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Causes of Poverty in Brazil

Discuss about the Spill Overs From Conditional Cash Transfer Program.

Brazil is considered to be the multi-cultural and ethnically diverse nation with a population of 20,91,29,000 in 2018. Brazil is considered to be the fifth largest country. The country is facing the problem of low GDP and per capita income, a result of that the poverty arises in the country. Poverty is the problem in which there is a scarcity of the resources in the country. In other words, poverty is the measure in which there is lack of certain amount of material possession or money in the country. Poverty is a multifaceted concept in which the issues related to the economic, political and societal elements are a concern. The basic amenities to earn the livelihood are not earned by the people that the shelter, food and clothing are not meet the person (World Bank, 2013).

The causes of the poverty are found to be the huge size of the country with a large population. The problem of unequal distribution in the country because of that the problem of unemployment arose. With lack of education in the people living in Brazil, they have no knowledge of healthcare facilities. In this situation, the Bolsa Familia helped the country by providing the financial assistance in the country. This organization is providing the funds in cash to the people of Brazil to sustain their lives in Brazil. The Bolsa Familia is a social welfare program of the Brazilian government, part of the Fome zero network of the federal assistance programs. This organization provides the financial assistance to the poor people live in the Brazil (Development Initiatives, 2018).

The Bolsa Familia is the institution which is recognized and registered and provides the financial assistance and help to the people of Brazil. If the families there have the children then provide the education and basic amenities to survive and sustain will be provided by the Bolsa Familia. The vaccination to the small children is also provided to the children of Brazil. If the children’s are not attending the education given to them in the school, then they are suspended from the school and the funds allocated for their education will also be taken back. This program is introduced to promote the fight against the long-term poverty (Selinger, 2018). It will also help in increasing the formation of human capital among the poor people. The formation of the Bolsa Familia is done in the Latin America as “Anti-Poverty Scheme”. Bolsa Familia is considered to be the world largest cash transfer program. The crucial branch of Bolsa Familia is Zero Hunger strategy. The aim objectives of this initiative are to reduce the poverty, hunger and inequalities regarding the social amenities (Borgen, 2018). 

Bolsa Familia: Institution and Objectives

After the arrival of the Bolsa Familia in Brazil, the situation of inequality and poverty has been reduced. This program gives the cash funding to more than 40 million people in the Brazil. The cash transfers are aimed that the children’s should go to the school regularly and the health care services for the children should be given the due care. The quality of providing the health care must be ensured. The help provided in the cash form is done to improve the lives of poor Brazilians and transforming their lives from extreme poverty to the middle-class levels (Lustig,  Pessino and Scott, 2014).

The objective of Bolsa Familia program is to employ the different type of the conditional cash transfer are social policies, currently provided many places in the world to fight against the poverty alleviation. In the short term, this program is aiming to mitigate the problem resulting from the poverty. The reduction of the poverty is done by using the different measures and program. The long-term objective of the programme is to invest in the human capital formation. It will work as the asset and investment to the country in the future. The aim to interrupt in the cycle of Transgenerational of the poverty is done by the program. In this, the reduction of transferring the heredity of poverty is reduced (Nayak, Oliveira and Berkes, 2014).

The benefit of Bolsa Familia is that it provides the per capita monthly income to the people. This money is given to the female head of the family through so-called Citizen Cards which are mailed to the family. This card is used as a debit card and is issued by the recognized banking institution. This transparency in the accounts will help in the reduction of the corruption in the country. From this, all the records of every person can be known and amount too through the use of websites (Touchton and Wampler, 2014).

Poverty reduction or poverty alleviation is the measure in which the country, as well as people, live their suffer as they have not the basic amenities to survive. The economic and humanitarian measures are intended to permanently lift or upraised the people. The poverty will reduce the progress of the country. For surviving in the market, in presence of the poverty, there are several strategies used by the government. There is much poverty-reducing program prevailing in the market. The market of Brazil needs such type of strategy to have a reduction in the poverty (Sonnino, Torres and Schneider, 2014).

Benefits of Bolsa Familia

 Many of the poverty reduction programs are focused on the national level but there is also some plan that focuses on the particular society or community to reduce the poverty in that area only. There are five strategies for poverty reduction which is as follows:

  • World without poverty
  • Brazil without Misery
  • National {Program for access the technical education and employment
  • Rural poverty reduction program
  • Zero programme hunger

There are many poverty reduction strategies is introduced in the Brazil which includes the Mundo Sem Pobreza (World without poverty). This strategy also comes from the Bolsa Familia, a cash transfer program in which the monthly allowance is given to the parents to send their children’s to the school and the health-related issues of the children are checked by the organization itself. This strategy works in three directions: promoting the immediate relief in the poverty will be provided, boosting and strengthening the exercise of basic social rights available to a person, developing the opportunities for the families of Brazil so that their growth prospects is higher (Garmany, 2014).

