Changing global poverty landscape and rising risks

The world today stands at a pivotal moment in its long struggle against poverty. For decades, policymakers celebrated remarkable progress in eradicating poverty. The share of people living in extreme poverty fell from nearly 38 per cent in 1990 to below 10 per cent by the end of the 2010s. Much of this success was led by developing Asia-particularly China, India, Bangladesh and Vietnam- where rapid economic expansion, coupled with targeted social investments, lifted millions out of deprivation and reshaped the global poverty landscape.

Yet, beneath these gains lies a shifting and increasingly alarming reality. The geography of global poverty has dramatically changed. Sub-Saharan Africa has become the epicentre, now home to more than 60 per cent of the world's extreme poor. Many of these economies face entrenched structural barriers--- recurrent conflict, weak institutions, high fertility rates and intense climate exposure. Unless these constraints are systematically addressed, poverty will become even more concentrated in fragile states, placing global development progress at risk.

The COVID-19 pandemic marked the most significant disruption to global poverty reduction in a generation. Lockdowns and economic shutdowns pushed an estimated 70-100 million people below the poverty line-people who had only recently escaped it. Even as the health crisis subsides, the economic aftershocks persist. High inflation in food and fuel, supply chain disruptions, and uneven recovery patterns have deepened hardship in low- and middle-income nations.

Bangladesh's own experience reflects this global trend. While the country made commendable strides in tackling extreme poverty-reducing the rate from 44 per cent in 1991 to single digits in recent years-the pandemic exposed the vulnerability of informal workers who form the backbone of its urban and rural economy. Many who gained marginal mobility have slipped back into poverty, highlighting the precarious foundations on which progress was built.

Today's poverty is multidimensional. It is not only about how much money people earn but also about what opportunities they can access: education, healthcare, nutrition, sanitation, decent housing, and social protection. Growing inequalities-within and across countries-mean that economic growth alone is no longer enough. In many regions, the benefits of development accrue disproportionately to elites, leaving millions excluded from the gains of globalisation and technological change.

Urbanisation, once seen as a pathway to prosperity, has created new pockets of urban poverty. Informal settlements in megacities like Dhaka, Mumbai, Lagos, and Nairobi demonstrate that cities can both enable transformation and entrench deprivation.

The single greatest threat to poverty reduction now emerges from the climate crisis. From catastrophic floods in Pakistan and Bangladesh, to prolonged droughts across East Africa, climate change is driving a new cycle of vulnerability. Poor households, particularly those dependent on agriculture, are disproportionately impacted by extreme weather events and a lack the resources to rebuild. Without urgent adaptation investments, climate shocks will continue to strip away years of development progress in a matter of days.

Bangladesh sits at the frontline of this crisis. While resilience-building has been praiseworthy, the intensifying frequency of cyclones, coastal erosion, and salinity intrusion threatens livelihoods in the regions-raising the risk of climate-induced displacement and deepening inequality.

Globally, the number of people displaced by conflict and crisis has surpassed 110 million-an unprecedented humanitarian burden. Fragile and conflict-affected states now house a rising majority of the world's poor, creating complex environments where development cannot be sustained without peace and governance reforms.

Achieving poverty eradication by 2030-a central goal of the Sustainable Development Agenda-looks increasingly unlikely without a fundamental shift in strategy. The priorities ahead are clear:

l Protecting vulnerable households through robust and inclusive social safety nets.

l Generating productive, formal employment, especially for youth entering the labour market in large numbers.

l Investing in climate resilience and green transition, ensuring vulnerable communities to adapt and thrive.

l Strengthening education and health systems to unlock human capability and long-term mobility.

l Reforming global development finance, expanding concessional resources for countries grappling with external shocks.

l Ensuring fairer trade and migration regimes, allowing developing economies greater space for growth.

Bangladesh's future progress will depend not only on sustaining growth but also on ensuring that growth is inclusive, resilient, and climate-responsive.

The global poverty challenge is both a development and justice imperative. That millions still struggle without basic needs is not inevitable-it is a consequence of choices, priorities, and unequal power structures in the global economy. The task for governments, multilateral institutions and global citizens is to shape a development model anchored in dignity and shared prosperity.

The next decade will determine whether the world continues to move forward, or witnesses a dangerous rollback of decades of advancement. For countries like Bangladesh, the challenge is to ensure that no one falls behind as the nation marches towards middle-income prosperity. The world must act with renewed urgency, because poverty, no matter wherever it persists, remains a threat to global stability and to our collective humanity.

wasiahmed.bd@gmail.com