Archive for category: Poverty Reduction

Information and stories about poverty reduction.

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Stability: Focus of White House Summit on Global Development

Obama
President Obama spoke about the importance of advancing global development at the White House Summit on Global Development this past July. He focused his speech on development as a “key pillar” of his foreign policy and reassured that it would remain so for the next president.

The Obama Administration has funded global projects such as reducing poverty and encouraging global economic growth and stability. These programs add to former President George W. Bush’s efforts to focus on fighting global disease through the President’s Emergency Plan for AIDS Relief (PEPFAR).

According to the official White House website, Obama’s U.S. Global Development Policy that he issued in 2010 was the first time that “global development was elevated, on par with diplomacy and defense as a core pillar” of U. S. policy. Following Bush, Obama and his administration have continued to focus on solving global issues throughout his time in office.

The Washington Post cites the Obama Administration’s Feed the Future program as one of its successes. The agriculture-based program supported 9 million farmers and increased their sales by more than $800 million. The Global Food Security Act will systematize the program so that its impact extends long past the Obama Administration.

Susan Rice, the National Security Advisor, wrote in a Huffington Post article about why it is so important that Obama is dedicated to development. “Development is not a charity – it is a prudent investment in the security and prosperity of us all,” she wrote. Development is an investment that helps to stabilize global conditions and to create opportunities.

Rice wrote that Obama’s White House Summit on Global Development will help to support global economic growth, to improve food security and nutrition, to improve global health, and to invest in leadership. The programs already supporting these causes, like the United Nations’ Sustainable Development Goals and Feed the Future, will all help to eradicate poverty and secure a prosperous future through the continued support of global leaders and organizations.

Obama’s White House Summit on Global Development will hopefully mobilize already existing aid and development programs of all kinds. With goals to advance development in a variety of ways, the Summit will hopefully help to expedite poverty reduction efforts and stabilize global conditions.

– Addie Pazzynski

Photo: Flickr

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Reducing Poverty in Pakistan Through Government Aid

Poverty in Pakistan
In early April of this year, an important step was taken to reduce poverty in Pakistan. The Pakistani government made the decision to re-evaluate its poverty threshold or an individual’s estimated monthly income that would place them above or below the poverty line in that particular country.

The government ultimately decided to raise its poverty threshold, increasing the number of citizens eligible for government-sponsored aid and development policies.

Based on census data between 2013 and 2014, the Pakistani government raised the poverty threshold for working adults’ incomes to 3,030 rupees per month, or about $29.

The new criteria means that roughly 60 million total citizens are classified as falling below the poverty line as opposed to a much smaller number of citizens who fell under the old poverty line, which was based on 2001 data.

What consequences does this new, expanded recognition of impoverished citizens carry?

For starters, a higher poverty threshold typically means that there are fewer people living in poverty. The World Bank issued a report estimating that, if applied in 2001, the new data would qualify 64 percent of the population as impoverished, rather than the 34.5 percent of citizens classified as such under the old data.

Currently, the number of citizens living below the new poverty line rests at 29.5 percent, a sharp decrease from 2001. In simplified terms, this means that the overall rate of poverty in Pakistan has fallen by over one third in the past fifteen years.

It also shows that the government-sponsored aid programs and pro-poor development policies implemented over the past 15 years have worked and have the capacity to help even more citizens. The Benazir Income Support Program (BISP) in particular has been effective at providing economic assistance.

Provided with significant support by USAID, the World Bank, DFID, and the Asian Development Bank, BISP has taken the lead in establishing “cash transfer” programs, which provide the financial support families need to meet educational, health and livelihood requirements.

Tangible effects of this assistance can be found when examining such variables as the number of poor households with access to personal transportation (up to 18 percent compared to the two percent of 15 years ago) and the number of households with access to a toilet (up to 60 percent as compared to 30 percent in 2001).

The greater levels of income provided by BISP are improving the overall financial condition of Pakistan as well, allowing the country’s “formal banking sector to reach to the untapped market segment” of poverty in Pakistan.

