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Archive for category: Global Poverty

Key articles and information on global poverty.

Extreme Poverty, Global Poverty

10 Facts About Poverty In Malawi

Malawi is a landlocked country in southeastern Africa bordered by Tanzania, Mozambique and Zambia. The country also borders Lake Malawi, also known as Lake Nyasa. Lake Malawi accounts for more than one-fifth of the country’s total area, making it a significant geographical feature. Poverty in Malawi has been at critical levels for decades. Of the approximately 21.8 million people in the country, about 50.7% lived below the national poverty line in 2019.

Many Malawians work in agriculture and it is hard for them to produce enough crops to maintain an income above the international poverty line. With parental death, disease and crop failure, the obstacles that many Malawians face are abounding. Below are the leading facts that thoroughly explain and illuminate the pressing issue of poverty in Malawi.

  1. In Malawi, there are more than 900,000 adults living with HIV. The infection rate is twice as high among women as it is among men. Additionally, only 88.3% of adults living with HIV know that they are HIV-positive and about 98% of them are receiving antiretroviral treatment (ART).
  2. Only 67.3% of Malawi’s population can read and write by the age of 15. This is partially attributed to a lack of access to quality education, a high number of student to teacher ratio, teacher absenteeism and a low enrolment rate.
  3. Due to poverty, poor access to health care, disease and food shortage, the average life expectancy for a Malawian is 63 years, which is 25 years more than it was in 1960, according to the World Bank. Further, The median age for Malawians is 20.3 years old.
  4. There are only 0.05 doctors for every 1,000 individuals in Malawi. As a result, millions in Malawi do not have access to standard health care services.
  5. Malawi’s economy is mainly agricultural, with 80% of the population living in rural areas. Additionally, the sector contributes 30% of the country’s national gross domestic product (GDP).
  6. The International Fund for Agricultural Development (IFAD) is working in harmony with Malawi’s government to promote agricultural growth in rural areas. This is an effort to reduce poverty throughout Malawi.
  7. About 30% of Malawian children do not start primary school (which is free) and only 33% of those who enroll will go on to complete it. Secondary and higher education is mostly attended by those of households above the international poverty line, predominantly due to the enrollment fees.
  8. Malawi is one of the world’s most impoverished countries, ranking 172 out of 193 countries on the Human Development Index.
  9. As of 2015, more than one million Malawi children were orphaned due to HIV/AIDS.
  10. In addition to IFAD, Access Health Africa, an international nonprofit, is providing Malawians with access to quality health services, education and resources through community initiatives. The organization has provided 160 general surgeries and reached more than 1,000 people.

The people of Malawi face great hardships; however, with the help of nonprofits like IFAD and Access Health Africa, there is hope for an increased economy, health services and better school systems. This, in turn, will decrease disease, orphaned children and overall poverty in Malawi.

– Bella Chaffey

Photo: Flickr
Updated: June 01, 2024

August 10, 2016
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Global Poverty

Addressing Poverty in Qatar: 60 Percent Live in “Labor Camps”

Poverty in Qatar

The Ministry of Development Planning and Statistics disclosed on June 6, 2016 that 1.4 million people, nearly 60% of Qatar’s population, live in what the Qatari government officially labels as “labor camps.”

Migrants from poorer countries have moved to Qatar in recent years to develop its infrastructure for tourism projects, including preparation for the 2022 World Cup.

However, migrant workers continue to live a life of poverty in Qatar, with many human rights groups like Amnesty International condemning Qatar for providing “squalid and cramped accommodation” for its very large migrant workforce.

According to Amnesty International, migrant workers are also not paid for several months at a time, which puts significant emotional and financial pressures on workers already burdened with heavy debts.

Recently, 13 people died in a fire that broke out in a labor camp for migrants working on a waterfront tourism project in southwest Qatar. The fire highlights how Qatar has treated migrant workers by providing poor living conditions for them.

The government responded to criticism by building new housing complexes for workers, including a city south of Doha. This new city, known as “Labour City,” will include cinemas, shops and a cricket stadium for migrant workers.

