Overview Of Rural Poverty In Latin America And The Caribbean

Panorama of Rural Poverty in Latin America and the Caribbean 2018, published by the Food and Agriculture Organization of the United Nations (FAO), addresses the important challenges faced by the region in developing its rural territories to achieve the targets of the Sustainable Development Goals by 2030, particularly SDG 1 to end poverty in all its forms everywhere. After many years of progress, poverty and extreme rural poverty in the region have started to increase again. This is worrying news for countries of the region and the international community because, if they do not return to the path of rural poverty reduction, millions of people will be excluded from the opportunity to contribute to the development of their families, communities and countries. The 33 Member States of the United Nations in the region have pledged their commitment to eradicating rural poverty by 2030 and, despite the recent trend, it is still possible to achieve this goal. This report also highlights the persistence of significant gaps between rural and urban areas, which is incompatible with sustainable and equitable development. Of the 169 targets of the Sustainable Development Goals, 132 require actions that must be carried out in rural territories.

About half of the region's poor live in cities, and policy makers across Latin America are increasingly interested in policy advice on how to design programmes and policies to tackle poverty. This publication argues that the causes of poverty, the nature of deprivation, and the policy levers to fight poverty are, to a large extent, site specific. It therefore focuses on strategies to assist the urban poor in making the most of the opportunities offered by cities, such as larger labour markets and better services, while helping them cope with the negative aspects, such as higher housing costs, pollution, risk of crime and less social capital.

One out of every five Latin Americans or around 130 million people have never known anything but poverty, subsisting on less than US$4-a-day throughout their lives. These are the region ́s chronically poor, who have remained so despite unprecedented inroads against poverty in Latin America and the Caribbean since the turn of the century. Left Behind: Chronic Poverty in Latin America and the Caribbean takes a closer look at the region’s entrenched poor, who and where they are, and how existing policies need to change in order to effectively assist them. The book shows significant variations of rates of chronic poverty both across and within countries. Within a single country, some regions show incidence rates up to eight times higher than the lowest. Despite the higher rates of chronic poverty in rural areas, chronic poverty is as much an urban as a rural issue. In fact, considering absolute numbers, urban areas in many countries, including Chile, Brazil, Mexico, Colombia and the Dominican Republic, have more chronic poor than rural areas. Undoubtedly the region has come a long way during the decade in terms of poverty reduction, guided by a mix of sustained growth and increased levels in amounts and quality of public spending and programs targeted directly or indirectly to the chronic poor. While improving endowments and the context where the chronic poor live is a necessary condition going forward, the decade’s experience suggests that it may not be enough to reach the chronic poor. The book posits that refinements to the existing policy toolkit †“ as opposed to more programs †“ may come a long way in helping the remaining poor. These refinements include intensifying efforts to improve coordination between different social and economic programs, which can boost the income generation process and deal with the intergenerational transmission of chronic poverty by investing in early childhood development. Equally important though, there is an urgent need to adapt programs to directly address the psychological toll of chronic poverty on people’s mindset and aspirations, which currently undermines the effectiveness of the existing policy efforts.

This book provides fresh insight into rural poverty in Latin America. It draws on six case studies of recent rural household surveys - for Chile, Colombia, El Salvador, Honduras, Paraguay, and Peru - and several thematic studies examining land, labour, rural financial markets, the environments, and disadvantaged groups. Recognizing the heterogeneity within the rural economy, the studies characterize three important groups - small farmers, landless farm workers, and rural non-farm workers - and provide quantitative and qualitative analyses of the determinants of household income.

The rural economy's contribution to development: summary of findings and policy implications; The rural contribution to development: analytical issues; The rural contribution to development: policy issues.