Worsening Poverty. 3.2.2 The Bleak Macroeconomic and Financial Picture
Worsening Poverty. There has been a drastic increase in poverty. In rural areas, the portion of the population living under the poverty threshold8 rose from 36 per cent to 58 per cent between 1990 and 1998, or an increase of over 60 per cent. In urban areas, the monetary poverty level reached 66 per cent in 1997.9 In 1999, all observers inside and outside the country acknowledged that the poor have increased in number, and that they are growing poorer. Changes in per capita GDP and the human development index confirm this trend towards increasing poverty. According to the World Bank,10 per capita GDP grew by 2 per cent annually from 1980 to 1985 and by only 0.9 per cent from 1986 to 1992. If the economic growth rate prior to the crisis had been maintained, per capita income, which was $US 210 in 1992, would have doubled in 87 years.11 From 1993 to 1999, per capita income continued to decline, with GDP shrinking by more than 20 per cent, according to the Minister of Finance. The human development index fell from 3.4 points in 1993 to 3 points in 1998.