Outside of the government, various organizations have also assisted migrant workers to overcome their life of poverty in Qatar. One such organization is Reach Out to Asia (ROTA), a member of the Qatar Foundation for Education, Science and Community Development.

On June 8, ROTA launched its Ramadan Project 2016, bringing together over 100 local volunteers to pack and distribute bulk groceries to more than 200 families in need across Qatar.

ROTA volunteers packaged food parcels containing items such as flour, cooking oil, milk powder and lentils that were later distributed before the start of Ramadan. The program also provided beneficiary families with shopping vouchers to purchase other products.

ROTA volunteers, numbering 300, partook in several community service activities set to take place over the month, including the installation of computer labs for migrants working on construction projects.

Despite living a life of poverty in Qatar, migrant workers are slowly overcoming hardships through additional assistance by the government and various organizations.

– Alexis Pierce

Photo: Flickr

August 9, 2016
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Global Poverty

Why Africa Matters to the United States

Africa Matters to the U.S.

The dichotomy between the “global north” and the “global south” continues to persist around the world, especially in the case of Africa. That is why it is essential for citizens of the most powerful country on earth to realize that Africa matters to the U.S.

While many Americans might envision a far-away land home to exotic animals and people plagued by famine, crime or sickness, the continent’s reality is much brighter.

Enrollment rates in secondary education increased by 48 percent from 2000 to 2008, life expectancy has increased roughly 10 percent and real income per person has increased by over 30 percent across the continent, according to the Economist.

The IMF also predicts that three of this year’s 10 fastest growing economies will be the Ivory Coast, Tanzania and Senegal.

The future of Africa could be brighter still with continued U.S. involvement. Not only can U.S. aid efforts help diminish poverty, they can simultaneously promote U.S. interests abroad. Through encouraging peace and security, expanding Africa’s energy sector, competing with China and opening up new markets for U.S. businesses, both the U.S. and Africa can flourish.

It is for these reasons that Africa matters to the U.S. and the U.S. matters to Africa.

Peace and Security are Global Needs

The United Nations cites “violence and fragility” as the biggest barriers to achieving the Millennium Development Goals (MDGs), the first aim of which is to cut the number of people living in extreme poverty in half. African countries face numerous security risks including transnational crime syndicates, corrupt governments and terrorist groups. These obstacles perpetuate the cycle of poverty and must be properly addressed if U.S. companies hope to find success in Africa.

According to Lesley Anne Warner, a top research fellow at the National Defense University, the U.S. can help mitigate these challenges by better resourcing agencies like the State Department and USAID instead of solely relying on the Department of Defense. This would make our country’s engagement with African countries more “proactive” instead of “reactive,” and help deescalate and prevent conflicts.

Congress took notice of why Africa matters to the U.S. in February when it passed the Electrify Africa Act to increase African energy access. However, more work can be done to lift people out of poverty while simultaneously advancing U.S. national security interests.

“Energy poverty undermines economic development, fueling political instability and the creation of failed states that can harbor our enemies and threaten our allies,” John P. Banks, a nonresident fellow at the Brookings Institution, writes in his paper, “Key Sub-Sarahan Energy Trends and their Importance for the U.S.”

A U.S. policy that supports further energy access initiatives in Africa would not only improve the living conditions of thousands, but also weaken the global threat of terrorism.

China Cannot Ethically Deliver Aid

With a record lacking transparency, democratic values and concern for the environment, the U.S. must be wary of China’s increased involvement in Africa.

Just last year, China offered the continent $60 billion in development assistance. Moreover, the Center for Global Development reports that there were almost 2,000 Chinese development projects in the region from the years 2000 to 2011 totaling up to $75 billion.

It is imperative that the U.S. partner with China to effectively and morally deliver aid, explains Yun Sun, a visiting fellow at the Brookings Institution. In addition, she suggests the U.S. work with African countries to explain the damaging impact the unilateral Chinese approach would have on their future success.

U.S. Markets Need Diversification

The U.S. would also benefit from expanding its markets and increasing foreign direct investment (FDI) in African countries. As previously stated, three of the world’s 10 fastest growing economies are located in Africa, and if U.S. companies fail to tap into these growing economies, they will lose out on major business opportunities.

