Child poverty breaks record in Brazil in 2021

Child poverty reached record levels in Brazil in 2021 against a backdrop of social crisis intensified by the pandemic. This is what a publication by researchers from PUCRS Data Social indicates, a study laboratory launched by the Pontifical Catholic University of Rio Grande do Sul.

The rate of children up to six years old who lived in households below the poverty line reached 44.7% in the country last year, the highest level in a decade, according to the survey. The historical series gathers data from 2012.

The increase was 8.6 percentage points compared to 2020, when the index had fallen to 36.1%, the lowest in the series, under the impact of more robust payments of emergency aid.

The rate measures the percentage of children up to six years old who lived in households in poverty in relation to the total population of the same age group (17.5 million). That is, almost 45% of them were in homes considered poor.

In absolute terms, the number of children up to six years of age in poverty rose from 6.4 million to 7.8 million, another record, according to the survey. The increase was 22.6% from 2020 to 2021.

In other words, another 1.4 million children are now considered poor. This contingent is similar to the entire population of a city like Porto Alegre (1.5 million).

The dynamics of emergency aid over the past year explains much of the picture, say the researchers. Payment of the benefit came to a halt in early 2021. Then it was resumed, but with family coverage and reduced amounts.

Another factor associated with the advance of poverty is the loss of income from work of those responsible for households due to high inflation.

“The effects of poverty in early childhood are cumulative. If the child does not develop their abilities at this stage, the future will be more difficult for them”, evaluates researcher André Salata, one of those responsible for the PUCRS Data Social study.

To estimate the results, the experts used microdata from Pnad Contínua with an annual cut.

This version of the Pnad, released by the IBGE (Brazilian Institute of Geography and Statistics), goes beyond the job market and also includes other sources of income, including social programs.

“The results are very worrying. There are studies that show that human beings have certain ages for cognitive and physical development”, says researcher Izete Pengo Bagolin, also responsible for the survey.

“The child who goes hungry and is in a more precarious situation, exposed to non-ideal conditions, will have lower productivity in the future. Poverty has a cost for professional and personal fulfillment”, he says.

Extreme poverty affects 2.2 million children

According to the researchers, extreme poverty also hit a record among children up to six years old in 2021. The rate increased from 8% to 12.7% in the country.

The number of children in this age group in extreme poverty rose from 1.4 million to 2.2 million. The increase was 58%, or 819,700 more, equivalent to almost the entire population of a capital like João Pessoa (825,800).

To define the poverty and extreme poverty lines, the study used PPC (Purchasing Power Parity) criteria adopted by the World Bank.

In 2021 values, converted into reais, the poverty line was around R$465 per capita (per person) per month. The extreme poverty measure was around R$ 160 per capita per month.

Children who lived in households with income per person below these levels were in poverty or extreme poverty, according to the study.

“In 2020, due to the aid, poverty and extreme poverty fell. But in 2021, they returned quickly and reached worse levels than the previous ones”, says researcher Ely José de Mattos, also responsible for the survey.

He considers that the data still do not take into account the likely impacts of expanding Auxílio Brasil. The reinforcement in the value of the social program was confirmed by President Jair Bolsonaro (PL) on the eve of this year’s elections.

In Mattos’ view, it is “unlikely” that the next government, whether led by Bolsonaro or another candidate, will cut the value of Auxílio Brasil, which now has a minimum of R$ 600. However, according to the economist, there is room for program revisions and adjustments.

One of the criticisms that have been made to the design of the aid is the lack of focus – a criterion that considers the different profiles and needs of the families served.

“We need a robust program that is sustainable”, says Salata.

The study also points out differences within the group of children up to six years old. In the black portion, the poverty rate reached 54.3% in 2021, while the extreme poverty rate reached 16.3%.

The percentages were lower for white children. In this cut, the poverty rate reached 32.4%, and the extreme poverty rate, 8.2%.

The study also provides data on the general population in the country. On this basis of comparison, the poverty rate rose from 23.1% to 28.3% from 2020 to 2021.

It is also the highest level in the series, the survey signals. The extreme poverty rate increased from 5.3% to 8.2% in the general population, another record in the decade.