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Archive for category: Global Poverty

Key articles and information on global poverty.

Global Poverty, Poverty Reduction

The Benefits of Cryptocurrency in Nigeria

Cryptocurrency in NigeriaNigeria has the highest GDP out of all the African countries, but 40% of its population lives in poverty. The country’s struggling economy primarily relies upon oil exports, accounting for more than half of government revenue. Lacking transport and energy infrastructure as well as neglecting to diversify the economy results in a disadvantaged population of impoverished people. The use of cryptocurrency in Nigeria is proving to be a beneficial solution to help lift people out of poverty.

Boosting Supplemental Income

The 2016 recession caused a significant strain on Nigeria’s economy and the country is still struggling to recover. In the second quarter of 2020, the country reported a 27.1% growth in unemployment. Average incomes have been declining for six years straight and experts predict there will be less than a 2% rise in income during 2021. The value of the country’s national currency, the naira, fell by 24% in 2020. This economic downturn caused some Nigerians to seek supplemental income.

A 2020 survey indicates that 32% of Nigerians participate in buying and trading cryptocurrency. In 2020, Nigeria accounted for $400 million worth of cryptocurrency transactions, ranking it third globally in trading volume. Cryptocurrency in Nigeria has so far positively enriched the lives of impoverished citizens. For example, a Nigerian cryptocurrency investor, Tola Fadugbagbe, credits cryptocurrency for lifting him out of poverty. Initially struggling to survive on minimum wage odd jobs, Fadugbagbe now earns enough money from cryptocurrency trading to build his own house and purchase a farm.

Ease of Banking

Approximately 60 million Nigerians do not possess a bank account. People who do have bank accounts can only withdraw less than the equivalent of $100 due to local bank restrictions. The hurdles have led to a shift toward mobile banking and cryptocurrency investments. In 2017, reports showed that 71% of Nigerians use mobile phones for communication and internet access. Mobile platforms, including Xend Finance, allow Nigerians to transform their funds into cryptocurrencies. One cryptocurrency that has become popular is stablecoin, which has minimal transaction fees. Stablecoins provide the added benefit of protecting funds from devaluation.

Providing Educational Opportunities

Cryptocurrency in Nigeria is also bringing about educational opportunities. In September 2020, the #BuiltWithBitcoin campaign, led by the bitcoin marketplace Paxful, began construction of a new school in the Nigerian area of Sanga. Paxful is a cryptocurrency exchange platform that operates on a peer-to-peer basis. Nigerians use the platform to make nearly 1.1 million monthly blockchain transactions.

The new school expects to serve 100 to 120 children from ages 3-6. During the evenings, it will function as an adult education facility. Additionally, features of the school will include a water well and solar power. The water from the well can also be sold to the community at a low cost. Paxful will cover all costs needed to run the school such as school uniforms, educational resources and salaries.

The upsurge in cryptocurrency transactions has had a profound effect on many Nigerians seeking a way out of poverty. Nigerians are capitalizing on the educational opportunities and supplemental income cryptocurrency brings. The unexpected benefits of cryptocurrency in Nigeria bring hope to citizens living in poverty.

– Tiara Tyson
Photo: Flickr

June 14, 2021
https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg 0 0 Kim Thelwell https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg Kim Thelwell2021-06-14 07:31:152024-05-30 22:23:37The Benefits of Cryptocurrency in Nigeria
COVID-19, Global Poverty

The Impact of COVID-19 On Poverty In Nigeria

The Impact of Covid-19 on Poverty in NigeriaCOVID-19 has economically impacted countries worldwide, particularly low-to-middle-income nations. One such nation is Nigeria. The impact of COVID-19 on poverty in Nigeria has been especially disastrous. Nigeria is the most populous and has the largest economy in Africa. Because of this, the downturn in Nigeria’s economy, as a result of COVID-19, affected a significant number of people and worsened the poverty level in Nigeria.

Nigeria Before COVID-19

Although its economy was steadily improving before COVID-19, Nigeria already had high levels of poverty and inequality. In 2018, about half the population (87 million people) lived on less than $1.90 a day. Most of the nation’s poor live in rural areas and have markedly less access to clean water than those in urban environments.

Prior to the COVID-19 pandemic, the Nigerian economy showed consistent growth, with the per capita GDP doubling from $1,400 per person to $2,800 per person between 2000 and 2012. However, Nigeria’s high poverty rate did not reflect this economic growth because the growth fell behind population growth.

The status of women in Nigeria was also less than ideal in 2018. Nigeria has an extremely high maternal mortality rate: 512 women per 100,000 die in pregnancy or the year following from causes related to the pregnancy. By comparison, the maternal mortality rate in the United States in 2018 was 17.4 per 100,000.