Last year, Congress passed a measure lengthening the African Growth and Opportunity Act (AGOA) into the fiscal year of 2025 as a sign of hope for the future of U.S.-African business relations. Yet only one percent of U.S. FDI is spent in Africa, and the total number of U.S. exports to sub-Saharan Africa in 2013 decreased by 20 percent compared to 2012, according to the Office of the U.S. Trade Representative.

There is no doubt that the U.S. has a multifaceted role to play throughout the world. Africa matters to the U.S. because its development can reduce poverty, create a safer, more secure world, fill Chinese foreign assistance voids and diversify U.S. businesses.

-Kristina Evans

Photo: Pinterest

August 9, 2016
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Global Poverty, Water

Water Quality in China: The Danger Beneath the Surface

Water quality in china

From a poverty alleviation perspective, the rapid growth of the Chinese economy over the last several decades is an unprecedented success story. In 1984, the rate of extreme poverty in China was 84 percent, but by 2010 that number had fallen to 12 percent. At the same time, the rapid industrialization that has driven this growth has produced its own negative effects. Some of these effects are visible on an everyday basis, while others, like the poor water quality in China, are less obvious.

Under the Fog

Air quality is the face of China’s struggle with pollution. Images of China’s capital, Beijing, choked by smog have resonated with environmental movements around the world. While water quality in China may not have made as many headlines, it has come under severe strain as well. According to new statistics by the Chinese media, underground water pollution has become a full-on crisis, with 80 percent of the water samples taken from a wide range of wells across northern and central China being unsafe.

Across the North China Plain, which has been hit hard by deforestation and desertification over the last several decades, groundwater is a key water source for both rural and urban areas. Northern China is also the site of the vast majority of China’s coal reserves, a major problem as coal mining is highly damaging to groundwater, unless mitigating measures are taken.

However, cheap supplies of coal are so central to China’s model of economic growth that, thus far, these measures have not been taken, leading to a steady deterioration of water quality in China. According to official statistics, every metric ton of coal mined leads to 1 cubic meter to 2.5 cubic meters of groundwater being destroyed. That number is sobering, considering that in 2015, 3.65 billion metric tons of coal were mined in China.

Hope for Improvement

That same year, The State Council of the People’s Republic of China, the nation’s highest administrative body, issued the “Water Ten Plan.” This ambitious plan laid out a series of steps to improve water quality in China. It includes both broad goals and specific measures for improving groundwater quality. The plan calls for the percentage of groundwater of “very bad” quality to fall to 15 percent by 2020, a target that should be achievable, given that as of 2014, 16.1 percent of groundwater fell into this category.

The Chinese government’s response targets industries that are seen as being major contributors to groundwater pollution, in particular, the coal mining industry. The plan calls for the effective handling of water used during the coal mining process.

It also addresses groundwater depletion, stemming from industrial use of water by declaring a moratorium on further extraction of groundwater from threatened areas. The textile, paper and dyeing industries, significant sources of harmful run-off, are another major target of the plan’s strict controls.

Equal Access to Clean Water

One key aspect of water quality in China is the rural-urban divide that permeates so much of Chinese society. Cities in China benefit from access to deeper underground reservoirs, while those living in rural areas extract shallower water that is more likely to be polluted. Thus, just as industrialization led to the gap in incomes between rural and urban markets, it has also meant that access to safe water supplies has become more bifurcated. Alleviating this divide is vital in the years ahead.

– Jonathan Hall-Eastman

Photo: Pixabay

August 9, 2016
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Global Poverty, USAID

USAID Works to Improve Poor Water Quality in Indonesia

Poor water quality in Indonesia

Climate change, poor urban infrastructure and pollution resulting from rapid urban development and environmental destruction have led to poor water quality in Indonesia.

Although Indonesia enjoys 21 percent of the total freshwater available in the Asia-Pacific region, nearly one out of two Indonesians lack access to safe water, and more than 70 percent of the population rely on potentially contaminated sources.

Poor water quality in Indonesia is directly related to a life of poverty, as poor individuals are unable to afford clean drinking solutions.

To combat poverty and improve the lives of individuals, USAID has partnered with local governments and civil society organizations to weaken the agents of poor water quality in Indonesia by strengthening biodiversity and climate change resilience.

