Archive for category: Global Poverty

Key articles and information on global poverty.

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Causes of Poverty in Kuwait Often Overlooked

Causes of Poverty in Kuwait

Despite being one of the wealthiest countries in the region, many of the citizens of Kuwait live in squalor and poverty, while their countrymen revel in the wealth of the nation. While Kuwaiti government officials deny the existence of extreme poverty in their country, and accurate data on the extent of its poverty is hard to come by, accounts coming from within the country help indicate what the causes of poverty in Kuwait are.

Kuwait has a GDP per capita of over $70,000, indicating that the roughly four million inhabitants should have plenty of wealth to support themselves, even in countries with costs of living much higher than Kuwait’s. Kuwait is also one of the most charitable countries in the Middle East and the world as a whole, according to the Charities Aid Foundation World Giving Index, with millions of dollars committed to charitable causes every year. Given these two factors, it would not be unreasonable to presume that the standard of living in Kuwait must be quite good.

However, most of this wealth appears to be consolidated in the top several percent of Kuwaiti citizens. Kuwait is a nation whose wealth is built on the back of its natural oil reserves, which comprises nearly the entirety of Kuwait’s industry. The large dips in oil prices over the past decade have begun to pressure the Kuwaiti economy, as 2015 marked its first budget deficit in decades.

There is undeniable wealth present in the country, which manifests itself in areas such as Kuwait’s excellent public infrastructure; nearly the entire country lives in an urban area and has easy access to clean water, sanitation and medicine. Yet the nation only employs just over 75 percent of its citizens, which leaves nearly one in four workers without an income to support their families. Though unemployment is just one of the causes of poverty in Kuwait, other causes are pointed to by Kuwaiti citizens themselves.

Writing in a column for the Kuwaiti Times, Thaar Al-Rasheedi talks about the divide between the wealthy and the poor, which he believes to include some 90 percent of Kuwaiti citizens. He points to the over a half million Kuwaiti who live in rented houses, and another 100,000 people who have applied for a house from the government but have yet to receive their housing. The reason for this, Al-Rasheedi points out, are the exorbitant prices on everything in Kuwait. “Salaries are high but, on the other hand, there is hardly a citizen who still has a single dinar by the 15th of each month,” Al-Rasheedi writes.

He goes on to note that many Kuwaiti are forced into “intentional poverty” for half of every month to be able to afford enough food to survive until their next paycheck. Meanwhile, the oil tycoons live comfortably off their millions and tell the rest of the world that there are no poor people in Kuwait.

Though the poor of Kuwait seem to be largely glossed over, at least by the Kuwaiti government, citizens of the nation feel it is a very real issue, and the causes of poverty in Kuwait stem largely from the extreme top-heaviness of wealth distribution in the nation.

– Erik Halberg

Photo: Flickr

How to Combat Poverty in Tanzania

poverty in TanzaniaAfrican countries tend to be surrounded by the stigma of poverty and underdevelopment. However, most people are oblivious to the fact that the region is, in fact, rich in natural resources. Tanzania falls into this category. The East African nation has no dearth of wildlife, land or minerals. Despite being endowed with such advantageous conditions, the question of poverty in Tanzania arises time and time again.

About 12 million people, or 28.2 percent of the population, are living in basic needs poverty, 80 percent of which reside in rural areas. The workforce is concentrated in the agriculture industry, which employs 75 percent of Tanzanian workers. The land can only sustain a certain number of commercial farmers, leaving the majority to make ends meet via subsistence farming.

The internal production of agricultural goods is not being supported. Cereals and other grains are often imported from international markets instead of being purchased from domestic producers. Shifting production back to the country will not only employ many people, but will also stimulate the GDP.

The underlying reason for poverty in Tanzania can be attributed to a lack of education. Focusing on education for all will reduce family sizes and expand career options, especially for women. Women in Tanzania have approximately five children, according to the World Bank. 42 percent of children face malnutrition because their parents have to allot their resources according to larger family sizes. Without enough money to feed their kids, sending them school is not an option. Education programs and family planning services have both been helping to curb the population growth in Tanzania; they also give women the opportunity to provide a supplemental income with the extra time they have.