What Makes Nigeria So Vulnerable?

Oil makes up about 90% of Nigeria’s exports and 50% of its government revenue. This lack of diversity makes Nigeria especially vulnerable. The drop in oil prices during the pandemic damaged Nigeria’s economy and harmed government revenue at a time when it was especially needed to fight COVID-19. The World Bank predicts that this could result in Nigeria’s worst recession in four decades. The Nigerian economy’s dependence on oil exports accounts for much of its loss during COVID-19, as does foreign investors’ aversion to what they perceive as risky investments in the Nigerian economy. Inequality and lack of employment opportunities also made Nigeria vulnerable to COVID-19’s negative influence on its economy. Its already susceptible position aggravated the impact of  COVID-19 on poverty in Nigeria.

As recently as 2016, Nigeria had a recession. After 25 years of growth, Nigeria’s economy contracted due to lower oil prices. Prior to the 2016 recession, Nigeria’s economy was growing very quickly at 6.3%. Since then, it has fallen to around 2.2%. However, until 2020, economic growth remained positive. Nigeria was less prepared for COVID-19 than it was for the 2016 recession; the pre-COVID economy was less healthy than the pre-recession economy. Interest rates and the deficit were higher and the excess crude account was not sufficient to cover the needs of the people or allay the impact of COVID-19 on poverty in Nigeria.

How Did Nigeria Respond to COVID-19?

Although Nigeria has a large and growing population, it can only test around 1,500 people a day for COVID-19. The healthcare system cannot meet the needs of the people, with only 20 frontline healthcare workers per 100,000 people. Over a year into the COVID-19 pandemic, some still consider Nigeria’s testing capacity “inefficient and insufficient.”

On March 30, 2020, President Mahummadu Buhari declared a lockdown for Lagos and Ogun states. The government eased this lockdown in early May 2020 due to the economic toll it was taking on the country. In an attempt to mitigate the impact of COVID-19 on poverty in Nigeria, Buhari launched several fiscal and stimulus measures. These included money transfers for the poorest and vulnerable, employment programs and a credit facility for healthcare providers and manufacturers.

Money Transfers and Loans

The money transfer program focused primarily on the urban poor, giving 10 billion nairas directly to two billion households as a means to lift them from poverty and improve the local economy. Nigeria’s employment program focuses primarily on unemployment and getting Nigerians into any jobs available. This largely overlooked the underemployment plaguing young, educated Nigerians.

The credit facility extends loans at a limit of 20% of the company’s three-year average turnover with interest rates of 5% to 9% annually, with the intention of stimulating and supporting local production of medical supplies, reducing healthcare tourism by Nigerians and building healthcare infrastructure. The credit covers the production of drugs, medical equipment and technology. The Central Bank of Nigeria determines the expansion and establishment of healthcare service facilities, supplying healthcare services and necessities and other activities.

Unfortunately, Nigeria, like other African nations, went on to face a second wave of COVID-19 and has just introduced more protocols to prevent a third wave. This includes massive travel restrictions, increased testing and quarantine and isolation protocols.

NGOs Working in Nigeria During COVID-19

The Consultative Group for International Agricultural Research (CGIAR), a global partnership uniting organizations dedicated to researching food insecurity, has been actively involved in aiding Nigeria during the COVID-19 pandemic. Specifically, in cooperation with the Nigerian government, it has begun distributing seeds to farmers across Nigeria. CGIAR conducted surveys to ascertain the effect of COVID-19 on supply chains, compiling the data in an interactive database. CGIAR scientists also created a crowdsourcing tool to collect real-time Nigerian local price data, revealing threats to food security.

The Good News

Nigeria implemented lockdowns relatively early compared to other African nations and targeted its lockdowns, completely exempting some essential services, such as farming, power and water supply systems and manufacturing. This lessened the impact on food systems and may have lessened the impact of COVID-19 on poverty in Nigeria.

Post-pandemic, Nigeria may take the opportunity to diversify its economy, discourage inequality and improve its healthcare systems. Having learned from COVID-19 about the vulnerability of oil, costs of inequality and poorly prepared healthcare systems, they may become better and stronger as a country.

