Archive for category: Poverty Reduction

Information and stories about poverty reduction.

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What is the International Poverty Level?

Poverty Level
The word poverty is common in discussions of politics, global issues, health and education around the world. Although many organizations are working to put an end to poverty, the general public often has many questions surrounding this prevalent topic. What does it mean to be in poverty and what is the poverty level?

The most recent poverty level set in 2015 stated that an adult making less than $1.90 a day is in poverty. People could questions surrounding the poverty level from a variety of perspectives. Politicians often use it around the globe to allot aid and develop economic policy, but mathematicians can also use it to compare the rates of poverty among countries and solution-oriented NGOs can use it to understand the root causes of poverty. In today’s era, one hefty debate revolves around the impacts of globalization on poverty-ridden countries. This is just one context in which the poverty level is a useful tool in decision making and analysis.

Who Determines the Poverty Level?

The World Bank sets the international poverty line and it fluctuates over time based on how the cost of living changes around the world. To calculate a shared poverty level internationally, the World Bank takes the poverty threshold from each country and converts it into a common currency. It does this using Purchasing Power Parity (PPP), which creates equilibrium among currencies so that the same basket of goods in two different countries will receive the same pricing in each country. PPP is an economic theory that allows the World Bank to put each country’s income and consumption data in globally-comparable terms to ensure that the same quantity of goods and services receive equitable pricing across countries.

Why is it Important to Measure Poverty Levels?

Developed nations, such as the U.K., debate the costs of living and raises in income. In low-income countries, analyzing poverty levels is important for targeting development initiatives and evaluating economic progress over time. For instance, The Rural Support Programmes in Pakistan work to identify needs in rural communities and improve the delivery of basic goods and services in these areas. These programs use poverty levels to evaluate their work and support development initiatives in the area.

Who Lives in Poverty?

The U.N. estimates more than 700 million people live in extreme poverty around the world, struggling to fulfill the basic necessities of life. About 70 percent of these people live in Southern Asia and sub-Saharan Africa, however, these issues affect developed countries as well. Estimates determine that there are 30 million children growing up near or below the poverty line in the world’s richest countries.

What are the Causes of Poverty?

The causes of poverty are diverse and far-reaching, but they often include unemployment, social exclusion, conflict, natural disasters, disease and other phenomena that prevent them from accessing the resources they need to be productive and make a living.

With an estimated four million people living in extreme poverty, the Democratic Republic of the Congo currently has one of the highest poverty rates in the world. Although the country has access to many natural resources, political unrest has plagued it in recent years. The Democratic Republic of Congo has suffered through continual corruption of political officials that has stifled development so that it remains nearly impossible to easily access or extract any of the country’s natural resources. Therefore, it remains difficult to make a living, or even have access to the basic necessities of food and water.

Despite the dismal numbers, some organizations are making huge strides in overcoming global poverty. Organizations like Oxfam International have made it their objective to reduce worldwide poverty. Working in over 90 countries and directly reaching millions of people each year, Oxfam primarily tackles issues of inequality and discrimination. It also provides direct aid in times of crisis and educates the world’s poor in an effort to impact the root causes of poverty at the political level.

Groups like Oxfam often utilize the international poverty level to assess and direct their efforts. Unfortunately, there is no magic solution to such a widespread problem. In order to solve the issue, though, everyone must first understand its causes. By implementing the poverty level system, the world should be on the right track to eradicate extreme poverty.

– GiGi Hogan
Photo: Flickr

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Five Facts About the Philippines’ Poverty Reduction

Philippines' Poverty Reduction

In 2015, the poverty rate in the Philippines was at 21.6 percent, which is a five percent decline from 2006. Although poverty rates have been declining, 22 million Filipinos still live in poverty as of 2015. That makes up about one fifth of the country’s population. Here are five facts about the Philippines’ poverty reduction efforts.

