Mexico has achieved the highest poverty reduction rate among all 37 member countries of the Organization for Economic Cooperation and Development (OECD), according to a recent report titled “Government at a Glance.”
The OECD report, released on June 19, found that Mexico reduced relative poverty by 3.9 percentage points from 2012 through 2021, significantly outperforming the OECD average improvement of just one percentage point during the same period.
Additionally, the country recorded a 0.06-point reduction in income inequality over this timeframe, placing it among the leaders in addressing economic disparities within the organization.
According to World Bank data, the percentage of Mexicans living below the poverty line decreased from 35.3% to 25.2% between 2018 and 2024. This improvement has been attributed to several key economic policies implemented during the López Obrador administration (2018-2024).
Factors Contributing to Poverty Reduction
- A 125% increase in the minimum wage
- Social assistance programs such as adult pensions and student scholarships
These initiatives reportedly helped approximately 11 million Mexicans escape poverty, with pension programs alone accounting for nearly 2% of the poverty reduction.
Challenges Still Facing Mexico
Despite these positive developments, the OECD report highlighted ongoing challenges for Mexico. The country ranks last among OECD members in both life expectancy and public spending on healthcare, resulting in higher out-of-pocket medical expenses for Mexican citizens. Additionally, Mexico’s education system continues to struggle, with students performing poorly on international assessments.
However, the report also noted that Mexico has achieved the highest level of public trust in government among all OECD member nations.
For further information, you can visit the original article on Mexico News Daily.
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