– Hilary Brown
Photo: Flickr

June 14, 2021
https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg 0 0 Jennifer Philipp https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg Jennifer Philipp2021-06-14 07:30:142021-06-18 06:58:04The Impact of COVID-19 On Poverty In Nigeria
Global Poverty, Women and Female Empowerment

USAID Empowering Women in Africa’s Energy Sector

Women in African energy
Energy and utility companies can play a significant role in financial growth and social progress within lower-income countries. Through employment and expansion of electricity access, these companies provide infrastructure crucial to development, especially in regions such as sub-Saharan Africa with wide disparities in access. However, established gender inequalities have prevented women from obtaining the same opportunities as men within the energy sector. In partnership with African governments, USAID is sponsoring the Women in African Power Network, which promotes women in Africa’s energy industry and their equal opportunity to join the workforce.

Access to Power in Sub-Saharan Africa

Approximately two-thirds of individuals in sub-Saharan Africa are without reliable electricity, according to USAID’s Power Africa. Limited access to power in sub-Saharan Africa has led to gender disparities because it poses a challenge to women’s health, employment and education. Access to electricity ensures safer childbirth procedures and allows for greater numbers of women to be employed or attend school. Another challenge to limited access to electricity is that women in sub-Saharan Africa frequently experience ill-health effects due to fuel-based electricity as they generally remain in the home for longer periods of time. Thus, many governments have begun to recognize the importance of including women in the implementation and decision-making of energy expansion initiatives in sub-Saharan Africa.

Gender and the Energy Sector

Studies by the International Union for Conservation of Nature occurred jointly with USAID and Power Africa in 2019, which found that women held only 6% of executive and leading roles in the energy sector in sub-Saharan Africa. Women also comprised roughly 16% to 20% of the general power sector workforce.

USAID has stressed the importance of closing this gender gap. According to an article on its strategy to increase the number of women in Africa’s energy sector, the U.S. agency described the “strong correlation between gender diversity and a company’s financial performance.” When women enter leadership positions, this beneficial economic trend is even more pronounced: companies that ranked highest in gender diversity in administrative roles had 14% higher return on investment than other corporations. Due to gendered differences in energy usage, women have valuable perspectives as decision-makers and consumers that provide crucial insight into the design and execution of new energy technologies.

In response, governments are creating more inclusive frameworks to advance the recruitment of women in Africa’s energy sector. As of 2018, almost 75% of energy-planning frameworks address gender inequality and several recognize the capability of women to lead the energy sector in innovation, efficiency and problem-solving.

USAID and the Power Africa Campaign

As part of the Power Africa campaign devoted to bringing electricity to all in sub-Saharan Africa, USAID partnered with African governments and IUCN to launch the Women in African Power Network (WiAP) in 2015. WiAP empowers women in African energy companies through professional growth opportunities, skill development workshops and networking facilitation that encourages connections between women in the industry. These connections also facilitate important mentorship opportunities for those who wish to join the workforce or rise within its ranks. Regional networks such as Women in Rwandan Energy and Women in Renewable Energy Nigeria promote more focused conversations among women within specific nations or departments.

By fostering professional advancement opportunities, WiAP aims to increase the number of women employed in the energy sector and to empower women who already work within it. With the skill development and empowerment cultivated within the network, the USAID initiative is working to close the gender gap in the energy sector and stimulate the accompanying economic benefits.

Though there are considerable gender disparities in employment in the energy sector, governments and outside organizations have begun to implement policies and plans to promote the inclusion of women in Africa’s energy sector. The Women in African Power Network, a network that emerged under USAID’s Power Africa initiative, aims to establish women’s networking groups and to develop their professional skills. WiAP operates with the knowledge that women are critical to the energy industry as female leadership has historically correlated with economic and social development.

– Sarah Stolar
Photo: Flickr

June 14, 2021
https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg 0 0 Yuki https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg Yuki2021-06-14 01:30:262021-06-16 09:45:22USAID Empowering Women in Africa’s Energy Sector
Global Poverty

Brazilian Soccer Players Fight Against COVID-19

Brazilian Soccer Players When COVID-19 spread worldwide in 2020, it left most countries with devastation. Shortly after the world’s attention turned to Italy, Brazil found itself facing a similar fate. Brazil initially underestimated the virus’s severity, and as a result, Brazil is struggling to overcome the outbreak, currently ranking third in the world for the highest number of COVID-19 cases. For a developing country such as Brazil, the impacts of COVID-19 are particularly harsh. Brazilian soccer players are coming together to support the fight against COVID-19 in Brazil.

Brazil as an Epicenter of COVID-19

As of May 30, 2021, Brazil reported more than 16 million COVID-19 cases and more than 462,000 deaths. Brazil has the highest number of COVID-19 deaths in Latin America. Brazil reported a surge of deaths in April 2021 with a peak of more than 4,000 daily deaths. Despite these high numbers, President Bolsonaro has made several statements underestimating the severity of the pandemic, stating that it is merely a case of minor flu. Furthermore, he refused to impose lockdowns or curfews to reduce the spread of COVID-19. Bolsonaro also disregarded opportunities to secure millions of vaccines for Brazil. Bolsonaro’s loose measures for containing the virus have been universally condemned.

