Rural Poverty in Malawi

750 Words3 Pages
Rural poverty in Malawi Malawi is one of the world’s poorest countries, ranking 160th out of 182 countries on the Human Development Index. Progress towards reaching the Millennium Development Goal of eradicating extreme poverty has been limited. According to the United Nations Development Programme’s Human Development Report for 2009, about 74 per cent of the population still lives below the income poverty line of US$1.25 a day and 90 per cent below the US$2 a day threshold. The proportion of poor and ultra-poor is highest in rural areas of the southern and northern parts of the country. Access to assets, services and economic opportunities is profoundly unequal across the population. Larger households are more likely to be poor, particularly those with many children. Access to education, a major driver of relative wealth, is highly inequitable as well. Almost 30 per cent of poor children do not even start primary school, which is free in Malawi. Secondary and higher education is largely confined to non-poor households, mainly due to the required enrolment fees. Limited access to markets and services is another constraint. Poor rural people tend to live in remote areas with few roads and means of transport, which limits their economic opportunities. Access to financial services is severely restricted, especially for smallholder farmers. Only 12 per cent of households have access to credit. Poor rural people in Malawi are unable to diversify out of agriculture and tend to remain underemployed for part of the year. More than a third of rural households earn their livelihood only from farming or fishing. An additional 25 per cent combine work on their farm with other jobs, largely in agriculture. Other income sources tend to be limited to poorly paid agricultural labour. Few economic opportunities combined with the marked seasonality of rainfed agriculture
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