Archive for category: Global Poverty

Key articles and information on global poverty.

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5 Charities Operating in Sierra Leone

Charities Operating in Sierra Leone
Sierra Leone has found itself in a dire situation with a 10-year civil war and a mass outbreak of Ebola. Despite this, some have been implementing large-scale charitable efforts. By prioritizing sanitation, gender equality and safety for children, charities operating in Sierra Leone can help dramatically improve living conditions in Sierra Leone. Here is information about five charities operating in Sierra Leone.

WaterAid

WaterAid is a charity that provides clean water and sanitary spaces to impoverished countries. Sierra Leone suffered from a mass outbreak of Ebola from 2014-2016. Statistics from WaterAid show that less than one in four households had access to wash their hands and one in 14 had access to soap. With poor sanitary spaces, the people of Sierra Leone suffered greatly with more than 14,000 cases of Ebola. A lack of clean water also results in the prevalence of diarrhoeal-related illnesses with more than 700 children under the age of 5 dying from the illness every year. WaterAid aims to provide clean water, toilets and other sanitary products to prevent the devastating impacts of various diseases. Through funding the construction of taps dispensing clean water, WaterAid strives to give the people of Sierra Leone access to clean water.

Sierra Leone War Trust For Children

Sierra Leone’s 10-year civil war forced many young children to fight and see things beyond their years. Established in 1999, the Sierra Leone War Trust For Children aids those children most affected by the civil war and helps them find a safe future. Project funding has prioritized children’s health and education to give young children the best chance at a healthy and fulfilled life. Since its establishment, the charity has raised more than $1 million and has helped more than 5,000 Sierra Leonean children. Current projects involve giving aid to Ebola orphans who have lost parents and donating school supplies to improve the quality of education in the country. By giving children important skills, they have a better chance of finding employment in the future and growing the economy.

British Red Cross

The British Red Cross is a charity that strives to end human suffering around the world. The charity prioritizes education as a key to the nation’s health. For example, Red Cross volunteers visit households to educate families on disease prevention techniques. By giving Sierra Leonean people essential knowledge about the spread of disease, the risk of another outbreak is much lower. As a result of COVID-19, domestic abuse of women in Sierra Leone has been an increasing problem. Through cash grants, the British Red Cross has also emphasized the provision of education, medical attention and job opportunities to women suffering from domestic abuse.

Aberdeen Women’s Center

Charities operating in Sierra Leone are necessary to provide aid for women in society. The Aberdeen Women’s Center, operating in Freetown Sierra Leone, aids women who have suffered from female genital mutilation (FGM). The charity has gained significant popularity since it started in 2010 and the maternity ward now delivers more than 3,000 babies a year. By ensuring safe childbirth for young women, the charity is working to set a precedent by encouraging safety for women post-childbirth. With support from the Aminata Maternal Foundation (AMF), the charity also helps adolescent females post-childbirth learn employable skills and find a career path. Aberdeen Women’s Center is working to create a long line of healthy and economically stable women in a Sierra Leonean society where they are often marginalized.

UNICEF

UNICEF aims to increase safety for children in Sierra Leone by providing greater access to education and health spaces. It realizes the unprecedented circumstances children, especially girls, are facing, which is why the charity is a part of the “Global Programme to Accelerate Action to End Child Marriage.” This initiative has the goal of protecting adolescent mothers.

Due to extreme poverty, school attendance in Sierra Leone is low. UNICEF statistics show that only 44% of students complete lower secondary school, and even fewer complete an upper secondary education – 22%. The high frequency of teenage pregnancies and marriages has contributed significantly to these low numbers. According to UNICEF data from 2015, 30% of females married before the age of 18, and one in 10 teenage girls was pregnant. Moreover, high illiteracy and a lack of economic independence have led to women lacking a political voice in Sierra Leone. To stop this cycle from repeating, UNICEF is working on getting more girls into school by financially aiding The Ministry of Basic and Senior Secondary Education (MBSSE). The MBSSE supports a bridge program to help adolescent mothers re-enroll.

The Road Ahead

Overall, these charities in Sierra Leone have made monumental strides. By prioritizing sanitation, education and medication, these charities are greatly helping those in poverty. Although the country has a long way to go to escape widespread poverty, the efforts of these charities will contribute to a more prosperous future for Sierra Leone’s citizens.

– Freddie Trevanion
Photo: Flickr

Health Care Access in Indonesia Expands due to USTDA Support

Health Care Access in Indonesia
Health care access in Indonesia is expanding due to U.S. Trade and Development Agency (USTDA) support as the USTDA approved on January 26, 2023, a grant to present to Indonesia’s Ministry of Health (MoH). The grant will finance the research and development of a National Imagining Data Repository (NIDR), which will enable “healthcare providers to reach, diagnose and treat underserved communities across Indonesia using a cloud-based centralized warehouse for patient information,” according to the USTDA website. This push for innovative digital health care technology will strengthen Indonesia’s health care system after the COVID-19 pandemic revealed several shortcomings. GE Healthcare, based in Illinois, is partnering with the MoH on the project.

