With the second-largest economy in Southeast Asia, Thailand is a relatively wealthy country. Its vibrant culture, delicious food and beautiful scenery attract millions of visitors a year, greatly contributing to its economy. On top of the tourism industry, Thailand exports many commodities like rice, rubber and coconuts. The country also produces goods like textiles, cement and plastics. Though Thailand’s poverty rate has decreased by 65% since 1988, impoverished living conditions are still a pressing issue in the country. The poverty rate fluctuates and currently, it is on the uprise. Here are five facts about poverty in Thailand.
5 Facts About Poverty in Thailand
- Poverty is on the rise in Thailand. In 2015, the poverty rate was just 7.2%. This figure has risen to almost 10%. That amounts to 2 million more people living beneath the poverty line, a substantial increase in only a few years. The rise in poverty does not occur in only a few of the country’s regions. Since 61 out of 77 provinces have seen a rise in poverty, one cannot attribute the current situation regarding poverty in Thailand to one specific community or circumstance. It is a widespread problem with profound implications for the livelihood of all Thai people.
- The rise in poverty is mainly due to economic reasons. Honing a 4.1% GDP growth rate in 2018 (one of the lowest in the region), the lack of economic progression in Thailand greatly affects its citizens. Additionally, Thailand has the fourth highest wealth inequality rates in the world at 90.2%, meaning there is a huge disparity between the richest and poorest people in the country. Without economic development and wealth equality, cycles of impoverishment will continue to trap the people of the nation.
- Environmental disasters have pushed more Thai people into poverty. Agriculturists (who make up 31.8% of the workforce) are already a poor group in the country, but the recent droughts in the past year have impoverished them even more. This combination of economic and environmental factors pushes farmers into even more poverty. Droughts are not the only natural disaster devastating the country. The floods and tsunamis that hit the country throughout the 2000s perpetuated even more poverty in Thailand. These natural disasters are inevitable, yet the lack of safety nets in the country is damaging the livelihoods of farmers.
- One of the demographics that poverty affects the most in Thailand is children. As of 2012, 7% of children weighed in as underweight and 16% experience stunting (impaired physical or psychological development due to a lack of nourishment during adolescence). The severe lack of resources could greatly impair future generations in the country. UNICEF is quite active in Thailand, working to alleviate child mortality and malnourishment. Due to its work, the child mortality rate has decreased four-fold; yet, there is still more the country requires.
- A solution to the poverty crisis in the country is an increase in social safety nets. Considering that environmental disasters and economic factors contribute to the rise in poverty, government-sanctioned programs to protect the Thai people are one of the easiest solutions to this problem. If Thailand can pinpoint which demographics are most susceptible to poverty, the government can create specific jobs and policies to protect its most vulnerable people.
Despite these five facts about poverty in Thailand, there are still many success stories for the country in terms of poverty alleviation. According to the Asian Development Bank, nobody in Thailand lives in extreme poverty (under $1.90 a day). Everyone in the country has access to electricity, water sanitation is excellent and education rates are high. However, to ensure every single citizen of Thailand is free from poverty, the government must continue to invest in economic development and produce innovative jobs for vulnerable populations. Only then can all be free from the insufferable conditions that poverty produces.