Archive for category: Global Poverty

Key articles and information on global poverty.

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The Impact of COVID-19 on Poverty in Ghana

impact of COVID-19 on poverty in Ghana
Ghana’s poverty rate has halved over the past 20 years, but COVID-19 stunted the country’s progress. Amid an economic crisis, many Ghanaian people have lost their jobs, healthcare and education due to the pandemic. The impact of COVID-19 on poverty in Ghana is severe, especially for women and children.

Child Labor is on the Rise

Global child labor decreased by nearly 40% between 2000 and 2020, but COVID-19 forced many children into the workforce. Before the pandemic started, 160 million children participated in child labor. If countries cannot mitigate the economic impacts of COVID-19, around 168.9 million children could be in child labor by the end of 2022. Children in low-income countries like Ghana are particularly at risk of experiencing child labor. Between expansive school closures, increased unemployment and lost family members due to COVID-19, Ghanaian children have become more susceptible to child labor since the pandemic started.

Children and families often turn to child labor because it is the only option available to meet their basic needs. Ghanaian children as young as 8 years old work jobs in industries such as mining, carpentry, fishing and transporting goods to support themselves and their families. Most countries have developed economic relief packages to assist families who are struggling, but it can be challenging for low-income countries to afford adequate social protection programs. The World Bank found that low-income countries, on average, spend only about $6 per capita in response to the pandemic. Adequate social protection programs may be necessary to fully combat the impact of COVID-19 on poverty in Ghana.

Educational Opportunities are Sparse

Many Ghanaian children have lost their educations since the pandemic started because of school closures or the need to drop out and support their families. At a shortage of proper funding, schools in Ghana struggle to afford food, technology for remote learning and resources for students with disabilities. Food insecurity has increased for students who formerly relied on their schools to provide meals every day. According to a recent study by Innovations for Poverty Action, 72% of Ghanaian children in public schools did not receive their usual daily lunches and 30% said they experienced hunger as a result of their schools closing. Without access to education, Ghanaian children are at risk of hunger and exploitation due to the vast impact of COVID-19 on poverty in Ghana.

To combat malnutrition, UNICEF is providing children with micronutrient supplements, such as iron folate, to improve children’s health. The Girls Iron Folate Tablet Supplementation (GIFTS) Programme, which UNICEF helped the Ghana Health Service implement and develop, has reduced anemia in girls from the Northern and Volta Regions of Ghana by 26%. UNICEF is also helping Ghana attain educational resources and create school programs that are inclusive to students with disabilities.

Ghana’s Limited Healthcare

The COVID-19 pandemic has decreased access to healthcare in Ghana, particularly for pregnant women seeking antenatal care. According to UNICEF, many pregnant women did not receive any antenatal care during the pandemic, either because it was unavailable or because they feared contracting COVID-19 at a health facility. Additionally, many children who were supposed to get standard vaccinations when the pandemic broke out did not receive them due to a vaccine shortage and fears of catching COVID-19 at health facilities.

The World Health Organization (WHO) is working with Ghana to make healthcare more accessible, ensuring health facilities are safe and have the resources they need. As the first country to receive the COVAX vaccine in February 2021, Ghana has been on the road to recovery from COVID-19 for several months. The country also received 350,000 doses of the AstraZeneca vaccine in May 2021. The Ghanaian government, UNICEF, Gavi and WHO are collaborating to endorse and distribute COVID-19 vaccines, which will help mitigate the impact of COVID-19 on poverty in Ghana.

Unemployment and Wage Reductions Skyrocket

According to the World Bank, more than 770,000 Ghanaian workers experienced wage reductions between March and June 2020 because of the pandemic and 42,000 workers experienced layoffs. While some businesses received support from the government, others did not or were unaware that such resources were available. Many businesses had to close at the beginning of the pandemic, which led to long-term financial struggles. The World Bank is working with the Ghanaian government to help businesses overcome damage from the pandemic and gain resilience in preparation for other economic changes. The organization is focused on raising awareness about government support programs like the Coronavirus Alleviation Programme, which protects jobs and benefits small businesses. The World Bank is also working on creating long-term, educational solutions that prepare young people in Ghana to enter the workforce with adaptability, certifications and a wide range of skill sets.

Solutions in the Works

Many organizations are working alongside the Ghanaian government to combat the impact of COVID-19 on poverty in Ghana. Organizations like UNICEF and Human Rights Watch are actively working to provide Ghana’s impoverished people with the resources needed to survive, including food, water, healthcare and education. The COVID-19 vaccine offers hope that Ghana will recover from the pandemic, opening the door for improvements in healthcare, education and jobs.