Concentrating on education from a young age is vital for alleviating poverty in Tanzania. Multiple doors of opportunity will open up for them, and they will not be trapped into subsistence farming. Training and education will make Tanzanians adept and allow them to be competitive in the international economy. When fewer people are dependent on agriculture for their livelihood, farmers will have more available arable land and more opportunities to pursue commercial farming.

Unlike most African nations, Tanzania did not suffer through internal strife. This gives them a leg up and increases the expectations for improvement. Tackling education should be the top priority of the government in their domestic policy.

– Tanvi Wattal

Photo: Flickr

Two Major Causes of Poverty in Georgia

Causes of Poverty in Georgia
Georgia is a unique country in that it is at a crossroads where Europe and Asia meet. Though rich in history and culture, the country has an unemployment rate of 12 percent, a registered poverty rate of about 11 percent and a relative poverty rate of about 20 percent.

Georgia won its independence from the Soviet Union in 1991, but with that independence came social and economic challenges that continue today. A poverty analysis done by the Asian Development Bank outlines 17 trends in poverty, but there are two in particular that are clear causes of poverty in Georgia.

The first is agricultural stagnation. Georgia is a country with vast natural diversity and conditions that lead to agriculture employing almost 50 percent of the population, yet they only account for 10 percent of the GDP. This discrepancy can be attributed to fragmentation of land, poor connectivity to markets, weak support services and degraded rural infrastructure.

The economic growth that Georgia has recorded is largely unrelated to agricultural development; rather, it is due to foreign investment focus on real estate and banking, and as Rural Poverty Portal states, “…the downward trend in agrarian production has been accompanied by a growing incidence of rural poverty.”

The second cause stems from the first, which is limited access to and low quality of social services. The nearly 50 percent of the population that is employed by an unsuccessful agricultural industry and those unemployed altogether do not have access to quality social services. Education to gain skills for other developing industries in Georgia’s economy is incredibly basic and underfunded. In fact, the poverty analysis cites a high dropout rate. Healthcare is also rendered almost completely unaffordable, with nearly 65 percent of expenses being paid for out of pocket. These two social services alone can really limit socioeconomic mobility for the poor of the nation, thus ineffective social services are one of the causes of poverty in Georgia.

 

Poverty in Georgia

 

The two causes discussed are not isolated; rather, they are intertwined with other major causes. However, they are among the most discussed and relevant of the causes of poverty in an otherwise rich and diverse nation.

For the issue of agricultural stagnation, a shift in both domestic and foreign investment could make a critical impact. The Georgian National Investment Agency highlights different ways that groups can invest, like aquaculture, greenhouses and food processing.

As for limited social services, the government of the country has recently invested in and developed better healthcare opportunities through the new Primary Health Care Development Strategy 2016–2023, which was developed within the context of the 2014–2020 State Concept of Healthcare System of Georgia for Universal Health Care and Quality Control for the Protection of Patients’ Rights. These developments are happening because of raised awareness that brought the United Nations, International Monetary Fund, World Health Organization and others into the mix. Therefore, by raising awareness and starting discussions, the public services of Georgia can continue to improve and reduce these and other causes of poverty in Georgia further.

Photo: Flickr

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How to Help People in Portugal

How to Help People in Portugal

Like many countries across the world, Portugal was one of the nations in Europe significantly impacted by the financial crisis in the late 2000s. By 2009, the country began facing high levels of debt and a rising unemployment rate that, to this day, still weighs on the nation’s economy. While the Portuguese government attempts to understand how to help people in Portugal, much more needs to be done to address the country’s economic conditions.

Poverty and Unemployment
Since the beginning of the European debt crisis in 2009, Portugal has been affected by high levels of poverty, large instances of labor market segmentation and high unemployment rates.

In 2010, 18 percent of the population lived under the national poverty line, with certain groups affected more than others, such as women, children, ethnic minorities and the elderly. The incidence of poverty varies quite drastically between regions in Portugal. For instance, many areas in the northern region of the country have larger pockets of poverty due to the restructuring of the textile industry, while Lisbon may not see such a large impact, as its GDP nears the European average.