The State of Health Care in Indonesia

As of 2021, more than 40% of Indonesia’s population lives in rural areas. These people stand as a focal point in this health care access expansion. Indonesia has a limited number of doctors typically situated in urban centers. The fact that, as of 2021, Indonesia had only about 6.95 doctors per 10,000 people supports this.

People in Indonesia saw an increase in access to health care in 2014 when the National Health Insurance program began. Indonesia spends just 3.2% of its GDP on health care, which is lower than other comparable countries, but experts project that this will rise.

With this in mind, there is much to do to increase access to health care in Indonesia, especially considering 3.6% of the population (9.8 million people) lives under the international poverty line as of 2021. However, the government is actively focusing on better serving those across the nation through the USTDA’s support.

Diving into the Project

“Indonesia is placing considerable focus on the digitalization of its health care sector, to strengthen its resilience using innovative technology and to support economic growth,” stated Enoh T. Ebong, USTDA’s director, in a press release.

“USTDA’s pilot will initially focus on sending radiology and cardiology images to a cloud-hosted environment that will provide a centralized location to view all patient medical information for referring physicians from 10 hospitals in the greater Jakarta region,” the press release explains.

After this process is in motion, it will provide a baseline for larger data cumulation and clinical partnering all around Indonesia. The NIDR will be able to expand to “serve as a platform for a variety of other patient types,” including obstetrics and orthopedics.

“Digital Transformation is at the forefront of our policy agenda in Indonesia and we see this as a key step to achieving our ambitions,” said Kunta Wibawa Dasa Nugraha, secretary general of Indonesia’s Ministry of Health, in a press release. Indonesia’s health care system faces barriers in serving the entire country due to how the population is spread out across remote locations and multiple islands.

USTDA’s support of this project will advance the goals of Indonesia MoH’s “Blueprint of Digital Health Transformation Strategy 2024.” It will also further “one of the key pillars of the Biden-Harris Administration’s Partnership for Global Infrastructure and Investment, which aims to strengthen global health security through investments in patient-centered health services,” says the press release. The collaborative efforts will allow increased access to health care for Indonesians in rural, remote areas.

Looking Forward

The health care access expansion in Indonesia due to USTDA support will propel the country’s health care into the digital age while strengthening Indonesia’s health care system overall. It will also increase quality health care access for the most disadvantaged people in remote areas of the country.

– Sean McMullen
Photo: Flickr

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How The Avido Foundation is Aiding Kibera

Aiding Kibera
David Avido, the creator of the Lookslike Avido clothing brand and The Avido Foundation, has made a remarkable impact within Nigeria and globally. Avido has overseen operations and provided leadership for sustainable program implementation. The Avido Foundation has placed these programs to inspire youths to live a life free of crime and idleness. Through this, households are able to generate income, further giving back to theie community. Here is how The Avido Foundation and Lookslike Avido are aiding Kibera. 

The Avido Foundation

Avido had the desire to create an NGO that would bring additional aid to Kibera locals who are in need of a brighter future. A group of committed, young individuals who are hungry to make a difference in developing communities by creating innovative ways to end the cycle of poverty established the organization in 2021. Lookslike Avido expresses David Avido’s message through the crafting of beautiful handmade pieces in Kibera. Here is how Looklikes Avido is aiding Kibera.

5 Ways Looklikes Avido is Giving Back to Kibera

  • Creating Jobs: Looklikes Avido employs 12 local tailors on a project-by-project basis. As the clothing brand expands, its objective is to generate long-term employment for people.
  • Upholding the Community: Looklikes Avido has created 74 school uniforms and funded tuition for 10 students. Along with mentoring young people, it also organizes cleaning activities.
  • Eliminating Fabric Waste: All of the organization’s unused materials help create free COVID-19 masks for the people of Kibera or shopping bags or it donates them to local tailoring classes.
  • Investing: The organization reinvests 20% of its profits into localizing the value chain. It does this in Kibera and includes investments in product photo shoots, artist collaborations and item tailoring.
  • COVID-19 Initiative: In 2020, approximately 600 food distributions and 23,000 free face masks were provided to the residents of Kibera in collaboration with the Uweza Foundation. 

About the Avido Foundation

The Avido Foundation itself is a non-governmental organization based in Kibera. The majority of their initiatives serve to specifically target mothers and children who live in the Kibera slum. The number of Nigerians living in poverty stands at more than 133 million, according to the National Bureau of Statistics (NBS), and that figure represents 63% of the nation’s population. Avido’s efforts focus on eradicating poverty by educating children and empowering the people affected with tailoring and fashion design skills. Here are four programs that the Avido Foundation provides that are aiding Kibera.