Five Facts about the Philippines’ Poverty Reduction

  1. Factors benefitting declining poverty rates –Among many things, robust economic growth as well as the development and improvement of social programs have greatly benefitted the government’s efforts to eradicate poverty in the Philippines. The country has improved poverty rates by creating more jobs outside of the agricultural sector, changing coverage in health insurance programs and raising the level of compulsory education. Additionally, people are experiencing better living conditions through improved access to potable water, sanitation and electricity. These efforts have been part of the change in the last decades that have aided in the decline of the poverty rate.
  2. Factors hindering declining poverty rates  – one of the main causes for poverty is the high wealth inequality rates in the Philippines. One report showed that “the richest 1 percent of Filipinos own more than 50 percent of the country’s wealth.” Wealth being concentrated among the top 1 percent of the population limits equal opportunities. This keeps the poor in poverty. As a way for the country to move forward and reduce poverty, the government has started focusing on investment and development of the regions where poverty is more prevalent. By doing so, it hopes to mitigate the negative effects of inequality and reduce the inequality rate.
  3. Birth control for the poor – besides the programs working towards changing people’s living conditions, the government has passed a law that provides birth control to 6 million women who cannot currently afford it. This will allow families to better plan how many children they have and to be better prepared to provide for their children. This has been part of the larger plan to reduce the population growth rate from 1.7 percent to 1.4 percent. Currently, the population is 104 million and continuing to rise.
  4. Key programs to help reduce poverty – the government has made great progress in reducing poverty. It intends to continue by implementing programs such as AmBisyon 2040 by the National Economic and Development Authority (NEDA). NEDA aims to improve living conditions for those living in extreme poverty through job creation, improved health and nutrition and an increase in productivity. There is also a government program known as the Pantawid Pamilyang Pilipino Program, which has already helped reduce poverty 5 percent.
  5. The government’s goals for poverty eradication – by 2022, the government hopes to reduce poverty to 13-15 percent. The Philippine Development Plan 2017-2022 has set the goals for the country’s poverty reduction efforts. As part of these programs, the country wants to increase investment in areas where poverty is more prevalent, such as in Mindanao, in order to boost development and create more job opportunities for the population.

The government is hopeful that its goals will be achieved by 2020, given all the programs and efforts it is putting into eradicating poverty. These five facts about the Philippines’ poverty reduction efforts highlight the progress that has been made in the past decades. They also show areas that still need to improve in order to fully eradicate poverty in the country.

– Laura Rogers
Photo: Flickr

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The Mongolia Third-Neighbor Trade Act

The Mongolia Third-Neighbor Trade Act
Representatives Ted Yoho (R-FL) and Dina Titus (D-NV) along with eight other bipartisan representatives proposed the Mongolia Third-Neighbor Trade Act. Mongolia has become a prominent ally due to its location; it lies between Russia and China, and while it is independent, it still relies on both countries for resources and support. The Third-Neighbor Trade Act is an important bill for maintaining stable trade relations with not only Mongolia but other allied nations as well.

How Trade Relations Can Strengthen Mongolia

The main purpose of this bill is to create a stronger economy within Mongolia. According to a press release from Rep. Ted Yoho (R-FL) on April 11, 2019, “The Mongolia Third-Neighbor Trade Act is not just about the imports of cashmere; it is a smart policy that supports a strong, independent Mongolia that continues to be a beacon of freedom in the region and a strategic partner of the United States.”

This shows how important U.S. trade relations with Mongolia are in protecting independent freedom. The Mongolia Third-Neighbor Trade Act comprises of four main components that will improve trade relations.

The Mongolia Third-Neighbor Trade Act’s purpose is to improve trade relations and it should make Mongolia more economically stable. The bill plans to utilize the U.S. Overseas Private Investment Corporation (OPIC) and to support small and medium enterprises (SMEs). Through the help of corporations and enterprises, the economy in Mongolia can securely expand. The increase in technology and science can create other forms of trade for Mongolia to offer to the other partnered nations.

Mongolia is constantly competing with China to become the largest producer of cashmere and textiles. With duty-free trade in place for Mongolia’s exports, there will be no other competition for these goods within the U.S. In return, the U.S. will expand on what goods and resources it will export to Mongolia.

Protecting Mongolia’s Resources

The second part of the bill seeks to improve U.S. exports to Mongolia which will help Mongolians survive harsh winters. Winters in Mongolia can be particularly deadly to the livestock that live there. It is particularly reliant on its livestock in terms of the industry employing one-third of its population.

Without any way of protecting their main source of income, these rural communities start spiraling towards poverty. During the time of dzud, which is the Mongolian word for winters so severe they kill plenty of livestock, many things can happen. Mainly, the livestock cannot create a significant enough reserve of fat to protect them from the harsh conditions. If Mongolia becomes a priority to receive imports from the U.S., farmers will be able to better prepare for this type of disaster.

Third, the bill will create more jobs in Mongolia, particularly for women. Women will be able to create cashmere goods within the country instead of exporting the cashmere to China for production. The bill will create 40,000 jobs for women to create cashmere products. Women are primarily dominating the garment industry in the country. These jobs will boost Mongolia’s economy by not only empowering the nation but by keeping it out of poverty.

Duty-Free Trade

Lastly, the bill will impose a duty-free trade on products containing 23 percent or more cashmere. This part of the bill has the support of two major trade businesses, The American Apparel and Footwear Association (AAFA) and Mongolia’s Gobi Corporation. Through the Mongolia Third Neighbor Trade Act, “Congress would forge a stronger partnership with our friends in Mongolia and provide American consumers with better access to these high-end products,” said the CEO of AAFA. The Gobi Corporation has shops within the U.S. The Corporation believes that the U.S. will become an even stronger competitor against China as a consumer of cashmere goods.