Brazil Urges the World for Help

After the devastating impacts of COVID-19, Brazilian state governors begged the United Nations for urgent help. The call for help asks for assistance through “vaccines, hospital supplies and even manpower.” Before Brazil became the epicenter of the virus, the Trump administration helped Brazil with $20 million in pandemic assistance. The U.S. provided $75 million in aid for the private sector and 1,000 ventilators.

President Trump even sent along millions of hydroxychloroquine pills. According to a spokesperson for the European Union, the EU provided $28 million worth of grants to Brazil since the beginning of COVID-19. Germany also shipped ventilators to the country. Additionally, the World Health Organization shipped COVID-19 vaccines to Brazil to ensure vaccine equity.

Brazilian Soccer Players Fighting COVID-19

After seeing their country’s desperate situation, Brazilian soccer players are coming together to support the fight against COVID-19. In April 2020, footballers such as Neymar and Alisson as well coaches and the country’s football federation (CBF) came together to donate approximately $1 million to vulnerable families struggling economically during the pandemic.

In a statement on the CBF website, Neymar says, “In difficult times like these, lots of families need help, our help.” A group of 57 soccer players and staff members as well as former FC Barcelona player, Dani Alves, collectively donated $463,787. The donation went to three organizations supporting the most impoverished and crowded cities in Brazil, enough to provide two months’ worth of hygiene products and nutrition to 32,000 households.

The Brazilian football manager, commonly known as “Tite,” urged fans and other athletes to support the effort. Prior individual fundraising efforts from Zico and Paulo Roberto Falcao successfully accumulated millions in donations.

Securing Vaccines

In April 2021, Club Athletico Paranaense joined others in helping Brazil fight COVID-19. The Athletico club expressed its willingness to “buy COVID-19 vaccines and make them available to fans with paid-up memberships, as well as players and officials, free of charge.”

This idea comes after the Brazilian congress allowed private sectors to purchase the vaccine. Although the club did not mention how many members it holds, estimates predict numbers of 20,000-30,000 prior to the COVID-19 pandemic. In a statement, the Athletico club also called on other soccer clubs to help Brazil in its battle against COVID-19.

Bolsonaro’s failure to adequately protect the country’s citizens from the impacts of the virus means Brazil now takes the title for the Latin American country with the highest number of pandemic-induced deaths. In order to assist a country in desperation, Brazilian soccer players are coming together to support the fight against COVID-19 in Brazil, standing in solidarity with the Brazilian people.

– Zineb Williams
Photo: Unsplash

June 14, 2021
https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg 0 0 Kim Thelwell https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg Kim Thelwell2021-06-14 01:30:242021-07-30 06:42:41Brazilian Soccer Players Fight Against COVID-19
Gender Equality, Global Poverty, Women and Female Empowerment

Nari Bikash Sangh: Aiding Women in Nepal

Nari Bikash SanghPatriarchal values have long dominated Nepali culture. Prevailing attitudes have led to the belief that women in Nepal are inferior to men. As a result, Nepal has long suffered from high gender inequality, which has hampered the country’s overall development. Deeply entrenched views regarding the role of women in society have held back government initiatives, causing progress to be slow. Nari Bikash Sangh, a Nepali NGO, hopes to address gender inequality by directly aiding women in Nepal.

The Status of Women in Nepal

While women’s rights in Nepal have improved over the years, women still face many obstacles in their daily lives. Social values dictate a woman’s every move and women’s needs are often subservient to men’s needs. As a result, most social indicators for women lag behind those of men. The most striking example is Nepal’s literacy rate. As of 2011, the literacy rate for women was 44.5% compared to 71.6% for men, showing the vast disparity between the two genders. This disparity in literacy rates displays the challenges that Nepali women face in achieving upward social mobility as illiteracy inhibits one’s ability to acquire an education and eventually obtain gainful employment.

The patriarchal values that dominate Nepal can explain the disparities in social indicators between men and women in the country. These values mean a woman’s actions and wishes are often subject to the whims of the men in her life. For example, women are often discouraged from pursuing higher education or traveling abroad because of the idea that a woman’s role is to be a homemaker and caregiver.

Nari Bikash Sangh

Several initiatives have been developed with the aim of promoting women’s rights in Nepal. Nari Bikash Sangh (NBS) was founded in 1980 as an NGO whose goal is to help rural, disadvantaged women in Nepal become empowered and aware of their civil rights. With 89 paid staff and more than 2,200 volunteers, NBS reaches more than 100,000 women in Nepal.

