Archive for category: Global Poverty

Key articles and information on global poverty.

Corruption: One of the Main Causes of Poverty in Congo

Causes of Poverty in Congo

Despite its vast material wealth, the Democratic Republic of the Congo has long been a very poor nation. Beneath its surface lies about $24 trillion in minerals, but this treasure has so far done nothing to alleviate poverty in this country. Half of the country’s population lives below the poverty line, living on less than $1 a day, especially those in rural communities. There is no single reason, but there are several causes of poverty in Congo that can be identified.

In rural areas, there has often been a lack of investment in basic infrastructure, such as roads, making transportation costs high. Farming methods are often antiquated and inefficient. Finally, there is a general lack of investment on the part of the government and the private sector in rural Congo.

Disease has always been one of the biggest causes of poverty in Congo. There were about 6.7 million reported cases of malaria in 2009, which is especially deadly to children. Cholera outbreaks are frequent. HIV/AIDS affects 5.3 percent of Congolese. Congo’s healthcare system is anemic, with hospitals often understaffed and underequipped.

The mining industry in Congo is particularly corrupt and is one of the largest causes of poverty in Congo. The precious metals mined in the Congo are necessary for a lot of technology taken for granted in the west: smartphones, computers, etc. Many foreign investors in the mining sector end up signing billion-dollar contracts with parties funding armed paramilitary groups, who siphoned some $185 million in 2008 from mining deals. The Congolese army is also dependent on funding from valuable minerals.

There has been some recent pushback against corruption in the Congolese mining industry. #Standwithcongo was launched by activist JD Steir with Robin Wright of House of Cards fame to get mining companies to disclose owners of the offshore shell companies involved with these mining deals.

Additionally, the Congolese army has been successful in pushing back the rebel M23 faction, creating peace in the region and eliminating at least one of the factions that profits from the corrupt mining industry.
The United States has not been silent on the matter either  The U.S. Financial Reform Act, also known as Dodd-Frank, requires companies whose products contain certain minerals to disclose whether or not those minerals came from the Congo, and show what steps they took to ensure such trade was not financing armed groups.  The Department of State has cooperated with Congo’s government and mining sector to establish supply chains for conflict-free minerals being mined in the eastern part of the country.
The causes of poverty in Congo are myriad, but there have been signs of improvement, thanks in part to the actions of the United States, unlikely activists and Congo’s own desire to see a new day.

– Andrew Revord
Photo: Flickr

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Protect Drought Vital to End Hunger in Uganda

Hunger in UgandaLocated between South Sudan and the Democratic Republic of Congo, while also struggling against the Lord’s Resistance Army, hunger in Uganda is a major issue that the country, as well as 800,000 refugees, are facing every day. Uganda as a whole produces more food than it consumes, but because of the prevalence of poverty in the country, many of its 39 million people cannot afford to buy all of the food they need.

Only 4 percent of households in Uganda have had food security over the past six years. This is related to the food shortages and destitute diets that have also come from dealing with climate change, urbanization, the inconsistencies of Ugandan policies and poor public financing.

Hunger in Uganda has also been caused by the lack of water. A growing population has led to stresses on water and sanitation services. 24 million people in rural areas do not have access to water, which has increased the incidence of water-related diseases such as diarrhea and dysentery. Each week, 30,000 deaths are caused by unsafe water.

The lack of food has led to malnutrition among children, including refugees. It has been estimated that 33 percent of children under five are enduring chronic undernourishment and stunted growth. Only one in three children actually have food to eat during the day, while stunting affects 29 percent of children and rises to 40 percent in certain areas and among refugees.

Organizations like Action Against Hunger have made efforts to help Uganda. They focus on nutrition, health and care practices, and have helped 148,420 people. They have been able to reach some of the most vulnerable children in refugee settlements and treat life-threatening malnutrition. Action Against Hunger has helped strengthen the local capacity while training locals to be able to provide treatment. They have plans to help prevent malnutrition as well as to gather more information on malnutrition in order to prevent it in the future.

