Coronavirus could push 45 million in Latin America into poverty: UN

The United Nations says COVID-19 could push millions from the middle classes into poverty and see a 4.5 per cent rise in extreme poverty.

Residents stand in line to receive a free lunch in Lima, Peru.

Residents stand in line to receive a free lunch in Lima, Peru. Source: AP

The COVID-19 pandemic could push 45 million people from the middle classes into poverty in already economically troubled Latin America and the Caribbean, says the United Nations.

"In a context of already gaping inequalities, high levels of informal labour and fragmented health services, the most vulnerable populations and individuals are once again being hit the hardest," UN Secretary-General Antonio Guterres said in a statement.

The hard-hit region has registered more than three million cases of the novel coronavirus, more than half of them in Brazil, according to an AFP tally based on official sources.

Mexico, Peru and Chile have also been hard-hit.
Mr Guterres said the region could see a stunning 9.1 per cent drop in GDP, the worst in a century.

The devastating impact is being magnified, the UN said, because it follows seven years of weak growth and hits countries where millions lack adequate healthcare or easy access to potable water.
The world organisation foresees a seven per cent rise in the poverty rate this year, adding 45 million to the ranks of the poor, for a region-wide total of 230 million, more than one-third the total population there.

The UN also predicted a 4.5 per cent rise in extreme poverty, those threatened with hunger.
The UN urged countries to provide an emergency basic income - averaging $A200 ($US140) a month per person - plus food subsidies for those in need. 

Mr Guterres also called on the international community to provide financial aid, help ensure the region's liquidity and provide debt relief. 

People in Australia must stay at least 1.5 metres away from others. Check your state’s restrictions on gathering limits. If you are experiencing cold or flu symptoms, stay home and arrange a test by calling your doctor or contact the Coronavirus Health Information Hotline on 1800 020 080. News and information is available in 63 languages at














 


Share
Published 10 July 2020 9:39am


Share this with family and friends


Get SBS News daily and direct to your Inbox

Sign up now for the latest news from Australia and around the world direct to your inbox.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

Download our apps
SBS News
SBS Audio
SBS On Demand

Listen to our podcasts
An overview of the day's top stories from SBS News
Interviews and feature reports from SBS News
Your daily ten minute finance and business news wrap with SBS Finance Editor Ricardo Gonçalves.
A daily five minute news wrap for English learners and people with disability
Get the latest with our News podcasts on your favourite podcast apps.

Watch on SBS
SBS World News

SBS World News

Take a global view with Australia's most comprehensive world news service
Watch the latest news videos from Australia and across the world