Global Poverty Rate Stagnates at 25.5%, Report Finds – fordhamobserver.com

Report on the 2025 Fordham Francis Index and its Implications for Sustainable Development Goals

Executive Summary

• The 2025 Fordham Francis Index (FFI) report indicates that global poverty has stagnated at 25.5%, representing a significant setback for Sustainable Development Goal 1 (SDG 1: No Poverty). The findings show that the poor remain in a worse condition post-pandemic than they were prior.
• The report highlights a lack of progress and, in some cases, regression across several SDGs, including those related to hunger, clean water, and gender equality.
• These findings were presented at a forum at the Church Center for the United Nations, underscoring the urgency of addressing both material and immaterial dimensions of poverty to achieve the 2030 Agenda.

Fordham Francis Index Methodology and Alignment with SDGs

A Multidimensional Approach to Poverty

• The FFI provides a unique poverty measurement by integrating seven key indicators, which directly correspond to several SDGs.
• This approach, developed in response to Pope Francis’s 2015 address to the UN, emphasizes the dignity and agency of individuals in achieving their own development, a core principle of the SDGs.

Core Indicators and Corresponding SDGs

1. Food: Directly relates to SDG 2 (Zero Hunger).
2. Water: Directly relates to SDG 6 (Clean Water and Sanitation).
3. Housing: Relates to SDG 11 (Sustainable Cities and Communities).
4. Employment: Relates to SDG 8 (Decent Work and Economic Growth).
5. Education: Directly relates to SDG 4 (Quality Education).
6. Gender Equity: Directly relates to SDG 5 (Gender Equality).
7. Religious Freedom: A unique indicator relating to SDG 16 (Peace, Justice and Strong Institutions).

Analysis of Key Findings by Sustainable Development Goal

Setbacks in Basic Needs: SDGs 2, 6, and 11

• SDG 2 (Zero Hunger): Progress has reversed, with the percentage of people suffering from undernourishment increasing from 7.6% in 2018 to 9.1% in 2022.
• SDG 6 (Clean Water and Sanitation): Access to adequate drinking water has seen a steady decline since 2013. As of 2022, 707 million people (8.8% of the global population) lacked access.
• SDG 11 (Sustainable Cities and Communities): Analysis of global housing trends was inconclusive due to changes in the definition of inadequate housing.

Mixed Progress in Economic and Social Goals: SDGs 4, 5, and 8

• SDG 8 (Decent Work and Economic Growth): The “distressed labor rate,” which includes the unemployed and those earning less than $3.65 a day, has recovered from its 2020 low, but progress has slowed, indicating persistent challenges in providing decent work.
• SDG 4 (Quality Education): Positive trends were observed, with illiteracy rates generally declining since 2013.
• SDG 5 (Gender Equality): Significant regression was reported. Gender inequity has worsened considerably since 2014, with approximately two billion women living in countries with severe gender discrimination in 2023. This was particularly severe in China, despite its economic wealth.

Challenges to SDG Implementation: Foreign Aid and Global Partnerships

Impact of Reduced International Cooperation

• The report’s context includes a crisis in international aid, undermining SDG 17 (Partnerships for the Goals).
• Significant funding cuts to foreign aid, including the shutdown of the U.S. Agency for International Development (USAID) and systematic program reductions, threaten the progress of numerous SDG-related initiatives.
• European nations have also redirected funds from foreign aid to defense, further straining resources for global development.

Strategic Responses and the Importance of Local Agency

• In response, humanitarian organizations like Catholic Relief Services (CRS) are adapting with new strategies, such as “In Their Hands,” which focuses on empowering local communities and governments to enact systemic change.
• This approach aligns with the core SDG principle of ensuring local ownership and building self-sufficient, sustainable systems.
• The FFI report is identified as a critical tool for understanding local contexts and tailoring aid more effectively to achieve sustainable outcomes.

