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Saturday December 21, 2024

How to alleviate poverty

By Mansoor Ahmad
September 20, 2024
A representational image of a man and a child.— AFP/file
A representational image of a man and a child.— AFP/file 

LAHORE: Alleviating poverty in Pakistan, where 50 per cent of the population is poor, requires solid economic reforms, accountability and a strong social safety net. Empowering communities and leveraging technology for transparency can help bypass corruption and ensure that aid reaches those in need.

The government of Pakistan has been spending significant amounts annually since 2008 to address poverty, but these expenditures have failed to lift people out of poverty. Despite the use of technology, the distribution processes have not been transparent, resulting in many deserving individuals being overlooked while others who do not need assistance receive aid.

When government efforts lack transparency and charitable contributions are diverted due to corruption, society can play a pivotal role in alleviating poverty and hunger. In this regard, communities can organize local relief efforts, such as food banks, community kitchens, or microfinance schemes, to provide essentials directly to those in need, bypassing corrupt intermediaries. Civil society should also invest in education and vocational training to empower individuals to earn sustainable incomes and reduce dependency on external aid.

Non-governmental organizations (NGOs) are not properly regulated. There is a pressing need for strong accountability and transparency mechanisms to ensure that aid reaches its intended beneficiaries. Community monitoring and third-party audits are essential in reducing pilferage.

Organizing cooperatives, where people pool resources -- such as land, skills, or labour -- to collectively produce and share profits, can help address income disparity and food insecurity. Cooperatives provide communities with greater control over production and profits.

With technology, society can bypass traditional charitable organizations and directly contribute to causes through platforms like GoFundMe or Kiva. Supporting businesses that prioritize social impact can address both poverty and unemployment.

Encouraging small-scale farming or community gardens in urban areas can ensure a local food supply and reduce dependence on unreliable food distribution networks. Communities can also organize surplus food-sharing systems, where individuals or restaurants donate excess food to those in need.

Long-term actions include implementing progressive taxation that targets large corporations and wealthy individuals while providing tax breaks or benefits to the poor, ensuring that wealth redistribution is institutionalized. Society must pressure businesses to engage in ethical practices and corporate social responsibility initiatives that provide employment, support local economies, or fund social welfare projects. Building stronger audit bodies and involving civil society in monitoring the flow of public funds can help prevent theft or mismanagement of charitable donations and public welfare programs. Transparency platforms, such as public fund tracking apps, can monitor aid disbursement in real-time.

Educating the public about the consequences of corruption and promoting advocacy for better governance is crucial. Citizen pressure and collective action can push governments toward transparency and accountability.

At the same time, it should be ensured that the legal system is strong enough to prosecute those involved in the theft of national wealth to deter further corruption. While discouraging petty theft, larger financial crimes and white-collar criminals should face stringent penalties to send a clear message about the rule of law.

Governments or community initiatives could provide subsidies for essential food items, making them affordable for the poor. Public distribution systems must be carefully monitored to ensure that food and other essentials are distributed fairly. Laws targeting financial crime, especially high-level corruption, should be strengthened, focusing on recovering stolen assets and returning them to the public purse. Equitable land redistribution and supporting small farmers with credit and training would go a long way in addressing rural poverty.

Civil society, in partnership with the government, must create accessible financial services for the poor to start small businesses. This will allow them to build self-reliance and generate their own income.

The government can also establish workfare programmes where individuals are paid to work on public projects (like building roads or schools) in exchange for wages, promoting self-sufficiency. Implementing digital platforms that allow citizens to track government expenditures, submit complaints and vote on local projects can ensure greater civic participation in governance.