4 of The Avido Foundation’s Programs

  1. Vocational Training: Tailors at Lookslike Avido provide training to the deaf community and young women in tailoring. The course lasts approximately six months. At the end of the program, individuals gain the skills necessary to improve their finances and decrease their dependency on family members.
  2. Helping Students: The Avido Organization identifies pupils who may drop out because of unpaid school fees in cooperation with Kibera’s primary schools. Numerous Kibera families cannot afford to put their children in school due to high unemployment rates within Kibera and Nigeria. The Avido Foundation assists and supports children throughout their whole academic careers.
  3. Mental Health Awareness and Advocacy: The Avido Foundation has provided a safe place as well as exercises including yoga for youths living in Kibera. This ensures that they can express their emotions and share their hardships openly. Avido’s goal is to assist in eliminating the stigma associated with discussing mental health.
  4. Emergency Relief: The Avido Foundation has invested itself in organizing fundraising campaigns for emergency relief, such as extinguishing fires, combating flooding and addressing food distribution issues that have consistently affected Kibera.

Building imaginative futures and empowering the people of Kibera are the primary motivations behind The Avido Foundation and the global fashion brand LooksLike Avido. The Avido Foundation is one of the many NGOs that are changing the world.

– Lauryn Defreitas
Photo: Flickr

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The Benefits of Formalizing India’s Economy

India’s Economy
India’s government outlined major economic formalization within the next 10 years. Formal economies create new tax incentives and remove financial burdens an informal economy leaves in place. Informal economies have left in place jobs with no benefits. They can create significant pay gaps between those in informal economies and formal economies. The latest step in formalizing the economy is formalizing the “mom-and-pop” shops, thus creating boosted tax bases and increasing a taxpayer database to remove further economic burdens from the poorest Indians.

Formal Versus Informal Economies

An informal economy or informal economic sector is common worldwide in developing nations. An informal economy or sector is a type of market, job or business that can generate reliable revenue but the government does not properly tax or track. From their offset, informal economies seemed promising, especially to the workers, as they promised a reliable transition between a developing nation and a nation with a solid and robust economy. Instead, as many informal sectors have yet to formalize, they and their workers are putting extra strain on the economy without paying fair taxes.

The COVID-19 pandemic devastated the informal economy workers. In most cases, an informal economic worker works on a case-by-case basis, such as cab and bus drivers in Africa or market vendors. The informal workforce predominantly defines work done on a one-to-one transactional case. The informal economy has been necessary for an economic transition to find areas with sustainable economic growth. However, economic growth, job opportunities, and income possibilities remain low if those areas remain informal.

Workers in informal economic sectors tend to be poorer and have fewer chances to create an upward financial movement for themselves. The continuance of an informal sector or business separates workers from tax benefits, government resources and assistance as needed. As a whole, this can limit the potential upward mobility for an entire region or nation, limiting sustainable economic growth and leaving poverty rates higher than they would be if an economy were to formalize.

Why is India Formalizing its Economy?

India has been aiming to formalize its economy for years, and current Prime Minister Narendra Modi is spearheading the efforts. PM Modi and his government are formalizing India’s economy through sweeping policy changes that can keep workers safe and markets flexible while decreasing poverty rates as access to government assistance improves. Formalizing India’s economy is not an easy task, with a great deal of pushback coming from the informal work sectors, but for long-lasting economic growth, the government began taking small steps in the formalization process.

About 93% of India’s workforce works in its informal economy. When the COVID-19 pandemic hit, and citizens in informal work positions lost most, if not all, of their income, they had to turn to government assistance, forcing a formalization process that proved beneficial for all. Between 2019 and 2021, India’s poverty rate dropped from 55% to 16%, an impressive economic recovery aided by Modi’s push for formalizing India’s economy.

Formalizing India’s economy has been a long time coming, and the government is determined to capitalize on the improvements made during the pandemic and create stable, sustainable growth that benefits all Indian citizens.

The Latest Formalization Steps

The latest steps in formalizing India’s economy include expanding the Goods and Services Tax (GST). PM Modi originally introduced the GST to formalize the economy and plans to expand the GST for the small “mom-and-pop” stores. Expanding the GST is not the first step India has taken to formalize the sector of small corner stores. India’s government implemented zero Merchant Discount Rates (MDRs) on all digital financial transactions for stores earning less than Rs 20,000 a month.

Expanding the GST will bring additional businesses under the tax umbrella to lighten economic burdens on others and other businesses that may have heavier taxes as compensation for the remaining untaxed businesses. Formalizing India’s economy brings the mom-and-pop stores government assistance as needed, as many suffered due to shutdowns during the COVID-19 pandemic, and business-to-customer (B2C) interactions minimized. With the GST’s growth, the Indian government wants to use private and public databases to track the development of B2C interactions to understand each region’s economic growth and stability.

