Cited by 783Income, Poverty, and InequalityPoverty, Education, and Child WelfareCOVID-19 Pandemic Impacts

Estimates of the impact of COVID-19 on global poverty

Open access
Sumner, Andy, Hoy, Christopher, Ortiz-Juarez, Eduardo·2020·WIDER Working Paper

Abstract

In this paper we make estimates of the potential short-term economic impact of COVID-19 on global monetary poverty through contractions in per capita household income or consumption. Our estimates are based on three scenarios: low, medium, and high global contractions of 5, 10, and 20 per cent; we calculate the impact of each of these scenarios on the poverty headcount using the international poverty lines of US$1.90, US$3.20 and US$5.50 per day. Our estimates show that COVID-19 poses a real challenge to the UN Sustainable Development Goal of ending poverty by 2030 because global poverty could increase for the first time since 1990 and, depending on the poverty line, such increase could represent a reversal of approximately a decade in the world’s progress in reducing poverty. In some regions the adverse impacts could result in poverty levels similar to those recorded 30 years ago. Under the most extreme scenario of a 20 per cent income or consumption contraction, the number of people living in poverty could increase by 420–580 million, relative to the latest official recorded figures for 2018. Related content Read the Press Release: COVID-19 fallout could push half a billion people into poverty in developing countries

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Crossref · 10.35188/unu-wider/2020/800-9

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Authors
Sumner, A., Hoy, C., & Ortiz-Juarez, E.
Venue
WIDER Working Paper
Publisher
UNU-WIDER
Published
2020
ISSN
1798-7237 (ISSN-L)
OpenAlex
W3016089045
Cited by
783
References
5
Citations by year
2026: 5 · 2025: 27 · 2024: 70 · 2023: 109 · 2022: 162 · 2021: 235 · 2020: 175
Type
report
Language
en
Open access
Locations
  • Working Paper Series (publishedVersion)
  • RePEc: Research Papers in Economics (submittedVersion)
  • Econstor (Econstor) (submittedVersion)
Funders
United Nations University World Institute for Development Economics Research
Topics
  • Social Sciences › Sociology and Political Science › Income, Poverty, and Inequality
  • Social Sciences › Safety Research › Poverty, Education, and Child Welfare
  • Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › COVID-19 Pandemic Impacts
Keywords
COVID-19 pandemic, global poverty, income poverty, consumption, poverty headcount, poverty line, Sustainable Development Goal 1, developing countries

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