The Mongolia Third-Neighbor Trade Act seeks to improve relations with Mongolia. These relations have been changing since 2007, putting the U.S. in danger of losing the trade advantage of China and Russia. Mongolia has provided military aid to many countries in both Afghanistan and Iran. While representatives have proposed and changed this bill over the last few years, the support of 10 Congressmen may have perfected it. The five Democrats and five Republicans working on this bill show that a united front can lower the effects of poverty.

– Christina Atler
Photo: Flickr

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Pressing Freedoms: How a Free Press Reduces Poverty

Free Press Reduces Poverty
Strong governments and effective leadership offer lasting improvements for those living in poverty, as they provide social and economic structure for a nation. Efficiency and transparency of government actions and regulations are the first steps toward protecting individual rights. The promotion of transparent governments leans toward a democratic governing system, where citizens may have the right to elect their officials and representatives. The free press and its contributions to democracy in helping to eradicate poverty may not always be at the forefront of aid organizations’ initiatives. Many organizations, however, do recognize that journalists help provide transparency about the states of governments to the people and that a free press reduces poverty.

What is a Free Press and Who Has One?

A free press means that private and public newspapers, magazines or radio programs have the right to report the news without being controlled by the government. This critical freedom from the government’s powers means that the press may act as the people’s eyes and ears for the shifts and changes within the institutions of power.

Unfortunately, more than a third of the world lives under presses that are not free or media coverage that their governments highly control and censor. In the Reporters Without Borders’ 2019 World Press Freedom Index, it is unsurprising that more developed and economically stable countries find themselves at the top of the ranking. Norway comes in first, followed by Finland, Sweden, the Netherlands and Denmark. Ranking at the bottom are countries with highly restrictive governments or some of the poorest nations, such as Yemen, Syria, Sudan and Turkmenistan.

How Does a Free Press Reduce Poverty?

A free press reduces poverty by allowing for an open exchange of information and opinions among ordinary citizens; there is no need for government clearance to learn about the day to day government actions. Journalism provides transparency which helps decrease the risk of corruption in governments and holds them accountable for their actions. A free press helps provide a channel of information about government actions for public assessment and debate. Citizens can see exactly how governments spend taxes or what revenues from big industries they receive. They can even see inside houses of governments where administrators sign laws. Knowledge about the government and freedom to express opinions without fear empowers ordinary citizens.

Debate and exchanging information and ideas is a foundational component of democratic practices. Free presses allow for free debate among the people and not just the political leaders. While debates among community members may not immediately change laws, the debate itself establishes self-autonomy, because everyone participates in conversations and decisions that affect their lives.

Countries with stronger economies and less poverty require strong and stable governments to utilize their resources and to participate in foreign markets. Strong governments strive to enable the political voices of even the poorest populations. Improving governance includes maintaining fair laws, respecting human rights and combating corruption. By promoting all of these, a free press can reduce poverty.

Who is Fighting for Freedom of the Press?

The USAID is one organization that has recognized how a free press reduces poverty. By strengthening journalistic skills, building economic self-sustainability of media outlets and working to legally protect press independence, USAID promotes freedom of the press in 35 countries. The organization’s work in Afghanistan produced a national network of 50 Afghan-owned and operated radio stations.

Reporters Without Borders advocates for a free press in order to promote democracy, development and individual empowerment. It helps journalists gain access to equipment anywhere from bulletproof vests to insurance. Working in countries across five continents, the organization monitors a great number of countries’ treatment of journalists and their rankings of press freedom.

The Windhoek Declaration

Some countries, like Namibia, decided to take matters into their own hands. The 1991 Declaration of Windhoek on “Promoting an Independent and Pluralistic African Press” helped establish a foundation for a free press in Africa by joining the forces of journalists, editors and media owners across the continent. The Windhoek Declaration helped spark the establishment of the Media Institute of Southern Africa (MISA). MISA’s continental email alert system hoped to make the world aware of violations of media freedom as soon as they occurred, bringing national attention to the power and importance of journalists. Inspired by the success of the Windhoek Declaration, similar support for free press like the Declaration of Santiago in Chile, the Declaration of Sana’a in Yemen and the Declaration of Sofia in Bulgaria, soon followed.

The globe recognizes the Windhoek Declaration and leaders of the conference even consulted with the U.N. for the implementation of International Press Freedom Day every May 3rd. The Declaration has inspired and allowed journalists to start their own independent newspapers like MediaFax in Mozambique and The Monitor in Malawi.

