this issue.

YISA and its Mission

The Youth Initiative for Sustainable Agriculture (YISA) Nigeria is taking a very active role in helping men, women, children and senior citizens to become better acquainted with sustainable agriculture. YISA’s mission is to take sustainable agriculture to the next step and to make it profitable. The organization’s goal is to make students of agriculture in Nigeria business savvy. They also want to rebrand agriculture and make it a popular and productive vocation. YISA runs five major programs that push this agenda in Nigeria. These programmes are designed to educate, corrects, encourage, inspire and motivate young people.

The push for sustainable Agriculture in Nigeria may eventually find itself at the precipice of an important decision. Should the people use the new found power for the country, keeping it home and small, or do they give it completely to large agriculture firms? Both of these choices have positives and negatives. The important thing is that sustainable agriculture in Nigeria can become so successful that it can make that choice for itself one day.

– Nicholas Anthony DeMarco
Photo: Flickr

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Top 10 Facts About Poverty in Hong Kong


Hong Kong is one of the most densely populated and financially significant regions on Earth, but it also has a massive issue with income inequality. Roughly one-fifth of Hong Kong’s residents are living in poverty as of November 2018, with monthly income for those people falling below the poverty line equaling $700 a month. The average cost of living for a 900 square foot apartment plus utilities in a normal area for two equals $3,885 a month. In the text below, the top 10 facts about poverty in Hong Kong are presented.

Top 10 Facts About Poverty in Hong Kong

  1. The population is aging. With 7.4 million residents, Hong Kong is home to many people of older generations. The combination of changing technologies and markets has impacted those who served in more blue-collar jobs in years past. This has a dramatic effect on how they are able to pay for housing, food and basic necessities when white collar jobs are taking over the city. The government has provided handouts that have helped many in poverty, but what truly needs to be done is proper job reeducation and reassignment.
  2. Cohabitating with elderly parents is becoming necessary. As many young adults seek to explore their career paths and the vast megalopolis of the Pearl River Delta, they realize they don’t have the means to expand. In order to keep parents from falling below the poverty line and to give their future children exceptional opportunities, many young couples are forced to stay with their parents. However, this is only a temporary solution to the long-term issue of how to deal with economic struggles. Thankfully, the local and national governments are considering how to reengage the elderly through the use of their accumulated knowledge.
  3. Monthly rent is 70 percent of the median household income for half of Hong Kong. With the average monthly income of those below the poverty line not reaching the 70 percent statistic to pay for livable housing, a dark housing market has appeared. Illegal housing has entered roughly one in four structures in Hong Kong. In order to combat the rise of illegal housing and unlivable structures, the government of China must provide affordable and government subsidized housing rather than solely catering to the wealthy.
  4. Wages have not risen to meet the rise in housing cost. The average unskilled worker has to work 12-hours per day to afford a 100 square foot coffin home. In order to meet the needs of its citizens, Hong Kong must increase welfare payments in the form of Comprehensive Social Security Assistance (CSSA). CSSA must become more than just a safety net for basic needs and should fully encompass the needs of those in poverty in Hong Kong through food assistance and other means.
  5. Women are disproportionately affected by poverty. China has historically undervalued women. The one-child policy preferred boys and illegal sex-selective abortions were utilized. Hong Kong’s 2017 census stated that roughly 451,700 women fell below the poverty line, where only 80,800 men did. In order to fully engage society and bring skilled workers into the workforce, education and protections must be put in place for women and young girls.
  6. The poor are unfairly stigmatized. Those in poverty in Hong Kong are seen as being lazy for the position they’ve fallen into. This attitude speaks to a larger ambivalent attitude towards meaning and wealth in Hong Kong, as status and titles have unfortunately taken over humility and humanity. In order to combat this harsh attitude, people of Hong Kong must embrace the people in their society that make them uncomfortable.
  7. Cyber cafes have become havens for the poor. Hong Kongers who fall below the poverty line and cannot afford to house have taken to spending their days and nights at cyber cafes. For a low cost of entry, cyber cafes provide shelter and internet access between jobs for the poor.
  8. Hong Kong’s bureaucracy is one of the causes of the problem. The issues the homeless face could be solved, but government division has slowed progress. Separate departments cover similar issues but have no central governing body. Experts suggest that examples from New York’s consolidated Department of Homeless Services should be followed.
  9. Nongovernmental organizations could help Hong Kong. Government leasing of properties occurs in Hong Kong but leasing from nongovernmental organizations could greatly assist those in need. Government support of organizations who control these properties would allow for the poor and homeless to be taken care of effectively by trained professionals.
  10. The wealth distribution is uneven. The top 10 percent in Hong Kong earn roughly 44 times more than the lowest 10 percent who fall far below the top monthly earnings. This income divide is further pushed by wealthy business interests who influence politicians. This directly damages the ability of the poor and homeless to receive any assistance.

