Archive for category: Global Poverty

Key articles and information on global poverty.

Egypt’s Rate of Poverty and Government Assistance

Egypt's Rate of PovertyAs far as issues of finance are concerned, Egypt has some progress to make. Egypt’s rate of poverty leaves 27.8 percent of its citizens falling below the poverty line. This being said, the severity of poverty in Egypt varies according to location. Upper Egypt experiences poverty at a higher level than that of lower Egypt.

Some of the causes behind this elevated amount of poverty lie in the inflation of food prices, the significant number of Egyptian citizens who are illiterate and the fact that many Egyptian families are larger with many members to care for.

Thankfully around 4.6 percent of Egyptians were saved from falling into poverty thanks to government assistance with food costs. To make Egypt’s rate of poverty less severe, a reform program was introduced in 2014 designed to better their businesses and promote economic growth.

This reform program has expanded Egypt’s Takaful and Karama program, which is an assistance program that helps women with children and the elderly who are poor. The benefits of this program are set to reach 1.7 million households this year alone.

There are also several projects going on to improve living in Egypt. For example, in 2015, the Inclusive Housing Finance Program was approved, which works to improve housing affordability for those in Egypt who are living in poverty.

While steps are being taken to improve the economic situation in Egypt, a substantial amount of progress must be made to obtain anticipated goals. Egypt continues to struggle with contributing poverty factors such as gender inequality and environmental issues.

A plan called “Egypt’s Vision 2030” has been developed to assure that significant changes will be made and that the effects of these changes will be seen in the next few decades. With all of the work that is going into making sure Egypt’s rate of poverty begins to decrease, the effects of these substantial changes will hopefully be seen shortly.

– Noel Mcdavid

Photo: Flickr

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The Youth Unemployment Rate in Greece

Youth Unemployment Rate in GreeceThe youth unemployment rate in Greece has reached tremendously high levels and is resulting in the growth of poverty among young Greeks, in addition to stunting the development of the Greek economy. As of May 2017, the youth unemployment rate in Greece reached a staggering 46 percent. This rate means that roughly half of the Greek youth population are unable to find employment opportunities.

Looking at the high rate of youth unemployment, one factor can be seen as its primary cause: Greek debt.

In 2011, due to its ballooning debt levels and fears that Greece would default on its debt, European counterparts were forced to give Greece a bailout package of €109 billion. As part of the loan, however, major credit rating agencies gave Greece a rating along with a disclaimer saying there would be a substantial risk of default on Greek debt.

By giving Greece this rating, the country pushed away potential investors in the Greek economy, and, in combination with the effects of Greek austerity programs, substantially hurt the growth potential of the Greek economy. The adverse effects observed in Greece are exemplified by the fact that the country’s economy has contracted by a quarter since the crisis began.

The minimum wage in Greece is calculated differently for younger people than it is for people over 30, so young Greeks who have a job are often paid at a significantly lower rate than older workers.

As an overall effect on poverty in Greece, the high youth unemployment rate will very obviously impact the country and raise its poverty rate. As the Greek economy continues to deteriorate and young people continue to go without opportunities to work, the poverty rate in the country will inevitably grow.

Going hand-in-hand with the increase in the rate of poverty among young people in Greece is the level of youth homelessness. As the unemployment rate continues to climb, the rate of homelessness among Greek youth – in addition to the rate of substance abuse – both continue to rise.

Overall, the youth unemployment rate in Greece is elevating enough to become a significant issue requiring foreign assistance to resolve. As countries capable of proving support, the United States and Greece’s European counterparts must increase aid to help Greece combat this problem. By focusing efforts on increasing the success of the Greek economy, issues such as youth unemployment will certainly begin seeing improvement.

– Garrett Keyes

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What are the Common Diseases in Bhutan?

Common Diseases in BhutanIn recent years Bhutan, a small, predominately mountainous country landlocked between China and India, has noticed an epidemiological shift in the disease pattern. The incidence of communicable diseases has significantly decreased, and the Bhutanese now suffer from high rates of noncommunicable diseases (NCD).

In 2008, Bhutan’s age-standardized rates for NCDs per 100,000 population were the highest among males and females in the South East Asia Region (SEAR). Currently, NCDs are the leading cause of morbidity in Bhutan, accounting for 62 percent of the country’s disease burden.

Below is a list of the top four most common diseases in Bhutan:

1. Diabetes

Diabetes are a set of chronic diseases resulting from elevated blood glucose. In Bhutan, there was a 63 percent increase in diabetes from 944 cases in 2004 to 2,605 cases in 2009.

