Archive for category: Global Poverty

Key articles and information on global poverty.

Poverty in Riyadh, Saudi Arabia

It is hard to imagine that poverty exists in the largest oil exporting country in the world. But among the extravagant shopping malls and luxury SUVs lies a brutal reality— one laced with destitution, panhandling and unemployment.

Poverty in Riyadh has seen little media exposure. The Saudi government is reluctant to admit poverty exists and seldom releases figures pertaining to the poor population. In 2011, three video bloggers were arrested for reporting on poverty in the kingdom’s capital. The group of young men released a YouTube video on the actual conditions of Riyadh, as well as personal interviews and comments made by beggars in the community. After the video was viewed almost 800,000 times, the Saudi police arrested the boys, sending out a clear message to other young Saudis not to engage in any similar behavior.

The bloggers online show, “We Are Being Cheated,” raises many questions in the international community: How can countries so rich not do anything about their poor?

Although Saudi Arabia’s economy is one of the most powerful in the world, welfare programs have not kept up with the booming population that is now estimated to be over 28 million people. With little disclosed information on the poor citizens, it is hard to know how many Saudis live below the poverty line. However, private estimates suggest poverty in Riyadh affects about 2-4 million people. Analysts consider living on 530 dollars a month, or 17 dollars a day, to be the poverty line in Saudi Arabia.

Unemployment among 15-24 year olds plays a huge factor in the growing poor population. According to the CIA World Factbook, about 28.3 percent of the youth are unemployed. The percentage of unemployed females is almost 35 percent higher than unemployed males, demonstrating that gender imbalances and power struggles are very much present in Saudi Arabia.

In an Islamic society where men are supposed to be the breadwinners and provide for the family, women have a difficult time entering the workforce once the male figure is gone. In many instances, widowed women or women who have disabled spouses cannot finds jobs due to societal prejudices and gender discrimination. In addition, stay-at-home mothers who quickly have to find a way to feed their family often cannot due to lack of education and skills.

The country has roughly 16 million Saudis making up most of the workforce, with the remaining being foreign workers. As the young population struggles to find work, the poverty rate continues to increase. Government statistics display that almost two-thirds of the population is under thirty, and three-quarters of all unemployed Saudis are in their twenties.

King Abdullah has made some efforts in battling poverty-related issues, but no lasting impacts have been made. In 2011, the Saudi government pledged to address the issues of poverty and gave out a 37 billion dollar handout in an apparent bid to bring the country’s poor back on their feet. The money helped with unemployment benefits, raising wages and providing affordable houses, but the people of Riyadh need more than free money. They need long-term solutions.

– Leeda Jewayni

Sources: CNN, NPR, The Washington Post, The New York Times, CIA

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Education in Uzbekistan

Education_in_Uzbekistan
Since gaining independence in 1991, the government of Uzbekistan has committed to reforming the education system and making this system a national priority. Free compulsory education for all children, as well as over 60 schools of higher learning, has lead Uzbekistan to achieve one of the highest literacy rates in the world.

Located in Central Asia, Uzbekistan has a population of over 26 million people. As the region’s most populated country, the government has taken significant measures to ensure high quality instruction for all children.

The Law on Education, established in 1997, states that all citizens have the right to education in Uzbekistan. After minor revisions, the law also encompasses that citizens are required to attend nine years of primary and secondary schooling. Students are then allowed to either continue with higher education for three years or seek vocational training, education that prepares children for a specific career path.

The Ministry of Public Education and the Ministry of Higher and Secondary Specialized Education are responsible for all pre-school, general education schools, higher learning establishments and vocational education. Together, they have been working to improve state educational standards and curriculum, reconstruct school buildings and strengthen teachers’ capacities at all levels.

Research shows that access to primary and secondary education in Uzbekistan is above average for the sub-region. The net enrollment rate for primary school is 97 percent, compared to the lesser 92 percent average of the Central Asian countries. Students also have a 100 percent transition rate to secondary school, indicating that the gap in access between primary to secondary school is virtually non-existent.

