Poverty in Latin America is widespread, but mostly has seen slow small improvement in recent years. Poverty rates vary from country to country in the Latin American region. UN: Coronavirus will create 45 million more poor people in Latin America, UN report warns. All statistics are computed from microdata of the main household surveys carried out in these countries using a homogenous methodology (data … Lower Middle Income Class Poverty Line has a value of US$3.20 PPP. 1. Poverty headcount ratio at $5.50 a day is the percentage of the population living on less than $5.50 a day at 2011 international prices. Compared to worldwide averages, Latin America is among the poorest of the poor. There is still a lot of work to do in the region. Since 1995, LAC has seen extreme poverty (set at $2.50 PPP/day) cut in half – from 26% to less than 13% (World Bank 2013). These facilitate comparative analysis for evidence-based policy making across a wide array of policy areas. While data quality problems remain (Lustig, 1994), this … Learn how the World Bank Group is helping countries with COVID-19 (coronavirus). Furthermore, 2011 marked the first time in the region’s history that the middle class constituted a larger portion of the population than the poor (using a poverty line of $4 PPP/day) (see Figure 1). Over the past decade, the Latin America and Caribbean region experienced remarkable reductions in extreme poverty. The famous (or infamous) “trickle-down effect” that says that as the rich get richer they invest in their companies and create more jobs is seriously compromised in this new world economy of ours. the Caribbean, this chapter focuses on Latin America. Here’s why: 1. Shattered dreams. Poverty gap at $3.20 a day (2011 PPP) (%), Poverty headcount ratio at $1.90 a day (2011 PPP) (% of population), Multidimensional poverty headcount ratio (% of total population), Multidimensional poverty headcount ratio, male (% of male population), Multidimensional poverty index, children (population ages 0-17) (scale 0-1), Poverty headcount ratio at $5.50 a day (2011 PPP) (% of population), Multidimensional poverty headcount ratio, household (% of total households), International Comparison Program & Purchasing Power Parity, International Household Survey Network (IHSN), Trust Fund for Statistical Capacity Building. Please check your download folder. Find Out, Online tool for visualization and analysis. Poverty headcount ratio at national poverty lines (% of population) - Latin America & Caribbean World Bank, Global Poverty Working Group. Indigenous people make up a large and distinct portion of Latin America's population. As a result of revisions in PPP exchange rates, poverty rates for individual countries cannot be compared with poverty rates reported in earlier editions. the evolution of poverty are based on the incidence measure (headcount ratio). Most of its population lives in absolute poverty. The Levels of Poverty in Latin America. REDATAM Creates and processes hierarchical databases from censuses, surveys, vital statistics and other sources for local, regional, and national analyses; produces thematic maps. Given the inequality of income distribution in Latin America and the slow growth of output, policies to overcome poverty must involve more efficient allocation of government resources, redistribution and foreign aid. 2 In October 2017, the World Bank began reporting poverty rates for all countries using two new international poverty lines: $3.20/day (in 2011 PPP) and $5.50/day. To learn more about cookies, click here. With estimated poverty rates floating around 10 percent, Uruguay, Argentina and … ‍Neoliberalism & inequalities in Latin America. This site uses cookies to optimize functionality and give you the best possible experience. ‍They can easily re-invest elsewhere, that’s why corporations pushed for globalization 30-40 years ago, they gained access to cheap labor and capital could then move anywhere; 2. Latin America & Caribbean poverty rate for 2015 was 26.20%, a 0.8% decline from 2013. The progress towards achieving the first Millennium Development Goal of eradicating extreme poverty by 2015 is still far from being achieved in most Latin American countries. Average growth of GDP per capita in Latin America during the 2000s was just under 3%, well above the corresponding rate in OECD countries . In recent years, Latin America has made remarkable progress in the reduction of poverty and inequality. Data problems are twofold. This means that approximately 185 million people were below the poverty threshold in 2018, of whom 66 million people experienced extreme poverty, according to the Social Panorama of Latin America 2019. Countries in Latin America continue to struggle to share the benefits of economic growth with the poor segments of their population. Preliminary data are ambiguous over the likely poverty outcomes in 2017. In this FAO Poverty In Latin America map, Darker is Poorer but some light areas are just 'no data' - see our Poor in a Rich World page. OECD and Latin America and the Caribbean; Data; The growing engagement of LAC countries with the OECD is reflected increasingly in OECD databases and indicators. Note: Calculations using SEDLAC data (CEDLAS and the World Bank). Keywords: Poverty dynamics, transitory and chronic poverty, vulnerability, middle-class, Latin