Tuesday, 10 September 2019

Top Five Causes of Global Poverty



More than 10% of the world’s population (or over 700 million) live in extreme poverty – Why?

1. Inadequate Access to Water/Food
More than 2 billion people have no access to clean water at home and over 800 million suffer from hunger. No water and/or food leaves them with no strength or energy for work.

2. Little or No Access to Jobs
This may be a “no brainer”. Without a job or a way to make money, people will face poverty. Dwindling productive land, overexploitation of resources, conflicts leave many with no jobs or means to secure a future. A classic case is Democratic Republic of Congo (DRC). A nation rich with resources but its people extremely poor.

3. Conflict
Conflict causes poverty. Large scale, protracted violence like in Syria, Iraq, Yemen or Libya will grind a society to a halt, destroy infrastructure and then cause people to flee to Turkey or Europe. In Syria, around 70% of entire population live below the poverty line (say, USD 1.90 per day). Women and children are worst affected.

4. Inequality
There are many different types of inequality in the world. Economic to social inequalities. No matter what, it generally means no access to resources to lift a family out of poverty.

5. Poor Education
Most of the extremely poor don’t have an education. Why? A number of barriers prevent children from going to school – affordability, work in farms/factories to supplement household income or gender bias, especially for girls. UNESCO estimates 171 million people could be lifted out extreme poverty if they left school with basic reading skills.

Then there is climate change, lack of infrastructure and ineffective governments that perpetuate poverty.

What about Malaysia?

Philip Alston a UN expert, caused a furore by saying Malaysia’s official poverty figure (0.4%) is “vastly” undercounted. The national poverty line income is way too low (RM980). Poverty rate could actually be between 15-20%.

Khazanah Research Institute (“KRI) wrote in its 2018 report that poor households rose to 1.54 million in 2016 from 1.08 million in 1995 (based on 60% of median household income). We need a classification that is right before we address policies! And new inequalities are emerging – vertical inequality, regional and intra-ethnic rather than inter-ethnic inequality. Not getting this right lead political parties to create unnecessary tension of race and religion.


Reference:

1. The Top 9 Causes of Global Property www.concernusa.org
2. KRI: Realistic poverty measures show more Malaysians poorer now, 25 June 2019, Malay Mail
3. Malaysia’s poverty problem needs reframing, 25 August 2019, Free Malaysia Today
4. Poorer than we think: Malaysia’s official poverty figures ‘vastly’ undercounted, says UN expert, 23 August 2019, The Star
5. United Nations Development Programme www.my.undp.org


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