The purpose of a free press is to empower ordinary citizens, no matter their economic status. By providing honest information, journalists help hold political leaders accountable and decrease government corruption. Through the democratic power of debate, even the poorest populations can have a political voice.

– Maya Watanabe
Photo: Flickr

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15 Facts About Poverty in Afghanistan

Poverty in Afghanistan
Afghanistan continues to be a major focus of U.S. foreign policy. Yet, while there are hundreds of news articles about the country’s politics, there is less information about the country’s people. Below are 15 facts about poverty in Afghanistan to provide insight into the problems Afghanistan’s poorest citizens face every day.

15 Facts About Poverty in Afghanistan

  1. About 90% of Afghans Struggle to Live on Their Current Income: Over the past decade, poverty in Afghanistan has risen to record-breaking heights. From 2008 to 2018, the number of Afghans reporting that their current income was insufficient to support their family grew from 60% to 90%. Keep this number in mind when reading the other 15 facts about poverty in Afghanistan. These facts apply to 90 percent of the country’s citizens.
  2. Well-being is at Global Record Lows: Poverty not only affects people economically or physically – there is an emotional toll as well. According to a 2018 Gallup poll, only 36% of Afghans said that they smiled or laughed the previous day. When asked to rate their lives on a scale of 0 (worst) to 10 (best), Afghan citizen responses averaged 2.7. Most recently, in 2016, Afghan citizen responses on the same question averaged 4.2.
  3. Education has Become a Luxury for Children: A 2018 U.N. report noted that more than 2 million children aged 6-14 worked to support their families. With an average of 58% of Afghan families unable to afford food, full-time work becomes a higher priority than education. In February 2019, UNICEF, the U.N. and the government of Afghanistan launched a long-term education response program projected to help half a million children in the country. The program hopes to raise an additional $35 million within the next year to help support education infrastructure and secure teachers, supplies and similar needs for schools across the entire country.
  4. Undereducated Afghan Citizens are the Most Vulnerable: Undereducated citizens suffer the most during economic downturns in Afghanistan, with an unemployment rate of 8% and underemployment (employed, but unable to cover living costs) of 41%. With the difficulty of getting an education, the cycle of poverty continues for many families.
  5. Armed Conflict is the Top Reason for Poverty: Poverty in Afghanistan has direct links to increases and decreases in Taliban control in the country. When the Taliban increased its influence in Afghanistan between 2012 and 2017, the number of citizens living in poverty increased from 38% to 55%. The World Bank believes that political settlement with the Taliban would be an important step forward to attract the return of capital and skilled workers from overseas.
  6. Youth Migration is a Problem: Since 2015, about 146,000 young Afghan workers moved to Europe per year in hopes of starting a better life. The government still struggles to keep young people in the country and implemented a 2015 initiative to help the 700,000 entrants into the Afghan workforce find jobs. However, the program was unsuccessful in generating enough funding to make an impact.
  7. Displacement: In 2018, conflict and drought displaced more than 550,000 new Afghan citizens. Between displacement and a dwindling young professional population, it is difficult for Afghanistan to keep skilled workers to further its economy.
  8. Government Corruption Fuels the Fire: The economy in Afghanistan grew only 2% in 2018. The World Bank has reported that the sluggish economy is a direct result of government corruption. This means aid to struggling areas is often delayed or never arrives and economic growth benefits only the country’s highest elite (and former warlords).
  9. Iran Affects Afghanistan’s Poverty: Approximately 2.5 to 3 million Afghans left home to pursue better economic opportunities in Iran. These migrants have been a vital part of the economy as they send their Iranian wages home to their families. Unfortunately, as the Iranian economy has crashed, so have the available wages. The rial lost approximately 70% of its value, drastically decreasing the ability of workers to support their families back home.
  10. Programs Struggle with a Lack of Information: Due to conflicts and a lack of resources, it has been 40 years since the Afghan government has been able to conduct a proper census or any similar survey of the population. This makes planning and poverty initiatives difficult, as there is no data available to support decisions on where to invest aid.
  11. Afghanistan Ran on an “Artificial” Economy: From 2011 to 2014, Afghanistan had an artificial economy, meaning that economic growth and development were wholly reliant on external foreign aid with little to no internal input. With foreign aid and troops dropping after 2014, the country has struggled to reignite its economy.
  12. Research Gives Hope: The World Bank implemented a test program in 2015 to help improve economic outcomes for poor citizens. The program provided households in the Balkh province with a temporary stipend and financial coaching. The results showed a 20% decrease in the number of households below the national poverty line, a 30% increase in consumption, a 17% decrease in depression among women and a 53% reduction in debt. The World Bank published these findings in 2019, providing the first-ever evidence of similar targeted programs for poor areas in conflict regions.
  13. Trends Predict Further Growth: Based on current trends, the World Bank believes there is hope for further economic growth in Afghanistan. The 2019 World Bank assessment of Afghanistan confirmed prospects are looking positive for Afghanistan, with a projected 2.5% growth in 2019 and up to 3.5% growth in 2021.
  14. Continued Aid is Critical: As of 2019, grants support more than 75% of Afghanistan’s public expenditures. The U.N. humanitarian workers warn that the withdrawal of aid to Afghanistan could derail the slow but steady growth the country has experienced since 2001.
  15. The 2020 Aid Package is Under Congressional Review Right Now: The Department of State and USAID have requested approximately $532.8 million in aid for the financial year 2020. At the time of writing, this request has not yet received approval.