Partnering with World Literacy of Canada, NBS started the Women Empowerment Project in 1999. The objective of the program is to encourage the social and economic empowerment of women from certain disadvantaged communities who have been unable to access formal education and employment opportunities. The project raises awareness about violence against women and also provides information on tools and services for victims of violence. Furthermore, this project includes a program to teach marginalized women vocational skills and how to generate income.

NBS also runs developmental programs seeking to promote self-sufficiency among impoverished, rural communities. The Participatory Integrated Poverty Alleviation Program involves developing rural infrastructure as well as improving agricultural standards. The program also consists of initiatives to mobilize disadvantaged people to create self-sufficiency through skills development and income generation programs.

The Road to Gender Equality

Nepal’s deeply entrenched patriarchal values have necessitated a response from ordinary Nepali citizens to ensure gender equality. Nari Bikash Sangh is an example of an organization that seeks to do just that. By raising awareness of women’s rights and initiating self-sufficiency programs, NBS is aiding women in Nepal in a crucial way.

– Nikhil Khanal
Photo: Flickr

June 13, 2021
https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg 0 0 Lynsey Alexander https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg Lynsey Alexander2021-06-13 07:31:082021-06-18 07:45:20Nari Bikash Sangh: Aiding Women in Nepal
Global Poverty

Menstrual Health in Namibia: Eliminating Tampon Tax

Menstrual Health in NamibiaOn March 17, 2021, Namibia made the decision to no longer tax menstrual products beginning in the 2022-23 financial year. Currently, these products are taxed 15%, which makes it difficult for many to afford these essential items. The removal of this tax is an important change wherever it takes place. It is especially significant in places like Namibia where 73% of households do not even have adequate handwashing facilities. The tax elimination will not fix all issues related to the inaccessibility of menstrual products, however, it is a major step toward improving menstrual health in Namibia.

The Cycle of Period Poverty

Menstrual health is vital to one’s overall health. Globally, one in five girls misses school due to limited access to menstrual products. This means girls are missing up to one week of school every month. Consequently, students may find it difficult to keep up with their classmates and succeed in school. As getting an education is one of the most effective ways for people to lift themselves out of poverty, this puts girls at an even greater disadvantage and maintains the cycle of poverty.

This phenomenon is commonly referred to as period poverty. Period poverty is an unfortunate reality in Namibia and across the world. The goal of eliminating tampon tax and increasing the availability of menstrual products is to ensure no one misses opportunities simply because they are menstruating. Moreover, no one deserves to have to choose between buying sanitary products or buying food. Furthermore, no one should have to miss work or school simply because they cannot afford menstrual products. Making these products more easily available will reduce poverty and improve menstrual health in Namibia and around the world.

Women resort to alternatives such as rags, paper towels or old pads when they do not have access to menstrual products. The use of these items puts girls at risk of infections. The inaccessibility of sanitary products has also been linked with poor mental health and overall distress. These effects are easily preventable when menstrual products become accessible.

Menstrual Stigma

Many people do not consider menstrual health when trying to improve overall health. In many parts of the world, menstruation is considered unclean and shameful. This prevents many women from participating in society while menstruating. Access to menstrual products, like any other products that improve sanitation and health, is a human right. Regulations removing menstrual tax make these products more affordable and accessible. The removal of tampon tax will not take away the stigma surrounding menstruation, however, it will help protect people from disease, improve mental health and ease the completion of daily tasks while menstruating.

Namibia’s deputy minister in the Ministry of Information and Communication Technology, Emma Theofelus, states, “Period poverty is one of the undignifying processes women and young ladies have to experience. Your period is such a natural process and not something they can opt out of. There are not enough social and economic circumstances to create safety for young women.” Since menstruation is a natural experience for nearly half of the population, equitable access to sanitary products should not be negotiable.

Addressing Period Poverty Globally

Namibia is not the first country to eliminate tampon tax, countries such as Kenya, India, Australia and South Africa have also done so. Other countries, such as Germany, have decreased the amount of tax. However, in most of the world, including most U.S. states, these essential items are still taxed, which makes menstrual products unavailable to many. The state of menstrual health in Namibia is sure to improve now that tampon tax is done away with. The rest of the world should look to Namibia as an example and make similar changes. Every girl and woman deserves to menstruate with dignity and Namibia is one step closer to making this a reality.