A healthy diet and body weight, exercise and avoiding tobacco use are all preventative measures for type 2 diabetes, which results from the body’s ineffective use or production of insulin. In Bhutan, survey data indicated that one in three Bhutanese are overweight, 42.4 percent consume alcohol and the average daily salt consumption is nearly two times the World Health Organization’s (WHO) recommended limit.

2. Cardiovascular Diseases (CVD)

The same preventative measures are suggested for maintaining heart health. In 2008, mortality due to CVDs in SEAR was the highest in Bhutan, accounting for 53 percent of Bhutanese deaths.

3. Chronic Respiratory Diseases

Chronic respiratory diseases are diseases of the lung that narrow air passages and obstruct breathing. Common chronic respiratory diseases include chronic obstructive pulmonary disease (COPD), asthma and occupational lung disease.

Tobacco use increases risk for chronic respiratory diseases. Even with the ban on the sale of tobacco in Bhutan, tobacco use is widespread, as 34 percent of men and 14 percent of women reported using tobacco in 2011.

4. Cancers

In 2008, the age-standardized death rate due to cancers in Bhutan was 124.8 per 100,000 population. Of all cancers, lung and cervical cancers have the highest incidences among Bhutanese men and women, respectively.

So far, the government has initiated health-related behavioral interventions addressing the social determinants of NCDs; these include bans on tobacco sales and advertisements, laws prohibiting smoking in public and the establishment of outdoor gyms in every district.

“The government’s response to NCDs has been very encouraging,” says WHO’s Tshering Dhendup, “There is high-level political commitment.”

Included in the country’s upcoming five-year socioeconomic plan (2018–2023) is a multi-sectoral framework for the prevention and reduction of common diseases in Bhutan. This much-needed plan is expected to result in widely shared improvements in health status for the Bhutanese population.

– Gabrielle Doran

The Top Three Causes of Poverty in Hungary

Causes of Poverty in HungaryThe latest official statistics that can be found regarding poverty in Hungary are from 2015 by the Hungarian Central Statistical Office (KSH). According to their definition of the poverty line, 35 percent of the Hungarian population were living below the poverty line in 2015. More recent statistics have not been released due to a controversy over the KSH’s definition of poverty. However, by the United Nations’ standards, 46.6 percent of Hungarians in 2014 were impoverished, living on less than $300 a month.

There are three leading causes of poverty in Hungary that persist today:

  1. The price of real estate in Hungary is high and still rising, considering the devaluation of Hungarian currency. After Sweden, Hungary has the second-fastest rising real estate prices. The average Hungarian family spends $465 a month on rent and utilities alone, leaving little remaining for other bills and necessary items. Also, rent is only affordable for the average family in cities where it is near impossible to find work. Due to the high price of real estate, the average family with two children can hardly save $30 a month.
  2. Unemployment in Hungary remains a problem, though the number of unemployed Hungarians is seemingly decreasing. The current unemployment rate in Hungary is 9.3 percent, which is an improvement compared to earlier years. However, this rate does not take into account the approximately 300,000 people who are employed but receive no employment benefits. This is due to the Hungarian Work Plan that was launched in 2011, which forces the unemployed into employment programs. These employment programs pay a maximum of $200 a month, preventing any forward mobility. Keeping in mind that Hungary ranks eighth internationally regarding work hours, the employed and unemployed alike are both on the verge of poverty.
  3. Private debt is also largely responsible for poverty in Hungary. The government of Hungary offers $39,000 in loans to families with children – which many families accept but cannot afford to pay back. There are many Hungarian families that end up in a circle of debt, in which they accumulate more and more debt they cannot afford to pay off. The rapid devaluation of Hungarian currency adds to this cycle as it has caused private debt to dramatically increase.

The Takeaway

Addressing these causes of poverty in Hungary is necessary in order to help impoverished Hungarians. Approaching these problems effectively will take reforms from the Hungarian government as well as outside assistance. The programs currently being enacted have had major effects on reducing the rates of poverty in Hungary.  Thus, these efforts should continued to be pursued by the Hungarian government and the NGOs enacting them.

– Haley Hurtt

Photo: Flickr

Poverty Rate in Nicaragua Declines but Rural Areas Suffer

Poverty Rate in NicaraguaWhile the poverty rate in Nicaragua has declined in recent years, approximately 30 percent of the population currently lives on less than $2 per day. Nicaragua’s poverty resides predominately in rural areas where resources and employment are limited.