Formalizing India’s economy is necessary for lifting millions of citizens out of poverty, creating jobs that can last generations and bringing tax and government benefits to all citizens. PM Modi and his government are striving to support their citizens in unprecedented ways in India. Expanding the Goods and Services Tax is one of many ways to build national economic strength.

– Clara Mulvihill
Photo: Flickr

Updates on SDG 17 in Uganda

Updates on SDG 17 in Uganda
Uganda is a country that is making progress. Although slow, it is working towards creating a more sustainable future based on the U.N.’s Sustainable Development Goals (SDGs). The SDGs are a set of 17 objectives that sufficiently help countries contribute toward a globally sustainable future. As of 2021, Uganda’s overall score in the U.N.’s SDGs is 54.9, a steady increase of 7.22 over the past 20 years. However, the country still faces many challenges in achieving SDG 17: Partnerships for the Goals. Here are updates on SDG 17 in Uganda.

A Slow Start

SDG 17 focuses on collaborations between and within nations, as a means of realizing the other 16 goals. Despite the challenges that Ugandans have with SDG 17, the country has made a small and unsteady improvement in relation to its Statistical Performance Index (SPI). SPI is a subset of SDG 17 which measures data monitoring and collection. For a country where 21.9% of its population lives below the poverty line, data is essential to work in partnership with other stakeholders and move toward a sustainable future.

Data Progress

A lack of accurate data may affect updates on the SDGs. The progress of SDG 17 in Uganda is dependent on data that partnerships can share. One of the governing principles behind the U.N.’s Sustainable Development Goals (SDGs) is “Leave No One Behind.” It necessitates data collection to identify communities and populations that need aid, as well as recognize inequalities they face. Ghana is another sub-Saharan country that has made big investments in data collection. This has significantly impacted its work to alleviate poverty. The example of Ghana could be a lesson to Uganda on the importance of data on SDG progress. With improved data collection, qualitative nature will inform work between Uganda and other stakeholders.

Mapping a Future

One way in which partnerships are being developed in line with SDG 17 in Uganda is through projects like Community Mapping. The project collects geographical data from the north of the country. It allows people to know where and to whom to deliver aid to. Community Mapping is an online platform that allows anyone around the world with access to a computer to generate maps of the north of Uganda. Jamie Huck, a Geographer at the University of Manchester, England, developed this program. Community Mapping has helped stakeholders to, for example, provide prosthetic limbs to citizens, which in turn allows those people to step back into the workforce. The accumulation of data also allows partnerships to form and improve development.

Improving the Future

Another way in which SDG 17 in Uganda is progressing is via community health programs that global partnerships funded. For example, the global COVID-19 Vaccine Delivery Partnership, which seeks to support countries who have been struggling to provide vaccines to their citizens has been funding Uganda since July 2020. This partnership has allowed local medical professionals to distribute COVID-19 vaccines to rural communities, which many often overlook. This, in turn, has allowed children to return to school with fewer hurdles, like illness and lockdowns. With accurate data about communities and rural areas, there can be a more equal and equitable distribution of vaccines.

Uganda’s Journey

It is essential that the world moves toward a sustainable future, in line with SDG 17 as there is an interconnection between several stakeholders. To improve its SDG 17 score, Uganda must prioritize data collection, as it can positively affect development. People can return to the workforce and children can go to school. When people are accounted for, countries and communities can work together to create a sustainable future.

– Eloïse Jones
Photo: Flickr

How Grameen Bank in Bangladesh is Reducing Poverty

Grameen Bank in Bangladesh
Bangladesh is located in South Asia with an estimated 171 million people. The country is a developing nation due to its poverty reduction and economic growth over the years. It has made significant progress since 1971 when it was the second poorest country in the world. In 2019, according to the Asian Development Bank (ADB), 20.5% of people were living below the national poverty line of $1.90 per person per day. Among the initiatives for the nation’s development, Grameen Bank in Bangladesh contributed significantly to poverty reduction as it provided access to financial services for poor people.

A Bank for the Poor

The founder of Grameen Bank is Professor Muhammad Yunus. He started the project in 1976 at a small village in Bangladesh, Jobra. Grameen Bank began in Bangladesh in 1983 and it is actively working in remote communities in Bangladesh. Its main aim is to fully include poor people, especially women, in financial and economic activities. Grameen Bank is different from conventional banks, which are based on people’s possessions. Green Bank’s priority is to help the poorest and most vulnerable people. According to the managing director of the bank, “Grameen Bank is the pioneer microcredit organization in the world. Starting from scratch, the bank has for years added a multidimensional package of services aimed at freeing the marginalized poor from starvation, hunger, and deprivation.”