Climate Change

Climate change threatens to disrupt seasonal variations and thus water quality in Indonesia. The dry season may become more arid which would drive water demand, and the rainy season may condense higher precipitation levels into shorter periods, increasing the possibility of heavy flooding while decreasing the ability to capture and store water.

Increased flood conditions and rainfall facilitate the spread of disease in areas where the population lacks access to clean water and sanitation.

USAID works with the Indonesian government to help the most vulnerable areas of Indonesia become more resilient to climate change effects. The agency builds local government and civil society organizational capacity to understand the effects of climate change and to implement climate change solutions in agriculture, water and natural resources management.

More than 13,000 people have been trained in climate change adaptation strategies and disaster risk reduction. As a result, USAID has worked with more than 360 communities to develop action plans addressing the impacts of climate change, which in effect improves the poor water quality in Indonesia.

Environmental Destruction

Environmental destruction associated with unmanaged development and deforestation has left many parts of Indonesia extremely vulnerable to landslides, tsunamis and floods.

An environmental disaster furthers the cycle of poverty in Indonesia as individuals are left with even fewer resources than before. The country has lost around 72 percent of its forest cover over the last 50 years.

Large barren hillside areas and the underlying soils, both subject to heavy precipitation, greatly increase the likelihood and severity of floods. When flooding does occur, urban infrastructure is quickly overwhelmed which leads to sewage spillover and further contamination.

To combat environmental destruction and improve water quality in Indonesia, USAID works to conserve and strengthen biodiversity in Indonesia. The agency does so by building capacity in national and local government bodies and associated civil society actors, and by entering partnerships, to promote and strengthen sustainable land-use practices and management in four provinces.

Projects developed by USAID focus on conserving large swaths of lowland and peat forest with high concentrations of biodiversity.

Pollution

Indonesia has become a pollution hotspot due to its economic development and rapid urbanization. Waste from commercial and industrial processes is increasingly making its way into both groundwater and surface supplies affecting water quality in Indonesia. Moreover, Indonesia’s urban slums particularly lack wastewater treatment to combat the growing pollution.

The basic sanitation infrastructure necessary to prevent human excrement from contaminating water supplies is virtually nonexistent. Households simply dispose their domestic waste directly to a river body.

Since many Indonesians are poor and have no access to piped water, they use river water for drinking, bathing and washing. Around 53 percent of the population obtains water from sources contaminated by raw sewage, which greatly increases human susceptibility to water-related diseases.

To improve the poor water quality in Indonesia by combating the effects of pollution, USAID has facilitated access to clean water for more than 2 million people and basic sanitation to more than 200,000 people.

These actions have built one more step for individuals in Indonesia to walk out of poverty, as their low income does not inhibit them from enjoying clean drinking water.

– Alexis Pierce

Photo: Pixabay

August 8, 2016
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Food & Hunger, Food Security, Global Poverty

How Quinoa Production Helps Alleviate Poverty in Peru

Popularity of Quinoa

Prior to quinoa’s surge in popularity, few Americans had heard of this South American grain. U.S. imports alone quadrupled between 2006 and 2010 as quinoa’s virtues of versatility and high protein content spread.

Negative Speculations

Unbeknownst to the public, quinoa production had a direct impact on the levels of poverty in Peru. So, soon after quinoa “took off,” a slew of inflammatory articles in 2013 reprimanded quinoa consumers for raising the demand and price of the nutritious food, which restricted access for poor Andean people.

Poverty in Peru and Bolivia affects over 50 percent of people in the Andean region. Many suffer from lack of education, food insecurity, poor health care and a life expectancy 20 years lower than people in Lima.

Due to conditions in this region, “foreign quinoa consumption is keeping locals from a staple grain” is a serious accusation. However, the popularity of this protein-rich food has provided many economic benefits for the area. A NPR study showed how living conditions drastically improved for people in the Andes during the boom in quinoa sales.

In 2013, the Guardian published an inflammatory article called, “Can Vegans Stomach the Unpalatable Truth About Quinoa?” claiming that fame has driven the prices so high that locals can no longer afford it. The argument seemed sound as poverty in Peru is a major issue. It seemed though, that the Guardian brought up a touchy subject–droves of articles then began cropping up both defending and debunking this argument.

