South Asia is the region covering the countries of Afghanistan, Bangladesh, Bhutan, India, Pakistan, Nepal, the Maldives, and Sri Lanka. It is one of the largest and most important regions of the world. However, the region also struggles with poverty. Across South Asia, 216 million people live in extreme poverty, defined as living on less than 1.90 USD a day. This is over 11% of the region’s population. But why is South Asia so poor? Well, let us explain…
1. The Region Has A Huge Population
A first reason why South Asia is poor is because of the region’s enormous population.
With a total population of 1.94 billion people, South Asia is one of the most populous regions of the world. India, the biggest country in Southern Asia, has the second largest population globally, after China.
Large populations are not a certain cause of widespread poverty. However, in South Asia, the huge population of the region places significant strain on resources, services, and infrastructure. South Asian governments are unable to meet the needs of large parts of their populations. As the population of South Asia is so big, this is major cause of poverty in the region.
Overpopulation – when a regions population grows too large for the resources available, is a major cause of destitution. Countries with large populations need to ensure they have efficient and dynamic economies, as well as strong public services including education and healthcare. South Asian countries in general fail at this, and as a result their huge populations become a major reason why they are poor.
2. South Asian Countries Suffer From Poor Governance
A second reason why South Asia is poor is because of the chronic ineffectiveness of the region’s governments.
Countries in South Asia are plagued by government inefficiency. Overblown and costly bureaucracies prevent the governments of South Asian countries from delivering services to their people. Chronic mismanagement also prevents South Asian governments from effectively raising taxes and collecting the revenue they need.
When ranked by government effectiveness, South Asian countries including Nepal, Bangladesh and Pakistan are ranked among the worst in the world.
Another factor contributing to the ineffective governance in South Asia is corruption. Countries in the region have widespread and deep routed issues with corruption. Afghanistan, Bangladesh, and Pakistan are ranked among the most corrupt countries in the world. Corruption holds back South Asian countries because it reduces national governments abilities to raise and spend funds.
A dire combination of inefficient governments and extensive corruption is a major reason why South Asian countries are poor. Both must be tackled if the region is to become prosperous.
3. The Region Has Inefficient Economies
A third reason why South Asia is poor is because of the region’s inefficient economies.
For a country to be prosperous, it must ensure it has an efficient, dynamic, diversified, and inclusive economy. This allows people to develop skills, get good jobs, start successful enterprises, and invest in businesses. South Asian economies are plagued with deep rooted issues, and this is a key reason the region is poor.
Although South Asian economies have seen rapid growth in recent decades with the region expected to grow by 7% in coming years, generally they have failed to become dynamic and inclusive.
India’s economy – the largest in the region, lags behind other major developing economies, such as China’s. This is because of a range of issues including government over-regulation, lack of skilled workforce, controls on foreign direct investment and poor infrastructure. This results in India’s economy lacking the competitiveness it needs to lift millions of people in the country out of poverty. The economic issues India faces are seen across the region and are major reasons why South Asia is poor.
4. Countries Have Huge Defence Spending
Another reason why South Asia is poor is because of the defence spending countries in the region maintain.
South Asia has been a region plagued with conflict. Major wars between India and Pakistan, as well as the long-running civil war in Sri Lanka and the Bangladesh War of Independence, have meant that the last seven decades have seen South Asian countries fight extensive wars. These conflicts have held back the region from becoming prosperous.
As well as the material and human costs of the region’s conflicts, South Asian countries maintain huge defence budgets. India has the fourth largest army in the world. Pakistan has the tenth. Both countries spend enormously on their militaries, as well as maintain nuclear arsenals. The defence spending in these countries takes funding away from services that could help alleviate poverty.
Defense spending in South Asia is high compared to other regions. Although many people in these countries support their armed forces and governments see reasons to direct funds towards them. However, the huge amounts of funds spent on defense in South Asia is a factor that contributes to the region’s poverty.
5. Millions In South Asia Lack Education
A further reason why South Asia is poor is because millions of children across the region do not receive an education.
In South Asia, up to 20 million children do not go to school. It is estimated 31% of the region’s children do not complete their education. This is a huge number and is a higher percentage compared to most other regions in the world.
An educated population is vital for prosperity. Children need to go to school in order to learn the skills needed to do high-skilled and productive jobs. Young people need access to higher education and universities in order to train in advanced industries that can bring widespread wealth. In South Asia huge numbers of children do not go to school, and university attendance lags that of richer regions in the world. These are major reason why the region is poor.
As well as children missing out on schooling, many children in South Asia lack quality education. Especially in rural and remote areas, leaning can be sub-standard and school facilities limited. This means children who do have access to education fail to receive high quality teaching. This also reduces their life chances and has a negative impact on the economic growth, and prosperity, of South Asian countries.
6. The Region Suffers From Natural Disasters
South Asia is a region highly prone to natural disasters. This is another reason why South Asian countries are poor.
All countries in South Asia are affected by natural disasters. Pakistan and Nepal have suffered huge earthquakes in recent years. India faces earthquakes, floods, and droughts. Sri Lanka has been impacted by tsunamis and extreme weather. Bangladesh faces flooding and extreme weather regularly. South Asia is one of the regions of the world most affected by natural disasters.
Natural disasters have a massive impact on communities. People are killed and injured. Homes are lost and businesses destroyed. Infrastructure is damaged and lives are uprooted as people try to recover. The extent and frequency that South Asian countries are hit by natural disasters is a major reason why they are poor.
Although countries in South Asia have in recent years developed better disaster preparedness and response mechanisms, their capacities can still be overcome by the scale of the disasters that can hit the region.
The impact of natural disasters in South Asia is a key factor contributing to poverty in the region.
7. South Asia Has Poor Infrastructure
Another reason why South Asia is poor is because of the state of the region’s infrastructure.
Infrastructure is key to a nation becoming wealthy. Roads, bridges, railways, airports, tele-communication networks and utilities are all vital for moving people, goods, and information around a country.
Across much of South Asia the infrastructure is lacking. Main roads are in poor condition and lack the capacity to move the huge numbers of people and goods needed. Railways are old and outdated and the region is yet to build a high-speed rail network. South Asia lacks a major international airport hub, making flying into and around the region more difficult and expensive.
Rural areas and city slums across South Asia have especially poor infrastructure. Over 134 million people across the region do not have access to clean water and sanitation. The electricity supply in many poorer communities is also infrequent.
The poor-quality infrastructure in South Asian countries, especially in areas of destitution, is a major reason why the region is poor.
8. The Region Has Massive Gender Inequality
A final reason why South Asia is poor is because of the extreme gender inequality across the region.
South Asian countries rank as some of the place in world where men and women are most unequal. Afghanistan ranks the sixth most gender unequal country globally, Pakistan and India rank within the top 30. Countries in South Asia are also often listed among the worst places in the world to be a woman.
Gender inequality makes a country poor. When women are repressed, they are less able to be economically productive. In gender unequal countries women are often denied access to education. Women also have less access to reproductive health services and so are less able to control their family size. As girls grow older, in countries that are highly gender unequal, women are less able to enter the work force and use their talents to work productively.
The extreme gender inequality across South Asia is a key factor in why the region is poor. Women in South Asia often lack protections of their basic rights and struggle to be fully participatory members of society. This massively reduces the capacities of South Asian countries to become wealthy.