How the Microcredit Loan Works

Grameen Bank believes in the potential of the individual. It helps anyone with a business that they want to develop be eligible to get a loan. Grameen Bank also helps them reduce their poverty level. The microcredit model consists of a small loan that can help poor people to better their living conditions and to start or support their small businesses. It is a little amount, between $10 and $2,000. The first example of the microcredit approach was in Bangladesh when Grameen Bank gave two women $27 to expand their bamboo stool company.

The women were able to support their business and repay their loans. The distribution of the loan starts with the division of people into groups of five. In the beginning, the money arrives only to two people. After seeing adequate results from their investment, the other two people from the group can get the loan. If the repayments are regular, finally the last person gets the money. After the distribution of the full loan, people participate in a training program.

Achievements and a Prosperous Future

The microcredit approach that Grameen Bank has adopted is an example of how a small amount of money can make a really big difference in the lives of those who live in poverty. Grameen Bank is considered a successful model for fighting poverty as 6 million people were able to get a loan. In 2006, it received the Nobel Peace Prize. One of Grameen Bank’s main achievements is increased social respect for women.

According to Grameen Bank, many societies consider women at risk of failing to repay loans. However, Grameen Bank gave more loans to women and nowadays, 98% of borrowers are female.

Grameen Bank is currently operating in 94% of the villages in Bangladesh and is helping 45 million people. Grameen Bank in Bangladesh has assisted poor people in an incredible way. It provides guidance and inclusion of disadvantaged people in the financial environment. One can consider it a fundamental step to help improve poor people’s conditions and help them escape from poverty.

– Elena Luisetto
Photo: Flickr

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About Russia’s Foreign Aid

Russia’s Foreign Aid
The Russian Federation or simply Russia has had what one can only describe as a tumultuous time over the period since the collapse of the Soviet Union. The economic revolution after the fall of the USSR could be the driving force behind the economic adversity the nation suffered during the period. With Russia enacting extreme economic reform with the aim to transform itself into a modern capitalist nation, Russia actually received vast humanitarian aid itself due to the hardship many lived through during the first years after the Soviet Union.

While there is still much work necessary in the country, Russia has transformed itself from a net receiver of foreign aid into a significant net donor. Russia’s Official Development Assistance (ODA) steadily increased from $100 million in 2004 to more than $1 billion in 2017, making it one of the largest foreign aid donors in the world. Here is some information about Russia’s foreign aid.

Russia’s Foreign Aid

According to the World Bank, Russia has been formulating its development cooperation agenda for nearly a decade. The nation has increased its foreign aid efforts, chiefly, with a significant boost to ODA. As stated previously, Russia’s ODA gradually increased between 2004 and 2017. While also increasing foreign aid, Russia equally provides significant military aid to certain nations.

Alongside the ODA, Russia has increased its role in improving assistance to the International Development Association (IDA). The World Bank stated that “Russia expressed strong support for the IDA as an important multilateral mechanism for providing assistance to the poorest countries.”

Putin and his government list “poverty reduction, disaster relief and the development of trade and economic partnerships as the key reasons” why Russia gives foreign aid, according to AidData.

However, studies also suggest that Moscow might actually be a “pioneer in de-stabilizing aid.” This is a form of aid designed to promote unrest and provoke antagonism towards other states and international institutions. Governments can do this through financial military aid.

Benefits to Russia

Many assume that providing foreign aid only benefits the recipient nation. However, there are many reasons why foreign aid could also benefit Russia itself. By providing foreign aid, there is a chance to boost economic activity in recipient countries. Russia may be able to improve conditions for trade and foreign investment in receiving countries. Thus, increasing the industrial capabilities and capacities may help provide more markets for Russia and increase potential trading partners, according to the World Bank.

Increasing and strengthening national institutions that combat organized crime and terrorism in receiving nations may also prove beneficial to Russia by improving Russian national security. AidData suggests that Russia also benefits from “checkbook diplomacy via foreign aid.” Nicaragua benefited heavily from Russia’s ODA, receiving $150 million alongside substantial military aid.

Nicaragua happens to be one of the only nations that recognize the Russian-backed separatist regions of Abkhazia and South Ossetia as independent nations. Perhaps unsurprisingly, Nicaragua was one of only 11 states to back Russia in a U.N. General Assembly resolution during the Russian invasion of Crimea in 2014. This suggests that Russia also benefits politically from foreign aid, gaining favor from nations that receive financial and military aid from the nation.

Benefits of Foreign Aid

While it is possible to see how Russia may benefit from giving foreign aid, it is clear that foreign aid helps many nations around the world tackle serious issues such as poverty. Humanitarian Careers has stated that the first significant reason foreign aid is so important is that “it saves lives.”

