As part of the International Day for the Eradication of Poverty, which is commemorated every October 17, the Fundación Paraguaya celebrated four decades of steadfast work, promoting financial inclusion and education as fundamental tools to transform lives. Through its innovative Poverty Stoplight methodology, created by Dr. Martín Burt, the Fundación is helping hundreds of thousands of people worldwide to overcome multidimensional poverty.
The International Day for the Eradication of Poverty is a date to reflect on the challenges and achievements of the fight against one of humanity’s most persistent scourges. In this context, the Fundación Paraguaya, led by Dr. Martín Burt, for 40 years has played a prominent role due to its innovative and holistic approach to fight against poverty, integrating education and financial inclusion through sustainable programs and innovative tools such as the Poverty Stoplight.
The Poverty Stoplight methodology
The Poverty Stoplight is a diagnostic and monitoring tool to measure poverty based on a multidimensional perspective. Using indicators based on the colors of a stoplight, the system accurately identifies poverty levels: red indicates extreme poverty, yellow indicates poverty, and green is for those who have overcome poverty. This methodology, now applied in more than 60 countries, helps people and communities identify and prioritize the aspects of their lives that require improvement.
The results of the Stoplight survey help understand the impact that this methodology on poverty reduction. So far in 2024, 259,272 assessments have been made worldwide, benefiting 241,588 families and reaching 890,789 people. The indicators show that 65% of those assessed classified in the green level, which indicates that they are not considered poor, an improvement compared to 61% in 2023. This progress shows that the efforts of Fundación Paraguaya and its partners are making a positive difference globally.
Regarding more specific data for this year, the Stoplight shows that 7% of people live in extreme poverty (red level), and 28% are poor (yellow level). These figures represent progress compared to the previous year, when 8% of people were living in extreme poverty and 31% were living in poverty. Despite global economic challenges, the Stoplight methodology continues to prove its effectiveness in facilitating the progress of thousands of families around the world.
Fundación Paraguaya: 40 years of impact
At the local level in Paraguay, Stoplight data are even more encouraging: 80% of those assessed are already at the green level, while only 6% are living in extreme poverty and 14% are poor. This underscores the impact of the Fundación Paraguaya in its own country, not only through its educational programs, but also through access to microcredits and training, which provide with concrete tools for people to improve their living conditions.
The Fundación Paraguaya has devoted four decades to fighting poverty on multiple fronts. Its innovative approach has been to accompany families along their path to prosperity, helping them identify their strengths and overcome the barriers they face in their surroundings. Thanks to the Poverty Stoplight, each family can view their situation in real time and work on specific strategies to advance to the next level, thus enhancing their conditions and opportunities.
Transforming the future: the power of education and financial inclusion
The success of Fundación Paraguaya is also due to its commitment to education and financial inclusion. Through its educational programs, the Fundación provides training to young people and adults on practical and entrepreneurial skills to help them generate income and become self-sufficient. In addition, its microcredit and entrepreneurial financing programs offer access to the capital required to start and expand their own business, promoting sustainable economic development at the community level.
On this International Day for the Eradication of Poverty, the work of the Fundación Paraguaya is a powerful reminder that poverty can, and must, be addressed with a comprehensive approach. By putting people at the center of their own solutions, and offering them the tools and support they require to thrive, this groundwork not only improves individual lives, but also strengthens communities and contributes to progress towards a more just and inclusive world.
On this special date, the Fundación Paraguaya reaffirms its commitment and mission to eradicate poverty. The continued progress of the Stoplight methodology, with more people reaching the green level each year, is a testament to the effectiveness of this approach, and a reminder that we need the collaboration of individuals, communities, businesses and governments to bring the dream of a poverty-free future ever closer to becoming a global reality.