– Cleo Hudson
Photo: Unsplash

Gojira’s Activism for Indigenous Brazilians

Gojira's activismThe Yanomami indigenous reserve in Brazil is roughly the size of Portugal, though fewer than 200 healthcare workers serve the area. The effects of malnutrition and malaria among indigenous Brazilians have taken a severe toll on children. Indigenous populations are also more vulnerable to COVID-19. Epidemiologist Andrey Cardoso told The Guardian that the COVID-19 death rate is higher in indigenous children younger than 5 compared to the same age group in the general population. Deteriorating healthcare is just one of the issues indigenous people in Brazil face. Rampant deforestation and attacks from illegal gold miners have also plagued these groups. These issues have resonated with a heavy metal band, Gojira. Gojira’s activism has spurred people to raise more than $300,000 in support of the indigenous Brazilian rights group, The Articulation of Indigenous Peoples of Brazil.

Illegal Gold Mining

Violent attacks have been a growing problem for indigenous Brazilians. Land conflicts in Brazil hit an all-time high in 2020 with more than 1,500 cases, 656 of which involved indigenous Brazilians. Illegal gold miners have been particularly aggressive toward indigenous groups. In May 2021, unlawful gold miners invaded the Munduruku indigenous reserve, setting multiple houses ablaze.

In another attack on the Yanomami people, illegal miners “opened fire with automatic weapons” during three consecutive days of violent fighting. Illegal mining has also led to severe deforestation in the region with more than 3,000 acres of forestland cleared in the Munduruku reserve in January and February 2021 alone. Additionally, reports indicate that more than 1,700 acres of land have been degraded in the Yanomami reserve from January 2020 till May 2021.

Brazilian Indigenous Healthcare

The effects of the attacks comprise just a portion of the problems that plague indigenous groups in Brazil. A 2019 report requested and funded by UNICEF reveals that, in the Yanomami areas of Polo Base de Auaris and Polo Base de Maturacá, roughly 81% of children younger than 5 were chronically malnourished. Poor access to nutritious foods was highlighted as one of the causes.

Overall, healthcare access in these regions is also poor. Member of the Indigenous District Health Council, Junior Yanomami, told El Pais that healthcare groups had not visited the village of Maimasi for six months at one point. Not only were many residents stricken with malaria, but several children suffered from malnutrition and verminosis — a disease caused by parasitic worms. In total, fewer than 200 healthcare workers cover the 28,000 Yanomami and Ye’kwana people in Brazil, highlighting the lack of health support in the areas.

Gojira Assists

Upon learning more about the problems plaguing indigenous people in Brazil, Gojira partnered with the activism support website, Propeller, to host an auction of heavy metal memorabilia in support of the largest indigenous rights group in Brazil, The Articulation of Indigenous Peoples of Brazil. Gojira’s activism auction came after the band released its single, Amazonia, in support of The Articulation of Indigenous Peoples of Brazil.

The auction, which featured personal memorabilia from heavy metal icons like Metallica, Slayer, Slash and Tool, raised more than $300,000 for the indigenous rights group. In another successful effort by the band, Gojira’s activism also garnered support and awareness for an important cause. “Words are great, music is great, but action is something concrete,” Gojira drummer, Mario Duplantier, told Louder Sound.

Inspiring Activism

Hopefully, Gojira’s activism marks just one way in which indigenous groups in Brazil begin to receive the support and fundraising needed to combat the major issues they face. In addition, Gojira will hopefully serve as an example of how other famous groups can use their platforms to make an impact in struggling communities around the world.

– Brett Grega
Photo: Flickr

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COVID-19 Vaccination in the Maldives

COVID-19 Vaccination in the MaldivesAs of June 29, 2021, the Maldives has reported more than 73,000 cases of COVID-19. The Maldives has a population of more than 515,000 with one of the country’s main sources of income stemming from tourism. The program for COVID-19 vaccination in the Maldives is not only protecting citizens but is also playing a significant role in post-pandemic economic recovery.

The Maldives in Numbers

In 2009, The rate of people living on less than $5.50 a day in the Maldives was 42.7%. Just seven years later, the poverty rate dropped to 3.4%. In recent years, the Maldives has made many improvements, contributing to the stability of the country. This includes infrastructure improvements and investments in health and education. The country boasts a close to 100% literacy rate and a life year expectancy of more than 78 years.