Concluding Thoughts

There are tangible issues that fuel poverty, and these 15 facts about poverty in Afghanistan represent only a part of the complex issues the country’s economy faces. Remember that a country is more than just its politics – it comprises people. Others can help the Afghani people through various actions in order to reduce the suffering of millions of Afghan citizens.

– Melanie Rasmussen
Photo: Flickr

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5 Ethical Fashion Brands Focused on Poverty Reduction 

Ethical FashionOperating under a set of core ethics, sustainable fashion brands eliminate harsh impacts on the environment while also providing safe workplaces and fair wages for the individuals making the products, the majority of whom are women. U.N. Women says increasing female employment “boosts productivity, increases economic diversification and income equality.” This is a major step forward to the alleviation of global poverty in developing nations. Keep reading to learn more about these five top ethical fashion brands.

5 Ethical Fashion Brands Focused on Poverty Reduction

  1. ABLE
    This brand focuses on providing ethical fashion by supporting economic opportunities for women in an effort to eradicate poverty. After seeing firsthand the effects of generational poverty in Ethiopia, Barrett Ward, ABLES’s founder, created the company to give “women an opportunity to earn a living, empowering them to end the cycle of poverty.” With 45 million women employed in the fashion industry, ABLE sees the investment in women as a necessary business strategy to bolster communities and economies worldwide. The company is proud that 98 percent of its employees are women and challenges the culture of the fashion industry by publishing wages, an act of transparency directly attributed to the protection and empowerment of the women it invests in.
  2. Parker Clay
    Parker Clay is a company that values timeless craftsmanship in order to provide quality leather goods to its consumers and economic opportunities for its artisans. But at its core, the founders saw an “opportunity to empower vulnerable women through enterprise” after learning that many women and girls are targets for prostitution and human trafficking in Ethiopia. In fact, in the country’s capital, around 150,000 work in the commercial sex industry.

    Parker Clay partners with Ellilta – Women At Risk, a nonprofit based in Ethiopia that helps women from being lured into prostitution or trafficking. Many of the women supported by this organization work at Ellilta Products where Parker Clay sources its blankets. Providing women with an opportunity to work is more than just a job, Parker Clay believes it is the start to social and economic stability.

  3. KNOWN SUPPLY
    By reimagining the process of apparel production, KNOWN SUPPLY works “with underserved populations … to show the powerful impact clothing purchases can have” by supporting the women who make the clothes in more than one way. KNOWN SUPPLY chooses to celebrate each maker by “humanizing” each product with signatures.

    The company also provides consumers with clear information about the country where each ethical fashion good is made, accompanied by a gallery of the women who make them. This feature gives consumers a look into the lives and communities being directly impacted by their purchases.

  4. Carry117
    At Carry117, providing economic empowerment to at-risk women is a necessary foundation for sustainable development. This brand, based in Korah, Ethiopia — a place where disease and poverty run rampant — believes that when women are empowered, families are strengthened. Their goal is to give these individuals “a hand up out of poverty, with a unified desire to bring change to the community.”
  5. Anchal Project
    In 2010, Colleen Clines, Co-Founder and CEO of Anchal, was inspired to start the company after a trip to India where she learned about “the extreme oppression women faced as commercial sex workers.” Today, the nonprofit not only sells fair-trade goods made of artwork and textiles significant to the artisans’ journey to empowerment but also provides holistic opportunities for the artisans to stay empowered in their communities.