While poverty is a massive issue in Hong Kong, individuals and governing bodies can no longer turn a blind eye. For the sake of those in need, the country and its politicians must take notice of the damaged parts of their society, as it is shown in these top 10 facts about poverty in Hong Kong.

– Zach Margolis

Photo: Flickr

Top 10 Facts About Living Conditions in Cyprus

Top 10 Facts About Living Conditions in Cyprus
Cyprus, a Mediterranean island with a population of 1.2 million, has endured several different occupations by major powers since the birth of the civilization. Beginning with the Assyrian, Egyptian, Persian and Roman Empires, Cyprus was then taken by the French Venetians and then the Ottoman Empire (from 1571 to 1878). The United Kingdom was the last imperial body to control Cyprus, from which Cyprus gained independence in 1960. In the article below, the top 10 facts about living conditions will be presented and will try to show how the people in this country live and what impacts their lives.

Top 10 Facts About Living Conditions in Cyprus

  1. Since 1974, Cyprus has been politically and ethnically divided into two territories- Northern and Southern Cyprus. Northern Cyprus is a de facto state of Turkey and populated primarily by Turkish Cypriots, while Southern Cyprus governs itself and is populated primarily by Grecian Cypriots. While Turkey recognizes Northern Cyprus as a Turkish territory, the rest of the world considers Northern Cyprus a part of the Republic of Cyprus, along with Southern Cyprus. Both Greek and Turkey are official languages in Cyprus. This division mostly impacts people in the country and reunification talks have been held in order to improve the situation.
  2. Cyprus joined the European Union (EU) in 2004 and has benefited politically and economically since its admission. Living conditions in Cyprus improved as the nation gained access to European treaties and European Union law to resolve internal unrest, and also the increased security that comes with EU membership. Today, more than half of Cyprus’ trade happens within the EU, expanding its markets farther and with more ease than that would be possible without the membership status.
  3. Cyprus has one of the fastest growing economies in the European Union despite the economic crisis of 2013. The nation’s economy grew 3.9 percent in 2017 and is predicted to continue growing in 2019 in the wake of expanding employment and a flourishing tourism industry.
  4. Poverty in Cyprus is notoriously hard to track, but it is presumed that the number of people at risk of poverty has been steadily decreasing over the last few years, starting from 28.9 percent in 2015, 27.6 percent in 2016 and to 25.2 percent in 2017. Improvement in poverty rates is largely due to continued economic growth, coupled with a rise in income in the nation.
  5. Along with a reduction in poverty, unemployment rates continue to fall in Cyprus. From about 15 percent in 2015, the unemployment rate fell to 13 percent in 2016 and further to 11 percent in 2017. In 2018, the unemployment rate fell to 8.2 percent, among the lowest in the EU.
  6. Global Finance Magazine ranked Cyprus 32nd in its 2019 list of the world’s safest countries. This ranks the country higher than the United Kingdom (38th), Japan (43rd) and the United States (65th).
  7. Education completion rates in Cyprus have been maintained at high rates. School completion rates hover between 97 and 98 percent, except for the year Cyprus divided in 1974 when the education completion rate was 64 percent. The political and social unease of this time is to blame for this dip in education completion rates, as the number went right back up the following year.
  8. Matching its high education completion rates, Cyprus’ literacy rate sits at around 99 percent, ranking the country among the best in the world regarding this issue.
  9. The life expectancy in Cyprus is around 80.5 years, which is comparable to neighboring countries Malta (81.8 years) and Greece (81.04 years). This rate is higher than the one in the United States (78.69 years).
  10. Health care in Cyprus is comparable to health systems in other developed nations. Split into public and private sectors, health care in Cyprus is generally free or very inexpensive for citizens and persons from EU nations. Emergency treatment is free for citizens, and EU nationals are eligible for free health insurance at public hospitals, which are located in all major cities.

