More people living below poverty line

The new figures come ahead of an updated assessment of progress in meeting the U.N.’s Millennium Development Goals, which will released late next month at a meeting of the U.N. General Assembly.

While most of the developing world has managed to reduce poverty, the rate in sub-Saharan Africa, the world’s poorest region, has not changed in nearly 25 years, according to data using the new US$1.25 a day poverty line.

Half of the people in sub-Saharan Africa were living below the poverty line in 2005, the same as in 1981. That means about 380 million people lived under the poverty line in 2005, compared with 200 million in 1981.

Elsewhere, poverty has declined.

In East Asia, which includes China, the poverty rate fell to 18 percent in 2005 from almost 80 percent in 1981, when it was the poorest region. In China, the number of people in poverty fell to 207 million from 835 million in 1981.

In South Asia, the poverty rate fell from 60 percent to 40 percent between 1981 and 2005, but that was not enough to bring down the total number of poor in the region, which stood at 600 million in 2005.

In India, the number of people below the US$1.25 a day poverty line increased to 455 million in 2005 from 420 million people in 1981. But the share of the population in poverty fell to 42 percent from 60 percent.

The World Bank noted that better-off countries have higher poverty lines and said it was more appropriate in regions such as Latin America and Eastern Europe to use a US$2 a day rate.

The bank has estimated that 100 million people could fall into extreme poverty due to soaring food and energy prices. But Ravallion said it will take up to two years before there is clarity on the impact that soaring costs have had on poverty.

However, he said early indications from survey data “are pretty convincing that we’re going to see increases in poverty as a result of food and fuel prices.”

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