– Danyella Wilder
Photo: Flickr

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Quotes on Family by Nelson Mandela

Quotes on the Family by Nelson Mandela
Poverty has a tremendous, and mostly negative, impact on the behavior and health of families across the globe. Spouses in impoverished families are more likely to use violence against their partners, develop addictions and engage in criminal behavior. Parents in impoverished families often face a conflict between their role as a parent and their role as a worker. Children in impoverished families tend to have lower birth rates, struggle with behavioral disorders and perform worse in school. Additionally, they find it more difficult to find employment than those in wealthier families. Because of the negative impact poverty has on the family, impoverished families do not experience the joys and comforts of family life that wealthier families experience. However, Nelson Mandela, the South African anti-apartheid revolutionary, knew how essential a happy family is for both enduring life’s hardships and participating in political activism which his quotes on family display.

Mandela was a political leader and philanthropist. Throughout his life, Mandela created a large family of six children, two wives and 17 grandchildren. As he suffered in the prison on Robben Island from 1964 to 1982, Mandela’s meditations on his family were what gave him the comfort and motivation to endure his struggles and continue his life of activism. Below is a list of five quotes on family by Nelson Mandela.

Quotes on Family by Nelson Mandela

  1. “From experience I have found that a family photo is everything in prison and you must have it right from the beginning.”
    -From a letter to Winnie Mandela, written on Robben Island on June 22, 1969.
  2. “I have often wondered whether a person is justified in neglecting his own family to fight for opportunities for others.”
    -From an unpublished autobiography manuscript, written on Robben Island, 1975.
  3. “I like relaxing at the house, reading quietly, taking in the sweet smell that comes from the pots, sitting around the table with the family and taking out my wife and children. When you can no longer enjoy these simple pleasures, something valuable is taken away from your life and you feel it in your daily work.”
    -From an unpublished autobiography manuscript, written on Robben Island, 1975.
  4. “Our families are far larger than those of whites and it’s always a pure pleasure to be fully accepted throughout a village, district or even several districts any time, completely relax, sleep at ease and freely take part in the discussion of all problems, where you can even be given livestock and land to build free of charge.”
    -From a letter to Mrs. N. Thulare, written on Robben Island, July 19, 1977.
  5. “A happy family life is an important pillar to any public man. Few people are essential or dangerous to the success or downfall of a politician than a good wife or play-girl.”
    -From a letter to Winnie Mandela, written on Robben Island, May 6, 1979.

Family and Global Poverty

These five quotes on family by Nelson Mandela reveal that healthy families are essential for a good life and a healthy society. One of the primary ways humans can make it easier for everyone to have a good life and form healthy families is by ending global poverty.

When people eradicate global poverty, spouses around the world could be less likely to use violence against their partners or develop addictions and engage in criminal behavior. Fathers and mothers should also be less likely to face any conflict between their role as a parent and their role as a worker. Also, children should have high birth rates, be less likely to have behavioral disorders, perform better in school and find it easier to find employment than those in impoverished families. As organizations around the world work tirelessly to reduce global poverty, the joys and comforts of family life that wealthier families enjoy may no longer be something the poor can only dream of, but a reality they can experience.

– Jacob Stubbs
Photo: Wikimedia

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Cryptocurrency and Poverty Reduction

Cryptocurrency and Poverty Reduction
An increasing number of nonprofit organizations are looking to cryptocurrency to help reduce global poverty. The immediacy, inclusivity and stability that cryptocurrency promotes could be invaluable for those who are in crisis, lack access to a bank or struggle due to hyperinflation. Here are four examples of how cryptocurrency and poverty reduction are coming together:

GiveCrypto

GiveCrypto is a nonprofit organization that links cryptocurrency and global poverty reduction. Since founding members currently cover operating fees, 100 percent of the funds GiveCrypto accumulates goes to the recipients. While Bitcoin is the most recognized cryptocurrency GiveCrypto uses, this nonprofit also transfers money through Bitcoin Cash, Litecoin, Ethereum, XRP and Zcash. GiveCrypto emerged on June 20, 2018, and has raised $4 million so far. The founders hope that GiveCrypto will improve the well-being of individual people struggling in their communities. However, they also intend for GiveCrypto to build up the economies of these communities. For this reason, the ultimate goal of the organization is “to help spark economic growth by giving access to property rights and financial services on an open network.”

CareBit

The founders of CareBit specifically designed the CARE coin for charity purposes. Unlike GiveCrypto which is merely a platform to distribute several different types of cryptocurrency to those living in poverty or financial crisis, CareBit is its own cryptocurrency. The purpose of creating the CARE coin is to link cryptocurrency and poverty reduction more directly. Currently, CareBit is the only independent charity on blockchain, a technology that documents and decentralizes transactions. By directly implementing a charity model into blockchain, CareBit is able to trace transactions to ensure that 100 percent of each donation reaches its intended recipient. The ultimate goal for CareBit is to increase transparency and to decrease fees, corruption and fraud in any given transaction.

