CGD in the News

U.N. Foresees Dramatic Cuts in Poverty (The Washington Post)

September 21, 2010

The Washington Post quotes research fellow Ben Leo on successful aid programs.

From the article:

"There are a lot of very large countries in terms of population that have had dramatic reductions in poverty," said Benjamin Leo, a researcher at the Center for Global Development. He cited Brazil, Pakistan, Vietnam and Bangladesh as examples.

While growth is the most critical ingredient in lowering poverty, other factors have mattered too - like remittances, improved governance, international aid and social spending.

For example, Brazil's growth averaged 4.2 percent a year from 2003 to 2008, healthy if not red-hot like China's. But about one-quarter of the Brazilian population is now getting small cash payments under an innovative government program known as Bolsa Familia. The country's rate of extreme poverty fell by one-third, to 5 percent, according to the World Bank.

...

The Millennium Development Goals were originally proposed by a broad movement of activists and others to reinvigorate foreign aid after it plunged in the aftermath of the Cold War.

"In this context, they were extremely successful. Aid has exploded over the last 10 years," with such programs as the Global Fund to Fight AIDS, Tuberculosis and Malaria, said Leo. In addition, billions of dollars in poor countries' debts have been forgiven.

But many countries participating in the summit are angered the developed world hasn't been more generous, and hasn't kept some of its aid promises.

Read the article.