– Harriet Sinclair
Photo: Flickr

June 13, 2021
https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg 0 0 Jennifer Philipp https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg Jennifer Philipp2021-06-13 07:30:062024-05-30 22:23:30Menstrual Health in Namibia: Eliminating Tampon Tax
COVID-19, Global Poverty, Humanitarian Aid

Impact of COVID-19 on Poverty in Ethiopia

Impact of COVID-19 on Poverty in EthiopiaThe ongoing COVID-19 pandemic has become another challenge for Ethiopia as the East African country faces civil conflict, food scarcity and increasing poverty. For the first time in 22 years, the number of people living in extreme poverty globally may increase due to the pandemic. The impact of COVID-19 on poverty in Ethiopia has been substantial. Roughly 42% of registered businesses in Ethiopia’s capital closed down completely and other businesses saw drastically reduced or no income. The COVID-19 pandemic may potentially reverse Ethiopia’s poverty progress over the last two decades.

COVID-19 in Ethiopia

As of May 14, 2021, Ethiopia had almost 265,000 confirmed cases of COVID-19 and almost 4,000 recorded deaths, straining an already fragile health system and delaying access to other crucial medical care. The pandemic has also caused delays in distributing childhood vaccines for polio and measles. Furthermore, it is also likely to increase the morbidity rates of other common diseases. In April 2020, half of all households in Ethiopia saw their incomes reduce or disappear entirely. Urban areas were formerly the foundations for Ethiopia’s economic growth. These areas have been the most affected by COVID-19 as employment and income have fallen.

The economic setback of COVID-19 may have lasting repercussions for Ethiopia’s future. The pandemic’s impact on education has become an even more significant concern. Schools in Ethiopia closed in March 2020 and an estimated 26 million students lost access to primary and secondary education. Such a halt in education puts many children at risk of dropping out or being forced into child labor or child marriage. According to a survey in 2018, roughly 16 million children between 5 and 17 are involved in child labor across Ethiopia. While schools began to reopen in October 2020, there are still concerns over the lost time and how it might affect students’ success later in life.

COVID-19 and Civil Conflict

The impact of COVID-19 on poverty in Ethiopia may be the highest in the Tigray region. Conflict erupted in November 2020 as tensions rose following a delay in national elections. By January 2021, about two million people were displaced by the violence, many of whom have fled to neighboring Sudan. The fighting has negatively impacted the availability of healthcare. At one point, only five out of 40 hospitals in the region were accessible. This dramatically increases the challenge of responding to the pandemic and makes it difficult to assess the full extent of COVID-19 in the area.

Food scarcity is another significant problem following extensive crop losses caused by swarms of desert locusts. Some farmers lost up to half of their harvests due to locust plagues. At the same time, the conflict has made it very difficult to procure food from outside of the region. Malnutrition is a real risk, especially for children. Many families are already experiencing decreased income and are unable to afford the rising food prices. The effects of the conflict, pandemic and food insecurity have placed an estimated 4.5 million people in need of humanitarian assistance.

Humanitarian Aid

Through a partnership with the World Bank, the Ethiopian government has been able to fund a comprehensive response plan to improve the country’s ability to address the impact of COVID-19 on poverty. The Ethiopia COVID-19 Emergency Response Project’s primary focus is increasing resources and testing capacity. Now, there are 69 testing laboratories across Ethiopia. This is in addition to the establishment of contact tracing systems, 50 quarantine facilities, 332 isolation wards and 64 treatment centers. Public awareness and health education are prioritized with door-to-door campaigns to reach vulnerable populations.

It is also vital to stimulate the economy by focusing on supporting the small businesses that the pandemic has hit hardest in order to see true poverty reduction. Because of the uncertain nature of the outbreak, a recovery plan will have to be adaptable. Addressing poverty in Ethiopia, and Tigray specifically, will also require a peaceful resolution to the ongoing conflict in the region, an act that multiple world leaders encourage. These goals can mitigate the impact of COVID-19 on poverty in Ethiopia, furthering recovery progress.

– Nicole Ronchetti
Photo: Unsplash

June 13, 2021
https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg 0 0 Jennifer Philipp https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg Jennifer Philipp2021-06-13 01:31:212024-05-30 22:23:39Impact of COVID-19 on Poverty in Ethiopia
Economy, Global Poverty

Reducing Poverty Through Social Ecology in Rojava

Social Ecology in RojavaRojava, also known as the Autonomous Administration of North and East Syria, is a region in Northeastern Syria. It was born out of the political instability that started at the beginning of the civil war in 2011. Surrounded by conflict, Rojava represents a rare success story of a war-torn region determined to help its local communities by reducing poverty through social ecology.

Rojava in Action

Rojava functions as a confederated system of local communities. Political decisions are implemented by democratic means and policy is decided from the ground up. Members of the immediate community have the first and final say on policies and practices that affect their communities directly. This political method of local autonomy relies on a specific degree of local sustainability and social responsibility. Communities take an active role in ensuring each member can access essential resources such as food and clean water.