The continued success that Pakistan has achieved by investing in its impoverished citizens has inspired programs similar to BISP in countries such as India, Ghana, Mongolia, Cambodia and Nepal.

– Will Clifft

Photo: Flickr

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Nine African Poverty Facts You Probably Didn’t Know

African Poverty Facts
Despite various obstacles, the African continent is seeing major progress in poverty-related areas. Africa is more than its struggle with distressing circumstances, and today its global importance is quickly growing. Here are the latest African poverty facts that you should know:

  1. Out of Africa’s 54 countries, 28 are among the poorest on earth, making Africa the poorest continent in the world. However, six of the world’s 10 most rapidly developing markets are also located on the continent.
  2. Roughly 70 percent of Africa’s population lives in rural poverty, but Time Magazine reports that African urbanization has risen to 37 percent with a third of the population considered middle-class by the African Development Bank.
  3. More than 40 percent of African women do not have access to basic education, and upward of 80 percent of African subsistence farmers are female, putting women at a significant disadvantage.
  4.  Africa’s children still suffer considerably. 20 percent live with some type of disability, six million die from malnutrition before age five every year, and 3,000 succumb to malaria every day.
  5. In Sub-Saharan Africa, around 313 million people lack improved water sources and nearly 235 million go without clean sanitation facilities.
  6. Half of Sub-Saharan Africans live on less than $1 per day. Yet, the African Development Bank estimates that by 2060 nearly one billion Africans are expected to enter the middle class.
  7. One in every four people in Sub-Saharan Africa are food-insecure and 23 million African children go to school hungry.
  8. Without government intervention, the U.N. estimates the number of people living in urban slums in Sub-Saharan Africa will double to 400 million by the year 2020.
  9. Poverty rates are higher in countries that are repeatedly exposed to violence. According to the Council on Foreign Relations, major armed conflicts occurred in 18 African countries since 1990. However, this is juxtaposed with the 30+ violent conflicts that took place in the years before and during the Cold War.

These African poverty facts demonstrate the prevalence of both poverty and progress and prove that, although many improvements are still needed,  the future of Africa is not bleak. Africa’s prospects are encouraging and overall, with continued support, success is ultimately attainable.

– Kristina Evans

Photo: Prezi

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Room for Improvement: Reducing Poverty in Malaysia

Malaysia_Poverty
The Southeast Asian nation of Malaysia is not a desperately poor country. Poverty in Malaysia is fairly low — the percentage of citizens at or below the national poverty line was 0.6 percent in 2014. Life expectancy and the infant mortality rate are about the same as in the U.S. and the GDP is growing.

Reducing poverty in Malaysia has come a long way since 1990 when the United Nations introduced the Millennium Development Goals. The first goal for the U.N. — to halve the number of people living on less than $1.25 a day by 2015 — was reached in Malaysia.

However, Malaysia has significant poverty and income inequality lurking just below the surface. While extreme poverty in Malaysia (income of less than $1.25 per day) is down to less than one percent, more than 25 percent of the population lives on less than $5 per day. Furthermore, about 60 percent of Malaysian families live on less than $1600 a month according to Al Jazeera.

About 20 million of the 30 million people in Malaysia live on the peninsula and approximately 72 percent of the population is urban.

The area in the need of the most support is the rural sector of Sabah on the island of Borneo. Borneo is a large island shared by Malaysia, Brunei and Indonesia so migration around the island is common.

The country is now home to about 2 million immigrants due to migration and recent political turmoil in neighboring Thailand. At this time there is no process for asylum seekers in Malaysia.

Both legal and illegal immigrants are known to be treated harshly and do not receive government support. It is imperative for the Malaysian government to address the needs of migrants as they make up over 10 percent of the population.

Malaysia also has relatively high levels of income inequality. The GINI index measures how much income levels deviate from totally equal distribution. Malaysia places higher than most countries, including all of its neighboring countries and the United States, with a GINI index of 46.2.

