Out of Poverty

Making ends meet was always a struggle for Doaa Mohammed Bakr Turky and her family. They lived in rural Egypt. Job opportunities were scarce there. Doaa’s father worked as a gardener. But he could barely afford to feed his family, much less send his six children to school. For years, Doaa was the only one of the siblings who attended classes.

But a few years ago, Doaa’s life started to improve. In 2015, when she was 18, the U.S. Agency for International Development (USAID) gave her a $200 grant to pursue duck farming. That business idea is one she had always been interested in.

Doaa used the money to buy 140 ducklings. With help from USAID and her parents, she learned how to care for them. Once the ducklings were grown, she sold them for a profit. And she was able to buy 140 more. Eventually, Doaa, now 25, invested in chickens and started selling their eggs. Thanks to her growing business, her family now has plenty of food. And all her brothers and sisters are in school.

“I helped cover my siblings’ expenses with the money that I earned,” she says. “My whole family is happy that I have become a big businesswoman.”

Stories like Doaa’s have become increasingly common in recent years. Worldwide, more people are pulling themselves out of extreme poverty than ever before. (Extreme poverty is defined as living on less than $1.90 a day—sometimes without basic necessities like food and shelter.) An estimated 1.9 billion people lived in extreme poverty in 1990. But by 2017, the most recent year for which data is available, fewer than 700 million people did. That is according to the World Bank, an international bank that funds development in low- and middle-income countries.

That means more than a billion people around the world have escaped the worst kind of poverty within a generation. China, Moldova, and Vietnam have nearly eliminated poverty within their borders. Many other countries have made huge gains toward that goal as well. That includes Ethiopia, India, and Indonesia. Experts say the turnaround is thanks to an increase in anti-poverty programs that help improve people’s quality of life. Rising economies also help. (An economy is a system for buying, selling, and distributing products and services within a country.)

“A lot of countries have seen dramatic progress,” says Charles Kenny. He is a poverty expert at the Center for Global Development in Washington, D.C. “It’s a big deal because no one in a world with so much wealth should be living in such extreme poverty.”

For thousands of years, most people lived short lives plagued by hunger, disease, and other hardships. In modern times, health care and technology improved conditions in the United States and other nations. But millions of people still lacked economic opportunities and necessities like clean water and safe housing.

But in the past few decades, many countries have invested in a number of anti-poverty programs to improve the lives of their poorest citizens. For example, Mexico and Brazil raised living standards by giving money to their poorest residents on the condition that their children go to school and get regular health checkups. In the late 1990s, Indonesia’s government began to reduce the price of rice for poor households. The program helped the Asian nation cut its poverty rate nearly in half. The World Bank estimates that anti-poverty initiatives like these are responsible for 36 percent of the global reduction in extreme poverty.

Meanwhile, strong economic growth and rising incomes in a few key regions have led to a massive drop in the number of people living in extreme poverty. China, the world’s most populous country, with 1.4 billion people, is one example. 

In 1978, China’s leaders began encouraging the nation’s citizens to start private businesses—something that had previously been forbidden. They also opened the country to foreign investment. That led to millions of new, higher-paying jobs in cities—mostly in construction and manufacturing. In turn, China started providing free elementary education for all children and financing major construction projects to bring electricity and clean water to its citizens. 

Meanwhile, strong economic growth and rising incomes in a few key regions have led to a huge drop in the number of people living in extreme poverty. China is one example. It is the world’s most populous country, with 1.4 billion people.

In 1978, China’s leaders began to encourage the nation’s citizens to start private businesses. That had been forbidden. They also opened the country to foreign investment. The change led to millions of new, higher-paying jobs in cities. Most of those jobs were in construction and manufacturing. In turn, China started providing free elementary education for all children. It also started financing major construction projects to bring electricity and clean water to its citizens.

Now China is focused on improving lives in rural farming areas, where some people still live in poverty. The government has been handing out loans and providing free farming equipment and livestock. Doing so has lifted more than 50 million farmers out of extreme poverty since 2015.

Jia Huanwen is one of them. He is from Gansu Province. A few years ago, China’s government gave him a large cow that went on to have two healthy calves. He eventually sold the cow for $2,900. That is as much as he earns in two years growing potatoes. Jia now has money to buy food and medicine for his family.

Thanks to such investments, less than 1 percent of China’s population lives in extreme poverty today. That is down from 61 percent in 1990.