Ecological sustainability is strong at play. Communities in Rojava aim to transform the landscape back into a more ecologically diverse and fertile area. This will mean reversing land practices inherited from the Assad regime. Groups such as the Internationalist Commune of Rojava, and its project, Make Rojava Green Again, focus efforts on this transformation. This is the crux of how Rojava hopes to reduce poverty through social ecology.

The Problem

Under the Assad regime, Northern Syria became deforested and transformed into monoculture croplands. One example of the practice is the deforestation of Afrin in favor of planting olive trees. This practice, along with the use of chemical fertilizers and unnatural water sources, destroyed the quality of topsoil and degraded the overall fertility of the land. Such practices also forced the population to rely on supermarket-based systems of distribution to purchase food and other essentials, decreasing local access to resources in favor of international markets. This form of politically-induced scarcity increased poverty rates in the Kurdish regions of Northeastern Syria.

Making a Change

After the withdrawal of the Syrian Government in 2011, lands once used for monoculture cultivation were expropriated by local farming cooperatives. These cooperatives form the basis of the economic system that now functions in Rojava. Each cooperative includes roughly 25 to 35 people. The priority of each cooperative is to provide for the basic needs of the region’s most impoverished citizens. The reallocation of resources and land back to local communities has seen success.

The localization of food production has notable environmental and social benefits. According to a study conducted in 2019, eggs supplied by local cooperatives required less than 2% of the monetary cost and energy needed for eggs supplied by modern supermarket supply chains. This means the people in Rojava have improved access to food, and, at a substantially reduced cost.

The Make Rojava Green Again project has spearheaded multiple ecological initiatives throughout Northeastern Syria aimed at reducing poverty by encouraging practices of ecological sustainability at the local level. Examples of such initiatives include efforts to rebuff rivers with the reforestation of native plant species. This will create wider access to clean water for communities that rely on such rivers. Other examples include reusing water for irrigation and planting urban gardens in order to grow food for impoverished members of the community who cannot grow their own. This will increase food security for otherwise vulnerable areas.

Continuing Forward

Despite the threat of military annihilation, Rojava continues to implement a green future for its citizens. Ecological initiatives have increased access to natural resources for populations in both urban and rural environments. The effort to reduce poverty through social ecology in Rojava is an ongoing initiative that requires international support if it is to survive. Nevertheless, Rojava has already demonstrated the effectiveness of such measures, and in doing so, has provided the rest of the world with a model for a green future.

– Jack Thayer
Photo: Flickr

June 13, 2021
https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg 0 0 Jennifer Philipp https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg Jennifer Philipp2021-06-13 01:30:192021-06-18 07:46:27Reducing Poverty Through Social Ecology in Rojava
Economy, Global Poverty

Oil and Poverty in Kazakhstan

Oil and Poverty in Kazakhstan
Oil and poverty in Kazakhstan have an inextricable link. Kazakhstan is located in Central Asia with a population of over 19 million people. The last country to declare independence from the Soviet Union, Kazakhstan spent its first years as an independent nation focused on nation-building rather than economic policy. However, thanks to the development of the country’s oil and gas resources and a focus on exports at the turn of the century, the country became one of the top 10 fastest-growing economies in the world as recently as 2015.

This dependence on oil exports has created challenges for the country. In 2014 and 2015, large drops in oil prices cut export revenues in Kazakhstan by almost half. The deficit that followed caused the government to take quick action. It reduced or delayed previously planned spending on infrastructure and tightened exchange rate policies.

Poverty in Kazakhstan

The statistics on poverty in Kazakhstan are hopeful. In 2018, only about 4.3% of the population lived below the poverty line and the unemployment rate was only 4.8%. This is an impressive improvement from the 48.9% poverty rate in 2005. The improvement is largely due to new employment opportunities from the oil industry that have allowed more people to have a steady income.

While this decrease in poverty has been inarguably a good development, the rate at which the increase has happened has led many to worry that the country could just as quickly fall back into decline. With so much of the economy dependent on oil prices, a very volatile industry, the impact of oil and poverty in Kazakhstan is something that experts are very concerned with.

On top of the regular fluctuations in oil prices, the COVID-19 pandemic had a huge impact on the economy of Kazakhstan. The pandemic brought activity across the globe to a halt. As stay-at-home orders went into place, the demand for oil dropped significantly, which caused oil prices to drop. 