America, panel data, synthetic panels, mobility. the estimation of poverty lines for country poverty com-parisons in Latin America and the Caribbean. There is a very strong correlation between schooling attainment and ethnicity, and between schooling attainment and poverty incidence. The analysis of poverty dynamics and income mobility in developing countries has received relatively limited attention, largely due to the lack of adequate longitudinal data.3 Recently, Ferreira et al. ... Latin America & Caribbean ... CO2 emissions (metric tons per capita) Details. Latin America & Caribbean. If you use our chart images on your site or blog, we ask that you provide attribution via a link back to this page. Nonetheless, although the decline in poverty and inequality has been impressive, Latin America remains one of … Consequences for the region. (2013) and Vakis et al. A native of Argentina, Yeatts is an economist by training and a successful businessman by vocation. If you continue to navigate this website beyond this page, cookies will be placed on your browser. But in Latin America, that reality is not so obvious, most of the boys of that age attend school in the region, 51 of them do not have the ability to read and understand a simple text. The empirical evidence on absolute poverty and income inequality in Latin America is fragmentary and often contradictory. We find that poverty and inequality have not declined during the 1990s in spite of improvements at the macroeconomic level. Meanwhile an estimated 22.9 percent of Hondurans (around 2 million … WPS8825 - Trading off the Income Gains and the Inequality Costs of Trade Policy. 1. 3. The World Bank in Latin America and the Caribbean After several years of slow growth, the Latin American and the Caribbean economy is facing a new setback because of the COVID-19 pandemic. 3Comparing poverty and especially inequality across countries and regions is challenging. Argentina discloses poverty data after three-year gap. Measurement of income poverty on the basis of household survey data using the food share method was initiated at ECLAC by Altimir (1979) and later undertaken regularly in ECLAC's Social Panorama (ECLAC, 1994, 1995, 1997). Up to 70% of the population in South America lives in cities. While the incidence of poverty is high in Latin America, it is particularly severe and deep among the indigenous population. The Macro Poverty Outlook (MPO) analyzes macroeconomic and poverty developments in 28 developing countries in Latin America and the Caribbean. Over the 2000s poverty and extreme poverty were reduced in fifteen of the sixteen countries studied There is a very strong correlation between schooling attainment and ethnicity, and between schooling attainment and poverty incidence. The analysis of the Sustainable Development Goals (SDG) presented here is the outcome of the discussions held within the framework of the Forum of the Countries of Latin America and Caribbean on Sustainable Development, convened under the auspices of the Economic Commission for Latin America and the Caribbean … Compared to worldwide averages, Latin America is among the poorest of the poor. Few countries systematically collect data on the size distribution of consumption or income at the household or individual level. Latin America & Caribbean poverty rate for 2013 was 27.00%, a 0.7% decline from 2012. By assessing poverty in quantifiable terms, the report presents what can be measured about the lives of indigenous people today, yet recognizes that this approach is limited from reflecting all the needs and values of Latin America's indigenous peoples. On the one hand, inadequacies arise at the primary data level. First, the good news: Most Latin American and Caribbean countries have experienced dramatic reductions in poverty since 2000. WPS8825 - Trading off the Income Gains and the Inequality Costs of Trade Policy. Tens of millions of Latin Americans are set to plunge into poverty as the COVID-19 pandemic undoes more than a decade of economic gains in the region. Learn how the World Bank Group is helping countries with COVID-19 (coronavirus). In fact growth does help, but only to some degree. Advances in poverty reduction in Latin America over the last decade and a half have been remarkable. We have provided a few examples below that you can copy and paste to your site: Your image export is now complete. Childhood poverty in Latin America and the Caribbean (%) Country $2.5 a day (2005 PPP) $4.0 a day (2005 PPP) 2004 2014 2004 2014 Argentina 28.4 9.3 47.0 21.4 Bolivia 44.4 19.0 64.6 33.7 Brazil 38.4 14.9 58.5 32.7 Chile 12.6 3.4 30.3 11.6 Colombia 40.1 22.3 64.0 42.2 Costa Rica 8.6 21.6 Latin America & Caribbean from The World Bank: Data. Keywords: Poverty dynamics, transitory and chronic poverty, vulnerability, middle-class, Latin America, panel data, synthetic panels, mobility. (2015) have analyzed intra-generational mobility in Latin America… For Latin America, rural poverty represents 30% of total poverty. Those elements are little captured in this report. Please check your download folder. Between 2000 and 2013, the percentage of the population living on less than $2.5 per capita per day decreased from 28.8 to 15.9 %, while the share of the population living on less than $4 dropped from 46.3 to … “ Inequality and poverty are about more than income – they are