Conclusion

• The 2025 Fordham Francis Index reveals that progress towards the Sustainable Development Goals has stalled, particularly concerning the eradication of poverty (SDG 1).
• While Gross Domestic Product (GDP) accounts for 71% of the variations in meeting basic needs, the remaining 29% is attributed to social, cultural, and political factors. This highlights the interconnectedness of the goals and the importance of addressing immaterial needs like gender equity (SDG 5) and institutional stability (SDG 16).
• The findings underscore a critical need for renewed global commitment and innovative partnership models to overcome the current stagnation and accelerate progress toward the 2030 Agenda.

Analysis of the Article in Relation to Sustainable Development Goals (SDGs)

1. Which SDGs are addressed or connected to the issues highlighted in the article?

1. SDG 1: No Poverty

   • The article’s central theme is global poverty, directly referencing the Fordham Francis Index (FFI) which found that “global poverty has stagnated at 25.5%.” It discusses both “material poverty” and the goal to “escape from extreme poverty.”

2. SDG 2: Zero Hunger

   • The article explicitly mentions food as a material need and states that “The percentage of people suffering from undernourishment went up from 7.6% in 2018 to 9.1% in 2022.”

3. SDG 4: Quality Education

   • Education is identified as one of the three key “immaterial needs.” The article notes that recent trends show “an improvement in education, as illiteracy rates have mostly declined since 2013.”

4. SDG 5: Gender Equality

   • The article addresses gender equity as a critical immaterial need, reporting that “Gender inequity, in contrast, has significantly worsened since 2014.” It specifies that in 2023, “around two billion women lived in countries with severe gender discrimination.”

5. SDG 6: Clean Water and Sanitation

   • Access to water is one of the four material needs measured by the FFI. The article provides specific data: “As of 2022, approximately 707 million people, 8.8% of the global population, did not have access to drinking water.”

6. SDG 8: Decent Work and Economic Growth

   • The article discusses employment as a core material need. It measures this through the “distressed labor rate,” which includes not only the unemployed but also those “employed, but earn less than a minimum daily salary of $3.65 a day.”

7. SDG 11: Sustainable Cities and Communities

   • Housing (“lodging”) is listed as one of the three absolute minimum material needs mentioned by Pope Francis and is measured by the FFI. The article notes that “Issues with housing… have not improved.”

8. SDG 16: Peace, Justice and Strong Institutions

   • The article highlights “religious freedom” as a fundamental need, noting a decline with “over 4.7 billion people living in countries where it was severely restricted in 2022.” This relates to the protection of fundamental freedoms.

9. SDG 17: Partnerships for the Goals

   • The article discusses a “global aid crisis,” detailing how the “Trump administration cut another $4.9 billion in foreign aid” and how European countries have “slashed foreign aid spending.” This directly concerns the financial resources and partnerships needed to achieve the goals.

2. What specific targets under those SDGs can be identified based on the article’s content?

1. SDG 1: No Poverty

   • Target 1.2: By 2030, reduce at least by half the proportion of men, women and children of all ages living in poverty in all its dimensions according to national definitions. The FFI’s multidimensional approach, measuring seven material and immaterial needs (water, food, housing, employment, education, gender equity, religious freedom), directly aligns with this target of addressing poverty beyond just income.

2. SDG 2: Zero Hunger

   • Target 2.1: By 2030, end hunger and ensure access by all people, in particular the poor and people in vulnerable situations, including infants, to safe, nutritious and sufficient food all year round. The article’s focus on the rising percentage of people “suffering from undernourishment” directly relates to this target.

3. SDG 4: Quality Education

   • Target 4.6: By 2030, ensure that all youth and a substantial proportion of adults, both men and women, achieve literacy and numeracy. The article’s mention that “illiteracy rates have mostly declined since 2013” is a direct measure of progress toward this target.

4. SDG 5: Gender Equality

   • Target 5.1: End all forms of discrimination against all women and girls everywhere. The article’s finding that “around two billion women lived in countries with severe gender discrimination” directly addresses the core issue of this target.