However, the Government of Uzbekistan does struggle with early childhood education. Only 20 percent of children aged 3 years old to 5 years old are attending preschool, a figure that was much higher prior to independence. The limited access to preschool and primary school for the 130,000 children with disabilities remains an area of primary concern.

Although methods such as homeschooling are available for these children, they have proven insufficient in meeting the educational needs of this young population. There are few schools and teachers with the necessary supplies and training to deal with children with severe disabilities and learning difficulties. Thus school quality has been a recent target for improvement. In 2006, a learning assessment given to a small group of Uzbek students illustrated that only 30 percent of children were considered to be competent in basic mathematic skills. Likewise, a mere 30 percent of children scored above a proficient level in the literacy assessment.

Many attribute the basic levels of math and literacy to the shortage of teachers. Although teacher salaries have been raised, a large gap exists between teacher wages and the average salary in Uzbekistan. Schools not only find it extremely difficult to recruit new prospects, but also to keep experienced teachers.

Although education in Uzbekistan has seen great improvement over the years, a lot more can be done in order to see the country succeed. According to UNICEF, the Government of Uzbekistan has to increase educational access to children in remote areas and those with special needs. In addition, school infrastructure must be structured to accommodate students with disabilities as well as create a safe and workable environment for teachers and students alike. With these changes, there is great hope that children in Uzbekistan will have a bright future ahead of them.

– Leeda Jewayni

Sources: Education, Audiovisual and Culture Executive Agency, UNICEF, UNESCO
Photo: UNDP

Naming the Islamic State

ISIS has been the name many of us have come to use over the summer as this terrorist group has come to prominence. The group is also referred to as IS or ISIL, by many government leaders.

But why discuss it at all?  Should it matter what an extremist group calls itself? Shouldn’t people be focusing on what means they are using to achieve their ends?

According to Jonah Blank, a former staffer at the Senate Foreign Relations Committee, “the militant organization is waging a propaganda war—and what name it goes by is part of that war.”

This group seeks to reestablish a caliphate, a mecca for Sunni Muslims all over the world run by a supreme religious and political leader. The calphi are older societies, the last of which died out with the Ottoman Empire. They are seen as the Golden Age of Islam. Muslims were at the cutting edge of art and technology. They also controlled vast amounts of political and economic power at this time.

The current attempt of reestablishment has taken place in western Iraq, eastern Syria, parts of Jordan and Turkey. This location has caused the name ISIS to become the front runner. It stands for Islamic State in Iraq and Syria, but the “Syria” they refer to is Greater Syria. Greater Syria is referred to by many as al-Sham in Arabic.

Al-Sham “is the classical Arabic term for Damascus and its hinterlands, and over time, it came to denote the area between the Mediterranean and the Euphrates, south of the Taurus Mountains and north of Arabian desert.”

The Obama Administration has translated the al-Sham differently to mean “the Levant” hence the president’s use of ISIL. It doesn’t have the lengthy explanation of greater Syria, but, more importantly, it also weakens the credibility of the terrorist group in a time when they are trying to recruit supporters.

As The New York Times explains again, the term Levant is “a once-common term that now has something of an antique whiff about it, like ‘the Orient.’ Many Arab nationalists and Islamist radicals disdain it.”

It seems that the President’s administration has come to agree with Jonah Blank. He looks to discredit them openly, causing confusion in the Middle East. This confusion seems to be taking effect.  Many Muslims have already turned their back on the idea of a caliphate, as many have well an established mufti, who is the highest legal authority, giving rulings on practice for the state.

Its name is become confusing, and ISIL cannot seem to decide what to call itself. Islamic scholar Juan Cole says ISISL has no real support beyond their own followers and has no real prospect of gaining the respect of the greater Sunni Muslim community. It seems that its fall might come from internal factors that the U.S. can observe and comment on from afar.

