In South Africa, poverty rate could drop by half its current level to reach  4 million people by 2030 if the country pursues political, economic and social reforms. This was revealed in a report published yesterday April 10 by World Bank.

According to the institution, the country could reduce poverty by elaborating anti-graft policies, tuition-free universities, and reforms in the mining sector. 

The reports also indicated that corruption along with inequalities is one of the key factors for poverty in South Africa. These two factors combined with crime discourage investors willing to provide the funds needed to “accelerate job creation and reduce inequality”.

“Raising South Africa’s economic potential will require breaking away from the equilibrium of low growth and high inequality in which the country has been trapped for decades,” the Bretton Woods institution revealed.

Moreover, in order to reduce its dependence on commodity price’s fluctuations, the Bank explained that the country “needs to build on its comparative advantages to develop new domestic and international markets through higher productivity and innovation”.

Let’s recall that the institution has revised South Africa’s growth upwards to 1.4% from the 1.1% announced last January.

Moutiou Adjibi Nourou (intern)