The Good News

Despite the link between oil and poverty in Kazakhstan, there is good news. According to the World Bank, the life expectancy in Kazakhstan is 73 years. This has been steadily rising since the country became independent in 1991. Infant and maternal mortality rates have also been in decline in recent years. 

Kazakhstan has also improved the basic necessities of its citizens. About 97.4% of the population now has access to clean drinking water and 99.9% have access to sanitation facilities. Meanwhile, 100% of citizens have access to electricity. Education, which has a direct link to economic growth, is doing well with 99.8% of people over 15 being able to read and write. 

Looking to the Future

Looking forward, there are ways for Kazakhstan to mitigate the damage fluctuations in oil prices can cause to its citizens. Oil and poverty in Kazakhstan will always have a link. However, diversifying the economy is a major step to reducing the impact of changing oil prices on the country. The country must focus on the non-oil economy by implementing new policies that will focus on investing in infrastructure and human capital. By focusing on expanding the economy, decreases in oil prices will not result in such massive deficits in the future.

– Taryn Steckler-Houle
Photo: Flickr

June 12, 2021
https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg 0 0 Kim Thelwell https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg Kim Thelwell2021-06-12 07:31:212021-06-08 14:49:13Oil and Poverty in Kazakhstan
COVID-19, Foreign Aid, Global Poverty

Foreign Aid in the Philippines

Foreign Aid in the PhilippinesAs of 2021, the Philippines is the 12th most populated country, with a population of approximately 109 million people. Industrialization in the country has increased, poverty has decreased — from 23.3% in 2015 to 16.6% in 2018 — and the Philippines has one of the lowest household debts in Asia. However, it has been historically known as a frequent recipient of foreign aid.

Top Aid Givers

Some notable givers of foreign aid in the Philippines are Japan, the United States, Australia, Korea, the World Bank and the Asian Development Bank (ADB). As of 2018, Japan was still the largest source of foreign aid in the Philippines. The aid comes in the form of grants and loans that total $5.98 billion for projects throughout the country. One notable project is a subway in Manila, Philippines. The World Bank comes in next with $3.13 billion, followed by the ADB with $2.24 billion.

The United States is another large investor of foreign aid in the Philippines. The aid provided is used to advance democratic values, promote peace and security and improve education and health. Disaster relief and recovery have become a large part of aid to the Philippines. The U.S. donated more than $143 million to help the country recover from the devastating typhoon in 2013.

The Philippines and Papua New Guinea

In 2018, the Philippines, usually a receiver of foreign aid, had the chance to give foreign aid to another country. Papua New Guinea struggled with the drop in oil prices worldwide; oil was a major export for the country. Papua New Guinea needed to diversify its economy, and the government of the Philippines agreed to give aid to the struggling country through a partnership. The aid took the form of helping with industrial crops, inland fish farming and agriculture, particularly rice production.

Growing rice in tropical countries can be particularly tricky. The Philippines, however, has expertise in many different strains of rice — some of which can even hold up in severe weather like typhoons — and has even previously passed on knowledge to other countries in Africa and Brunei. Through the cooperation between the Philippines and Papua New Guinea, President Duterte believes food security can be ensured.

COVID-19 Aid to the Philippines

As the COVID-19 pandemic spread across the globe, 14 countries sent foreign aid to the Philippines, either in cash or through in-kind aid, such as medical supplies. These countries include Singapore, Taiwan, Vietnam, France, Israel and the United Arab Emirates, among others. Many of the countries donated personal protective equipment (PPE), face masks, test kits and ventilators to help the Philippines combat the novel coronavirus.

China sent a team of experts to help treat patients and shared packs of rice in remembrance of the 45th anniversary of diplomatic ties. Japan sent experts as well, and the U.S. made monetary donations of approximately $4 million and $5.9 million respectively to help prepare labs to process novel coronavirus test kits and to help local governments respond to the outbreak.

South Korea has donated more than $5 million in humanitarian assistance to the Philippines during the pandemic. Korean Ambassador Han Dong-Man said this was to honor what the Filipino soldiers did to help in the Korean War. South Korea has helped with foreign aid in the Philippines for the past 70 years, for disasters both natural and man-made.

The Philippines has been knocked down due to the COVID-19 pandemic, but there is still potential for the country to recover. There is a vast, young workforce and a growing middle class to bolster efforts to regain footing in the country. Foreign aid in the Philippines can help the country regain the progress it had been making leading up to 2020.

– Courtney Roe
Photo: Flickr

June 12, 2021
https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg 0 0 Kim Thelwell https://borgenproject.org/wp-content/uploads/borgen-project-logo.svg Kim Thelwell2021-06-12 07:30:182024-05-30 22:23:41Foreign Aid in the Philippines
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