Poverty in Venezuela has fallen to 50.5% amid the South American country’s economic recovery, though income inequality continued to widen, according to a study by the National Poll of Living Conditions (ENCOVI) which was published on Thursday.
By Reuters – Vivian Sequera
Nov 10, 2022
Venezuela, with a population of 28 million, has for years struggled under economic collapse, leading some 7 million people to flee the country.
In 2021, 65.2% of the country’s inhabitants lived in poverty according to the study, produced by the social investigations unit of the Universidad Catolica Andres Bello (UCAB).
The ENCOVI study, which has been carried out since 2014, spoke to some 2,300 families across the country between July and August of this year.
The economy has grown since the end of last year, as de facto dollarization provided oxygen to struggling businesses after the government loosened currency controls in 2019.
“The economy might be improving, but things aren’t getting better for families,” ENCOVI investigator Luis Pedro Espana said during the report’s presentation at the university.
Only sustained economic growth and social inclusion can turn things around for Venezuela’s poor, he added.
Income inequality continues, Espana said, explaining that while the richest 10% in the country make an average of $553.20 a month, the poorest 10% survive on just $8 per month.
Food insecurity declined somewhat in 2022, the study found, with 21.9% of homes saying they were not worried of running out of things to eat, compared to 11.8% in 2021.
However, without social policies which include citizens, these improvements could fail to expand further, Espana said.
The ministry of communication did not respond to a request for comments.
Despite a brighter outlook, the study did not forecast a wave of migrants returning to Venezuela, citing the continued economic uncertainty and potential costs of trying to come back.
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Read More: Reuters – Venezuela poverty rate falls to 50.5% in 2022 -study
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