BitGive

BitGive emerged in 2013 and is Bitcoin’s first nonprofit charity. BitGive partners with international relief organizations and local charities such as The Water Project, Medic Mobile and Save the Children. Just like CareBit, BitGive implements its charity directly into blockchain in order to effectively track donations and increase its efficiency. Additionally, BitGive uses the blockchain technology GiveTrack to publicly track financial information and share this information in real-time. With GiveTrack, donors can track funds and ensure donations reach their final destination. The other benefit of BitGive is that processing fees are considerably less. On average, 3.61 percent of donations go towards processing fees for the average nonprofit. On the other hand, BitGive spends less than one percent of donations on fees.

Binance Charity Foundation

The Binance Charity Foundation (BCF) is the philanthropic extension of Binance Exchange. BCF uses Binance Coin to integrate cryptocurrency and poverty reduction. In contrast to the nonprofits mentioned above which focus on financial poverty reduction, BCF specifically focuses on improving the overall health of women in developing countries. For instance, BCF has recently partnered with 46 other organizations to provide a one-year supply of sanitary products to approximately one million women. Women will receive these sanitary products by using the Pink Care Token (PCAT), a redemption-only token on the Binance blockchain.

Uniting cryptocurrency and poverty reduction initiatives demonstrates the increasing demand for improved donating systems in response to a lack of trust in how charities spend their funds. Thus, the increased transparency that cryptocurrency offers through blockchain’s traceability feature could potentially reassure donors and encourage them to donate. Whether or not cryptocurrencies will become influential enough to directly strengthen the economies of the developing world, however, is still unclear.

– Ariana Howard
Photo: Unsplash

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10 Facts about Child Labor in Iran

Child Labor in Iran

Child labor is defined by the International Labor Organization as the exploitation of children through any form of work that deprives children of their childhood and interferes “with their ability to attend regular school, and is mentally, physically, socially or morally harmful.” The Human Rights Watch estimates that around 70 million children around the world are currently working in hazardous conditions across many sectors, including agriculture, mining and domestic labor. Unfortunately, in Iran, the number of child laborers continues to grow. Keep reading to learn the top 10 facts about child labor in Iran.

10 Facts About Child Labor in Iran

  1. As of 2012, around 11 percent of children in Iran were engaged in some form of illegal work. Under Iranian law, it is illegal to work under the age of 15. However, due to circumstances like poverty and organized crime, this law is not often followed. Often, criminal groups force children to sell items or beg on the street, and research shows that in some cases children as young as 3 years old have fallen victim to this kind of labor. Some children are forced to swallow packets of drugs and cross the border of Iran to excrete them. Many have died in this process. Additionally, children’s bodies have been found abandoned without certain organs in remote areas of Iran.
  2. Poverty is a major contributor to child labor in Iran, as homelessness increases a child’s vulnerability. The government reports that more than 60,000 children live on the streets in Iran. This makes it easier for perpetrators to target children who are in desperate need of food and shelter, especially if the parents are absent. In fact, About 60 percent of child laborers in Iran are the only source of income for their families.
  3. The problem is so vast that officials believe it cannot be handled by one single entity. In April 2018, Reza Jafari, the director of the Iran Welfare Organization’s office, said that “child workers are so numerous that no organization can single-handedly cope with the problem.” Government officials are working to tackle the issue from several angles, including welcoming outside help from nonprofits.
  4. Child labor has declined globally but is on the rise in Iran. Since 2000, the world has seen its child labor rate drop by a third, while Iran has experienced the opposite. Vice president of the Association for the Protection of Children’s Rights Tahereh Pazhuhesh said in June 2018 “despite the global reduction in the child labor statistics, we see child labor surge in Iran.” The worsening problem illustrates the urgent need for help in the area, as it is more and more common to see children working in sweatshops, markets, farms and more.
  5. Government officials believe that 90 percent of child laborers have been sexually assaulted. Reza Ghadimi, managing director of social services at the Organization of Tehran Municipality, released this statistic on a state-run news agency report in October 2017. He added that many of these children are also exposed to sexually transmitted diseases.
  6. The rate of HIV infection is higher for child laborers is higher than the average. The head of the AIDs Research Center of Iran, Dr. Minou Mohraz, said “the rate of HIV infection among Iran child laborers and street children is 45 times higher than the average.” Additionally, these children are often exposed to other sexually transmitted diseases such as Hepatitis B.
  7. While Iran’s government has banned child labor, state-sponsored institutions still hire child workers. Municipality contractors often recruit children aged 5 to 15 years old because they can pay them less. In fact, because children are less aware of their rights as workers, they can be paid up to 70 percent less than adults. Waste management is one industry that employs a particularly high number of children. This is especially dangerous because as Tehran City-Councilwoman Elham Eftekhari noted, “these children not only work but also live and sleep in garbage factories that are filled with vermin and odors.”
  8. The ILIA Foundation is looking to help, and the presence of NGOs in big cities like Tehran is on the rise. The organization are focusing their efforts on the root of the problem, which is extreme poverty. The ILIA Foundation is opening more outreach centers, which provide shelter and hands-on education for struggling children. The Foundation also partnered with U.N. refugee and health agencies to tackle the issue from all angles.
  9. UNICEF is working with the government to address the root of the problem. The group works with political leaders and focuses on promoting good parenting, as well as enhancing the State Welfare Organization’s capacity to monitor the problem. It also aims to improve Iran’s Child Protection in Emergency’s coordination mechanism.
  10. The Imam Ali Popular Students Relief Society is bringing a new approach to helping the street children of Iran. The group, which is recognized by the U.N., was organized in 2010 and has already gathered 12,000 volunteers to help its cause. The organization holds events for the children, like sports events, to bring them positivity and hope. Meysam Vahdei, the group’s head of sports, said “the only choice for most of these kids in their neighborhoods is violence, poverty and mis.ery. We have tried to give them self-confidence through sports to improve their lives.”