After joining the European Economic Community in 1986, Portugal experienced strong growth, decreasing interest rates and declining unemployment. However, with the economic problems faced in 2009, unemployment grew to over 10 percent by 2010, reaching a 24-year high.

By 2017, Portugal’s unemployment rate of 9.8 percent still lands the nation above the OECD average of 5.9 percent, yet the fall since 2010 has been quicker than the average across OECD countries. The main catalyst of the unemployment issues stretch beyond the recent debt crisis and are rooted in the country’s structural weaknesses.

Increasing the number of available jobs is one of the answers to how to help people in Portugal, as the country ranks in the bottom third of performers across OECD countries. The number of jobs has been decreasing in the nation since 2006 and is a major cause of the high levels of unemployment and poverty across the nation.

Portugal also needs to focus on improving the quality and inclusiveness of jobs. To improve the living conditions for Portuguese families, there must be a focus on improving earnings quality by increasing wages and reducing earning segmentation.

Certain groups are more likely to be employed on a temporary basis or through atypical contracts, which creates a barrier to inclusiveness in Portugal. This creates labor market segmentation and insecurity that also contributes to unemployment in the country.

Demographics
In addition to the effects on unemployment, the segmentation has also had a large impact on the country’s demographics and immigration of refugees. Portugal’s population is expected to shrink by 30 percent between 2015 and 2100 due to low fertility rates, higher life expectancy and migration outflows. With the old-age dependency ratio expecting to more than double over the same period, the economy will suffer from low future earnings.

The government believes they have a solution for how to help people in Portugal instead of simply allowing the statistic to unfold. The economic strategy focuses on increasing the number of asylum seekers and resettled refugees welcomed into the country. By attracting more people to settle in Portugal, the idea is that openness will boost economic activity while also counteracting an aging population and falling birthrate.

While the people of Portugal support immigration, the labor market conditions, lack of immigration historically and segmentation within society discourage refugees from resettling in Portugal. Therefore, to help those looking for refuge, integration and employment prospects must be considered in policy formation.

Fortunately, there is also support beyond the political sector. Abou Ras was himself a refugee who resettled in Portugal and has formed the association “Families of Refugees” with other asylum seekers to help migrants adjust to life in the country.

With Portugal taking a proactive approach to the inflow of refugees, the country could benefit from its efforts in the long run. However, emphasizing the importance of improving labor market conditions is one of the best ways to help people in Portugal. This will not only improve the current living conditions of the population, but also improve the prospects for all those to come.

– Tess Hinteregger

Photo: Flickr

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The Hidden Face of Poverty in Brunei

The Hidden Face of Poverty in BruneiBrunei Darussalam, the Abode of Peace, is a small Southeast Asian country with a population of approximately 350,000 people. Data on poverty in Brunei is scarce, but it shows that roughly five percent of the country’s population lives in poverty. Nevertheless, there is another face of poverty in the small nation: the poverty of freedom and opportunity.

Brunei is an Islamic Sultanate Kingdom ruled by a monarch in whom rests the executive, legislative and judicial powers of the State. The reigning monarch, Hassanal Bolkiah, is the 29th ruler in an unbroken line of succession for the past six centuries. The country’s citizenry has allowed the monarchical rule to survive for this long because of two reasons: welfare benefits and the respect for social and political order enforced by the state.

Economic poverty in Brunei is not a big problem because it is a rich nation and the third largest exporter of oil and gas, which allows the subjects of the King to enjoy a high per capita income of nearly $24,000 annually. The human development index (HDI) ranks it 30, which falls in a very high human development category, over countries such as Malta, Qatar and Cyprus, which rank 33. Brunei also ranks well in the gender development index (GDI). According to the 2015 HDI report, the female HDI value for Brunei is 0.854 which is a GDI value of 0.986, placing it into Group 1 with countries such as Norway, Australia and Singapore.

However, poverty in Brunei exists in the sense that there are reported problems of smaller economic inequalities and the lack of freedom and opportunity. Development across some areas is uneven and opportunities for younger generations to participate actively in the State affairs through education, employment and promotions on merit are less than encouraging. Brunei has no representative institutions due to the total control of the King’s authoritarian regime. Analysts believe that the State has been able to maintain harmony due to the vast wealth at its disposal for welfare activities.