The World Food Programme also helps Uganda by providing cash and food assistance to people in need. They have also set up the “cash/food-for-work” program to ensure there is food during the lean seasons. This program helps communities build tree farms, orchards, irrigation systems, water ponds and dams to help them better endure droughts.

While the poverty rate in Uganda has declined from 31 to 19.7 percent, the fact that the population is still growing means that the number of poor people has not decreased. To combat this, the work the aforementioned groups are doing is vital to help Ugandans become self-sufficient in growing food and end hunger in Uganda.

– Chavez Spicer

Photo: Flickr

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Education in Dominica: The Fight for Accessibility

Education in DominicaEducation in Dominica is continuing to improve. The country is a part of the Organisation of Eastern Caribbean States (OECS), which has contributed to the success of education. The OECS 2012-2021 Education Sector provided a plan for the education in Dominica and other countries and “recognizes the importance of improving education as a part of the solution to improving social and economic development in the region.”

However, there are challenges outlined in the OECS Education Sector plan. Inadequacies in access are greatest at the pre-primary and tertiary levels. Net enrollment at the pre-primary level for the region averages just over 66 percent. Fewer than 15 percent of graduates from secondary school are able to access higher education, while fewer than 10 percent of adults in the OECS have completed tertiary level education.

Inequality has become more obvious and there are increasing concerns that in some areas, the most disadvantaged economically and socially may not be enjoying the benefits of the education system. Gender disparities in performance are evident at all levels of the school system, and there is declining participation of males at the upper secondary and tertiary levels.

These challenges are obstacles that many countries face, including Dominica. However, education in Dominica has improved over the years. The World Bank data shows an improvement in the gross enrollment rate from 95 percent in 1986 to 116 percent in 2015. One reason for the rise in education enrollment is because of the Global Partnership for Education’s grant of $2 million in 2014.

The objectives of this grant have contributed to “quality learning standards, improvement of teacher practices, strengthening primary school leadership and accountability and initiated the strengthening of sector monitoring and evaluation capacity.” By continuing to focus on these areas, education in Dominica can continue its upward trend. Additional attention on making education accessible to all is another key part of addressing these issues.

– Ashley Howard

Photo: Flickr

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Hunger in New Caledonia Tied to Unemployment Rates

New Caledonia is a group of islands situated in the South Pacific Ocean. Although it is a part of French territory, it enjoys a considerable degree of autonomy. In recent years, unrest in the region has negatively impacted the economy, leading to increased poverty and hunger in New Caledonia.

Current Realities

Dissatisfaction among various factions due to societal disparities intensified after the 2021 referendum, leading to significant turmoil and widespread protests. This unrest had a detrimental effect on the economy, pushing New Caledonia to the brink of bankruptcy. Consequently, many people have lost their jobs, businesses have shut down and incomes have declined. As a result, poverty levels have increased and food insecurity has become a pressing issue throughout the region, especially among the Indigenous Kanak population. 

  • The poverty rate in the region is approximately 19.1%, with a significantly higher rate of 45.8% in rural areas. 
  • The national unemployment rate stands at 11.2%, but it reaches around 38% for the Indigenous population.  
  • Undernourishment is prevalent in 6% of the population.

Drivers of Hunger and Poverty

The pandemic and the political turmoil are the main drivers for rising poverty, unemployment and hunger in New Caledonia, severely impacting the economy and the population in various ways.

  1. Nickel Mining– Protests, riots and blockades have led to a reduced workforce, disruptions in supply chains, and the destruction of equipment and infrastructure, resulting in financial losses and unemployment.
  2. Tourism Decline– COVID-19, along with the subsequent riots and protests, has negatively impacted the tourism industry, leading to a significant decline in the number of tourists and the loss of thousands of jobs.
  3. Reduced Investment– The security situation has led to a lack of trust among foreign companies, which has decreased foreign investments. Consequently, the GDP has dropped by 20% since early 2024. 
  4. Dependence on France- New Caledonia receives substantial aid from France, accounting for 15% of its GDP. However, this assistance hinders the government from implementing its own policies to reduce poverty among the vulnerable population. 
  5. Destruction of Businesses- The riots and violence have damaged infrastructure and businesses, resulting in the loss of investments and income for the common man in the region. 
  6. High cost of living– The high cost of living in the region has adversely impacted the population, with the Kanaks suffering the most. This situation has further exacerbated poverty and hunger among the vulnerable population in New Caledonia.