5. SDG 6: Clean Water and Sanitation

   • Target 6.1: By 2030, achieve universal and equitable access to safe and affordable drinking water for all. The article’s data on the “707 million people… who did not have access to drinking water” and its definition of access (collection time not exceeding thirty minutes) are directly relevant to this target.

6. SDG 8: Decent Work and Economic Growth

   • Target 8.5: By 2030, achieve full and productive employment and decent work for all women and men, including for young people and persons with disabilities, and equal pay for work of equal value. The article’s “distressed labor rate” indicator, which includes those who are employed but earn less than $3.65 a day, addresses the “decent work” aspect of this target, going beyond simple employment statistics.

7. SDG 11: Sustainable Cities and Communities

   • Target 11.1: By 2030, ensure access for all to adequate, safe and affordable housing and basic services and upgrade slums. The article identifies “lodging” (housing) as a minimum material need and notes that issues with “inadequate housing” have not improved, connecting directly to this target.

8. SDG 16: Peace, Justice and Strong Institutions

   • Target 16.10: Ensure public access to information and protect fundamental freedoms, in accordance with national legislation and international agreements. The article’s focus on “religious freedom” as a core immaterial need and its finding that billions live where it is “severely restricted” relates to the protection of fundamental freedoms.

9. SDG 17: Partnerships for the Goals

   • Target 17.2: Developed countries to implement fully their official development assistance commitments. The article’s discussion of the U.S. cutting “$4.9 billion in foreign aid” and European countries slashing their aid budgets directly addresses the failure to meet this target.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

1. For SDG 1 (No Poverty)

   • Indicator: The overall global poverty rate, which the article states has “stagnated at 25.5%.”
   • Indicator: The proportion of the employed population living below a specific poverty line, measured in the article as those “who are employed, but earn less than a minimum daily salary of $3.65 a day.”

2. For SDG 2 (Zero Hunger)

   • Indicator: The prevalence of undernourishment, which the article states “went up from 7.6% in 2018 to 9.1% in 2022.”

3. For SDG 4 (Quality Education)

   • Indicator: Adult literacy rate, which is implied by the article’s statement that “illiteracy rates have mostly declined since 2013.”

4. For SDG 5 (Gender Equality)

   • Indicator: The number of people living in countries with discriminatory laws and lack of legal frameworks for gender equality, as the article states “around two billion women lived in countries with severe gender discrimination.”
   • Indicator: The Health and Survival Index (HSI), which the article mentions looks at “the gender gap in life expectancy and female infanticide.”

5. For SDG 6 (Clean Water and Sanitation)

   • Indicator: The proportion of the population using safely managed drinking water services. The article provides a negative measure of this: “8.8% of the global population, did not have access to drinking water.”
   • Indicator: The article also provides a specific metric for access: “collection time cannot exceed thirty minutes.”

6. For SDG 8 (Decent Work and Economic Growth)

   • Indicator: The “distressed labor rate,” which the article defines as a composite measure including “both those who are unemployed and those who are employed, but earn less than a minimum daily salary of $3.65 a day.”

7. For SDG 11 (Sustainable Cities and Communities)

   • Indicator: The proportion of the urban population living in slums, informal settlements or inadequate housing. The article refers to this by measuring “inadequate housing,” although it notes trend analysis is difficult.

8. For SDG 16 (Peace, Justice and Strong Institutions)

   • Indicator: The number of people living in countries with restrictions on fundamental freedoms. The article provides a specific figure: “over 4.7 billion people living in countries where [religious freedom] was severely restricted in 2022.”

9. For SDG 17 (Partnerships for the Goals)

   • Indicator: The volume of official development assistance (ODA). The article provides specific examples of decreases, such as the U.S. cutting “$4.9 billion in foreign aid” and CRS’s funding from USAID being “cut by 40%.”

4. Table of SDGs, Targets, and Indicators

Source: fordhamobserver.com