Positive Effects

The good news is that quinoa prices are still within reach for Peruvians. A recent article from NPR explains two different studies focusing on the super grain: one found that the people in quinoa-growing regions, farmer or otherwise, experienced an economic flourishing that favored farmers and generally overcame any additional quinoa costs; the second study focused on quinoa consumption in the Puno region where 80 percent of Peruvian quinoa is grown.

The author of the second study, a Berkeley graduate student, discovered that people in the Puno region consumed a similar amount of the grain without cutting any valuable nutrients from their diets.

While quinoa is culturally important, it is not a staple crop like rice or maize. On average, only between 0.5 and 4 percent of an average Peruvian family’s budget is spent on quinoa–thus the extra cost is not debilitating. In fact, quite the opposite of debilitation occurred: domestic quinoa consumption tripled in 2013.

While the positive economic effects continue to boost the region, there are reasonable concerns about the sustainability or longevity of quinoa production. Demand has caused farmers to decrease the amount of quinoa varieties grown, as well as reduce llama farming which used to provide fertilizer.

Degradation of soil and biodiversity are also risks of extensive quinoa production. Unfortunately, quinoa’s popularity also attracts competitors, and as other countries began to grow the super grain and supply increases, Peruvian demand falls. Prices are sinking, which is great for frugal, health conscious shoppers but very concerning for Bolivian quinoa farmers.

Sustaining Success

While unclear how long benefits will last, quinoa’s popularity proves extremely beneficial towards alleviating rural poverty in Peru and Bolivia. In order to extend the grain’s benefits, some organizations are trying to encourage the sale of more varieties of quinoa to conserve biodiversity and renew interest in South American grown grains.

On the positive side, quinoa has provided some temporary relief for those facing poverty in Peru.

– Jeanette I. Burke

Photo: Pixabay

August 7, 2016
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Global Poverty

The Truth about Poverty in Tunisia

Poverty in Tunisia

In June 2016, the International Monetary Fund’s (IMF) online magazine announced that the organization has approved a four-year, $2.9 billion loan program to help alleviate poverty in Tunisia.

Continued Struggles Post-Revolution

This news may come as a shock to some people. The IMF gave financial assistance in the form of a Stand-By Arrangement following the 2010 Tunisian Revolution, and the North African country is considered to be one of the few successes that emerged from the Arab Spring.

While Tunisia has come a long way both politically and economically, the country is still plagued by high unemployment and a lagging private sector.

According to IMF Survey, 15 percent of Tunisia’s population and 35 percent of its youth, are unemployed, contributing greatly to poverty in Tunisia. Civil society representatives, speaking with World Bank Group President Jim Yong Kim during his visit in May, claimed that only 27 percent of the country has access to finance due to strict rules on foreign transactions.

Joblessness and lack of opportunities has produced lackluster economic growth and low government approval ratings. The World Bank reported that only twenty percent of young Tunisians in urban areas trust the government. The figure is ten percent for the countryside.

Regional disparities are also a problem; while the national unemployment rate is high, it is even higher in regions far from the coast. In southwest Tunisia, 26.1 percent of people were unemployed in 2015, according to Tunisia’s National Statistics Institute.

Where unemployment goes, poverty follows. A 2014 World Bank report revealed that the poverty rate in central Tunisia was four times higher than the national average; as high as 30 percent in certain areas.

All of these factors combine to produce a significant number of disgruntled youth that extremist groups seek to recruit.

IMF to Counter Terrorism

According to a Voice of America article published on June 6, 2016, over 7,000 people in the country have become fighters for the Islamic State and other jihadist groups. The reason, cited by many, is that the government has failed to integrate a youth population that is in a process of soul-searching, following the democratic uprising of 2010 that lasted into 2011.

In order curb this terrorist threat, which has major security implications for the region and the world at large, economic development and poverty reduction are key. The new IMF program aims to do exactly that.

In an interview with IMF Survey, IMF Mission Chief for Tunisia Amine Mati stated that by injecting more money, the $2.9 billion loan would help maintain the overall stability of the country’s economy.

