Twenty-first-century Gibraltar is drastically different from what it was just thirty years ago. According to the CIA’s World Fact Book, the self-sufficient British Overseas Territory benefits from an extensive shipping trade, offshore banking, its position as an international conference center and tourism, among many other economic drivers. Low tax rates have also attracted plentiful foreign investment, driving British military presence to decrease to seven percent from the original 60 percent in the mid-1980s and hunger in Gibraltar to near dissolution.
Although no data exists to date for the percentage of Gibraltar’s 34,408 citizen population living below the international poverty line, the territory’s unemployment rate was listed as one percent in 2016, suggesting that Gibraltar has come a long way since the 19th century, when malnutrition, disease and economic instability were widespread. With improvements in the economy, poverty and hunger in Gibraltar have naturally become less and less concerning.
Gibraltar is currently a member of the European Union as a Special State territory, joining the European Economic Community under the United Kingdom in 1973. Despite its membership, Gibraltar is not subject to the same taxation requirements as other members. As a result, the territory has no capital gains tax, wealth tax, sales tax or value added tax. Non-resident businesses do not pay income tax unless the sources of this income are Gibraltar proper, and there is no tax on capital income. This plethora of “tax-free” conditions has made international trade a large player in the Gibraltarian economy, as non-resident companies can take advantage of such regimes to reduce taxation.
With recent Brexit developments, however, a debate over Gibraltar’s continued status as a member of the EU has arisen. Over 96 percent of the territory’s population voted to remain in a referendum held in June 2016 on the issue of continued EU membership. Since the referendum, Spain has offered a plan to keep Gibraltar in the EU on the condition that Madrid shares sovereignty over Gibraltar with London. Gibraltarian citizens overwhelmingly rejected the proposal.
Gibraltar currently benefits from the tourism industry and trade with Spain through its membership in the EU. Not only would leaving the EU mean leaving the European common market, a risky move for an extremely dependent territory like Gibraltar, but Spain’s economy would suffer as well. In 2007 alone, Gibraltar imported more than £174 million of goods and services from Spain, excluding petroleum imports, and enabled both Spanish and Gibraltarian frontier workers to earn £82.8 million from within the economy of Gibraltar.
On the surface poverty and hunger in Gibraltar may no longer be major issues of concern, but looming economic policy decisions could drastically change and shape the future of the territory.
– Katherine Wang
Guinea-Bissau is a small country located south of Senegal. Guinea-Bissau has had tough economic times ever
Following a sharp economic downturn in 2009, Armenia is finally seeing a slow but steady decline in its
Youth unemployment is an increasing worldwide crisis. As of 2016, the International Labor Organization (ILO) reported that
Benin is a small West African nation located just west of Nigeria. The first African nation to successfully transfer power from a dictatorship to a democracy, Benin continues to be one of Africa’s most
Each day, 33 people become entrapped by
Poor vision and blindness are problems that many people in developed countries take for granted. Most people know that they will be able to get contacts, glasses, laser eye surgery, or any number of other solutions to their vision problems. However, there are 246 million people around the world who are living with a visual impairment, and 39 million people are totally blind. This data may seem trivial compared to the more than 650 million people living in extreme poverty, but these issues are closely linked. Many living in extreme poverty or with a low income suffer from some form of visual impairment. Poor eyesight makes it very difficult for people to escape the cycle of poverty, so
Around the world, children with disabilities are faced with many challenges that can hinder their success and well-being. In Ghana, children with mild to moderate disabilities are often
The country of Tajikistan, situated in Eastern Asia, is a mountainous place with 90 percent of its population living in valleys. Though it has a population of 8 million, the people of Tajikistan often live in rural settings, with only 27 percent of the total population residing in urban areas. The remoteness of many is the cause of many common diseases in Tajikistan, as the distance makes it difficult for individuals to seek basic services.
With over 