Through these developments, the Maldives has attained the status of an upper-middle-income country. In terms of economic growth, the country significantly relies on tourism revenue. In 2019, the tourism industry accounted for 21% of the country’s gross domestic product as more than 1.7 million people vacationed to the Maldives.

The Impact of COVID-19

In March 2020, the Maldives began to experience the harsh economic effects of the COVID-19 pandemic. The tourism industry came to an abrupt halt and borders remained closed until mid-July 2020. Even as travel into the country re-opened, the Maldives reported only one-third of visiting tourists compared to the number of tourists visiting in 2019.

The decrease in tourism has contributed to the 28% decline in gross domestic product in 2020 and an increase in poverty to 7.2%. The pandemic has affected employees in the tourism industry more than any other industry in the Maldives. The JobCenter reports that within the tourism industry in the Maldives, only 74% of employees remained employed in 2020, with 30% on “no pay leave.”

With the program for COVID-19 vaccination in the Maldives, the country has the opportunity to protect its citizens and simultaneously bring its tourism rates back up.

The Maldives Vaccine Rollout

As of April 14, 2021, the Maldives has vaccinated 53% of its population with first doses. The country prioritized “90% of its frontline tourism workers” with a first dose. The vaccine is available at no cost to residents and migrant workers and is approved for anyone 16 or older. With the help of other countries and partnerships, the program for COVID-19 vaccination in the Maldives has seen success so far.

Factors that play an important role in this vaccine success include India’s donation of 100,000 Covishield vaccines on January 20, 2021. The Maldives has also purchased 700,000 AstraZeneca vaccine doses straight from the manufacturer. The Maldives expects to receive vaccines from the COVAX facility as well. The country has also received vaccine supplies from Singapore.

Because of the small Maldivian population and the allocation of vaccines the Maldives is receiving from various allies and organizations, there are currently no supply shortage concerns. The United States has also committed to donating roughly seven million vaccines to Asia by the end of June 2021. The U.S. vaccine donation will be distributed to several Asian countries, including the Maldives.

Visit, Vaccinate and Vacation

COVID-19 vaccinations in the Maldives will soon be open to tourists. The Maldives hopes to enact a “3V” strategy, “visit, vaccinate and vacation.” This approach will begin only after the remaining unvaccinated residents of the Maldives receive both doses of the vaccine. Once the Maldives meets this goal, it will have the ability to vaccinate tourists upon entry.

Leaders hope this initiative will help restore the hard-hit tourism industry and promote the health and safety of all people. Many tourists work remotely from the Maldives on so-called “workations.” The Maldives’ leaders believe the initiative will appeal to people desiring a holiday with the incentive of also getting access to COVID-19 vaccinations. Increased tourism will allow the employment rate to rise as demand in resorts, restaurants and shops expands with more visitors.

Tourism is steadily increasing throughout the country. With a creative solution, the Maldives aims to restore pre-pandemic tourism levels and the economy while prioritizing the health of citizens and travelers.

– Delaney Gilmore
Photo: Flickr

COVID-19 Vaccination in Uruguay

COVID-19 Vaccination in UruguayAt the start of the COVID-19 pandemic, Uruguay had some of the lowest infection rates in Latin America. On June 30, 2020, Bloomberg reported that while its bordering country Brazil had 1.34 million total cases, Uruguay had only 932 cases. Now, about a year later, COVID-19 vaccination rates in Uruguay are among the highest in Latin America, with more than four million doses received by citizens.

Impacts of COVID-19 in Uruguay

As a result of the COVID-19 pandemic, Uruguay’s unemployment rates have increased dramatically. In March 2020, more than 86,000 citizens applied for unemployment insurance. Before the pandemic, applications averaged 11,000 per month. A complete vaccination rollout is critical for Uruguay’s citizens to return to work.

Uruguay has already started to reopen businesses, but since only about half of the country has been vaccinated, infections are increasing. In order to avoid another shutdown of the country and another fall in employment, efforts for COVID-19 vaccination in Uruguay need to receive continued support and funding.

Vaccine Success

On June 8, 2021, Uruguay released reports about the success of the Sinovac Biotech vaccine along with more information about the Pfizer vaccine. According to Reuters, Sinovac’s COVID-19 vaccine was more than 90% successful in preventing intensive hospitalization and death. Further, the vaccine reduced COVID-19 infections by 61%. The Pfizer vaccine was 94% effective in preventing intensive care hospitalization and death and 78% effective in reducing COVID-19 infections.