As civil society representatives and young Tunisian entrepreneurs have made clear, labor market, private sector and structural reforms are also needed. According to Mati, the program will also assist government efforts in creating a more dynamic economy and ensuring growth is distributed across the country.

Tunisia has great potential. Its democratic government is committed to solving the country’s problems. Foreign aid will help accelerate the progress already made in reducing poverty in Tunisia.

– Philip Katz

Photo: Pixabay

August 7, 2016
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Food & Hunger, Global Poverty

Top 10 Facts About Ending Hunger in Italy

Ending Hunger in Italy

In the past few years, remarkable progress has been made toward ending hunger in Italy and throughout Europe. However, there are still 836 million people living in poverty worldwide along with 795 million people struggling with chronic hunger.

By looking at Italy’s approach to addressing hunger and poverty–both domestically and internationally–the achievements and shortcomings of Italy’s social policy reveals the complexities of the fight to end global hunger by 2030.

10 Facts About Ending Hunger in Italy

  1. The rate of undernourishment in Italy is at 5 percent, according to the Global Food Security Index. This low figure is in part due to Italy’s food safety net programs, school lunch programs and high nutritional standards.
  2. Italy has one of the highest child poverty rates in Europe. Children are subsequently more at risk of living in a food insecure household. About 15.9 percent of Italian children live in relative poverty, according to UNICEF. Relative poverty is defined as living in a household where disposable income is less than 50 percent of the national median income when adjusted for family size and composition.
  3. Over one in four Italians are at risk of poverty or social exclusion, according to Italian news agency ANSA. In 2015, Italy’s poverty risk rate rested at 28.4 percent versus the European Union average of 24.5 percent after years of facing an economic crisis.
  4. According to UNICEF, an estimated 13.3 percent of children in Italy are deprived of some basic necessities even if they don’t live below the poverty line. UNICEF included 14 items on the deprivation index including whether or not children had access to three meals per day, fresh fruits and vegetables every day, and at least one meal with a rich protein source.
  5. If you’re homeless and hungry, it may not be a crime to steal food from a supermarket in Italy, according to an Italian court ruling this year. The Supreme Court of Cassation revoked the conviction of Roman Ostriakov, a homeless man from Ukraine, attempting to leave a supermarket with cheese and sausage in his pocket after only paying for some breadsticks. The circumstances under which Ostriakov stole was enough for the court to decide that he stole in a state of immediate and essential need which does not constitute crime, according to ANSA.
  6. Social welfare resources in Italy, such as the Social Card, are inadequate for alleviating poverty and ending hunger in Italy. According to a national report by Combatting Poverty in Europe (COPE), the Social Card is a debit card charged on a bimonthly basis – financed by public resources and private donations – and is used to purchase groceries and pay basic utilities. The Social Card has been subject to heated debate due to the strict and very limited eligibility of getting a card, and the inadequate financial assistance the card provides to low income families.
  7. In response to the apparent need for improving social welfare programs in Italy, organizations like the Costa Crociere Foundation formed to provide humanitarian assistance. The Costa Crociere Foundation addresses the main causes of poverty by “giving people the tools they need to lift themselves out of hunger” in the long term while working to ease the short-term effects of hunger and homelessness. They do this through food assistance programs and providing shelter for the homeless.
  8. In 2015, Expo Milano was hosted in Milan, Italy centered around the theme “Feeding the Planet: Energy for Life.” The exposition’s primary objective is to foster international dialogue on the challenges concerning food security, malnutrition and sustainable agricultural practices. Expo Milano was visited by an estimated 20 million people, according to the Brookings Institution.
  9. While the Italian government and local organizations continue to grapple with alleviating poverty and ending hunger in Italy, the country is also a top donor for international hunger relief programs. According to the International Fund for Agriculture Development (IFAD), Italy is as a generous donor and partner with IFAD in their shared mission to make food security a reality worldwide. The Food and Agriculture Organization of the United Nations also recognizes Italy’s contribution to 39 projects that have been implemented in 85 countries “with the aim of addressing poverty and improving food security by enhancing agricultural productivity.
  10. Ending hunger in Italy is not Italy’s only goal. The United Nations, including Italy, aims to end world hunger by 2030. The UN and partner organizations plan to end world hunger by primarily focusing on increasing investment in rural infrastructure and agricultural resources in developing countries and reforming food security policies worldwide.