The less diversified nature of economy, dependency on the oil and gas industry and the spread of ideas due to the rise of Internet and globalization among the younger generation do seem to pose a challenge for the current socioeconomic and political model. Economic and political measures in Brunei must be taken to address the emergent issue of poverty of opportunity and freedom and, simultaneously, sustain growth and prosperity.

– Aslam Kakar

Photo: Flickr

How to Help People in Mauritania

How to Help People in MauritaniaAs a vast but very sparsely populated nation of less than 4 million, Mauritania is a country that rarely finds itself in the media spotlight. However, the nation has all of the classic signs of a developing nation: over half the population lives in or around the country’s capital of Nouakchott, over two-thirds of Mauritanians are younger than 15 years of age, less than half of the nation has access to improved sanitation facilities and only about half of the population can read and write. The nation’s dire situation raises the question of how to help people in Mauritania.

The first and perhaps most urgent situation when understanding how to help people in Mauritania is that of Mauritania’s food security crisis. According to the World Food Programme (WFP), Mauritania depends on cereal imports to cover over 70 percent of its needs for the country’s 3.8 million people, and nearly 10 percent of the nation’s children under the age of five suffer from acute malnutrition. With 80 percent of the country’s landscape a desert, and less than 4 percent of it arable, this is a difficult issue to solve.

As for the economy, Mauritania’s main exports include fish, as well as raw minerals such as iron, copper and gold ore. While these resources are in constant demand across the world, their prices are very rarely, if ever, constant. Fluctuations in the global market leave the nation’s economy completely unprotected from unpredictable and uncontrollable economic factors that directly impact Mauritania itself.

The final factor in studying how to help people in Mauritania is that of a very difficult to solve socioeconomic issue found in many other developing nations, though rarely on the same scale: slavery. In fact, Mauritania did not fully abolish slavery until as late as 2007. In Mauritania today, over 1 percent of the population lives in modern slavery. While at first glance that figure may seem rather low, that equates to roughly 40,000 people experiencing life in slavery, a proportion that has granted Mauritania the alarmingly high rank of 7th out of 167 countries in slavery prevalence.

Therefore, the best answer to the question of how to help people in Mauritania can be split into two categories: short-term and long-term solutions. In the short term, donations to NGOs should focus on the most pressing issues Mauritania faces, such as food and water security. Perhaps the most well-established and wide-reaching NGO in this area is the World Food Programme, which operates in 80 countries. Specifically, in Mauritania, the WFP focuses on food security, nutrition and school meal provisions, as well as adaptation to climate change.

In the long term, countries and large corporations must do more to provide foreign direct investment into practices more sustainable than mineral and oil extraction. In particular, foreign finance agencies would be wise to invest in providing solar panels across the country, as well as train locals in their setup, maintenance, and repair in order to provide valuable skills and a reliable income to local tradesmen. In fact, a 15-megawatt solar panel facility has been established in Nouakchott, providing over 10,000 homes with a clean source of electricity. Establishing similar plants across the country will ensure access to electricity without damaging the local environment.

With NGOs stabilizing the present, and foreign direct investment establishing a bright future, the question of how to help people in Mauritania largely comes down to two key aspects: solving the most immediate problems while setting up an environment to avoid such issues in the future. Mauritania may face dire problems today, but is in an excellent position to implement a brighter tomorrow.

– Brad Tait

Photo: Flickr

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Why Is Kuwait Poor?

Why Is Kuwait Poor?Kuwait, a small country located in the Middle East, is a country that tends to be stereotypically characterized as stricken with poverty. A common question that is asked is, why is Kuwait poor?

But this stereotype is not necessarily true. Kuwait is indeed small, but its oil reserves have made it one of the richer countries in the region. In terms of purchasing power, Kuwait’s GDP is ranked 55th in the world by the CIA World Factbook.

Due to Kuwait’s small population size, this success directly correlates to its people’s standard of living. As of 2016, Kuwait’s GDP per capita ranked 11th in the world at $71,900. This figure is much higher than many major economies such as the United States, which ranked 20th at $57,400.

Based on these figures alone, Kuwait appears not to be a poor country, but one of the most prosperous in the world. So, why is Kuwait poor? On the international stage, it is not. When one looks further, however, key figures may legitimize that question.