Increasing COVID-19 Cases in Uruguay

COVID-19 vaccination in Uruguay has been very successful so far, with 52% of the population given at least one dose of either the Sinovac, Pfizer or AstraZeneca vaccines. Despite this success, Uruguay is also facing a crisis as COVID-19 infections skyrocket.

For several weeks in late May and early June 2021, Uruguay had one of the highest global COVID-19 related death rates per capita. In the last week of May 2021, the small nation of just 3.5 million residents recorded an average of 55 deaths per day. Many experts blame public health guidelines that have become increasingly lax as the pandemic continues. Not enough of the population is vaccinated to support the less restrictive public health measures and Uruguay is now rushing to further increase its vaccination rates.

Global Support

The United States is working with COVAX to improve the vaccine rollout around the world, which might help Uruguay. COVAX is led by the Coalition for Epidemic Preparedness Innovations, the World Health Organization, Gavi and UNICEF. Its goal is to vaccinate at least 20% of every participating country’s population by the end of 2021. NPR notes that it may not be able to meet this goal due to the global vaccine shortage. Wealthier countries that have already secured enough vaccines for their populations need to step in to help struggling countries with vaccine donations.

Supporting the Global Vaccine Rollout

According to the Stanford Social Innovation Review, there are many ways in which organizations can support the global vaccine rollout. First, it is important that there is a level of trust between citizens and the distributors of the vaccine. Many people are hesitant about vaccines because they do not necessarily trust the intentions of vaccine developers. With trustworthy messengers such as community leaders and trusted organizations working to combat vaccine hesitancy, people may be less reluctant to receive a vaccine.

Second, the delivery of vaccinations requires innovation. A major problem for those in rural and low-income areas is a lack of access. Many cannot travel far to receive a dose, therefore, investing in creative ways to deliver vaccines to remote locations is important. For example, implementing mobile vaccination sites.

Finally, supporting the training of local healthcare workers in contact tracing, COVID-19 education and vaccination means more people will be qualified to address the pandemic. Thus, COVID-19 vaccination in Uruguay can continue long after global organizations leave the area, ensuring efforts are sustainable. With private and public sector groups working together, combating the COVID-19 pandemic and improving global health is not a distant goal.

– Jessica Li
Photo: Flickr

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Renewable Energy in El Salvador

Renewable Energy in El SalvadorWorld Bank statistics indicate that, in 1999, only about 79% of people in El Salvador had access to electricity. By 2009, the percentage increased to about 91%, and in 2019, 100% of the population of El Salvador had access to electricity. The significant improvement in electricity access in just two decades is primarily due to the government’s investments in renewable energy in El Salvador and the work of companies in providing electricity to rural communities.

Poverty in El Salvador

The government’s success in providing universal electricity access within El Salvador comes at a time when much of the population still lives in poverty. The COVID-19 pandemic caused a fall in economic output and a decline in poverty reduction rates. Consequently, COVID-19 jeopardized the country’s recent successes in decreasing poverty and inequality. The World Bank predicted that El Salvador’s GDP would contract by 4.3% in 2020. As a result, it expected the poverty rate to rise by 4%, bringing the total percentage of the population living in poverty to a possible 30%.

Development of Renewable Energy in El Salvador

As the smallest country in Central America, El Salvador lacks natural coal, oil and natural gas. Therefore, El Salvador has historically relied entirely on imports of fossil fuels from other countries “to meet domestic demand.” In the mid-1990s, the government began promoting renewable energy sources to reduce dependence on imports.

In 2010, the government implemented the National Energy Policy, which further pushed for increased renewable energy sources. The policy, which runs till 2024, has seen success so far. El Salvador has not built any additional fossil-fuel-powered generators since the year 2013. By 2019, renewable energy “had reached 64.3% of the country’s total installed capacity of 2.2 gigawatts (GW).” Renewable sources in El Salvador consist of solar power, hydropower and geothermal power. In El Salvador, oil generates only 32.36% of electricity. Renewable sources are responsible for creating the rest of the electricity used by the population.

Economic and Social Benefits of Renewable Energy

Renewable energy in El Salvador has helped stabilize electricity prices. Consequently, renewable energy has led to a more stabilized economy. This economic advancement through renewable development has helped pull people out of poverty and reduce the negative effects of decades of violence and emigration. The ever-growing renewable energy sector provides jobs for many individuals in El Salvador, especially women.

