Easing global poverty

The Toronto Star published an Editorial that states:
"Spectacular
growth in China has driven down the number of people in extreme poverty to under 1 billion, from 1.5 billion 15 years ago, according to the bank's World Development Indicators, 2007. "

Do you think it's possible that the World Bank lowered the poverty line to shift a good chunk of the global destitute out of the world's focus? The article can be accessed at: http://www.thestar.com/opinion/article/204687

Rahul Mediratta
BHS Honours, Health Policy
http://winstoninwonderland.blogspot.com

You might not know it when you see haunting images of starving children in Africa or elsewhere. But the world is actually winning the war on extreme poverty, the World Bank argues in an encouraging new report that should reassure Canada and other donor countries that debt relief, foreign aid and open trade are having a positive impact.

Spectacular growth in China has driven down the number of people in extreme poverty to under 1 billion, from 1.5 billion 15 years ago, according to the bank's World Development Indicators, 2007. And elsewhere, the number of people living in extreme poverty (on $1 U.S. a day, or less) is not growing as before.

Even in sub-Saharan Africa, where 300 million remain mired in desperate need, international aid in recent years has checked a decades-old trend toward increased poverty.

This nudging of 500 million people into a better life shows that the United Nations' goal of slashing the proportion of poor people in half by 2015 "is still within reach," the bank argues, especially if the world can be persuaded to pour more resources into Africa and Latin America where poverty remains entrenched.

But the enthusiasm of Canada and other countries for meeting that target remains in doubt.

Prime Minister Stephen Harper's Conservatives have budgeted $4.6 billion for official development assistance in 2007-08. That is a disappointing 0.32 per cent of our economic output, down from 0.33 per cent last year, and less than half the UN target of 0.7 per cent.

And Canada's failure to expand aid is typical of donor countries, the World Bank confirms.

After reaching a record high in 2005, combined donor aid fell to $104 billion (U.S.) in 2006, a 5 per cent drop. "Real aid delivery is falling well short of donor commitments," the bank concludes.

That is bad policy, given the evidence that aid works. Cutting back on helping the poorest, just when progress is being registered, only imperils these hard-won gains.