Malaysia stands out among its surroundings despite these problems. Nations like Laos, Myanmar and the Philippines all hover around a 25 percent poverty rate and an infant mortality rate that is between three and seven times higher than Malaysia.

Malaysia is also the only country among them with a functional and robust social welfare system. It is clear that further steps must be taken but remarkable progress has been made to reduce poverty in Malaysia in the past few decades.

– John English

Photo: Flickr

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Successful Campaigns in the Slums of Africa

Slums of Africa

Slums of Africa such as Nima, Kroo Bay, Kibera and others collectively house more than 60 percent of the urbanized population who continue to live in absolute poverty.

Moreover, countries like Egypt, Somalia and Libya have become the epicenter of turbulence over the years with extremist organizations gaining momentum. As a result, many families have had to flee in search of better conditions, but what they find is far from satisfactory.

According to a statement by Newsvision, South Africa in particular has failed to cope with the pressure of rural to urban migration. This problem can lead to adverse effects on economically active individuals in Africa.

An analysis conducted by Newcastle University in 17 government schools in Tanzania has highlighted that many gifted children living in the slums of Africa are unable to reach their full potential.

However, over the years individuals like Brian Mutebi have made the futures of thousands of schoolgirls secure. His campaign ‘Let Girls Be’ provides opportunities such as scholarships and training.

This past May, U.N. Habitat released the ‘World Cities Report.’ This accentuates their New Urban Agenda, a spearhead for many social and economic developments in major developing countries, to be adopted by October.

U.N. Habitat has also become active in relocating countless refugees in South Sudan in their initiative ‘Housing for Peace.’ They have been victims of slavery and abuse, and living in the camps and slums has only aggravated this further.

Additionally, the international relations that have been fostered by countries in East Africa have lead to the forging of a steadfast bond with South Korea.

President Park Geun-hye’s recent visit coincided with the provision of numerous aid programs in the form of health, hygiene and education services to various slums of Africa by the Korean International Cooperative Agency (KOICA). Not only will this initiative strengthen the flow of Foreign Direct Investment (FDI) between the countries, but it is also a symbol of cooperation and diplomacy.

The Department of Rural Development and Land Reform (DRDLR) has engaged in a number of land and rural reform programs to ensure that rural South Africans benefit from the same human rights as anybody else. These reforms center around such items as de-racialisation of the rural economy and fair, equal-opportunity land allocation.

Finally, the World Bank has supported the improvement of feeding programs in Sub-Saharan countries. As governments and people come to realize the importance of self-sufficiency, the chance to alleviate absolute poverty in the slums of Africa becomes a hopeful possibility.

– Shivani Ekkanath

Photo: Flickr

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6 Facts About Poverty in Indonesia

Poverty in Indonesia
Indonesia is the world’s third most populous democracy, and its people are spread out among thousands of islands in the Indian ocean. The country’s unique geography and turbulent history have made poverty reduction a challenge. However, Indonesia has made strides in addressing poverty thanks to strong economic growth and concentrated poverty alleviation legislation.

6 Facts About Poverty in Indonesia

  1. Poverty in Indonesia is both urban and rural, which makes reduction efforts by the government and international groups a uniquely challenging problem. Furthermore, due to Indonesia’s geography, natural disasters are a much more costly threat than in other nations, and they disproportionally affect poor people.
  2. Poverty reduction in Indonesia has been very effective in the 21st century. Approximately 11 percent of the population lives in poverty, a more than 50 percent reduction since 1999. Between 2006 and 2013, 10 million people climbed out of poverty in Indonesia.
  3. Despite the clear downward trend in poverty numbers, according to Indonesia Investments, “the Indonesian government applies rather easy terms and conditions regarding the definition of the poverty line, resulting in a more positive picture than reality.” As a result, Indonesia has a high population of people who are “near poor,” or in danger of falling into extreme poverty in an economic downturn.
  4. In recent years, however, the economy of Indonesia has been performing very well. Indonesia has the largest economy in Southeast Asia and the 16th largest in the world. The Indonesian economy has seen steady annual growth rates of between four and six percent annually since 2004. Furthermore, the unemployment rate is very low, recorded at just 5.5 percent in 2015.
  5. There has been a recent uptick in public spending by the government to improve public services in the country. The Indonesian government now invests about $30 million every year in its five major poverty reduction programs. The government has also been increasing its loan allocations in order to help small businesses.
  6. The country has a positive growth outlook for coming years. The Indonesian government has shown its commitment to fiscal reforms to increase foreign investment, and economic growth is expected to increase in coming years.