What is interesting about Kuwait is that the country’s poverty rate is extremely difficult to find. Neither the World Bank, the CIA World Factbook nor UNICEF have access to it, which raises a lot of questions. Why do these trusted international organizations not have this information? Is this information being withheld, and if so, for what reason?

Based on other metrics, it is hard to see Kuwait as a stereotypical poor country. The figures mentioned above related to GDP show that the nation as a whole is seeing economic success, and an unemployment rate of 3 percent suggests that its poverty rate must be low.

Still, the lack of specific data in this area is unsettling. If Kuwait is as prosperous as it seems to be, there should be no issue in providing data relevant to its poverty rate and income distribution. In order for the world to know for certain, the international community needs this data.

So, why is Kuwait poor? It technically is not poor, but that is not necessarily the right question to be asking. By asking questions regarding Kuwait’s poverty rate, its income distribution, and the general livelihoods of its people, we can better analyze the country’s successes, its shortcomings and its opportunities for growth long into the future.

– John Mirandette

Photo: Flickr

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The Continued Struggle Against Poverty in Greenland

Inescapable Poverty: Greenland Continues to StruggleLocated between the Arctic and Atlantic Oceans is the world’s largest island, Greenland. Ironically, it is also the least populated country in the world, with about 57,728 people as of July 2016. Nevertheless, it is not safe from the problems that plague the world today. The Central Intelligence Agency reports that 16.2 percent of the population lived below the poverty line in 2015. This is a serious problem, given the country’s already small population.

Famous for its Arctic landscapes in the north and sheep farms in the south, Greenland is often a tourist destination, with tourism having grown 20 percent in 2015 and 2016.

However, what countless people do not see when they travel to Greenland is the poverty and the helplessness of individuals around the country. The signs of poverty in Greenland are the same as everywhere else. The inability to afford food and inadequate living conditions are rampant. Furthermore, Project World reports that “many people in Greenland do not have water or sanitation capabilities in their homes, particularly in rural areas, because there is no national grid to supply these services”. Additionally, climate change is affecting the daily lives of indigenous people who live in the Arctic region, as global warming causes erosion, which destroys homes and heritage sites.

Approximately 88 percent of Greenland’s population is Greenlandic Inuit, an indigenous group of people. These people rely on traditional methods of obtaining food, which mainly include fishing, hunting and gathering. The Arctic Monitoring and Assessment Program reports that unpredictable shifts in the number of animals, “travel safety in changing ice and weather conditions present serious challenges to human health and food security”.

Many people wonder what contribution they can make to alleviate this suffering. The best way to eliminate poverty is by directly donating to organizations that support financially disadvantaged individuals. Global associations like UNICEF and the International Rescue Committee all work to eliminate human suffering in the world. While the latter focuses on refugees primarily, it also provides aid to people who live in disastrous conditions.

However, donations are not the only way to improve the lives of these people. Another method is fundraising. Many of these organizations support both large and small-scale projects that raise money for the association.

There is also the opportunity to educate. Many times, people do not realize that almost everywhere, there are people who cannot afford an appropriate living space, food, water and other essential resources. By attending city council meetings, starting a conversation with neighbors, or even visiting schools and universities to inform the community about the widespread poverty in the world, a huge difference can be made.

It is important to realize that such tragic circumstances can be prevented, as long as people come together to solve the underlying problem. These different methods of support all contribute to alleviating poverty in Greenland.

– Sheharbano Jafry

Photo: Flickr

Vanuatu Poverty Rate Dependent on Natural Disaster Response

Vanuatu Poverty RateThe nation of Vanuatu is made up of a loose cluster of islands in the South Pacific. While the Vanuatu poverty rate of 12.7 percent is not nearly as severe as other Pacific countries, Vanuatu still recognizes poverty as an important issue. The latest poverty reports reveal Vanuatu’s low poverty percentiles as well as highlight the defining characteristics of the remaining people living in poverty.