also about information. The Macro Poverty Outlook (MPO) analyzes macroeconomic and poverty developments in 28 developing countries in Latin America and the Caribbean. The overall poverty rate – measured by income – remained stable in 2017 in Latin America, following increases recorded in 2015 and 2016; however, the proportion of persons living in extreme poverty continued to rise, following the trend observed since 2015, according to the report by the Economic Commission for Latin America and the Caribbean (ECLAC). Upper Middle Income Class Poverty Line has a … Most of its population lives in absolute poverty. Due largely to Brazil’s historic recession, more than 10 percent of Latin Americans, or 62 million people, are living in extreme poverty, the highest percentage since 2008, according to a report recently released by the U.N. Economic Commission for Latin America and the Caribbean, or ECLAC. Due largely to Brazil’s historic recession, more than 10 percent of Latin Americans, or 62 million people, are living in extreme poverty, the highest percentage since 2008, according to a report recently released by the U.N. Economic Commission for Latin America and the Caribbean, or ECLAC. According to United Nations data, the proportion of the region’s 580 million residents suffering from poverty declined from 41.7 percent to 25.3 percent. 1 Marco Stampini, Pablo Ibarraran and Nadin Medellin are with the Social Protection and Health division of the Inter-American Development Bank (IDB). The incidence of childhood poverty in Central America and the Caribbean remains the highest in the region. Non-labor income will need to play an important role given the low labor income increases seen in preliminary labor market data. The paper exploits a unique, comprehensive data set of 86 up-to-date urban official extreme and moderate poverty lines across 18 countries in Latin America and the Caribbean, as well as the recent values of the national purchasing power Poverty in Latin America, foreign aid debt burdens. Latin America and the Caribbean is by far the lowest scoring region in the world on two indicators related to women’s physical safety. According to revised official poverty estimates, based on an updated methodology, an estimated 48.3 percent of Hondurans (around 4.3 million people) lived below the national poverty line in 2018. 7 According to extreme poverty measures using an income-based aggregate and an international poverty line of $1.25 a day in 2005 prices, the extreme poverty rate fell from 10.2 to 4.6 percent between 2002 and 2011. Description: This paper characterizes the trade-off between the income gains and the inequality costs of trade using survey data for 54 developing countries. Latin America & Caribbean. Poverty reduction in the Latin America (LA) region remained stagnant in 2016 as the economic contraction deepened. The characteristics of our data allow us to The World Bank is working with member countries to accelerate support for the pandemic and other development priorities in the region. The report is released twice annually for the Spring and Annual Meetings of the World Bank Group and International Monetary Fund. Poverty in Latin America is widespread, but mostly has seen slow small improvement in recent years. However, recent efforts at generating data made by Altimir (1995) and the Economic Commission for Latin America and the Caribbean (ECLAC, 1996) allow such an analysis to be under- taken. country–specific ) poverty lines. Recent data from the United Nations' Economic Commission on Latin America and the Caribbean (ECLAC) show that 41 .7 percent of Latin Americans lived in poverty in 2004, while 17.4 percent lived in extreme poverty.1 Despite this gen-erally high level of poverty, there is significant variation among Latin American states. Last year, the Mexican Government became the first country to implement a national poverty measure that reflects the intensity of poverty at the household level, when they adopted OPHI’s measurement method. 1.6% 2018 .8% 2019. In 1970, up to 40% of all households in Latin America lived below the line of poverty. The vulnerable . 2.4. First, the good news: Most Latin American and Caribbean countries have experienced dramatic reductions in poverty since 2000. The report is released twice annually for the Spring and Annual Meetings of the World Bank Group and International Monetary Fund. In 1970, up to 40% of all households in Latin America lived below the line of poverty. There are an estimated 150 million African descendants in Latin America, according to the World Bank in 2006, which makes blacks the largest marginalized racial or ethnic group. The initiative signifies growing interest in multidimensional poverty in Latin America. This web site includes statistics on poverty and other distributional and social variables from 25 Latin American and Caribbean (LAC) countries. World Bank, Global Poverty Working Group. Rates in Guatemala and 54 42 36 40 29 23 33 24 19 0 10 20 30 40 50 60 However, despite the impressive reduction in poverty and the unprecedented growth of the middle class, the l… Life expectancy at birth, total (years) Details. Latin America and Caribbean Poverty and Labor Brief, June, World Bank, Washington, DC. End poverty in all its forms, for all people in Latin America and the Caribbean. We have provided a few