Despite the challenges that Indonesia faces, the last 15 years of economic growth and poverty reduction are encouraging for the future.

– John English

Photo: Pixabay

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An Assessment of Poverty in Colombia

Poverty in ColombiaIn recent years, Colombia has successfully taken measures to reduce the issues that contribute to poverty, particularly in the worse urban areas. However, land displacement due to violent conflict still causes a significant portion of the population to be affected by extreme poverty in Colombia.

Approximately 29 percent of the population of Colombia live in extreme poverty. The constant violence and illegal occupation in Colombia is partly at fault for the number of those who continue to struggle. Families who have been displaced struggle to provide their daily needs, particularly the indigenous and Afro-Latino communities.

Small farmworkers in particular are victims of displacement, as the recent reduction in poverty in Colombia is partly due to many of the small farmers abandoning their careers to find new work in urban areas with less conflict. Here, they are able to generate sustainable income and provide for their families.

However, as is the case in many impoverished urban areas, there is little security of employment or reliable access to education and health services. While the lack of human security allows the issues contributing to poverty to fester, Colombia has been lately successful at poverty reduction by focusing on reducing crime and conflict in the two largest cities, Bogota and Medellin. By targeting these areas, surrounding cities have also improved.

In the past decade, the number of citizens living in extreme poverty in Colombia has been cut in half. Doing so through times in conflict shows the overall ability of Colombians to reduce poverty, the results of which would be vastly greater if violent conflicts could be reduced as well.

Gerardo Corrochano says when speaking to the World Bank, “The current face of Colombia is completely different and its future, promising.” With continued international aid and investment in infrastructure, Corrochano believes that Colombia can eradicate poverty and sustain peace for the people. Colombia is now considered to have a more middle class than an impoverished population, which displays the progress that the nation has already made.

– Amanda Panella
Photo: Flickr

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European Union Champions In Poverty Reduction Goals

Poverty Reduction GoalsThe European Union, or EU, is the world’s largest development aid donor with over half of all developmental aid coming from the organization’s funding. Thanks in part to the EU’s efforts to achieve global poverty reduction goals, the number of people living in poverty has fallen by 600 million since the year 1990.

However, poverty analysts feel that significant progress can still be made towards reducing the death rate of mothers during childbirth and expanding access to clean drinking water. Because of this, the EU has pledged to help support 79 impoverished nations by raising an additional €1 billion in aid.

One of the projects supported by this funding provides over 5,000 households in rural Timor-Leste access to safe drinking water. Much of the project has already been completed, and local communities in the area are thriving like never before.

Before the program was launched, only 57 percent of the population in this rural community had access to safe drinking water. Now over 26 community water systems have been implemented in the area with 5,950 people being granted clean water access. The EU program has also expanded toilet access from 35 to 65 percent in the Aileu District.

Ludivina, a 9-year-old girl from the Aileu District in rural Timor-Leste told the European Commission that because of the program, she was able to enjoy life as a child should.

“After I collected the water, I would go to school and feel tired in the classroom. But when I first heard that I didn’t have to collect water because of the water system with the pump, I was so happy! Now I have time to play with my friends, go to school and sing!” Ludivina said.

This program is just one many the EU hopes to continue with the additional funding. In the past three years, the EU has spent €56.2 billion on developmental aid.