Countries that provide foreign aid contribute a number of their funds to humanitarian assistance. Nations that crises, disasters or conflicts around the world affect are often unable to afford basic necessities due to the situations they are in. Foreign aid allows for the provision of food and water alongside other vital supplies that are necessary during a crisis. Foreign aid also allows for a more steadfast recovery and helps rebuild areas where catastrophes devastated, according to Humanitarian Careers.

A second key benefit of international foreign aid is that it helps impoverished countries develop. Increased funding to key government departments such as infrastructure, health care and education can help reduce poverty. Assisting poorer nations benefits their citizens’ livelihoods and increases their incomes.

A substantial part of foreign aid is in the form of military aid. Military aid can come in many different forms. It mostly comes in the form of donations of military equipment or loans which a nation can spend on its armed forces. This can be vital as many donor nations have significant security threats such as terrorism, organized crime groups or separatist movements. While often divisive depending on which side of the debate a person is on, military aid can provide huge security to a nation.

Increasing Efforts

The Russian government has made huge strides to increase its foreign aid in recent years, having moved from a net receiver of foreign aid into a global donor of foreign aid. Foreign aid not only provides many benefits to Russia but also will help nations in need better provide for their citizens.

Ultimately, foreign aid can provide significant resources to those in severe poverty across the globe. The more foreign aid provided from those nations who can afford to can only continue to benefit those who struggle to make ends meet and those who have suffered through tragic natural disasters and regional conflicts that devastate local populations.

– Josef Whitehead
Photo: Flickr

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Implementing Fair Taxes to End Poverty

Fair Taxes
In a time of unprecedented wealth, poverty still plagues the planet. Despite enormous strides in health care, education and total wealth over the last millennium, modern society is as unequal as feudal Europe. As transnational companies (TNCs) and the super-rich accrue vast fortunes, in 2022, 648 million people lived in extreme poverty, surviving on less than $2.15 per day. Without fair taxes, global inequality increases and poverty progress slows.

Growing Inequality

Between 1990 and 2019, the global extreme poverty rate shrank from 37.8% to 8.4%. However, in the wake of the global pandemic, progress toward ending poverty reversed for the first time in 25 years. In 2020, global extreme poverty rates rose to 9.3%. Since 2020, the wealthiest 1% of people have accumulated 63% of all newly created wealth.

Further, as billionaire fortunes raise a cumulative interest of $2.7 billion per day, the last year saw inflation rates surpass salary growth for 1.7 billion workers. Only half of all billionaire fortunes are subject to inheritance tax, with “tax havens” holding “8% of the world’s household financial wealth,” Oxfam highlights. Additionally, major “food and energy companies more than doubled their profits in 2022,” during the same year that saw even the developed world choose between a full stomach and a warm home, Oxfam reports.

The 5% Tax

In January 2023, Oxfam published a paper titled “Survival of the Richest,” which highlights the broadening wealth gap between the rich and the deprived and suggests that the world reconsiders the meaning of fair taxes. The crux of this paper is a simple idea. Oxfam proposes that a 5% tax apply unilaterally to all multi-millionaires and billionaires. A humble 5% tax would accumulate $1.7 trillion per annum: sufficient funds to implement a comprehensive strategy to eliminate world hunger and end poverty for 2 billion people.

Changing Attitudes

Amid escalating inequality, attitudes regarding what constitutes fair taxes are changing. For the first time in history, most Americans agree with the statement: “the government should redistribute wealth by heavy taxes on the rich.” About 80% of Indians and 85% of Brazilians also favor higher, fair taxes for the super-rich.

In October 2022, proposed tax cuts for large corporations in the U.K. led to a “U-turn” in the prime minister’s plans and even her resignation. In the same year, more than 100 millionaires signed a charter demanding higher tax burdens on the rich as a way to resolve global poverty. Even those who benefit from the current economic system agree that it causes unfair economic inequality.

Tax expert Chenai C. Mukumba says in her foreword introducing the Oxfam paper, “Inequality is one of the most important issues today and, left unabated, has the potential to exacerbate many of the social cleavages that exist within our society.”

She says further, “Addressing it, therefore, should be at the forefront of our policy agendas and this report presents an important but insufficiently explored way of doing just that: taxing the rich. Taxes that target the rich allow tax to play its redistributive function by constraining the growth of income.”

Colombia’s Tax Revolution

Echoing Mukumba, Colombia’s Minister of Finance and Public Credit José Antonio Ocampo proclaims in his foreword that “taxing the wealthiest is no longer an option — it’s a must. Global inequality has exploded and there is no better way to tackle inequality than by redistributing wealth.”

