Why is global poverty on the rise?

At a time when some countries in the world violate international laws and move towards wars and the extermination of peoples, we find that many countries suffer from poverty due to the spread of these wars. Poverty is one of the most prominent global challenges that affect the lives of millions of people, whose number today exceeds 8 billion.

According to a World Bank report issued in October 2024, there are approximately 700 million people living in poverty, or 8.5 per cent of the world's population, on less than $2.15 a day. It is expected that 7.3% of the population will live in extreme poverty by 2030.

There are undoubtedly many reasons for the spread of poverty, the most important of which are conflicts and wars that lead to the destruction of infrastructure, displacement of populations, and worsening economic conditions. Also, climate change, and natural disasters such as drought and floods, affects poor communities, especially in rural areas that depend on agriculture.

Another cause of poverty is the lack of education and skills, which contributes to the continuation in this field. Some international organizations believe that the lack of basic infrastructure and the absence of basic services such as clean water, sanitation, and health care hinders economic development and increases poverty rates, while economic inequality and large gaps between peoples in income and wealth between individuals and societies contribute to the continuation of poverty. Also, the financial and economic crises, lead to job losses, declining productivity, and increasing poverty rates, while social and ethnic discrimination contributes to depriving certain groups of people of economic and educational opportunities, which contributes to the continuation of poverty.

These issues require addressing the causes by adopting comprehensive strategies that include enhancing education, improving infrastructure, supporting sustainable economic growth, and reducing social and economic inequalities to eliminate the causes that lead to the spread of poverty. Persistent poverty also has many negative consequences that greatly affect individuals and societies. Poverty increases the likelihood of crimes such as theft, fraud and assault, due to individuals feeling unable to meet their basic needs or due to psychological stress resulting from harsh living conditions. This also has an impact on public health, as individuals living in poverty are often vulnerable to diseases due to lack of proper health care, malnutrition and unsanitary housing conditions.

People living in poverty often suffer from social discrimination and face difficulty integrating fully into society, which exacerbates feelings of loneliness and isolation. These results lead to political instability in countries and increased political unrest, as the feeling of social and economic injustice can lead to cases of popular anger and demands for change, which may cause instability in societies and countries. There are many other results of the persistence of poverty in countries, such as weak economic development and reduced purchasing power, which affects the economy as a whole, and the occurrence of psychological disorders in individuals, which increases levels of stress, anxiety and depression.

Therefore, poverty is not only an economic problem, but a comprehensive issue that affects all aspects of social, health and psychological life, and confronting it requires joint efforts from governments, international organizations and civil society. All of these factors require the need to eliminate poverty and develop a comprehensive and integrated approach, strategies and areas of work aimed at improving the living conditions of individuals and societies.

The author is a Muscat-based economic analyst who previously worked for CBO and OCCI