One Step Forward, Two Steps Back

According to the National Survey of Measurement of Life, extreme poverty fell from 8.3 to 6.9 percent in Nicaragua, and the Gini Coefficient of Inequality improved from 0.38 to 0.33 percent.

Nicaragua’s rising economic growth, supported by agricultural and commercial activity, indicates that its policies are working to fight poverty and create jobs and incomes for families. However, Nicaragua still has the lowest level of GDP per capita in Central America.

BCN President Ovidio Reyes says: “We know that we face a great challenge and that there is still a long way to go. The country needs to improve its per capita income even more, which can be achieved through higher rates of economic growth that allow the creation of jobs and more Income for families.”

The Need for Focus on Rural Areas

To continue fighting extreme poverty, Nicaragua must focus on its rural areas, where 50 percent of households live in extreme poverty. Finding innovative methods for economic stimulation and helping the poorest families improve their livelihoods and incomes will spur increased economic growth.

In rural areas, limited access to good schools and job opportunities cause Nicaraguan families to farm for earning a living and food. Yet, the dry land is unsuitable for agriculture and worsens their struggle instead of alleviating it. The land supplies limited natural resources, including water. With 80 percent of the rural poor depending on agriculture, the environment suffers. Recent droughts also affect food security and sources of income, and the fragile ecosystem and isolated location make productivity an obstacle.

Unemployment, which averages 12 percent for the country, exceeds 20 percent among poor rural families and many migrate to urban areas or abroad for work. One in five Nicaraguan families rely on remittances as a source of income, accounting for 20 percent of GDP. The unemployment rate, along with the poverty rate in Nicaragua captures the unparalleled plight of the rural poor.

Without employment opportunities and adequate infrastructure, the poor do not improve their incomes and well being. Since the poor then face many limitations, including natural resources, isolation and low productivity of soils, they do not have the means to access markets and public services such as education, health and legal services. Ultimately, productivity is stalled.

Nicaragua’s poverty rate may be declining, but to achieve sustainable economic growth, the country must focus on rural areas where poverty is most extreme.

– Sarah Dunlap

Photo: Flickr

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Open Air School in Pakistan Brightens Next Generation’s Future

Open Air School in PakistanIn Pakistan, about 58 percent of the population is illiterate and 11-12 million children are working instead of attending school. But thankfully, a firefighter in Islamabad is working to help change these major societal problems in Pakistan.

For the past 30 years, Mohammed Ayub, affectionately known as “Master Ayub,” has held classes in a park near Pakistan’s parliament to educate poor children who cannot afford an education.

At this “open air” school in Pakistan, the children are taught a 1st to 10th grade curriculum, and are even taught how to speak English.

Ayub felt compelled to start teaching poor children after he moved from the agricultural town of Mandi Bahauddin, to Islamabad, Pakistan’s capital. In the city of Islamabad he saw small children in the streets doing various types of work such as cleaning cars, selling trinkets or begging.

One day after work, he approached one of these working children and told him that he would give him an education completely for free. The child accepted his preposition, and as word spread of his open air school in Pakistan, many more children began to enroll. Now, as soon as his work finishes at 3 pm, he goes to the park to teach about 200 students with the help of former students and friends.

Ayub himself pays for all of the students’ books, pencils and food.

Ayub believes education is extremely important for poor children because these citizens are especially vulnerable to developing into criminals and terrorists. In an interview with VPRO Metropolis, Ayub said “poor people; they need help. They start thinking negatively. They become thieves or plot bombings. That’s why I want to help them, so that they have an aim in life. They are our future teachers and doctors.”

His students are very ambitious and dream of becoming doctors and scientists. Before exams, they all gather in the park at night to study; when it gets chilly, they bundle up and study harder.

Ayub’s former students have gone on to attend university and secure well-paying jobs, and in the future, Ayub dreams of building a school for his students, especially because he hopes to incorporate computers in his teaching. In an interview with Al Jazeera he says that he wants to leave a facility behind after his death “where these children continue to get the light of education.”

– Anna Gargiulo

Photo: Flickr

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Investing in the Future: Decreasing the Uruguay Poverty Rate

Uruguay Poverty RateUruguay has made great progress in reducing poverty since the mid-1980s, mainly due to the country’s extensive social policy and macroeconomic stability in the 1990s. The country is also notable in Latin America for its equitable distribution of income. However, the Uruguay poverty rate remains a concern for some Uruguayan communities.

Uruguay’s impoverished residents typically have a critical combination of low skills, weak demand and high family dependency that makes them vulnerable to financial struggles. A dual strategy that improves Uruguay’s investment climate and enhances growth is one method that could help the country’s poor. Investing in human capital via education could assist impoverished residents as well.