Despite such gains, hundreds of millions of people continue to live in extreme poverty worldwide (see map, below). Many of these individuals lack basic services like education and health care, are forbidden to vote or participate in their governments, or live in war zones. According to the Brookings Institution, a U.S. research group, Nigeria and the Democratic Republic of the Congo—both of which have been plagued by conflict for decades—could become home to a third of all people living in extreme poverty by 2030.

Despite such gains, hundreds of millions of people continue to live in extreme poverty worldwide (see map, below). Many of these individuals lack basic services like education and health care. Many live in war zones or are forbidden to vote or participate in their governments. Nigeria and the Democratic Republic of the Congo have been plagued by conflict for decades. They could become home to a third of all people living in extreme poverty by 2030. That is according to the Brookings Institution, a U.S. research group.

Because poorer nations lack many resources, experts say, their citizens are especially vulnerable to natural disasters and global health emergencies. The Covid-19 pandemic, for example, has pushed 97 million people into extreme poverty since 2020, the latest research shows. 

That’s what happened to Shahida Khatun, a garment worker in Bangladesh. For years, the mother of one worked long hours stitching together shirts and pants to be sold in the U.S. and other countries. At one point, Khatun was making $30 a month—enough to ensure her family could afford food and housing. But when the pandemic caused the factory where she worked to close, Khatun suddenly found herself unemployed and struggling to make ends meet. 

When this issue went to press, Khatun’s factory was still closed—even as others had begun reopening. She worries she and her family will be kicked out of the room they rent.

“My only dream was to ensure a proper education for my son,” she says. “That dream is now going to disappear.”

Poorer nations lack many resources. This makes their citizens especially vulnerable to natural disasters and global health emergencies, experts say. For example, the Covid-19 pandemic has pushed 97 million people into extreme poverty since 2020, the latest research shows.

That is what happened to Shahida Khatun, a garment worker in Bangladesh. For years, the mother of one worked long hours sewing together shirts and pants to be sold in the U.S. and other countries. At one point, Khatun was making $30 a month. That was enough to ensure her family could afford food and housing. But the pandemic caused the factory where she worked to close. Khatun suddenly found herself unemployed and struggling to make ends meet.

When this issue went to press, Khatun’s factory was still closed, even as others had begun reopening. She worries that she and her family will be kicked out of the room they rent.

“My only dream was to ensure a proper education for my son,” she says. “That dream is now going to disappear.”

Experts are hopeful that people like Khatun will be able to get back on their feet once Covid-19 cases decrease in the poorest countries—many of which continue to await the arrival of vaccines. Still, the pandemic has shown just how fragile some of the previous gains in the global fight against extreme poverty can be.

That’s why, experts say, governments must do even more to address the needs of their people. That means investing in health care, clean water, and electricity. Countries also need to expand access to education and continue to offer citizens assistance through anti-poverty programs. And world leaders in wealthier nations—including the U.S.—also need to play a role. To that end, U.S. President Joe Biden recently pledged more than $10 billion to fight hunger and poverty around the world.

Individuals can also help, experts say, by donating to organizations that assist those in need (see "How to Help," below).

Despite the long road ahead, the successes of the past few decades demonstrate that wiping out extreme poverty is possible, Kenny notes.

“The progress we’ve made shows that this isn’t hopeless,” he says. “We really can make dramatic progress, but only if we keep on trying.”

With reporting by The New York Times

Experts are hopeful that people like Khatun will be able to get back on their feet once Covid-19 cases decrease in the poorest countries. Many of those countries continue to wait for vaccines. Still, the pandemic has shown just how fragile some of the previous gains in the global fight against extreme poverty can be.

That is why governments must do even more to address the needs of their people, experts say. This means investing in health care, clean water, and electricity. It also means expanding access to education and continuing to offer citizens assistance through anti-poverty programs. World leaders in wealthier nations like the U.S. also need to play a role. To that end, U.S. President Joe Biden recently promised more than $10 billion to fight hunger and poverty around the world.

Individuals can also help, experts say. People can donate to organizations that assist those in need (see "How to Help," below).

There is a long road ahead. But the successes of the past few decades show that wiping out extreme poverty is possible, Kenny notes.

“The progress we’ve made shows that this isn’t hopeless,” he says. “We really can make dramatic progress, but only if we keep on trying.”

With reporting by The New York Times