Although many countries globally have experienced positive development, significant poverty persists in various nations.
This article analyzes ways to rank the poorest nations, mainly using GDP, representing purchasing power (PPP per capita).
PPP, short for Purchasing Power Parity, quantifies GDP per capita, offering a more comprehensive view of a nation’s economic status.
This value is denominated in international dollars, a theoretical currency mirroring the US Dollar’s exchange rate.
- Several factors contribute to poverty in Togo.
- Notably, a high number of orphans due to AIDS-related deaths, low literacy at 63.7%, and limited access to safe water (only 60%).
- Poor infrastructure also hinders economic growth.
- Approximately 80% of rural Togolese live below the global poverty line of $1.90 per day. Togo’s PPP per capita is 1549.
- Roughly 45% of Comoros’ population lives below the global poverty line.
- Factors include inadequate welfare, limited higher education, and rapid population growth.
- Approximately 150,000 Comorians have migrated to countries like France.
- The total Comorian population is around 800,000.
- Recent reforms are beginning to improve the economy.
- Madagascar, known for vanilla and wildlife, is among the world’s poorest, with about 70% in poverty.
- Political conflicts and widespread corruption primarily cause this dire situation, leading to a high crime rate.
- Madagascar’s PPP per capita stands at 1504.
- While agriculture dominates Eritrea’s economy, years of severe droughts have adversely affected its people.
- The government, under President Isaias Afewerki, rejects foreign aid.
- Eritrea’s PPP per capita is 1321.
- The Republic of Guinea, not to be confused with New Guinea or Guinea-Bissau, possesses vast natural reserves.
- However, despite this wealth, it ranks as the eighth poorest country globally.
- Guinea has diamonds, iron, copper, uranium, and gold, but corrupt politicians mean little benefit from multinational corporations for locals..
- Guinea lacks the means to extract these resources independently, leading to substantial profits for unscrupulous politicians and resource outflow from the country.
- Once a former Portuguese colony, Mozambique has a tragic history marked by a brutal civil war, claiming an estimated one million lives.
- Yet, its outlook improved until recent natural disasters, like storms and floods, are likely to worsen its poverty.
- Tobacco stands as Malawi’s largest export, with agriculture providing approximately 90% of the nation’s employment.
- Despite economic growth, Malawi remains undeveloped and extremely impoverished.
- Famine has repeatedly affected the population, with around 25% living in extreme poverty.
- The population growth outpaces economic expansion, leaving some people’s needs unmet.
- PPP per capita: 1139
- Niger boasts substantial uranium reserves, driving a significant portion of its economy through exports.
- Nevertheless, over 70% of the population lacks basic literacy skills, and over half of the children suffer from malnutrition.
- Overpopulation and recurring droughts further contribute to Niger’s poverty.
- Agriculture, a major employment sector, has been severely affected by these droughts.
- Niger’s PPP per capita is $1,113.
- Ranked as the fourth poorest nation globally, Liberia has a purchasing power of $882 PPP per capita.
- Its history is marred by dictatorship, corruption, and prolonged wars, resulting in enduring political instability.
- Approximately 64% of the population lives in poverty, with 1.3 million in extreme poverty.
- The literacy rate is below 50%.
- Nevertheless, there is gradual improvement as the younger generation gains literacy skills.
- PPP per capita: 882
- Similar to numerous African nations, Burundi grapples with the aftermath of bloody civil wars and ongoing political instability.
- It ranks as the third poorest country globally with a PPP per capita of 818.
- Agriculture sustains approximately 90% of the population, but overpopulation poses a challenge due to the limited land area compared to the number of inhabitants.
2. The Democratic Republic of Congo
- The Democratic Republic of Congo, plagued by both violent civil wars and overpopulation, also suffers from a corrupt government.
- This is hardly surprising given that it possesses the largest reserves of natural resources in all of Africa.
- In essence, without the civil wars and corrupt leadership siphoning off wealth, the Democratic Republic of Congo could potentially be the wealthiest country on the continent.
- However, poor infrastructure, inadequate education, and low literacy rates hinder the nation from realizing its full economic potential.
- On average, citizens earn a yearly income of around $785, roughly equivalent to $2 per day.
1. Central African Republic (Poorest country in the world)
- Ironically, the Central African Republic has vast natural wealth, including gold, timber, uranium, diamonds, and oil, which could improve living standards.
- Regrettably, pervasive corruption and resource disputes have sparked numerous bloody conflicts in the nation.
- The Central African Republic has a PPP per capita of 656.
What to Know About The Poorest Countries
- Remarkably, all the world’s poorest nations are in Africa.
- This can be attributed to factors such as colonialism, inadequate education, corruption, and civil conflicts.
- Moreover, limited access to contraceptives leads to higher birth rates, as larger families are often needed for mutual survival amid poverty. Consequently, children must work, denying them education.
- Nonetheless, some African countries exhibit political stability, lower corruption, and economic growth.
- Comparatively, Sweden ranks 16th among the world’s wealthiest nations, boasting a PPP per capita of $47,862—more than the combined PPP per capita of all the world’s poorest countries.