Uruguay’s poor are also marginalized. Impoverished Uruguayans are increasingly concentrated in specific neighborhoods, challenging poverty reduction efforts and implying changes to social services. Uruguayan children have become a significant portion of the country’s poor, with 40 percent born into poor families — a fact that foreshadows an intergenerational poverty problem.

Teenage mothers, inactive youths and unemployed adult males (40 to 50 years old) with low skillsets are vulnerable to the Uruguay poverty rate as well. While this demographic is relatively small, it could increase given Uruguay’s past social problems. However, this problem is still manageable in scope and depth. Uruguay would require a change to conventional social programs in order to help this vulnerable demographic.

Uruguayan children are the country’s most vulnerable demographic to impoverished conditions. However, Uruguay’s elderly population are at the least risk due to the country’s pension benefits and increasing job salaries. Uruguay’s constitutional change in 1989 permitted the indexation of pensions to wages, helping the country’s elderly to have higher income deciles and lower poverty rates as well.

Income inequality is another reason for the Uruguay poverty rate. Inequality in workers’ wages was on an upward trend from the 1990s to 2007. Since 2008, increases in labor income have helped lower Uruguay’s income inequality problems. However, Uruguay’s income inequality rate is still relatively high by OECD (Organization for Economic Co-operation and Development) standards.

Thankfully, Uruguay’s poverty rate is continuing to decrease. The country’s poverty rate was 11.5 percent in 2013 and dropped to 9.7 percent in 2014. Uruguay’s homelessness rate of 0.5 percent dropped to 0.3 percent within the same years. The country’s Central Bank stated that Uruguay’s economy grew by 3.5 percent and slightly above market expectations.

While the Uruguay poverty rate continues to decrease, the country’s impoverished communities will require opportunities for income equality. Uruguay has a literacy rate of 96 percent (the highest rate among Latin American countries) and a social contract that stresses the importance of accessing education.

Uruguayans with low skillsets may be able to escape poverty by taking advantage of the country’s educational opportunities, and therefore creating a brighter Uruguayan future for all.

– Rhondjé Singh Tanwar

Photo: Flickr

A Look at the Poverty Rate in South Korea

Poverty Rate in South KoreaThe poverty rate in South Korea not only decreased in the past few decades, but it now also continues to decline. When examining the poverty rate in the country, however, there seems to be one apparent issue: the poverty rate among people who are 34 years old or younger and people who are 65 years old and older have both increased.

Comparing the two, the poverty rate among people aged over 65 is significantly higher than people below the age of 34 — 64 percent compared to 12 — and therefore a greater cause for concern for the country.

These numbers directly contrast the overall movement of the poverty rate in South Korea. Among people aged from 35 to 50 years old, the poverty rate hovers around six percent and the rate among 50 to 65 years old stays at approximately 12 percent. Seeing as the poverty rate in South Korea tends to dramatically vary based on age range, it begs the question as to what is causing such wealth disparity between the different age groups in South Korea.

The answer to such a question can primarily be attributed to two main factors: increased competition in the work force and age discrimination among employers.

As the population of South Korea continues to grow, so too does the competition for jobs. Many young South Koreans seek employment opportunities in a competitive marketplace that only becomes more competitive over time.

In combination with the slowing of the world economy, this can have devastating effects on the young as the rate of competition for jobs slowly continues to increase while the number of jobs available paradoxically decreases. This explains the youth unemployment rate in South Korea, which rose to approximately eight percent at the end of 2016.

Another major issue is the inability for people aged 65 and older to generate income. This occurs because many elderly citizens are forced out of the workplace and then do not receive enough government subsidies to survive. It is typical for companies to force employees who are in their mid-fifties into retirement with the interest of bringing in younger, “fresher” workers.

To further exacerbate this issue, the public pension system in South Korea was only established in 1988 and leaves many people who retired in the mid-2000s with little to no retirement. It is the combination of these two issues that has been significantly contributing to the increasing poverty rate in South Korea.

In order to lower the poverty rate, it may become essential that South Korea prioritizes making its public pension system more efficient so as to provide more people with funds after retirement. Without such correction, it may become impossible for elderly people in South Korea to sustain a healthy lifestyle once consistent sources of income cease.