This helps to close the economic and social gap, consequently creating a more gender-balanced workforce while providing a way for women to support their families. LaGeo is a Salvadoran state geothermal energy company that generates close to a quarter of the total energy created in the nation. At LaGeo, 30% of the employees are female. LaGeo is responsible for producing 27% of El Salvador’s electricity and commits to empowering local women and backing reforestation and conservation programs near its plants.

Health Benefits of Renewable Energy in El Salvador

The growth of geothermal power, hydropower and solar energy provide alternatives to biomass for those living in poverty. Though biomass is a renewable energy source, the U.N. considers high biomass usage to be a sign of energy poverty. Regular practices of burning firewood and other biomass materials can cause a number of health and environmental problems.

The World Health Organization reports that more than one million households in El Salvador rely on unclean fuel for cooking. Continuing to replace biomass with cleaner, safer alternatives will improve the lives of those living in poverty in El Salvador.

In 2016, AES El Salvador, a power company, provided photovoltaic kits to more than 70 individuals living in poverty in rural areas. These kits offer a way to harness and store solar power. Furthermore, the beneficiaries also received turbo cookers to reduce biomass consumption. For more than 15 years, “AES El Salvador has brought electricity to more than 70,000 Salvadoran families with rural electrification projects.”

Overall, El Salvador has made great strides in reducing poverty, boosting the economy and providing electricity access through the growth of the country’s renewable energy sector. Universal electricity access has undoubtedly improved the quality of life for many families living in poverty.

– Julia Welp
Photo: Flickr

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Human Trafficking in the Republic of the Congo

Human trafficking in the Republic of the CongoThe Democratic Republic of the Congo (DRC) is an African country that is home to more than 105 million people, forming the second-largest country on the continent. The DRC is rich in natural resources such as coal, gold and petroleum, which provide the country with economic sustenance. However, human trafficking in the Republic of the Congo stemming from governmental corruption and internal conflicts continues to plague the country.

Economic Background of the DRC

Economic growth in the DRC decreased from 4.4% in 2019 to merely 0.8% in 2020. The slowed growth rate correlates with limitations related to COVID-19. Private consumption, government investment and non-mining sectors dipped because of pandemic-related complications and limited government spending. The Democratic Republic of the Congo falls in the bottom 10 countries in the Doing Business 2020 annual report. The Human Development Index (HDI), which measures holistic standards of living, placed the DRC in the bottom 15 countries for 2020.

The pervasiveness of poverty in the DRC is reflected in the estimated 73% of Congolese people who lived on less than $1.90 a day in 2018. About one in six people living in conditions of extreme poverty in sub-Saharan Africa are from the DRC, with more than four in 10 Congolese children classified as malnourished. The Human Capital Index (HCI) indicates Congolese children operate at roughly one-third of the potential productivity possible with full education and complete health. The DRC ranks below average in the HCI compared to other sub-Saharan African nations.

Human Trafficking in the DRC

In a 2019 report, the U.S. Department of State classified the Democratic Republic of the Congo as a Tier 3 nation in its handling of human trafficking. The classification is due to the Department of State’s determination that the DRC “does not fully meet the minimum standards for the elimination of trafficking and is not making significant efforts to do so.”

While the Congolese National Army (FARDC) showed no cases of child recruitment for the fourth year in a row, the FARDC is said to have recruited child soldiers through partnerships with local militias. The Congolese government reported additional cases of sexual violence but did not differentiate sex trafficking crimes from general sexual violence crimes. Furthermore, there continues to be a lack of victim identification procedures and criminalization of trafficking crimes.

The U.S. Department of State recommends several mitigation methods for handling human trafficking in the Republic of the Congo. Some overarching recommendations include efforts to “develop legislation that criminalizes all forms of trafficking and prescribes penalties which are sufficiently stringent.” Additionally, the U.S. Department recommends the use of “existing legislation to increase efforts to investigate, prosecute, convict and adequately sentence traffickers, including complicit officials.”

United Nations Trust Fund for Victims of Human Trafficking

Human trafficking in the DRC is not going unnoticed. In 2020, the United Nations Trust Fund for Victims of Human Trafficking announced its commitment to a short-term program to deliver humanitarian aid to human trafficking victims or those who are fleeing crises. For the DRC, the project focuses on “supporting underage girls trafficked for the purpose of sexual exploitation in artisanal mining zones in Kamituga, Mwenga territory, South Kivu province in eastern DRC.” Additionally, the project will provide clothes, shelter and mental support to trafficked women and young people in the DRC.