Simon Maxwell, the chair of the European Think Tanks Group, speaks highly of the EU to The Guardian. However, he says that the EU still has room for reform on all aspects of its development and humanitarian policies.

Much of these reform ideas can and will be found in universities, research centers, think tanks, NGOs and the private sector. Therefore, engagement in the EU can not benefit only the organization, but the countries that participate in it as well.

“The more we invest in the EU, the more successful we are likely to be in our efforts to achieve the global goals. We have to believe in the power of collective action and in the possibilities the EU can offer,” says Maxwell.

There is still much work to be done according to EU supporters. But with participation and support, the EU can be an example to other countries of a framework for successfully achieving with human rights, peacebuilding and poverty reduction goals.

– Katie Grovatt

Photo: Pixabay

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Effects of Poverty on Society

Effects of Poverty on Society Violence
Issues like hunger, illness, and poor sanitation are all causes and effects of poverty. That is to say, that not having food means being poor, but being poor also means being unable to afford food or  clean water. The effects of poverty are often interrelated so that one problem rarely occurs alone. Bad sanitation makes one susceptible to diseases, and hunger and lack of clean water makes one even more vulnerable to diseases. Impoverished countries and communities often suffer from discrimination and end up caught in a cycle of poverty.

 

Effects of Poverty on Society

 

The vicious cycle of poverty means that lifelong barriers and troubles are passed on from one generation to the next. Unemployment and low incomes create an environment where children are unable to attend school. Children must often work to provide an income for their family. As for children who are able to go to school, many fail to see how hard work can improve their lives as they see their parents struggle at every day tasks. Other plagues accompanying poverty include:

  • Crippling accidents as a result of unsafe work environments—consider the recent building collapse in Bangladesh.
  • Poor housing—a long-lasting cause of diseases.
  • Water and food related diseases that occur simply because the poor cannot afford “safe” foods.

Ultimately, poverty is a major cause of social tensions and threatens to divide a nation because of income inequality. This occurs when the wealth of a country is poorly distributed among its citizens—when a tiny minority has a majority of the money. Wealthy or developed countries maintain stability because of the presence of a middle class. However, even Western countries are gradually losing their middle class. As a result there has been an increased number of riots and clashes. For society, poverty is a very dangerous factor that can destabilize an entire country. The Arab Spring is a great example of how revolts can start because of few job opportunities and high poverty levels.

 

Child Poverty

 

The number of children affected by poverty has been increasing since the 1960s. Children are those with the least amount choice and ability to change their circumstances. There is very little they can do to help their families, nor should they have to. Usually by the age of six they can be enrolled in child labor. Nearly all the potential effects of poverty impact the lives of children—poor infrastructure, unemployment, malnutrition, domestic violence, child labor, and disease. Simply analyzing the effects of child poverty on education in developed countries alone reveal some disturbing statistics:

  • Children from poor backgrounds lag behind at all stages of education.
  • By the age of three, poorer children are estimated to be nine months behind children from wealthier backgrounds.
  • By the end of primary school, students receiving free school meals are estimated to be about three terms behind their peers.
  • By 14, this gap increases to over five terms.
  • By 16, children receiving free school meals are about 1.7 grade points below their more affluent peers’ average GPA.

 

Effects of Poverty and Violence

 

The effect of poverty on terrorism is not as straightforward as the media often perceives it to be. Poverty fuels terrorism by creating a state of misery and frustration that pushes people to join terrorist organizations. But more research shows, it is more complicated.

Of course, some terrorists come from poor countries with high unemployment, and terrorist organizations often provide higher salaries than other jobs. But terrorism may not be a direct effect of poverty. So what is the source of frustration and anger?

Studies show that countries with weak governments, fragile institutions, and limited civil rights are a great environment to nurture the production of terrorist activity. Countries undergoing difficult transitions—i.e. from authoritarian to democratic regime—often encounter political instability with the blurring of certain rules and laws.

These periods of profound change come with a transformation of social order, values, and methods of governing that many people may find distressing and unsettling. Therefore, stabilizing and empowering political institutions is a crucial part of fighting against the dangerous consequences of poverty.