Path to Progress

Despite the challenges, the local government, international organizations and the French government are working to improve the situation in the region. The French government has provided an additional $136 million to help revive local businesses. Additionally, the United Nations is supporting the Indigenous population in their fight for equal rights and opportunities. With these combined efforts, there is hope for a better future for the vulnerable population in New Caledonia. 

– Maria Waleed

Photo: Wikemedia
Updated: December 17, 2024

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How to Help Honduras and Keep Its Citizens Safe

How to Help HondurasThe term “refugee crisis” has the implication that a group of individuals is subject to persecution, war and/or systemic violence. In essence, a refugee is someone that is catalyzed by fear to leave his or her homeland. So when a United Nations official surveyed the scope of Honduran migrants outside a shelter in Tapachula, Mexico in 2016 and stated “It’s really a refugee crisis,” he called on the world to answer the question “Why are Hondurans afraid to return home?”

In 2014, the number of unaccompanied Honduran minors apprehended in their attempts to cross the U.S. border increased from 7,000 to 17,500. It might be hard to imagine why children might place themselves in such a vulnerable, dangerous circumstance, but this stark rise in migrants is easier to comprehend given that over 60 percent of Hondurans live below the poverty line. On top of this, unemployment is only increasing—currently resting at 7.4 percent, and projected to rise over the next few years. Families often send their children to find income outside the nation’s borders; statistics show that Honduran immigrants remit 26 percent of their income back to their home countries, second only to Guatemala.

However, youth migration is an issue that extends far beyond average familial income. As of this year, Honduras is recognized as the most violent country in the world, outside of all current war zones. Last year, the murder rate was down to 60 murders per 100,000 people, which—though still the deadliest rate in the world—has dropped drastically since 2012. This is largely due to gang violence that recruits young and influences close to every aspect of Honduran life, from early education onward. As jobs remain inaccessible, gangs and organized crime only expand. So the question we should be asking is how to help Honduras and end this cycle of crime and poverty.

One method for how to help Honduras is by donating and/or serving with Food for the Poor (FFP), an international relief and development organization based in the United States. Since 1999, in the catastrophic aftermath of Hurricane Mitch, FFP has worked to improve the conditions in Honduras in terms of agriculture, community development, housing, enterprise and youth/orphan support. In this time, the growing organization has developed close to 15,000 housing units and 15 schools, mobilizing the Honduran youth to achieve literacy and access primary education.

The largest of their 91 working projects is the La Esperanza Community Development Project, which worked in five phases to build homes and create working communities that thrive off of their capacity to be self-sufficient, with access to their own gardens, water and school/community centers. Essentially, these communities are created as safe spaces for the nation’s desolately underprivileged—preventing the vulnerable from seeking “protection” by way of violence.

One could also find out how to help Honduras by researching HELP Honduras, an organization partnered with Rotary Clubs, The Rotary Foundation and AYO (Alternativas y Opportunidades) to improve the system of education in this Latin American nation.

Standing for Health, Education and Literacy Program, HELP Honduras works to supply students with uniforms, books and school supplies in order to support their education and keep withdrawal rates down. Though education is free, the issue in Honduras is not affording school, but affording everything that a student requires. Though one may have access to a classroom, it costs on average $180 for a primary school student to enter that classroom with the essentials necessary to learn. This is out of the price range of many Honduran families, and stands in the way of the next generation becoming educated, independent adults.

On top of this, HELP Honduras sponsors certain students in Tegucigalpa, Santa Barbara and Danli. Each student is granted the necessary elements to attend school, including uniforms, shoes, books and supplies, as well as a tutor to help with any subject in which the student is struggling. This helps keep the child motivated and wanting to return.