While living conditions in Cyprus are already good, life in the nation could be improved by the reunification of the North and South. By some estimates, reunification could improve Cyprus’ GDP by as much as $5.7 billion in only five years, as Southern Cyprus would be less vulnerable to the economic problems of Greece and also gain access to Turkish markets. If the two territories gain free access to each other, the economy will benefit as a whole, improving further the Cypriotic economy and living conditions in Cyprus as a whole.

– Jillian Baxter
Photo: Flickr

Importance of Microfinance & Social Entrepreneurship in Guyana

Guyana microfinance, social entrepreneurship
Guyana is a small South American nation with a population just over 700,000. The country is sparsely populated, with the majority of the population identifying as East-Indian or Afro-Guyanese. According to the World Bank, Guyana is an upper/middle-income country, with a GDP of around $3.6 billion. Guyana’s economy is primarily agricultural, with over 60 percent being comprised of six main exports: sugar, shrimp, gold, bauxite, rice and timber. One way to improve the economy, though, could be through increased levels of entrepreneurship in Guyana.

Guyanese Economic Growth Status

Recently, the fractured Guyanese government fell in a no-confidence vote, endangering already fragile race relations. Economic growth has slowed in the past five years, one-third of the population lives below the poverty line and youth unemployment stands at a staggering 21.6 percent. Many Guyanese agricultural enterprises lack credit history and find it difficult to use livestock as collateral on secured loans, making for higher credit risk.

In addition, over 80 percent of Guyanese citizens with tertiary education reside abroad. The emigration of highly educated citizens may pose another threat, as economic growth is often predicated on national education levels. These underlying issues have contributed to distressingly high youth poverty levels. How can the English-speaking South American country alleviate poverty and unemployment? The answer may lie in microfinance and social entrepreneurship.

Microfinance and Social Entrepreneurship in Guyana

In Guyana, there are several privatized financial institutions focused on micro-loans and credit access for the nation’s underbanked. These institutions are characterized as microfinance institutions, and help to provide banking and financial literacy instruction to people and small businesses who would otherwise not receive such support. The main source of income for these institutions comes from interest payments on loans. This financial support is critical for diminishing poverty and improving social mobility.

Microfinance can be significantly expanded among the young people of Guyana. The Institute of Private Enterprise Development (IPED) and the Small Business Development Finance Trust (SBDFT) are two main microfinance organizations and the primary contributors to Guyana’s microfinance sector. As of 2016, the IPED dispersed micro-loans to over 4,500 small businesses — of which only 12 percent of these borrowers were young adults.

This low proportion of youth borrowing could be significantly expanded, as roughly 46 percent of the population in Guyana is under 24 years old. Microfinance efforts have been largely successful in other parts of the world. India’s Range De has successfully reached over 18 Indian states with a 93 percent repayment rate, collateral-free.

Potential for Social Entrepreneurship

Another key element to alleviating poverty in Guyana is expanding social entrepreneurship. According to a Duke University newsletter, social entrepreneurs are defined as business innovators that “play the role of change agents in the social sector.” Focusing loan and microfinance efforts on young entrepreneurs with a social focus will help to decrease youth unemployment rates while simultaneously lowering overall poverty.

Not only would educated citizens choose to remain in Guyana, but lucrative business prospects may attract non-natives to the country. Incubators and credit advisory services are two financial inclusion tactics that have taken root in Africa and South Asia. Tiwale, a Malawi-based startup focused on empowering female education, serves as an excellent role-model for similar enterprises in Guyana. These market-based solutions would help to alleviate poverty and simultaneously stimulate the economy.

