The World Bank claims poverty is decreasing around the world but UN research shows it depends on what you measure. If we are serious about reducing poverty, we need to start by properly identifying it.
The World Bank has repeatedly claimed that extreme poverty is on the decline. In its Poverty and Shared Prosperity Report, it states that ’the world has made tremendous progress in reducing extreme poverty. The percentage of people living in extreme poverty globally fell to a new low of 10 percent in 2015 — the latest number available — down from 11 percent in 2013, reflecting continued but slowing progress. The number of people living on less than $1.90 a day fell during this period by 68 million to 736 million.’
The World Bank’s extreme poverty line of US$1.90 a day is in fact not based on real estimates of people’s cost of living within countries. This explains why it fails to capture the desperation experienced by so many.
by Sharon Burrow/ITUC