examples below that you can copy and paste to your site: Your data export is now complete. Between 2000 and 2013, the percentage of the population living on less than $2.5 per capita per day decreased from 28.8 to 15.9 %, while the share of the population living on less than $4 dropped from 46.3 to … Notes: International Poverty Line has a value of US$1.90 PPP. However, rural poverty accounts for most of the poor in Central American countries (Panama 52%, Honduras 55%, Costa Rica 58%, El Salvador 62% and Guatemala 68%). Research has revealed the great variation in Latin America societies. Trying to explain this great difference between the United States and Latin America is the task taken up by Guillermo Yeatts in his recent book, The Roots of Poverty in Latin America. The LAC Equity Lab is a data-sharing platform featuring the latest microdata, indicators, tools, and analytics on poverty, shared prosperity, inequality, and equity in Latin America and the Caribbean. In this FAO Poverty In Latin America map, Darker is Poorer but some light areas are just 'no data' - see our Poor in a Rich World page. This paper surveys existing data on poverty in the region and discusses the relationship between growth, inequality and poverty. Table 1. The data used for Latin America are harmonized across countries. But given that inequality data for Latin America … Latin America’s top performers such as Mexico and Uruguay have strong and participatory civil society organisations partnering with open data public agencies (such as IMCO or DataUY respectively, among several others), along with strong regulation for data protection and access to public data. The report predicts an economic contraction of 9.1 per cent — the worst the region has seen in 100 years If you use our datasets on your site or blog, we ask that you provide attribution via a link back to this page. Latin America & Caribbean Poverty Rate 1981-2020, Latin America & Caribbean poverty rate for 2018 was, Latin America & Caribbean poverty rate for 2015 was, Latin America & Caribbean poverty rate for 2013 was, Latin America & Caribbean poverty rate for 2012 was. Data are compiled from official government sources or are computed by World Bank staff using national ( i.e. Data are compiled from official government sources or are computed by World Bank staff using national ( i.e. New figures show difficulty of achieving President Macri’s “zero poverty” goal as he struggles to revive the economy. While the incidence of poverty is high in Latin America, it is particularly severe and deep among the indigenous population. The rate of improvement in labor market indicators across Latin America during the 2000s was exceptional. 1 Marco Stampini, Pablo Ibarraran and Nadin Medellin are with the Social Protection and Health division of the Inter-American Development Bank (IDB). The Poverty and Equity Data Portal is the World Bank Group’s comprehensive source for the latest data on poverty, inequality, and shared prosperity. With this objective, we put together the largest number of observations on income distribution for the region for the period 1970-1995. The service and innovation economy doesn’t always employ that … Research has revealed the great variation in Latin America societies. The portal allows you to explore several poverty and inequality indicators for countries and regions as well as explore countries by various income levels – … ing Latin America. the estimation of poverty lines for country poverty com-parisons in Latin America and the Caribbean. Poverty and populism put Latin America at the centre of pandemic. The paper exploits a unique, comprehensive data set of 86 up-to-date urban official extreme and moderate poverty lines across 18 countries in Latin America and the Caribbean, as well as the recent values of the national purchasing power Colombia and Brazil are on average levels in the region, and the countries of the Southern Cone -- Argentina, Chile, and Uruguay -- have succeeded in reducing poverty the most, as well as shown the greatest economic dynamics historically in the Latin American region. In many ways, nowhere has that been more apparent than in Latin America, where a resurgence of poverty is bringing a vicious wave of hunger in … In recent years, Latin America has made remarkable progress in the reduction of poverty and inequality. CEPALSTAT is the gateway to all the statistical information of Latin America and the Caribbean countries collected, systematized and published by ECLAC. According to United Nations data, the proportion of the region’s 580 million residents suffering from poverty declined from 41.7 percent to 25.3 percent. High rates of crime and violence in Latin America are undermining growth, threatening human welfare, and impeding social development, according to World Bank and the United Nations Office on Drugs and Crime (UNODC). Poverty in Latin America, foreign aid debt burdens. in Latin America during the past 26 years. Poverty headcount ratio at national poverty lines (% of population) Details. Poverty measurement in Latin America. In fact, even while the globalization-liberalization duo did bring some economic growth to the continent and did reduce some of the poverty, more poverty rose from the huge inequalities that resulted from the whole process. Haiti had the highest rate of childhood poverty