Parents of these children are also benefitting from this sponsorship, each obligated to attend parenting courses where they take part in preventive health, vocational and educational programs. One program in particular, Economic Opportunities Training, teaches mothers the basics of market strategy, mobilizing them to become an entrepreneur and/or improve their already existing business. Not only will children feel safe and confident within the confines of their school, they will feel secure at home as well, fostering a cycle of self-confidence that will breed bright and prosperous futures.

Programs like these exist as investments in the future of Latin America and attack the roots of global poverty. Contributing your time or money to aid these programs is a huge help to them and the people of Honduras.

– Briana Fernald

Photo: Flickr

Access to Secondary Schooling Key to Education in Paraguay

Education in ParaguayParaguay is a country located in South America, situated between the northern border of Argentina and the southern border of Brazil. Education in Paraguay is very structurally similar to that of the United States, in which children advance through primary and secondary school before moving on to advanced studies at a university or vocational training facility. Similar to the United States, the education system starts children in primary school at age six, and the children complete grades one through 12.

According to the World Factbook, 95 percent of males and 94 percent of females in Paraguay are defined as being literate. However, literacy is typically not achieved until the final years of primary education, which is normally completed at age 14.

Classbase has reported that education in Paraguay is unique due to the government’s historical political instability. In 2014, the government regained stability after a period of disorganization following the impeachment of President Fernando Lugo.

Following primary school, children have the choice to enter secondary school, as it is not required by law. However, a lot of families typically do not have the money to afford continuing education, and so the families often send their children across the border to Chile. It can be a large hassle for such families to send their children far away in order to attend school, especially if the families do not have the funds to allow their children to learn locally.

Tertiary schools, which are universities or vocational training facilities, exist in Paraguay, but, as mentioned, many children do not have the opportunity to advance greatly in the education system. A reformed education system would potentially greatly help the children Paraguay be able to learn a variety of useful skills, which will help them be able to attend university or vocational training.

– Emily Santora

Photo: Flickr

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BRAC: Eliminating Extreme Poverty Through Innovation

Eliminating Extreme Poverty Through InnovationThe Bangladesh Rehabilitation Assistance Committee (BRAC) was formed in 1972 by Sir Fazle Hasan Abed. BRAC, the world’s largest NGO, is an excellent example of a nonprofit bringing transformation through strong business practices.

Today, BRAC reaches around 138 million poor spread over nine countries in Asia and Africa, and employs 125,000 people, primarily women. And yet, BRAC has remained quite unknown in the West. BRAC U.S. and BRAC U.K. were launched to spread awareness about its approach and mobilize its resources as well as raise funds for its fight to eliminate extreme poverty through innovation. It has created self-employment opportunity for 8.5 million people, educated over 3.8 million children from 66,000 of its schools, and given microloans to six million borrowers. Its approach is, “small is beautiful but big is necessary.”

What They Do

The following goals are listed on the official BRAC website:

  1. Improve well-being and resilience through disaster management and climate change, health, nutrition, water, sanitation and hygiene.
  2. Assist economic development and social protection – agriculture and food security, microfinance, enterprises and investment, targeting the ultra-poor.
  3. Expand horizons of education, migration and skills development.
  4. Empower communities, women and disadvantaged, human rights and legal aid, with urban development.
  5. Support programs for governance, management and capacity building.

Social Innovation Lab (SIL)

BRAC believes in eliminating extreme poverty through innovation. SIL was formed to explore the best practices and ways of creating impact at scale and incubating new ideas. It began in the 1980s, when diarrhea was the biggest killer of children under the age of five. BRAC successfully made the most illiterate population in the world adopt oral rehydration therapy, teaching poor households to prepare homemade saline. Now, they continue to work toward bringing family planning to people despite social opposition.

BRAC has accomplished quite a lot through frugal innovation, making Bangladesh the fastest-growing mobile money market with 13 million users, and creating large-scale financial inclusion.

Current Efforts

Hundreds of Rohingya children are living in Cox’s Bazaar on the border of Bangladesh. BRAC has made initiatives to ensure prevention of widespread diseases, by providing 167,000 individuals with oral cholera vaccinations. 153,000 health services through 60 mobile health camps and 10 fixed camps have been provided to treat fever, pneumonia and diarrhea. BRAC is providing access to safe water, sanitation, child-friendly spaces and critical supplies.