– Frederick Wood II

Sources: NPR 1, NPR 2, NPR 3, New York Times, Juan Cole
Photo: The Christian Post

African Farmers Face Failed Seasons

In a new report released by the Alliance for a Green Revolution in Africa, African farmers, small-scale farmers in particular, are facing serious risks from climate change.

Accounting for approximately 80 percent of farmers in Africa, small-scale farmers are at risk especially due to their small plots of land and lack of resources, hampering their ability to develop effective and reliable irrigation systems. With insufficient labor and resources, these farmers have low input and low-yields, resulting in essentially subsistence level agriculture.

Released at the African Green Revolution Forum, which drew approximately 1,000 delegates including heads of state and government, scientists and business leaders, the report highlighted the consequences of the changing climate of the continent, both in the short and long term.

The report estimates that climate change could increase the number of malnourished from the current 223 million to 355 million by 2050, a 40 percent increase.

The variation in climate, such as prolonged droughts or torrential downpours, has introduced the concept of “failed seasons;” growing seasons that are particularly hampered by the effects of climate change. Increased temperatures have already plagued farmers and average temperatures are expected to continue to rise, with a 1.5 to 2.5°C increase expected by 2050.

Changing climate conditions also has the potential to lower mineral concentrations such as iron and zinc in crops, aggravating the existent problem of nutrient deficiency in Africa.

For some basic crops, the conditions have already become too extreme to tolerate. In East and Central Africa where beans are grown, the effects of climate change could reduce its current seven million hectares by 25 to 80 percent. Land in West Africa and the Sahel suitable for growing bananas could also see a drop of eight and 25 percent respectively.

With food production difficult even now, climate variations threaten to exacerbate the situation further with intense food shocks and cement a perpetual cycle of rural poverty.

Such extreme effects have already begun to take place. Parts of Angola can no longer be used for agriculture after a prolonged three year period of little rainfall and drought.

To adjust to the almost inevitable effects of climate change, the report recommends small-scale farmers adopt a number of ‘climate-smart’ techniques and policies.

Dr. Ameyaw, director of strategy monitoring and evaluation for AGRA, stressed the “efficient use of water—groundwater, surface water and rainwater” in a system that is 98 percent reliant on rainfall.

Included among these climate-smart investments are improved soil and water management, utilizing new crop varieties and improved efficiency through mechanization.

Furthermore, a shift in culture toward sustainability is encouraged. Developing stronger land rights, for women in particular; improving information systems; investing in research and encouraging the preservation of biodiversity are all potential areas of expansion that would help improve the situation.

The authors of the report also emphasize other trends to be concerned about such as rapid population growth and urbanization, which both can affect development and growth.

– William Ying

Sources: Africa Agriculture Status Report 2014, BBC, Phys.org, AllAfrica 1, AllAfrica 2
Sources: MSU

Nigerian Startups Number One

When startups in Africa are discussed, people often generalize the continent as a whole. But it seems that Nigerian startups in particular are making big strides toward being the future of business on the continent.  A slew of investments and ideas suggest the country will be the most prominent for some time.

In April 2014, the Nigerian economy added 89 percent to the GDP literally overnight. After adjusting its figures, the country is now worth $510 billion, easily surpassing the now number two South Africa at $370 billion.

The country did not have to squeeze the numbers, per se, but simply updated figures that were two decades old. The economy had been growing steadily at 7 percent per year but this year, the appropriate values to the banking industry and the burgeoning film scene were added, among other areas.

Despite all the other numerous problems the country faces—like ranking 153 out of 187 on the U.N. Human Development Index—its position as number one should prove to be a much needed boon.

And so far it has, at least for the startups that are quickly appearing in the country.

In the technology sector, incubation center Co-Creation Hub has made $500,000 available in order to fund ideas and experimentation. Startups will be given between $10,000 and $25,000 to clarify ideas and work out issues with business models.

