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Home Marry Your House Finance ECLAC: Five million more Latinos may have fallen into extreme poverty in...

ECLAC: Five million more Latinos are estimated to have fallen into extreme poverty in 2021

The report from the organization estimates that Latin America has 86 million people living in that condition

Taken from Diario Libre

SANTO DOMINGO - The Latin America and Caribbean would have 86 million people living in extreme poverty , which would imply an increase of five million more when compared to the 81 million that existed in 2020, although in that same period there would be a reduction in the number of poor people, going down from 204 million to 201 million people.

These are the projections made by the Economic Commission for Latin America and the Caribbean ( ECLAC ), contained in its report Social Panorama of Latin America, presented this Thursday by Alicia Bárcena, executive secretary of the organization.

Although the document does not detail the number of people who fell into poverty per country in the region last year and those who escaped poverty , it notes that in a context of economic recovery in 2021 "it is to be expected that both poverty and poverty will decrease and that some of the setback observed in 2020 will be recovered."

It adds that based on the available information about expected growth in gross domestic product (GDP), the behavior of the labor market and the income transfer programs implemented in the context of the pandemic, poverty to be at 32.1%, which represents a decrease compared to 2020, but also an increase compared to the levels observed before COVID-19.

“In turn, poverty would stand at 13.8%, as a consequence of a reduction in emergency income transfers in some countries, which would not be offset by the expected increase in employment income,” the ECLAC .

The Dominican Republic, along with Bolivia and Mexico, are the countries in the region where the smallest increase in both problems ( poverty and poverty ) was recorded in 2020, less than two percentage points.

The organization argues that in a longer-term context, the 2020 figures represent a significant setback for several countries in the region.

poverty rates in 2020 are close to or higher than those observed 12 years earlier, in 2008. It adds that, if a more recent point of comparison is considered, such as 2014, Peru and Uruguay join the group of countries with setbacks in terms of extreme poverty

poverty rates in Bolivia, El Salvador, Paraguay and the Dominican Republic in 2020 are lower than those observed in both 2008 and 2014,” the Economic Commission for Latin America and the Caribbean .

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