– Garrett Keyes

Photo: Flickr

A Global Example: The Ever-Decreasing Poverty Rate In Belgium

The Poverty Rate In BelgiumBelgium is a country located in western Europe between France and the Netherlands. It became an independent nation from the Netherlands in 1830 and was then controlled by Germany during World War I and II. The foundation of the EU and NATO allowed the country’s capital, Brussels, to become the home for numerous international organizations. The influence of the organizations and membership in the EU and NATO has allowed the poverty rate in Belgium to remain low.

Currently, the poverty rate in Belgium rests at 15 percent. Like many other European nations, Belgium has a high standard of living and per capita income. Belgium consistently ranks among the top nations in the Human Development Index (an index that measures the quality of life in countries). In 2007, Belgium ranked number seven, which was ahead of the country it once was a part of — the Netherlands.

When measured in 1992, 3.7 percent of the population was in the lowest 10 percent of the income bracket. About 9.5 percent were in the lowest 20 percent, 14.6 percent were in the second 20 percent, 18.4 percent were in the third 20 percent and 23 percent were in the fourth 20 percent of income.

The highest 20 percent made up 34.5 percent and the highest 10 percent made up 20.2 percent of income. These statistics indicate the low poverty rate in Belgium and the little income inequality.

Although there is little income inequality in Belgium, 16.7 percent of people under the age of 18 lived in families that fell below the poverty line. Since 2012, the risk of being under the poverty line for people under the age of 18 has decreased considerably. Thanks to numerous social welfare programs, the risk of a person under 18 being under the poverty line in Belgium has fallen from 27 to 15 percent.

The social welfare system is a primary reason for why the poverty rate in Belgium remains low. The country has programs for family allowance, retirement, medical benefits, unemployment insurance and even a program that provides a salary in the event of an illness.

Belgium is a country that has managed to tackle the issues of income inequality and poverty while remaining a small nation. The social welfare system in Belgium in conjunction with its cooperation with the EU and NATO are one of the primary reasons for the success of the country. Thus, countries interested in lowering their poverty rates should follow Belgium’s example.

– Nicholas Beauchamp
Photo: Flickr

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How to Help People in Mexico: Four Influential Organizations

Help People in MexicoIn 2014, the Mexican government reported that poverty within the country rose to 46.2 percent —  nearly half the population living below the poverty line. For the country with a population of just over 123 million, the startling percentage is equivalent to over 55 million people living in poverty. These people are defined as living on less than 2,542 pesos or $157.70 per month.

Despite nearly 80 percent of the population living in urban areas, mainly in or around the capital Mexico City, four percent of the population has unimproved drinking water and 15 percent has unimproved sanitation facilities.

Here are four nonprofits advocating, fundraising and working on the ground to help people in Mexico.

1. Children International

Working in ten countries around the world including Mexico, Children International is a nonprofit focused on helping kids living in poverty. With over 70 community centers and over 9,000 volunteers worldwide, Children International provides children living in poverty with assistance in health, education and employment through empowering programs and resources.

The long-term impacts aim to help break the cycle of poverty. Their website offers a number of ways to get involved including sponsoring a child by donating $32 a month, making a single donation or volunteering at one of their community centers.

2. Feed the Hungry

Relying on almost entirely private donations, Feed the Hungry delivers meals and nutrition education to children throughout San Miguel, Mexico. Through school meals, family education programs and community events, the nonprofit aims to alleviate poverty in the poorest communities. Feed the Hungry operates kitchens partnered with schools in 33 communities.

Most recently in 2017, they opened new kitchens in Moral de Puerto de Nieto, Los González, Puerto de Sosa and Nuevo Pantoja, feeding more than 400 additional children every day. You can help people in Mexico with Feed the Children by sponsoring a school kitchen, advocating throughout your community or volunteering on the ground.

3. PEACE

PEACE (Protection and Education: Animals, Culture, and Environment) is a nonprofit working in the Bay of Banderas, Mexico, to increase educational and economic opportunities in developing areas. To support improved quality of life, the nonprofit runs programs consisting of topics ranging from community education to Mexican culture preservation to environmental protection.

You can get involved by donating to the organization or volunteering for the company remotely or on the ground.

4. PVAngels

Focused on uplifting the communities in Puerto Vallarta, PVAngels combines activity-driven events with fundraising to create community awareness. The money raised goes to charities focusing on a variety of issues including environmental issues, health care, education, family assistance and recreation services.

You can help people in Mexico by donating to any one of PVAngels’ charities or volunteering as a “partner for change” assisting directly the communities in Puerto Vallarta.

By utilizing nonprofits as well as individual volunteers to help people in Mexico, Mexico’s future will hopefully be a flourishing one.

– Riley Bunch

Photo: Flickr