Other companies are excited about the future of tech in Nigeria as well. Microsoft Corporation will sponsor the 2014 DEMO Africa Event, which is scheduled to take place in late September. The event will feature the top 40 startups from the country.

One company featuring at this convention will be Integrated Medics. In a country that needs to advance its healthcare as quickly as possible, it is certainly a highlight that a medical care startup will be featured. The startup plans and promises to deliver smooth and mostly automated healthcare features.

The outlook for the Nigerian economy overall is positive. As the country continues to grow (it’s expected to surpass the United States in total population by 2050), it must also continue to rely on both small and big business to keep its place as the number one African economy.

– Andrew Rywak

Sources: The Economist, This Day Live, The Tribune 1, htxt.africa, The Tribune 2

Poverty and Crime Linked

“Poverty is the parent of crime,” wrote Aristotle. The philosopher’s words have echoed for thousands of years and it is hard to deny that the two are not intrinsically linked. But recent studies have ripped the statement into an open debate and the genealogy has been brought into question.

The most pertinent study was conducted in 2011, after the height of conflicts in Afghanistan and Congo, while violence was on the rise in countries like Côte D’Ivoire and Libya. But the World Bank’s flagship publication, World Development Report, argued that violence is in fact the primary cause of poverty.

The two African nations Burundi and Burkino Faso are used as anecdotal reference that supports the raw data. The two had similar growth rates prior to 1990, when Burundi erupted into civil war. Now, Burkino Faso is 250 percent wealthier.

The research indicates that poor African countries are not in a “poverty trap” so much as they are in a violence trap. A poverty trap suggests that workmen, like farmers, are hesitant to take care of their crops because the insufficient infrastructure means the roads are unable to support large cargo. In theory, wealthier countries can help by pumping aid to build such a road.

While such construction is noble and beneficial to all involved parties, it is only the first step in creating orderly society. Even with roads and a lack of faith in the government, rebel stop and seizures and organized crime will make the farmer all the more hesitant to take the road even when it is there.

Still, data also backs the notion that these countries are violent because they are poor, as well. The World Bank report asked why young people joined gangs and rebel movements. Around 40 percent said unemployment was the primary factor.

What this means, generally, is that in addition to aid that prevents the poverty trap, violence is an issue that needs to be addressed. The Millennium Development Goals, for example, have not been reached by any violent country. And the fact that the MDGs do not address justice and security demonstrates that further steps that are necessary.

One tested manner of reducing violence is restoring faith in government. Ghana’s peace deal in 2003 and Nigeria’s credible cabinet appointments of recent years launched periods of relative peace. It is not enough that the people believe elected officials are not corrupt: the officials must also deliver results. New jobs must be created quickly.

Reports such as these show that while reaching MDGs is important, aid must be refocused and have a human aspect if they want to be more successful.

– Andrew Rywak

Sources: The Economist, The Wall Street Journal, Fundamental Finance
 Photo: Ace Showbiz

The Union in a Modern Economy

Since the middle of the 19th century, when the industrial revolution first made significant impacts on social and economic life in the United States, labor unions have been respected and efficacious models of worker unification. That being said, the industrial revolution is old news. The digital revolution, also known as the third industrial revolution, has taken hold of modern lives. Jobs have become more specific and machines have replaced human workers in certain unskilled positions.

So what role does the union play in today’s economy? To understand, it is necessary to know how unions have always worked.

Unions have, since their inception, been organizations of workers dedicated to maintaining and, if need be, improving working conditions. They run a bit like mini-democracies: elected officials make decisions on behalf of the workers who elect them. Also like most democracies, workers pay for membership. They do this with tax-esque, regular payments, much of which go to those of the union’s staff members who aren’t volunteers.

The goals of unions are simple: to better working conditions. This mission can take many shapes, including pushing for increases in minimum wage and in worker productivity (often done by administering training programs), as well as trade restrictions, such as government-imposed tariffs and quotas. Tariffs are special taxes on imported or exported goods. Quotas are limits on the amount of a certain good that can be imported or exported.

