8 Facts About Elderly Poverty In Thailand
Thailand’s population of senior citizens has been increasing in recent years. Alongside this increase in population size, the percentage of elderly poverty in Thailand is also rising. A decrease in the younger generation’s desire to have children and a lack of retirement incomes have contributed to this poverty increase. Here are eight facts about elderly poverty in Thailand.
8 Facts About Elderly Poverty in Thailand
- Less Young People in Thailand are Having Children: Many young Thai people say they are choosing not to have children because starting a family is not affordable. Raising children limits personal freedom and hinders opportunities for career development. As a result, the number of children being born into the “new generation” has decreased.
- Fewer Children Increases Poverty: The age that Thai couples are choosing to have children has grown to be older in recent years. Divorce rates in Thailand have also increased. This contributes to elderly poverty because the biggest source of financial security for elders in Thailand is family members, especially children and grandchildren. With fewer children and grandchildren being born, there is a higher risk of poverty for the elderly.
- Thai Population Grows Older: Thailand’s population is quickly growing older. According to the World Bank, “the proportion of people older than 60 will increase dramatically in the next 50 years, from 15% in 2010 to 35% in 2060.”
- Elderly Poverty is Significant: The poverty rate is higher among the elderly than in the total population. In 2010, 10.9% of people over the age of 60 were impoverished, while only 7.7% of the total population was in poverty.
- The Dependency Ratio is Growing: Right now, the dependency ratio in Thailand is 56%. This ratio compares the population of children and the elderly to the number of citizens of working age. By 2070, the World Bank predicts that the dependency ratio will exceed 100%, which means that there will be more people not working than people who are working.
- Males Have a Higher Poverty Rate: The poverty rate of males is higher than the poverty rate of females at most ages. This difference is particularly prevalent among those over 70 years old. Additionally, the highest poverty rates overall are children below age 15 and elderly above age 60.
- The Elderly Poverty Rate is Growing: Although the number of elders that fall below the poverty line in Thailand is fairly low, the amount of elders close to the poverty line is high. Nearly 18% of the elderly in Thailand are impoverished or vulnerable to poverty.
- Thailand is Creating Pension Programs: There are currently eight pension programs in Thailand that are working to lower elder poverty by providing retirement incomes. Despite mandatory pension schemes, approximately two-thirds of Thailand’s employed population is not financially insured. While the Social Security Fund insures private employees and the Government Pension Fund insures government officers, informal sector workers receive minimal financial support.
Elders in Thailand rely on the assistance of their families and pension after retirement. However, the decrease in the nuclear family and the lack of financial insurance are affecting the poverty rate among elders. Pension programs are working to lower the elder poverty rate in Thailand to combat financial reliance on families.
– Grace Parker
Photo: Wikimedia Commons