US Assistance

In 2020, the U.S. ambassador to the DRC, Michael Hammer, initiated a $3 million program with the U.S. Agency for International Development focusing on combating human trafficking in the Republic of the Congo. The program prioritizes three tasks:

  1. Create effective anti-trafficking legislation and initiatives.
  2. Gather and communicate data on human trafficking.
  3. Reform “existing legal and medical services for victims of trafficking.”

The program also aims to strengthen prosecution efforts against human traffickers, reflecting the recommendations of the U.S. State Department. “The best way to prevent trafficking is to hold those responsible for it to account and to end impunity for this heinous crime,” said Ambassador Hammer at the program’s introduction. Hammer believes that the program, along with increased accountability for human traffickers, will provide pathways for development, security and humanitarian progress in the DRC.

International aid and development programs from prominent figures such as the U.S. can aid in eliminating practices of human trafficking in the Republic of the Congo. With international assistance, human trafficking may no longer be a prevalent humanitarian problem for Congolese people.

– Jessica Umbro
Photo: Wikimedia Commons

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Mastercard Foundation in Kenya Helps Youth Fight Poverty

Mastercard Foundation in KenyaAccording to the Business Daily, close to 40% of Kenyan youth were unemployed in 2020. Specifically, unemployment most greatly impacts the age groups of 15-19 and 20-24 in comparison to the rest of the population. Apart from a rapidly growing population, a significant contributing factor to Kenyan youth unemployment is low educational achievement. Only 1% of Kenyan youth have, at most, an undergraduate qualification. The Mastercard Foundation in Kenya is working to change this.

Jobs in Kenya

While Kenya’s economy is growing, most job opportunities are found in the informal sector. About 15 million Kenyans, most being youth, are employed in the informal sector. Turning to informal employment comes as a result of young people lacking formal qualifications. With higher education, young Kenyans can secure higher-paying jobs in skilled markets, enabling them to break cycles of poverty.

The MasterCard Foundation in Kenya

The Mastercard Foundation believes that everyone “deserves an opportunity to learn and prosper” regardless of economic circumstances. By collaborating with the “private sector, donors, young people and civil society,” the Mastercard Foundation creates an environment where the youth can secure employment and entrepreneurs can thrive.

The International Monetary Fund states that the increasing population in Africa “means that by 2035, there will be more young Africans entering the workforce each year than in the rest of the world combined.” However, a shortage of job opportunities and the lack of a skilled workforce present barriers to success. The Mastercard Foundation addresses this “skills mismatch” through various youth empowerment programs.

Young Africa Works

Young Africa Works in Kenya is a Mastercard Foundation initiative that aims to secure “dignified and fulfilling work ” for five million Kenyan youth by 2030. The initiative recognizes that “in the next five years, there will be an estimated six million un- and underemployed Kenyans,” mostly impacting Kenyan youth. The program strategy aims to “break down barriers faced by young men and women when accessing work, skills development or starting their own businesses.”

The initiative aims to accomplish this by harnessing technology and partnering with several organizations, banks and companies, focusing on the sectors of “agriculture, manufacturing, housing and healthcare.” Young Africa Works also focuses on “education and vocational training,” linking employers and job seekers through technology and the growth of entrepreneurs and small businesses through financial inclusion.

Youth Entrepreneurial Support During COVID-19

According to the World Bank, the Kenyan economy can recover from the pandemic in 2021. However, for the youth in the informal sector who do not have access to welfare services and employment benefits, economic recovery may appear to be out of reach. The informal sector in Kenya has been brought to a stall due to job losses. Furthermore, COVID-19 fears lead to heightened vigilance, and as a result, people buy less from street vendors, who are usually young.

In September 2020, Kenya National Chamber of Commerce and Industry (KNCCI) and the Mastercard Foundation partnered to create the COVID-19 Recovery and Resilience Program. The initiative aims to aid the recovery of small, youth and women-led businesses impacted by COVID-19. The initiatives will see “25,000 Micro, Small and Medium-Sized Enterprises (MSMEs) in Kenya benefit from an interest-free, zero-fee short-term concessional loan.” For businesses in the informal sector especially, the aid is a lifeline during the pandemic.

The Mastercard Foundation in Kenya is an example of how the private sector can help fight global poverty by engaging with the needs of the youth in developing countries. While a lot of work remains to aid the economic challenges faced by young people, the Mastercard Foundation in Kenya leads the way.

– Frank Odhiambo
Photo: Wikimedia

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How Pope Francis Spent 2021 Working to Help Reduce Poverty

Help Reduce Poverty
In light of the global pandemic, Pope Francis has kept busy advocating for poverty reduction around the world. Francis spent the year 2021 mending relationships between the Catholic Church and the Middle East and offering support to healthcare workers. Here are some of the most important things the Pope did in 2021 to help reduce poverty.