Spurring Progress

Credit access and social enterprise efforts have already begun to transpire within the nation. IPED’s recent expansion will help to spur financial access for Guyana’s underbanked. Technological growth and introduction in Guyana will also augment social enterprises and allow for increased scalability. If the microfinance and social entrepreneurship sectors are able to flourish in Guyana, there is a bright future for the nation’s youth.

– Alexander Aguilera
Photo: Flickr

Credit Access in Mauritius

Credit Access in Mauritius
Mauritius, the island nation in the Indian Ocean, has undergone a financial transformation since the early 2000s, promoted by the government in order to catalyze the economy of the country. This has impacted credit access in Mauritius in a big way. Since 2000, the country has experienced losses connected to its truncated access to EU sugar and textile markets and is facing steeper competition from China and other East Asian exports.

Mauritius Economy Compared to Other Countries

This loss of preferential treatment and high budget deficit spells a slight struggle for Mauritius to retain its middle-income standing. Currently, the country ranks 65th in the world on the Human Development Index, and in 2014, it was the second highest country in Africa on the development list. Mauritius’ Gross National Income (GNI) per capita is at $9,770 and the Organization for Economic Cooperation and Development (OECD) reports that the country performs better than the average compared with other sub-Saharan African and middle-income countries as far as information ability, involvement of the trade community, advance rulings, appeal procedures and internal border agency cooperation.

By continuing to focus on the area of governance and impartiality, Mauritius can increase its trade volumes and lower trade costs. A strengthened customs system and transparent ethics policy could be the final stretch to reach the Prime Minister’s dream of a high-income country.

Government Initiatives

The Prime Minister of Mauritius, Pravind Jugnauth, has predicted a revamping of the economy and expresses hope for Mauritius moving into the future. Key reforms introduced in the 2018/2019 budget helped bring Mauritius its present position. The Minister also touched on the government’s dedication to raising the country to high-income level country, thereby funneling benefits to every citizen. Already this commitment can be seen in the growth of Gross Domestic Product (GDP) and financial services, estimated to continue at 4.1 percent in 2019.

The government introduced changes to the legislative system in order to prevent money laundering and corrupt business. In his speech, the Prime Minister assured that the country is conducting a national risk assessment of terrorism financing.

Credit Access in Mauritius

A report from the Global Findex as of 2017 records 68.5 percent of Mauritians making or receiving digital payments, as well as 48.3 percent using credit or debit cards. The percentage of adults above the age of 15 who borrowed from a financial institution in Mauritius was at 22.9 percent, much higher than the sub-Saharan average of 8.4 percent, in comparison. Outstanding housing loans are increasing in availability as well, and almost 90 percent of adults were able to obtain access to financial institution accounts, banks or otherwise.

Enjoying past growth of upwards of 6 percent in the 1990s and continued economic performance, Mauritius is still dealing with the changes in the EU Sugar Protocol and falling sugar prices. As of 2006, the government incentivized seafood production in order to shift toward exporting fish instead of sugar, as well as a list of Integrated Resort Schemes offering luxury villas to foreigners. Diversifying the market and leveling the competition will surely launch Mauritius ahead in the economic playing field. The GDP by sector reveals the sugar sector operates at a modest 4.3 percent in 2007, led by government services at 15 percent, wholesale at 11, finance and real estate at 14.2 and many other diverse trade sectors.

Unfortunately, drastic adjustments meant one-third of employees for the sugar sector were redundant. The lost sugar income has still not been completely replaced, but the government is focused on diversification and increasing exports in the coming years.

In addition to experiencing an incredible 195 percent wealth growth from 2007 to 2017, credit access in Mauritius continues to increase due to strong ownership rights, a resilient economy, and ease of investment. Hopefully, the country’s example spearheads a movement throughout Asia for easier credit access and stable banks and economy.

– Hannah Peterson
Photo: Flickr