The “poverty graduation” scheme offers a way of eliminating extreme poverty through innovation by tackling poverty as well as providing social confidence. Women are given an asset, usually livestock. In return, they must look after the animal, their children must be sent to school and they must save a small amount of income, along with a tiny stipend to cover their food needs. A BRAC member visits them regularly to assess improvements for two years, after which they are expected to “graduate,” or break the chain of ultra-poverty.

In the next five years, BRAC plans to empower 20 million people to gain access to resources. They are working toward completely eliminating extreme poverty through innovation by 2020 with integrated efforts.

– Tripti Sinha

Photo: Flickr

After Maria: Building a New Tech Infrastructure in Puerto Rico

New Tech InfrastructureThe recent ravaging of the island territory of Puerto Rico, first by Hurricane Irma, then by Maria, is a reminder of the sheer destructive mayhem Mother Nature can wield—but also of the ability of individuals, businesses and governments across the globe to come together to solve problems and help those in need. Although the storms undoubtedly caused major problems, they also offered opportunities for change and innovation.

One such possibility is the chance to build a new tech infrastructure from the ground up. Many U.S. companies are stepping up to join in on this once-in-a-lifetime opportunity.

Under the direction of Elon Musk, Tesla is sending its Powerpack battery system to Puerto Rico to help homes, businesses, hospitals and schools use their existing solar panels by providing energy storage. Google’s parent company, Alphabet, is sending special balloons to help restore cell phone connectivity in areas where the infrastructure is down. Meanwhile, Facebook pledged $1.5 million in relief money to various charities and sent employees to Puerto Rico to work toward restoring internet connectivity to the island.

In an interview with USA Today, Puerto Rican Governor Ricardo Rosselló spoke about talking with Elon Musk. He affirmed that they were looking into batteries and solar panels as a long-term solution to transform energy delivery and bring down costs for the island.

The new tech infrastructure is direly needed. As The New York Times notes, the Puerto Rico Electric Power Authority (PREPA) was already $9 billion in debt before the two hurricanes hit. PREPA declared itself insolvent in 2014 and ceased making debt payments, forcing a debt restructuring deal that has yet to be finalized. To make matters worse, PREPA has been at the center of a corruption scandal, making it harder to unify the public behind its mission and importance.

But, according to Puerto Rico resident Gabriel Rodriguez, tech company aid to the island has been very polarizing. In his words, “People are really for it or against it. There are the people that say that of course it’s going to be a great improvement for us… but then there’s a lot of people that are very mad because they say we are selling the island to outside interests.”

Ina Fried of Axios speculates that the American companies currently volunteering side-by-side on the island will eventually compete with each other for larger-scale rebuilding contracts. The heavy lifting won’t come free, and this is likely the source of some Puerto Rican worries.

One of the challenges of rebuilding will be to do it in a way that respects Puerto Ricans’ autonomy and independent identity. These fears of selling out to foreign interests are similar to the ones that inspired the Cuban Revolution in the 1950s that toppled Fulgencio Batista and put Fidel Castro in power.

While the two situations are not politically analogous, the tales of government corruption and fears of foreign influence are, and those U.S. companies interested in helping would do well to approach the situation with sensitivity. There is room for all parties to share in the profits and rewards that a new tech infrastructure in Puerto Rico can yield.

– Chuck Hasenauer

Photo: Flickr

Addressing the Main Causes of Poverty in Montenegro

Causes of Poverty in Montenegro

A Mediterranean nation located in the Balkan peninsula, Montenegro is a country with an average poverty rate of approximately 8.6 percent. The economy in the nation relies heavily upon energy industries, but it is considered to be one of the most inefficient users of energy and water. Although the country integrated into the European Union (EU) in 2012, which promoted the introduction of more rural and agricultural development and maintenance, environmental and economic strife still remain rampant.