Colombia stood as the seventh most economically unequal nation on the planet in 2020 but Ocampo aims to change this. “By abolishing decades-long tax privileges and loopholes that benefit only the richest, there will be more money to invest in free, quality public services like education and health care. To invest in agriculture. In climate and nature. And in peace.” He says further, “This is not something symbolic; it’s not just talk about increasing taxes on the rich to support the poor. It’s [a] historic shift. And it’s long overdue…Ordinary Colombians have had enough and demanded change.”

In keeping with Ocampo’s aspirations, Colombia passed the Tax Reform Law (TRL) on January 1, 2023. In 2022, Colombia temporarily raised its corporation tax to 35%, the third highest rate in the world. The new TRL enshrines the 35% corporation tax in the Colombian legislature. The TRL also repealed the Mega Investment regime law, which reduced income tax to 27% for foreign investors. Most pertinently, TRL introduces Oxfam’s proposed 5% millionaire tax, which supplements the new 35% corporation tax. Although Oxfam’s paper only offers a fledgling suggestion, the ripples of its ideas are already making waves in the Colombian tax structure.

Fair Taxes to End Poverty

Since 1980, inheritance and income taxes have fallen sharply for the super-rich. With global cohesion and cooperation, the 5% income tax could eradicate poverty and hunger in a year at the cost of returning billionaires to the levels of wealth they held in 2012, which is still a tremendous imbalance in affluence.

The world is beginning to agree that “inequality is not inevitable,” as Oxfam highlights. Colombia has proven that fair taxes are a possibility. Those who wish to end inequality and poverty can take heart that the world is not only listening but beginning to change.

– David Smith
Photo: Wikipedia Commons

Bamboo Houses to Address the Global Housing Crisis

Bamboo Houses
Across the globe, millions of people are suffering from homelessness. In 2017, Habitat for Humanity approximated that 1.6 billion people worldwide suffered from inadequate housing. With the global population continuing to rise, the need for housing across the globe is becoming dire. More than half the planet’s population lives in urban areas, yet affordable housing is inaccessible. The answer to this housing inadequacy could come from one of the fastest-growing grasses on the planet — bamboo. Bamboo houses stand as an affordable solution to the global housing crisis.

What is Bamboo?

Bamboo is a tree-like grass that rapidly grows throughout countries with subtropical and tropical temperatures. The plant is most commonly found in South America and Asia but also exists in specific regions in North America, Australia and Africa. The unique aspect of this plant is its quick regrowth. Certain species of bamboo can grow 2.91 feet in just one day. Bamboo is durable, sustainable and strong. In fact, bamboo has a greater tensile strength than steel.

Bamboo is also an eco-friendly alternative to many different building materials. Bamboo contributes to the sequestration of carbon — “When properly managed and intensively harvested, bamboo can sequester up to 1.78 tonnes of CO2 per clump per year,” One Tree Planted says. Another study estimated that bamboo contributed to 27.38 million tons of oxygen per annum just in India alone.

The Potential of Bamboo Houses

Not only is the plant durable and sustainable but bamboo is also affordable. Bamboo is accessible and inexpensive in many parts of the world experiencing rapid urban growth. Besides its wide accessibility, because of the strength of the plant, bamboo is an optimal building material choice when creating houses in certain climates. Changing weather patterns have affected housing in drastic ways. More extreme weather has led to more fires, more hurricanes and the destruction of homes. Bamboo houses, however, prove resilient against extreme weather.

The Climate Smart Forest Economy Program began a climate-resilient bamboo housing initiative in Guatemala called CASSA. When tropical storm Julia hit, the program reported good news. “The CASSA bamboo houses were some of the few houses left undamaged by the storm. The bamboo structures held up against the incredibly strong winds and, because they are built on stilts, they avoided being flooded,” consultant Kagisho Koza said.

Not only is bamboo resistant to strong winds and flood damage but bamboo is also fireproof. Because of the high content of water in the bamboo, the plant can endure temperatures up to 400 degrees Celsius. This makes bamboo a great choice for building in areas where wildfires are common.

CASSA’s Work

CASSA, a sustainable construction company in Guatemala, is showcasing the value of bamboo in providing shelter for those in need. Across Guatemala, refugees of climate emergencies have been building bamboo houses with their very own tool kits developed by the Climate Smart Forestry Program. CASSA and the Climate Smart Forestry Program have been working together to get these toolkits out so that people affected by climate emergencies, such as hurricanes and flooding, have the ability and knowledge to create these bamboo houses and also pass their knowledge on to more people in their communities.

“Within five years, the four hectares of bamboo plantations supplying CASSA, for example, are expected to provide enough sustainable bamboo to build 40 homes per year, while also providing jobs and training for the local community and having a positive climate impact,” the World Economic Forum reports.

Providing shelter to the millions of people lacking adequate housing globally must stand as a priority. Bamboo houses are cost-effective and easily accessible in many countries where homelessness is on the rise. The durability and sustainability of the plant make it reliable in places most affected by extreme weather events.

