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Everything About Inequality And Poverty In South Africa

inequality and poverty in South AfricaSouth Africa is a popular tourist destination for adventure seekers and safari lovers of the world. Its expansive national parks and gorgeous coastal settlements like Cape Town offer travelers countless activities and scenic views. But despite its stunning exterior, extreme, seemingly inescapable inequality and poverty ransack the country, with 18.9% of the population living below the international poverty line.

In 2020, the United Nations (U.N.) and the World Bank ranked South Africa as the most financially unequal country in the world. The following is a look into poverty in South Africa.

Apartheid

Apartheid is the leading factor behind the inequality and poverty in South Africa. This era saw the forced physical and social separation of all racial groups. Black South Africans could not live with or marry white people. They could also not attend the same schools, live in the same neighborhoods or even walk on the same side of the street.

White South Africans experienced better schools, safer homes and superior health care compared to other South Africans. Although Apartheid is no longer an official policy, the effects have left Black South Africans severely disadvantaged socially and economically. At the end of the era of segregation, white South Africans had more than 90% of land ownership in the entire country, leaving the rest of South Africans with little wealth and a direct route to extreme, cyclical poverty.

Even though no laws directly prevent the social or economic advancement of the poor, this type of poverty is difficult to overcome.

Regional Poverty

Extreme poverty in South Africa is mainly concentrated in the eastern and northern regions of the country. Eastern Cape is the poorest municipality in South Africa with a poverty rate of 12.7% and 878,000 impoverished people. However, many other municipalities in these regions experience poverty at rates as high as 11.5% and no lower than around 5%. These same areas have poverty numbers above 600,000 people.

Female-Led Households

Households that females lead experience higher and more severe rates of poverty. In fact, female-led households experience poverty at a rate almost 17% higher than male-headed households. Female-headed households tend to be farther below the poverty line than their male-headed counterparts, meaning that these households have less access to education, clean water and sanitation.

High Rates of Unemployment

As of June 2023, unemployment in South Africa stood at 32.9%, one of the highest rates in the world. Nearly 5% of unemployed people qualify as time-related unemployed, meaning that they are available to and desire to work more hours than they currently do. In other words, many employed South Africans still feel, to a certain degree, unemployed. While one in three South Africans is unemployed and living off of federal grants, some employed individuals still require a higher income to truly survive.

This feeling of hopelessness and desire for more leads to a sense of poverty whether or not one technically qualifies as “impoverished.”

Below Average Health and Safety

South Africa is below average in terms of health and safety. More than one-quarter of people are unsatisfied with the quality of water. South Africa has massive amounts of air pollution and a life expectancy of 64 years old.

Unsafe communities exacerbate these factors. The country has a homicide rate of nearly 14% and more than 50% of people do not feel comfortable walking alone at night.

Overall, living conditions in South Africa range greatly from high-quality housing in wealthy neighborhoods to unsafe and impoverished communities that provide residents with little chance to escape cyclical poverty.

Future Outlook

Although some of these statistics seem daunting, there is good news. The South African government is proving its dedication to reducing poverty through huge amounts of spending on social grants. About 60% of federal spending goes toward social welfare programs that reach 16.6 million people every year. This welfare program includes old age grants for persons 60 years or older, who have a disability, veterans and different forms of child support, including foster child grants and care-dependency grants.

The social welfare program took off in the 1990s during the country’s early years of democracy as a temporary way to ease the inequality and pain caused by Apartheid. However, the program has become permanent and crucial to South African life. An estimated one-quarter of South Africans receive federal aid through this program, making it essential to maintaining a functioning economy and fighting poverty within South Africa.

Poverty in South Africa is more than a lack of sanitation, potable water and healthy food. Apartheid has created a rift in South Africa’s society. The nation is now characterized by unemployment, gender inequality and racism. However, continued government action, foreign aid and time may be enough to significantly reduce inequality and poverty in South Africa.

– Suzanne Ackley
Photo: Flickr

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A Global Example: The Ever-Decreasing Poverty Rate In Belgium

The Poverty Rate In BelgiumBelgium is a country located in western Europe between France and the Netherlands. It became an independent nation from the Netherlands in 1830 and was then controlled by Germany during World War I and II. The foundation of the EU and NATO allowed the country’s capital, Brussels, to become the home for numerous international organizations. The influence of the organizations and membership in the EU and NATO has allowed the poverty rate in Belgium to remain low.

Currently, the poverty rate in Belgium rests at 15 percent. Like many other European nations, Belgium has a high standard of living and per capita income. Belgium consistently ranks among the top nations in the Human Development Index (an index that measures the quality of life in countries). In 2007, Belgium ranked number seven, which was ahead of the country it once was a part of — the Netherlands.

When measured in 1992, 3.7 percent of the population was in the lowest 10 percent of the income bracket. About 9.5 percent were in the lowest 20 percent, 14.6 percent were in the second 20 percent, 18.4 percent were in the third 20 percent and 23 percent were in the fourth 20 percent of income.

The highest 20 percent made up 34.5 percent and the highest 10 percent made up 20.2 percent of income. These statistics indicate the low poverty rate in Belgium and the little income inequality.

Although there is little income inequality in Belgium, 16.7 percent of people under the age of 18 lived in families that fell below the poverty line. Since 2012, the risk of being under the poverty line for people under the age of 18 has decreased considerably. Thanks to numerous social welfare programs, the risk of a person under 18 being under the poverty line in Belgium has fallen from 27 to 15 percent.

The social welfare system is a primary reason for why the poverty rate in Belgium remains low. The country has programs for family allowance, retirement, medical benefits, unemployment insurance and even a program that provides a salary in the event of an illness.

Belgium is a country that has managed to tackle the issues of income inequality and poverty while remaining a small nation. The social welfare system in Belgium in conjunction with its cooperation with the EU and NATO are one of the primary reasons for the success of the country. Thus, countries interested in lowering their poverty rates should follow Belgium’s example.

– Nicholas Beauchamp
Photo: Flickr