Advocation to Reduce the Debt of Impoverished Nations

Pope Francis delivered a statement in April 2021 at a meeting that the World Bank Group and International Monetary Fund (IMF) hosted. Mostly, he discussed how impoverished nations should receive a greater share in decision-making for the international market. He also pushed for debt relief and reduction for nations struggling during the pandemic. “The pandemic, however, has reminded us once again that no one is saved alone,” Francis wrote.

He also stated that “a spirit of global solidarity also demands at the least a significant reduction in the debt burden of the poorest nations, which has been exacerbated by the pandemic. Relieving the burden of debt of so many countries and communities today is a profoundly human gesture that can help people to develop, to have access to vaccines, health, education and jobs.” The Pope’s statement highlighted the “ecological debt” all nations owe to the environment. He also remarked that ecological degradation and biodiversity loss are manmade issues. He asserted that the issue could come to a resolution if impoverished nations, generally the ones environmental challenges most affect, can put their finances toward combating it.

Francis Became the First Pope to Visit Iraq

With the events of 9/11 and the Israeli-Palestinian conflict long exacerbating Islamophobia, Pope Francis’s arrival in Iraq marked a new beginning for Catholic-Muslim relations. Nostra Aetate, which Pope Paul VI issued in 1965, decreed that the Catholic Church must examine its relationships with non-Christian religions. The declaration contains a section dedicated to Islam, which urges mutual understanding in the name of peace and freedom. Pope Francis attempts to follow Nostra Aetate and continues to extend respect for the Islamic religion. He desires to mend the relationship between the two faiths.

While in Iraq, Francis met with Ayatollah Ali Al-Sistani, the leader of Iraq’s Shiites, twice nominated for the Nobel Peace Prize. The Pope also met with Daesh’s terror survivors and called for peace between Christians and Muslims. Pope Francis urged that Christians and Muslims let go of their past and work toward rebuilding Iraq.

Pope Francis has Continued to Donate Around the World

Throughout the pandemic, the Pope continued his charity work for healthcare workers and affected families. During his trip to Iraq, Francis donated $250,000 to families in Baghdad. Francis also extended support to a women’s healthcare center in India. In May 2021, Francis donated 20,000 euros to the Shanti Ashram women’s health and social center in Coimbatore, India, which supports around 50,000 women and children. The center had hosted an international online conference with a goal of raising 60,000 euros, but it fell short. Pope Francis donated 20,000 euros to make up the difference.

Pope Francis did not just donate financially, he also supplied several medical facilities with medical equipment. The Apostolic Nuncio in Colombia confirmed that the Pope sent PPE and four respirators to the San Francisco de Asis Hospital and the Santiago Clinic. The pandemic hit their area particularly hard. The Pope donated respirators to eight other countries as well, including Bolivia, Syria and South Africa.

Moving Forward to Help Reduce Poverty

Pope Francis has shown that generosity always comes first, especially in a global pandemic when poverty is on the rise. Under his leadership, the Catholic Church will continue to promote charity work and peace in the Middle East and help reduce poverty.

– Camdyn Knox
Photo: Pixabay

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How Chamas in Kenya Fight Poverty

Chamas in Kenya
A chama is a micro-saving society that groups of Kenyans use to pool savings. Beginning in the 1960s, chamas in Kenya have become impressive tools of economic empowerment that follow the spirit of harambee, the Kiswahili word for ‘all pull together.’ Their community approach helps alleviate poverty by providing a means to pay tuition for children, make small-scale investments in community development, buy household items and more. More than 40% of Kenyans are chama members.

A Communal Economic Model

To form a chama, a group of around 15-35 people come together through mutual trust and pay a certain amount of money every week or month. The group then uses the money to offer very low-interest loans to members. Additionally, the group may decide to invest in an asset that members can own collectively, such as a piece of land, or in an industry, such as horticulture.

Chama members understand that fighting poverty must go hand-in-hand with psychosocial well-being. They provide each other with access to employment, help when a member gets sick, support at funerals and are joyful at weddings.

Chamas Help Avoid Economic Crisis

Chamas have been vital in helping Kenyans avoid economic crises. In the 1990s, many of Kenya’s informal retailers had to close down their businesses as their suppliers became too expensive due to the liberalization of the economy. Chamas proved tremendously helpful in dealing with rising prices. For example, a group of garment traders created a chama that enabled them to switch to Chinese suppliers and keep their businesses afloat.

