Ecuador Reduces Poverty Rates despite Global Crisis

Quito, Jan 18. -More than 650,000 Ecuadorians left poverty over the past year, according to a study by the national secretary of Development and Planning (Senplades), Fander Falconi.The figure accounts for an increase of 4.0 percent compared to 2010, and 9.1 percent over 2006, according to the report by the National Institute of Statistics and Census (INEC), which considered those people with an income of less than 72.87 dollars a month during 2011 below the poverty line.

At a press conference, Falconi stated that for a Latin American society, these results are magnificent in the context of an international economic crisis, and demonstrate the activity of the state in terms of public development policies.

Falconi said that major challenges persist, even though unemployment was reduced by 1 percent compared to 2010, as well as underemployment, while full employment increased.

Regarding the development of the labor market, Falconi said employment in 2011 grew 5.1 percent with regard to the economically active population in urban areas, which rose to over 111,000 people in the period.

Senplades reveals that the state creates only 20 of every 100 new jobs, a figure that does not reflect the full extent of public policy, which should generate investment and jobs in projects with participation of private capital.

Falconi added that overall economic growth allowed closing gaps between the rich and the poor, but the country still requires structural changes in the regime of accumulation. (Prensa Latina)