Since 2006, the prevalence of food poverty across Vanuatu has been cut by over 50 percent. As little as 3.2 percent of people are now subject to food poverty. Increased intake of household produced food and high economic growth are responsible for this reduction. Only 3 percent of Vanuatu’s population is vulnerable to becoming poor. There have been slight increases in rural areas, but these numbers are not large enough to pose a threat. The severity of poverty in Vanuatu remains low as well. A 2.9 percent increase in household incomes for those living below standard lines would lift the remaining population out of poverty.

Who Are the Poor?
The Vanuatu Hardship & Poverty Report categorizes four common trends among Vanuatu’s poor:

  1. Female-headed households are most commonly connected to poverty.
  2. Poverty is significantly higher among people with low levels of education.
  3. People over 60 years old are more vulnerable to poverty.
  4. Multidimensional human poverty is higher and more severe in rural areas.

Of all the threats to development in Vanuatu, natural disasters take the lead. According to the 2016 U.N. University World Risk Report, Vanuatu is the world’s most at-risk country for natural hazards. Located along the Ring of Fire, climate threats have become normal to the Vanuatu population. Volcanic eruptions, earthquakes, tsunamis and cyclones are among the many dangers. Vanuatu currently has a disaster risk reduction policy, but receives little funding for climate change and disaster risk reduction. With harsh weather patterns and natural disasters expected to increase, it is essential that Vanuatu demonstrates strong financial management to protect its most vulnerable people and keep the Vanuatu poverty rate low.

– Emilee Wessel

Photo: Flickr

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Combating Malaria Threat Important for Poverty Alleviation

Combatting Malaria Threat Important for Poverty AlleviationDespite the progress being made in improving global healthcare, malaria still remains a pressing concern. After HIV, it is becoming one of the most ubiquitous diseases in war-torn and impoverished countries, especially in sub-Saharan Africa. The impacts of malaria can be especially debilitating for the poor. Even though the threat of malaria has decreased during the past 15 years, it still belongs to the group of 20 ‘’neglected tropical diseases’’.

Malaria is a disease caused by the Plasmodium parasite that is secreted by the bite of the female Anopheles mosquito. Anopheles mosquitos often lay their eggs in stagnant water, after which these eggs become adult mosquitos. The disease is prevalent in areas with poor sanitation and hygiene facilities, making it especially common and potentially dangerous in refugee camps.

The WHO estimated in 2015 that nearly half the world’s population is vulnerable to malaria, with a significant proportion concentrated mainly in sub-Saharan African countries. In 2015 alone, there were more than 222 million cases of malaria recorded, with a death toll of nearly 492,000. It was discovered that there is a link between climate change and the threat of malaria and other diseases. Global warming is resulting in an increase in global temperatures, which creates a more favorable environment for Anopheles mosquitos.

The Bill and Melinda Gates Foundation, a renowned organization spearheading development funding and global health initiatives, has spoken about the U.S. budget cuts to foreign aid and healthcare. Achieving further progress in countering the malaria threat will be hindered by these cuts. Their analysis estimated that this decrease would lead to an additional 5 million deaths by 2030.

Fortunately, UNICEF noted that between 2000 and 2005, the malaria mortality rate has actually fallen by around 37 percent globally. Artemisinin-based therapies have been quite successful in reducing the harmful impacts of Plasmodium falciparum, one of the most deadly forms of malaria.

Many of the countries most affected by malaria are stepping up their efforts to combat the disease. Rwanda is treating the malaria threat with insecticide-treated nets, indoor residual spraying and the use of artemisinin-based drugs.

Nigeria alone accounts for nearly 25 percent of the malaria cases in Africa, which is one of the leading causes of premature death in the country. The Global Fund is working in Nigeria to treat the record levels of malaria cases and control the spread of the disease. WHO is also scaling up its operations in addressing the malaria threat in the country.

The recent malaria prevention drive in South Africa reaffirmed its support for alleviating the malaria threat in the country. The initiative is a collaborative agreement between South Africa, Swaziland and Mozambique. The high incidence of diseases like HIV in South Africa often exacerbates the impact of malaria, making it particularly important to be addressed.

Working on preventive and mitigation efforts for malaria will go a long way towards addressing the rampant spread of the disease. The progress currently being made in reducing the malaria threat will yield successful results in the future.

– Shivani Ekkanath
Photo: Flickr