Child labor in Iran is not only a serious issue but a worsening one. These facts about child labor in Iran demonstrate the critical need for aid in the region. Poverty is at the heart of the problem and organizations are working to reduce these extreme conditions, in turn getting the children the help they need.

– Natalie Malek
Photo: Flickr

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Can the African Union Passport Help Reduce Poverty?

African Union PassportEconomic development does not occur in isolation, and neither does the end of extreme poverty. Instead of working individually, African nations are uniting to find ways to improve Africa’s economy and lower poverty rates. Their latest attempt involves the deployment of the African Union Passport, which allows African citizens to travel freely throughout the continent.

Extreme Poverty Crisis

Africa is the world’s second-fastest-growing economic region. Economic growth usually leads to higher employment levels and overall standards of living. Despite recent improvements in Africa’s economy, extreme poverty levels have not decreased as expected. Instead, they have continued to rise. With an average poverty rate of 41 percent, sub-Saharan Africa is the region suffering the most from extreme poverty. The World Bank Group concluded that most of the global poor reside in sub-Saharan Africa. This region is made up of almost all the African countries except Algeria, Egypt, Libya, Morocco and Tunisia.

Despite a growing economy, many obstacles stand in the way of reducing poverty in Africa, including conflict and war and weak institutions.

Restricted Mobility

Another problem plaguing the African continent is a lack of regional mobility. African residents face stricter restrictions to travel across the continent compared to their European counterparts. In fact, the free movement of people, as well as goods, throughout the African continent, has been virtually nonexistent. For instance, a Nigerian businessman reported that he had to apply for 38 separate visas to conduct intra-regional business.

Regional mobility is a factor that generally drives economic development. The free movement of goods can boost a country’s GDP while the free movement of people can fill gaps in the labor market. Intra-regional movement accounts for a significant portion of Europe’s economy. Around 70 percent of all trade in Europe is intra-regional. In Africa, intra-regional accounts for less than 15 percent. As a result, Africa is missing various opportunities to boost its economy and reduce extreme poverty.

The Africa Visa Openness Index

In 2016, the African Development Bank had the vision to build a global market in Africa. The group believed regional mobility and intra-regional trade created more attractive markets. As a result, the African Development Bank began to track each African country’s visa entry requirements. The group also measured how freely African citizens were able to move through the continent. The Africa Visa Openness Index reports the group’s findings.

The Index ranks each of the 55 African countries in terms of visa openness. The following factors were used to determine the rankings: visa required (low openness ranking); visa on arrival (medium openness ranking) and no visa required (high openness ranking).

The Africa Visa Openness Index has influenced several African nations to make improvements to their trade and visa policies. For example, two years after ranking 28th on the Index in 2016, Benin’s President Patrice Talon announced that the country will no longer require visas for other Africans.

The launch of the African Passport will be the final stage in facilitating the free movement of people and goods across Africa. Africa’s entire population, approximately 1.2 billion people, will have an African Union Passport. This passport will serve as the key to freely move between African nations.

The idea for the African Union Passport is not new. The concept was proposed and approved by all 55 African nations decades ago. However, the dream of regional mobility became a reality after Rwandan President Paul Kagame and Chadian President Idriss Deby unveiled the prototype of the passport in 2016.

By 2020, all Africans will have an African Union Passport. The goal of the passport is to discourage regional isolation by increasing accessibility to intra-regional travel, tourism and trade. By working as a unit, Africa has the chance to boost economic development and end extreme poverty.

– Paola Nuñez
Photo: Wikimedia