Although there are basic goals common amongst most, if not all, unions, there are several varieties. These organizations represent, after all, different quantities and qualities of professional workers. As a small sampling, unions represent mechanics, teachers, factory workers, office workers, actors, musicians, police officers, construction workers, janitors, writers, doctors, engineers, plumbers and pharmacists, as well as countless others.

Local unions are comprised of local workers, usually bound by sector and region, not employer. They typically receive a charter from a national or international union before forming. There are over 60 national and international unions across the United States and Canada, representing millions of professionals.

Of these local and broad coalitions, there are slightly more specific trade and industrial unions. Trade unions represent workers who work a specific trade, such as those represented by The American Federation of Labor and Congress of Industrial Organizations. Industrial unions, alternatively, represent workers who work a specific industry, including those represented by The United Auto Workers.

During the first industrial revolution, unions began to form alongside companies operating within steel mills, textile factories, mines and other heavily regulated environments. Because of this, unions are often associated with the “old economy,” but the new economy is, of course, where unions must work today.

As small and medium sized businesses outside of manufacturing become more prevalent, unions become increasingly general and must represent a much wider range of employees. This makes collective bargaining, a technique unions employ to facilitate negotiations between employers and employees, a more difficult task than it used to be. Naturally, since there are more managers with whom to negotiate and more potential hangups to avoid, the process may be elongated. Settlements may become compromised as unions juggle an array of workers.

These effects, however, are mostly speculative. In general, the union has been and continues to be, at least for today, an effective and empowering tool workers use and need.

– Adam Kaminski

Sources: Investopedia, Union Plus
Photo: The Century Foundation

New Standards for Poverty Line in India

India’s Economic Advisory Council enacted its highest standard for poverty this summer. The new standards will place 30 percent of the nation’s population below the poverty line. This adds an extra eight percent to the estimate under previous standards.

By the new benchmarks, a rural family of five living on 4,860 rupees (or about $80) a month or an urban family on 7,035 rupees (at 2011-12 prices) is considered poor.

Despite encompassing more citizens under the poverty line in India, these new standards reflect progress. This year, after recent elections and a new government, marks the first time the nation has taken on major economic reform in two decades.

Over the past 20 years, the Indian economy has witnessed rapid changes. The United Nations reported that the Indian economy is expected to grow at a rate of 5.6 percent this year. It is on track to surpass these expectations, already having expanded its economy by 5.7 percent by August. The manufacturing and mining industries have accounted for this growth, according to the Central Statistics Office.

These changes will better acknowledge and help address the actual needs of the Indian population, argue many economists.

This new definition puts India’s standards above the average in the developing world. The most popular definition of poverty is the World Bank’s $1.25 a day standard. Some economists argue that this low standard of poverty undermines the struggles of many legitimately poor families. A low bar for poverty often minimizes legitimate needs for poor families that are above the bar.

This perpetuates many myths about poverty. For example, many believe food is the biggest need for India’s poor. However, health care, drinking water and proper sanitation make up 40 percent of the poor’s biggest needs, according to the Director of McKinsey Global Institute Richard Dobbs.

“The kinds of contrasts we possess, no other country has,” said Himanshu, an economist at Jawaharlal Nehru University in Delhi, in an interview with the Washington Post. “And in a democracy, these things need to be questioned. That’s what the poverty lines do.”

— Ellie Sennett

Sources: Business Standard, The New York Times, The World Bank, The Wall Street Journal, Economic Times (India), Huffington Post

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Top Charities to Donate to for Hunger

donate to for hunger
The United Nations Food and Agriculture Organization has estimated that around 870 million people of the 7.1 billion people in the world –  that is, one in eight – were suffering from undernourishment between 2010 and 2012. Almost all the hungry people, 852 million to be exact, live in developing countries.

