Reports have shown Tanzania and Mali to be one of the countries in the world that have been able to reduce economic inequality, notably in recent years.
The reports were shown in a new World Bank study on poverty and shared prosperity. The study was released on Sunday and showed Tanzania to have greatly reduced inequality, along with other countries such as Brazil, Cambodia, Mali, and Peru.
The World Bank study revealed six strategies used by these countries to bridge the economic inequality gap. They were seen to have instilled policies that improved poor people’s earnings, granting them easy access to essential services, improving their long-term development prospects without hindering growth.
The statement read:
“These policies work best when paired with strong growth, good macroeconomic management, and well-functioning labor markets that create jobs and enable the poorest to take advantage of those opportunities.”
Although the global economy is dull, the WB Report notes that poverty continues to fall. The study noted that despite the improvements made by these countries, inequality is still far too high in most countries, with wealth still concentrated in a very few.
“Progress on extreme poverty was driven mainly by East Asia and Pacific, especially China and Indonesia, and by India. Half of the world’s extreme poor now live in Sub-Saharan Africa, and another third live in South Asia.”
The statement also adds that all countries must work towards tackling economic inequality in order to fulfill the World Bank goal of ending poverty by 2030.
The WB group President, Mr Jim Yong Kim, said in a statement:
“The message is clear: to end poverty, we must make growth work for the poorest and one of the surest ways to do that is to reduce high inequality, especially in those countries where many poor people live.”
He nonetheless added that some countries have worked hard at reducing poverty despite the dull pace of the global economy.
“It’s remarkable that countries have continued to reduce poverty and boost shared prosperity at a time when the global economy is underperforming, but still far too many people live with far too little,” he said.