– Daniela N. Sarabia

Photo: Pixabay

August 7, 2016
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Global Poverty

Poverty in Bolivia

poverty in bolivia
According to UNICEF, poverty in Bolivia is among the worst in South America. Economic growth and opportunities to make a living are most commonly found in urban areas because the more citizens in a setting, the more consumers there are. This makes it difficult however for indigenous farmers, inhabitants of more remote areas with fewer people, to market their products and provide for their families.

For the vast majority of citizens in Bolivia, this proves to be a major issue: 60% of Bolivians live below the poverty line. In rural areas, the numbers are even more dramatic. Three out of every four people living in these areas suffer from poverty. Because of this, Bolivia the poorest country in South America.

One reason for the extreme poverty lies in the geography of Bolivia. Undeveloped roads and infrastructure make up a vast portion of the country, with a majority of the land inhabited by indigenous citizens. This makes it difficult for farmers living in these areas to market their products and travel to sell them, which in turn impacts their families and the communities they live in.

For the farmers of Bolivia, the recent visit by the World Bank’s President to the country represented a unique opportunity. The fact that Jim Yong Kim recognized the need for economic growth and food security was important to the rural citizens of the poorest South American country. A World Bank agreement with the Government of Bolivia plans to promote the Andean marketable products that the indigenous people have to offer. This will get the people of Bolivia involved in national markets, boosting job growth and the economy.

Bolivians are finally being given opportunities to make a living through improved  economic stability and job growth.

– William Norris

Sources: Rural Poverty Portal, The World Bank
Photo: Bioversity International

August 6, 2016
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Economy, Food & Hunger, Global Poverty

8 Facts About Poverty in Jamaica

Poverty in Jamaica Poverty rate
Jamaica has struggled with poverty, unemployment and crime for the past half century, but the nation has recently seen ambitious government economic policies bear fruit. Discussed below are the leading facts about poverty in Jamaica and their implications.

8 Facts about Poverty in Jamaica

  1. Jamaica is not in extreme poverty and is regarded as a middle income country. For comparison, Jamaica has about 1/20th the GDP per capita of the United States, but a four-times-higher GDP per capita than the nearby country Haiti.
  2. Since the 1970s and 80s, Jamaica has experienced serious problems with poverty and unemployment. Through the 90s, unemployment remained around 15 percent, with poverty above 25 percent. The unemployment rate is currently 14 percent and poverty is 16 percent.
  3. A serious hindrance to Jamaica’s development has been slow rates of economic growth. In the past 30 years, Jamaica has had an average annual GDP growth rate of less than one percent. The slow growth rate is a major cause of persistent poverty in Jamaica.
  4. Relationships between Jamaican officials and crime groups cause widespread corruption, which results in many of Jamaica’s problems. The corruption not only hurts law abiding Jamaican citizens, but makes foreign investors far more hesitant to get involved in Jamaican industry.
  5. Public education in Jamaica is not entirely free. There is a registration fee and other school expenses that are not covered by the government. As a result, many of the nation’s most poor children are not able to attend school.
  6. Jamaica jumped 27 places in the 2015 Doing Business ranking, as the Jamaican government has improved its credit rating and decreased the national debt. It is hoped that the improved ranking will increase investment and alleviate poverty in Jamaica.
  7. The World Bank has a positive outlook for Jamaica’s economy, with forecasts of the country’s GDP growth rate climbing to over two percent in 2017.
  8. The Jamaican Government is currently working with the UNDP and the European Union to alleviate poverty on both a macro and micro level. Poverty alleviation and achievement of Millennium Development Goals remains a top priority for the Jamaican government.

Despite Jamaica’s history of poverty and some ongoing problems, economic forecasts for the country remain optimistic. It is possible that Jamaica will experience an economic resurgence and alleviate problems of unemployment and poverty in coming years.

– John English

Photo: Pixabay

August 6, 2016
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