There are 16 million people undernourished in developed countries. Thankfully the number of undernourished people has decreased almost 30 percent in Asia and the Pacific, from 739 million to 563 million.

The decline in hungry people could be accredited to charities that make it their mission to end world hunger. One charity helping alleviate hunger for example treated 42,000 severely malnourished children in Democratic Republic of Congo in 2012. This charity is called Action Against Hunger.

Action Against Hunger has 30 years of expertise in specific areas like conflict, natural disaster and chronic food insecurity. It runs life-saving programs in over 40 countries benefiting seven million people each year.

In America, the number one charity to donate to for hunger is Feeding America. Formerly known as America’s Second Harvest, it provides food assistance to more than 25 million low-income people facing hunger in the United States, including more than nine million children and almost three million seniors. Feeding America services all 50 states with more than 200 food banks.

While considering which charity to donate to, a third charity to consider is the Bread for the World Institute. The Institute is a lot like The Borgen Project in that it aims to educate its advocacy network, opinion leaders, policy makers and the public about hunger in the United States and abroad. One of the primary goals of the Institute is to end hunger in the United States by 2030.

Thanks to donations and hardworking volunteers, world hunger has been cut in half; however, hunger still kills more people every year than AIDS, malaria and tuberculosis combined. For example, Asia currently has the most people on its continent that are hungry, making up about two thirds of the area. In order to stay on track and end hunger by 2030, donations are imperative and any of the charities listed above are rapidly working to make sure the money donated is used in the most efficient way.

– Brooke Smith

Sources: about.com, Bread for the World Institute, Action Against the World, WFP
Photo: flickr

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Good360: a Supporter of Charities

good360
Founded in 1983, Good360 has been the nonprofit leader in product philanthropy since its start. Good360, formally known as Gifts In Kind until changing its name in 2011, quickly escalated and became the fastest growing and most efficient charity in the country according to The Nonprofit Times.

The basis of Good360 is it helps companies donate new, nonperishables like apparel, books, toys, personal care products, office and school supplies, and computers along with many other items. Only three years in, product donations valued at almost $44 million that had been distributed to qualified nonprofit organizations.

Because of some of the great work Good360 has done, it has been recognized by both the Committee Encouraging Corporate Philanthropy and Forbes for its success in helping companies drive their bottom lines while doing a social good at the same time.

Over time Good360 created something called Retail Donation Partner Program. This program is what allows local charities to partner with retail stores in their communities. This benefits not only the charities but the local retail stores as well in donating their surplus.

For example, the Washington Nationals baseball franchise  partnered with Good360 and collected donated toothbrushes for people impacted by the 2010 earthquake in Haiti.

With all these things that the company does and oversees there needed to be a set way of doing things. There are three ways to distribute product donations to the needy: warehoused donations, local retail donations and one-time local donations.

To understand fully how great the company is, it’s important to know how these processes work. The warehouse donations process created an efficient means of maintaining large quantities of product that are then broken up into smaller portions that are easier for charities to distribute.

The local retail donations  allow retailers to directly donate to charities in their community. This is beneficial because it helps smaller charities get products straight from local businesses on a continuing basis. This is also good because it creates strong connections between the retailers and charities.

The last way that Good360 distributes product donations is through one-time local donations. This basically entails finding homes quickly that need donations within the local community. This is beneficial because it helps reduce waste and companies don’t need to set up a certain amount that they will always donate each month. It can be an item that they have excess of and, rather than throwing it out, that product can go to a good home. When this happens, local charities are notified of the opportunities for donations in their community and then orders can be filled on a first-come, first-serve basis.

Good360 made it on the Forbes list of the 50 largest charities in the United States. Ranking at number 36, Forbes also gave it 100 percent in the fundraising efficiency category. Only seven of the 50 charities received a 100 percent in the same category.

– Brooke Smith

Sources: Good360, Forbes
Photo: flickr