– Olivia MacGregor
Photo: Flickr

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Human Rights in Bosnia and Herzegovina

Human Rights in Bosnia and Herzegovina
Bosnia and Herzegovina is a country located on the southern peninsula of Europe. Having gained its independence in 1992 following a war with Yugoslavia, Bosnia and Herzegovina is a relatively young country. The 1992-1995 war brought forth conflict between Bosniak, Croatian and Serbian individuals who wished to gain control of the territory. Thirty years later, tension continues to be prominent, challenging human rights in Bosnia and Herzegovina.

War

In March 1992, Bosnia and Herzegovina declared its independence from Yugoslavia. Bosnian Serb minority disagreed with the sovereignty of Bosnia and Herzegovina which led to conflict between ethnic and religious affinities and ultimately led to war as the country abandoned Yugoslavia. The war for independence ultimately caused great disagreement between Croats, Serbs and Bosniaks. During the war, the Bosnian Serb military campaign launched ethnic cleansing operations in an attempt to eliminate the number of Bosniak civilians. The war concluded in 1995 with an estimated 100,000 casualties.

The Borgen Project spoke with Velemir Jankovic, an individual born and raised in Bosnia and Herzegovina before the 1992 war and now lives in the U.S. Velemir describes that war’s impact on his village resulted in “his house being destroyed and him losing everything but hope.” Like Velemir, many refugees sought to escape the casualties of war. With physical destruction and political tension, many citizens still find themselves struggling to settle. While many suffered monetary loss, such as Velemir’s home, others lost family members, leading to great resentment among those the violence of war impacted. These differences have impacted the Bosnian population for the last 30 years.

Unemployment

In 2020, the unemployment rate in Bosnia and Herzegovina stood at 27%. Corruption and slow economic development contribute to low job availability in the area. Not to mention, ethnic conflicts enabled a divide in the country. Prejudice against certain ethnicities continues to be prominent after the war, therefore making it difficult for individuals to work harmoniously alongside one another.

There has been a progressive decrease in the unemployment rate in recent years. In 2014, 57% of Bosnia and Herzegovina’s youth were unemployed. That number has decreased to 14.9% in 2021.

While the country is still figuring out a strong economic structure, financial aid funds infrastructure and facilities for citizens. What may be contributing to the improvement of unemployment is the 2021 Instrument for Pre-accession Assistance (IPA), a €73 million investment for regional development, social protection, as well as employment and public transportation. One can see IPA’s impact on the labor market through the development of wage settings as well as the establishment of unions.

Poverty and the Economy

While unemployment is one of the leading factors in the stagnation of the economy, Bosnia and Herzegovina has not seen an impact on the poverty levels. The poverty rate has steadily remained at 15% between the years 2008 and 2020, according to the World Bank.

While aid enables the country to survive financially, the economy in Bosnia and Herzegovina is depleting. The COVID-19 pandemic caused a significant decrease in consumption in 2020, therefore slipping Bosnia and Herzegovina into “its worst recession in 25 years.”

Not to mention, inflation has increased by 16.7% in 2022. These circumstances create a difficult economic environment for citizens. With low employment rates and high consumer costs, it is very difficult for Bosnians to overcome the poverty rate.

Human Rights

Aside from low infrastructure in the economy, abuse of human rights in Bosnia and Herzegovina continues to occur three decades after the turmoil of the 1992 war. In 2021, there were significant reports of torture or inhumane treatment of civilians by law enforcement. Abuse of power by police also harms individuals such as journalists. It is common for journalists to face violent threats to erase content, prohibiting them from their right to press.

There has also been an increase in gender-based discrimination, in which women are targeted violently and mistreated in the workplace. The tension between ethnic groups continues to be present as well, with Bosnians often planning anti-refugee platforms, using hostility and threats to harm migrant communities, according to the U.S. Department of State.

Organizations Working to Improve the Situation

CARE, a nonprofit that began helping marginalized groups in the area in 1993, has been able to provide aid to many citizens in Bosnia and Herzegovina. It focuses on integrating minority group members into society through supporting local programs such as the Young Men’s Initiative II (YMI II), which it founded in 2006.

The YMI II ultimately joins young men in Bosnia and Herzegovina, teaching them the importance of gender equality. The goal of the program is to educate the younger generation on the importance of unity in efforts to make an impact on the years of tension and discrimination in Bosnia and Herzegovina.

There is an evident issue of human rights in Bosnia and Herzegovina following the 1992 war. Its independence from Yugoslavia enabled prejudice and discrimination among differing ethnicities. Through foreign aid and a steady increase in the employment rate, there is hope that this struggling country improves its social welfare.

– Micaela Carrillo
Photo: Flickr