Causes of poverty
There are many causes of poverty and many of them are linked. Three of the causes are:
- armed conflict
- bad governance
- poor infrastructure
Armed conflict
In times of conflict, it is difficult for people to go about their daily life. This includes farming, running businesses and using education, healthcare, shops and services. All these directly affect people's income and the economy of countries involved.
War and conflict can force people from their homes. The number of people displaced due to war or persecution exceeded 70 million in 2018. Around half of these are aged under 18.
Syria
The conflict in Syria which began in 2011 is an example of how conflict can cause poverty.
According to the World Bank, in 2010 the Gross Domestic Product is the total amount of goods and services produced in a year. 'Per capita' means 'per head'. GDP divided by population. in Syria was $11,8020. By 2018 the GDP per capita had dropped to $1,265.
According to the UN, in 2021 90% of Syrians were living in poverty, with 60 per cent of the population at risk of going hungry that year. In many families, children were being sent to work rather than school so that they were bringing money into their family. Missing out on education will reduce their ability to find better paid work in later life.
Bad governance
Funding for debt relief and economic growth is a major issue. However, even with funding there are other problems that can hold back development. One of these problems is corruption.
Democratic Republic of Congo
In 2019, Global Witness stated that âat least $750 million has been diverted from [the] governmentâ in the Democratic Republic of Congo. According to Global Witness, "There is no clarity on what this money was spent on or where it ended up" but evidence gathered by the organisation suggests "at least some of the funds were distributed among corrupt networks". This means that the government has less money to spend on helping the poorest in the country.
Kenya
Kenya is perceived to be one of the most corrupt countries in the world, ranking 124th out of 178 in Transparency Internationalâs 2020 Corruption Perception Index. For example, companies shifting perishable goods risk losing the lot if they refuse to pay bribes. The Kenyan government has said it could be losing nearly one-third of the national budget to corruption.
Poor infrastructure
Poor infrastructure makes everything in many African countries slower, less reliable and more expensive than it needs to be. Ethiopia does not just need better rural roads, it needs entire new logistics networks linking airports, railways and warehouses, as well as new electricity grids to power them. Its cities also lack proper water supplies and sanitation.
Both the developed and developing countries must be better at managing large capital aid projects. There has been too much corruption and favouritism in awarding contracts and a lack of infrastructure maintenance has been created.