Here are three main causes of poverty in Montenegro:

  1. Political and Economic Crises
    Wars in Montenegro, coupled with international isolation, has led to a decline in production levels in recent years. Between 1987 and 1992, the collapse of the Yugoslav federation directly implicated the nation in a series of conflicts—namely, the Bosnian and Serbian wars—that held serious ramifications for the economic opportunities in the country. As a direct product of conflict in the region, the GDP as of 2002 was approximately 63 percent of its 1989 rate. Reciprocally, unemployment skyrocketed by approximately 50 percent, and exports reduced by 65 percent. Although some improvement has been made since the start of the war, the long-lasting ramifications of the conflict linger as an ever-present reminder of the impact that the war had on the region.
  2. Energy Inefficiency
    Because it remains highly dependent on energy intensive industries, increasing resource prices contribute to the main causes of poverty in Montenegro. Due to a lack of information, awareness and financial means, the nation has not been able to make the transition toward renewable, efficient energy sources. As a result, they have continued to rely upon extremely expensive resources, limiting their capability to expand their economic resources.
  3. Ethnic Differentiation
    A 2005 study conducted by Christian Bodewig and Akshay Sethi shows that the majority of those living in poverty in Montenegro are within the Roma population. Both income and non-income determinants, such as social isolation, limited access to education and “othering,” contribute tremendously to this socioeconomic disparity.

The nation has recently been progressing in terms of its poverty reduction. Developing the success of their original Montenegro Institutional Development and Agriculture Strengthening Project (MIDAS), for example, the World Bank provided Montenegro with $3.5 million to assist the restoration of rural areas.

Still, though, the causes of poverty in Montenegro maintain a hold over the country’s economic development, limiting the opportunities, growth and progress that the country can undergo. It therefore is necessary for world powers to provide assistance to Montenegro to help combat some of these significantly influential contributors to poverty in order to ensure that the problems stemming from them do not metastasize.

– Emily Chazen

Photo: Flickr

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Philanthropic Powerhouse Warren Buffett on Poverty Reduction

Warren Buffett

Warren Buffett is known for being on the top of the world’s most wealthy list. Today, he sits at number two on Forbes 2017 Billionaires List and runs the multinational Berkshire Hathaway conglomerate. While he may be most recognizable for his wealth, Buffett is a proven philanthropic powerhouse as well. He utilizes his status around the globe as a platform to promote his philanthropic movements and build support for global aid.

In 2006, Warren Buffett made the “the biggest single gift anyone ever gave anybody for anything” when he donated $30 billion to the Bill and Melinda Gates Foundation. In 2010, Buffett coupled with Bill Gates to build The Giving Pledge, which asks wealthy individuals around the world to join them in “publicly dedicating the majority of their wealth to philanthropy.”

This year, Buffett made his largest summer donation yet of nearly $3.2 billion in one day. Buffett is one of the most philanthropic individuals in the United States and his reputation amongst the wealthy serves to boost the motivation of others to donate.

On October 3, 2017, Warren Buffett spoke about the national poverty epidemic at the Purpose Built Communities conference in Omaha. At the meeting, Buffett called on the “government and philanthropists (to) do more to ensure that poverty doesn’t remain a barrier success.”

Buffett’s call to action is not lost on the global poverty front. As part of the 1 percent of the world that owns more than the other 99 percent, Buffett’s words reverberate around the world. His recognition of the importance of government and philanthropist involvement is something that should spark action worldwide, leading to global changes in poverty reduction efforts.

Reducing poverty is a multi-faceted, multi-dimensional and cross-sectional goal that requires the support of all able members of societies. Buffett’s involvement with the Gates Foundation and The Giving Pledge exemplify his understanding of the collective power. Buffett has pledged to give more than 99 percent of his fortune to charity and has garnered similar pledges from over 170 donors in 21 countries.

With the promises of other wealthy individuals, Gates and Buffett have collected funds for humanitarian efforts around the world. His partnership with Bill Gates augments the publicity for their mutual missions to combat global issues such as poverty, hunger and human rights.

By funding and creating charity-focused endeavors, Buffett has proven his status as a powerhouse in the philanthropy sector. Buffett’s notoriety and wealth bring attention to his actions and put a global spotlight on his philanthropic efforts, to garner support for poverty reduction and encourage global humanitarian movements.

– Eliza Gresh

Photo: Flickr