Chamas Empower Women

In Kenya, women often have to be financially dependent on men. However, Kenyan women, who make up half the informal sector, have been able to achieve some financial independence thanks to chamas. According to the World Bank, 55% of Kenya’s urban women aged 15-25 are unemployed. Chamas can help them to avoid or escape poverty by securing financial help from their community to become self-employed. All-women chamas like Wikwatyo Wanoliwa (Hope for the Widows) have proven that women are a key demographic in the fight against poverty.

Chamas are also good avenues for community outreach. For instance, in 2017, around 80 women from chamas received training on the Kenyan electoral process and in turn, encouraged thousands of women in their communities to register to vote. Civic education is important in poverty eradication because it empowers women to match their economic decisions in chamas with democratic decisions on the ballot.

Chamas are a creative and resilient way to fight poverty in Kenya. Their intuitive approach to financial security has become so important to the Kenyan financial sector that banks have even started using it as an economic model to lure more clients.

– Frank Odhiambo
Photo: Wikimedia Commons

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The Impact of COVID-19 on Poverty in Argentina 

Impact of COVID-19 on Poverty in Argentina Lionel Messi, captain of the Argentina national football team and one of the highest-paid athletes in the world, fears contracting the coronavirus. His comment comes on the heels of Argentina’s withdrawal from Copa America because of a spike in COVID-19 cases. But, the pandemic has caused more than just football safety concerns. The impact of COVID-19 on poverty in Argentina has been harsh but the country is working to address these effects.

Spiking Cases

As Europe and the United States see a decline in COVID-19 infections, the virus’s new hot spot has become Latin America and the Caribbean. According to the Pan American Health Organization (PAHO), 89% of total COVID-19 deaths in those regions have occurred in Argentina, Brazil, Mexico, Colombia and Peru. As of July 2021, Johns Hopkins University reported that Argentina had seen more than 4.4 million COVID-19 cases and 94,000 deaths. Although lockdown measures remain in place, Argentina’s low vaccination rate presents an obstacle in battling COVID-19. As of July 2021, only around 9% of Argentina’s population is fully vaccinated.

COVID-19 and Poverty Rates

In the late 1990s, Argentina experienced an economic crash that pushed many people into poverty. From 1999 to 2002, the percentage of the population living on less than $5.50 per day rate rose from 28.5% to 49.9%. Over the next few decades, however, this trend saw improvements. Through social programs such as the Universal Child Allowance, a monthly stipend for unemployed parents of children younger than 18, the poverty rate decreased to 12.2% by 2018. However, the pandemic has driven poverty up again. By June 2020, the poverty rate rose to 40.9%, the highest since 2004, shortly after Argentina’s economic crisis.

Perhaps because Argentina was already in a recession when the pandemic began, the impact of COVID-19 on poverty in Argentina has been especially severe. The country’s unemployment rate rose from 9.8% in 2019 to 11.7% in 2020. The International Labour Organization (ILO) predicted that young women would face the highest unemployment rate. Therefore, industries with a large proportion of women workers, such as the tourism, hotel and restaurant industries, will have the most challenging recovery from the pandemic. Because of an already unstable economy, even the nearly $24 billion the Argentinian government spent on COVID-19 welfare programs was unable to pull citizens completely out of poverty.

Alleviating the Impact of COVID-19 on Poverty in Argentina

On June 11, 2021, Argentina approved the distribution of a single-dose vaccine that Cansino Biologics Inc. created. Cansino’s vaccine joins Argentina’s arsenal of approved vaccines, including the Sputnik V vaccine, the Sinopharm vaccine and the Oxford/AstraZeneca vaccine. Inoculating a majority of Argentina’s population is not only the greatest weapon against COVID-19, but also reduces the burden of medical care and helps the recovery of a struggling economy.

Argentina is also making progress in improving its public healthcare system. In early 2021, the World Bank Board of Directors approved a $250 million U.S. loan that will aid 17 million Argentinians through a Supporting Effective Health Care Coverage project to optimize medical care access, improve the treatment of chronic diseases and offer maternal and child health support.

Argentina is a global leader in livestock production with approximately 700,000 square miles of pasture land and the United States engaged in nearly $24 billion worth of trade with the country in 2019. If wealthy countries like the United States invest in poverty reduction in Argentina, not only will Argentina’s economy improve but more business opportunities will open to the United States and the rest of the world.

– Madeline Murphy
Photo: Wikimedia Commons