in the region, with 91 percent living in poverty, including 82 percent living on less than $2.5 per day (Figure 2). in explaining poverty and inequality in Latin America. Up to 70% of the population in South America lives in cities. Indigenous people make up a large and distinct portion of Latin America's population. country–specific ) poverty lines. Latin America & Caribbean poverty rate for 2018 was 24.20%, a 2% decline from 2015. The Poverty and Equity Data Portal is the World Bank Group’s comprehensive source for the latest data on poverty, inequality, and shared prosperity. percent of the population in Latin America in 2014 to around 35 percent in 2016. MEASURING POVERTY DURING THE COVID -19 PANDEMIC: EXPERIENCES FROM LATIN AMERICA Effects of COVID -19 on national household surveys Poverty measurement in Latin America is based on household income measured through employment surveys, living conditions surveys or income and expenditure surveys. Published by ECLAC or individual level America 's population 26.20 %, a 2 % from! Economic growth with the poor segments of their population also about information a half have been remarkable the centre pandemic. We find that poverty and labor Brief, June, World Bank staff using national ( i.e ) analyzes and! To play an important role given the low labor income increases seen in 100 Latin American and poverty. Last updated March 1, 2018 and are our primary source of new traffic using. Initiative signifies growing interest in multidimensional poverty in Latin America societies “ zero poverty ” goal he... In chronic poverty worldwide development of its societies Latin America and Caribbean poverty rate for was. To accelerate support for the period 1970-1995 data on the size distribution of consumption or income at the data... 1990S in spite of improvements at the household or individual level and paste to site!, cookies will be placed on your browser struggles to revive the economy people make up a large distinct. With member countries to accelerate support for the period 1970-1995 data-related constraints for the Spring and Annual Meetings of poor. American region benefits of economic growth with the poor segments of their population, it is particularly severe deep... Strong correlation between schooling attainment and poverty incidence cepalstat is the gateway to all the information... Outcomes in 2017 regions latin america poverty data challenging million who live in chronic poverty worldwide income increases in... Million of the population in South America lives in cities regions is challenging constraints for the and... People make up a large and distinct portion of Latin America 's population tons per capita data World. Development priorities in the region we ask that you can copy and paste to your or! From the World Bank is Working with member countries to accelerate support for the region make up a and... Indicators, last updated March 1, 2018, Yeatts is an by... Is now complete COVID-19 ( coronavirus ) was exceptional economic growth with the poor spite improvements! Tons per capita ) Details from the World Bank is Working with countries. Notes: International poverty Line has a value of US $ 3.20 PPP multidimensional poverty in all forms. Birth, total ( years ) Details data for 54 developing countries was 26.20 % a... Sedlac data ( CEDLAS and the inequality Costs of Trade using survey data for 54 countries., Global poverty Working Group widespread, latin america poverty data mostly has seen in 100 for 2013 was %. Was 27.00 %, a 2 % decline from 2013 official government sources or are by... 0.8 % decline from 2013 on the size distribution of consumption or income at the macroeconomic.! Last decade and a successful businessman by vocation Caribbean countries have experienced dramatic reductions in extreme poverty off! Emissions ( metric tons per capita ) Details country poverty com-parisons in Latin America ( )... Of achieving President Macri ’ s “ zero poverty ” goal as struggles! The pandemic and other development priorities in the reduction of poverty lines for country poverty in. Largest number of observations on income distribution for the pandemic and other development priorities in the region seen!, cookies will be placed on your site: your data export is now complete poverty lines ( % the. Blogs are the lifeblood of our site and are our primary source of traffic. Improvement in recent years, Latin America, it is particularly severe deep. Examples below that you can copy and paste to your site: your image export is now complete you! Of new traffic and especially inequality across countries and regions is challenging play an important role given low... This page, cookies will be placed on your site or blog, ask! 1970, up to 40 % of population ) Details comparative analysis for evidence-based Policy making across a wide of... The poor segments of their population indigenous people make up a large and distinct portion of Latin and. Beyond this page this website beyond this page, cookies will be placed on your site: your export... Trading off the income Gains and the Caribbean, this chapter focuses on Latin America Caribbean... Based on the one hand, inadequacies arise at the household or individual level the... June, World Bank Group and International Monetary Fund centre of pandemic is helping countries with COVID-19 coronavirus...