– Scarlet Shelton

Sources: Poverties.org, CPAG, UK Government

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Seven Important Facts About Poverty in Switzerland

Poverty in Switzerland Swiss Poor Areas Poverty Rate

Poverty in Switzerland remains lower than many of its European neighbors. However, rates still affect a large part of the population. So, why are the Swiss poor? In the country, a lack of awareness about poverty combined with a high cost of living compounds the struggles felt by impoverished residents. Below are the leading facts about poverty in Switzerland.

Top Seven Facts about Poverty in Switzerland

1. One in 13 Swiss Residents Lives Below the Poverty Line.

Switzerland is one of the world’s wealthiest nations. However, data shows that one in 13 residents of Switzerland are still living in poverty. This rate may come as a surprise to many, as Switzerland is often associated with economic stability. By comparison, an estimated one in five residents of Britain lives in poverty, while the average resident of Zurich makes 21 times more per hour than the average resident of Kiev, Ukraine. Switzerland’s poverty rate is significantly lower than nearby European nations, however, 6.6 percent of the Swiss population still lives in poverty.

2. The High Cost of Living Amplifies the Issue.

Residents of Switzerland must account for a high cost of living; food prices and the cost of housing make daily financial needs quite high. Mandatory private health insurance adds further expense. Recent reports show Zurich and Geneva as two of the most expensive cities in the world in terms of cost of living, with certain reports placing the cities above New York City. However, higher incomes in the cities typically offset this cost, with high purchasing power reported. As a result, Zurich and Geneva rank second and third respectively in terms of purchasing power (surpassed only by Luxembourg.)

3. The Poverty Line is Set to Incorporate the Cost of Living.

In order to account for the high cost of living in Switzerland, the poverty rate has been set to incorporate the financial demands of living in the country. For a single person, the poverty line is set as making less than 2,200 francs per month (equal to slightly more than $2,200 in the U.S.) A couple living with two children is considered below the poverty line if earning less than 4,050 francs per month. Poverty in Switzerland is understood as the inability to afford the goods and social services necessary for a healthy and socially integrated life. The Swiss Conference for Social Statistics sets poverty line thresholds based upon meeting those needs.

4. Elderly, Immigrant and Single-Parent Populations are Especially Vulnerable.

Certain populations in Switzerland are especially vulnerable to poverty. These populations are much like the vulnerable populations in many countries, including families with only one parent, elderly residents, the unemployed, unskilled laborers and people living alone. Rates of poverty among these populations are significantly higher than other demographics. For example, those over the age of 60 are nearly three times more likely to live in poverty.

5. Trial and Error Approach to Solutions, Including Universal Basic Income.

As Switzerland seeks to address the levels of poverty that remain in the country, a referendum was voted on which would have paid each Swiss family a weekly guaranteed income. While the referendum failed in a vote this June, it represents an innovation in seeking solutions to poverty. Switzerland is the first country to consider a solution of this kind. Some consider the failure an important step, nonetheless, as it provides a platform for discussing the meaning of basic income.

6. Wages and Income Can Be Quite High in Relation to European Neighbors.

Incomes in Swiss cities are often quite high, with the average resident of Zurich earning $41 per hour or more. This level of earning is often what leads to the association of Switzerland with a lifestyle of security and contributes to offsetting high costs of living. However, for the 6.6% of Swiss residents who do live in poverty, keeping up with city living costs (dependent on similar wages) can lead to a daily struggle.

7. Poverty in Switzerland is Decreasing.

The good news for addressing poverty in Switzerland is a recent decrease in the number of those living in poverty. Since 2007, rates have decreased from 9.3% to 6.6%.

Assessing poverty in Switzerland demonstrates the importance of not allowing a minority impoverished population to go overlooked. The country’s innovative and consistent efforts to address poverty represent a democratic model for the discussion surrounding poverty in developed nations.

– Charlotte Bellomy

Photo: Flickr