This program is established to reduce the poverty all over the world. This strategy is made with the concept that all the countries and nations focus on removing of poverty from its base root. This will bring the nation with no corruption, proper health care services and education to the children so that they can able to understand their basic necessities of the life and their rights (Brauw, Gilligan, Hoddinott and Roy, 2014).

Another strategy that is used in Brazil is Brasil Sem Miseria (Brazil Without Misery). This program is designed for those families in Brazil that have the family income of less than $70 per person. This strategy was initiated in the year 2011 to provide the economic and employment assistance to the poor people. This policy and program target around 15 million people of Brazil. This program promised to provide the guaranteed high per capita income. The access to the public service is given and education to use the basic rights and social rights of individual should be informed to the public at large. The productive economic inclusion to give the job and income opportunities are the aim of the program (Shei, Costa, Reis and Ko, 2014).

Being the registered does not give the guarantee to access the benefits, but the registration provides an important direction of needs that other institution can use to implement social policies more effectively. The experience of Brazil is the use to many other countries to have the end of the poverty in the community and regions. The poverty varies according to the national priorities and conditions prevailing in the country. But the strategy is used according to the situation and condition prevailing in the market. Other countries can have the good solutions to reduce the poverty by extending in the basic concept (Higgins and Pereira, 2014).

Other Poverty Reduction Strategies in Brazil

Another strategy used is a National program for access to technical Education and employment. In this strategy, the focus is given on increasing the awareness and education among the people living in Brazil. Proper education and training have been provided to the people so that they can able to understand their rights and obligations. The knowledge of these social rights to those poor people is a must for their survival in the country. If they lack this knowledge and information, they will remain unaware of the many facts and the benefits are given to them (Simões and Sabates, 2014).

The government of Brazil is spending 5.9% of the GDP in the country. If the low level of education is there in the country, the country is able to produce the less output with low quality. The per person income is come out to be low (Sumner and Tiwari, 2011). It will enhance the poverty in the country and ultimately the development of the nation will be reduced. So to overcome this situation, this strategy has been introduced so that the people have the technical assistance and educate themselves about the working done in the environment. The awareness brings them to work and earn more and this will help the country to grow and sustain more. By getting the technical skills, people will get the work and earn their livelihood easily which will increase the per capita income of the individuals (Chioda, De and Soares, 2016).

 In this program, the focus is given to reducing the poverty at the communal level. This method helps in strengthening and empowering the poor while developing the social capital in the country. This program educates and informs people that they should be the part of local government, involved in the affairs of the government, stakeholder’s participation. The technical assistance is also provided to the people living there. There should be transparency in the process of funding (Andrade, 2015).

This program tries to motivate the poor people to have their voice in front of the government and other respective authorities. This program motivates and boosts the morale of the poor people that they can also do something for themselves. This will make the difference in the lives of the individual people living there. The programs establish a ground that equal opportunities and earning level should be given to the each and every people of the country. This is the only way to reduce the poverty from the country (Pereira, 2015).

This strategy was adopted in Brazil to reduce the poverty by giving the proper food to the people living in the country. There should be zero hunger in the country. This strategy is focused on the farmers to give them the financial support. This program is based on providing the food security and nutrition which later combated to the poverty (Beuchelt and Virchow, 2012). This program helps in reducing the rate of the infant mortality. In this program, there is a provision of buying the food from the small farmers and family-owned farmer to boost their economy. This will give them the sale of their product as well as provide the financial help also in terms of earnings. This will make the self-respect of the poor farmer also. This program will help to involve poor farmer in the circle of the economy (Brauw, Gilligan, Hoddinott and Roy, 2015).

These farmers will also contribute to the output of the country. This project has certain objectives to achieve which are as follows:

  • Provide financial aid
  • Support financial farming
  • Construction of Water reservoirs
  • Distribution of Vitamins and supplements
  • Education programs for healthy eating habits

Providing the health promotion programme through the campaigns can help the poor people to gain more power and become healthy. It has been found that the healthy people can work and perform better in their lives. If once the poor get a good health, it will get the ability to work better in the workplace and their lives also. The better working gives the individual to earn more money and can have a good standard of living. Ultimately it will reduce the poverty of the country and everyone is able to get the basic necessities of life (Torrens, 2016).


From the above discussion, it can be concluded that the Brazil is suffering from the problem of poverty alleviation. The country has huge population with less literacy rate and high mortality rate. The less rate of literacy brings the unemployment in the country which ultimately moves the country towards the low capita income and lower production. From the lower productivity, the Gross Domestic Product of the country will also show the downfall trends. These will hamper the growth of the country. But there is some organization like Bolsa Familia which area providing the financial assistance to the poor living in many countries. One of which is Brazil. The organisation provides the financial assistance in the form of cash. They provide the education to the children and give the funds for educating the children below the age of 16. For reducing the poverty in the country various strategies are used by the Bolsa and other organization. These strategies include providing the basic amenities of the life to the poor people, giving them education; the hunger programme in which the food and healthcare facilities are given to the people who are suffering from the problem of poverty. Some strategies are focussed on the national level of poverty whereas some are focussing on providing the assistance to the communal or community level.


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