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Summary of Social Indicators: in 2020, without social programs, 31.2% of Brazil’s population would be in living in poverty

December 03, 2021 10h00 AM | Last Updated: December 06, 2021 02h02 AM

From 2019 to 2020, the proportions of the population living in extreme poverty and in poverty, in Brazil, according to the World Bank poverty thresholds, fell, respectively, from 6.8% to 5.7% and from 25.9% to 24.1% of the population. Without benefits from social programs, the proportion of persons in extreme poverty would have been of 12.9% and the rate of persons living in poverty would have reached 32.1%.

The average household income per capita hit R$ 1,349, with a decrease of 4.3% from 2019 (R$ 1,410). In 2020, in case there were no social programs, income would have been 6.0% lower (R$ 1,269), and the decrease against 2019, of 8.4%. The population decile with the lowest earnings would have had income reduced by 75.9% without social programs.

Due to the Covid-19 pandemic, the employment population-ratio in Brazil was the lowest in the series: 51.0%. Among youthaged 14 to 29, this indicator fell from 49.4% in 2019 to 42.8% in 2020. In the same period, the informality rate of the employed population in Brazil fell from 41.4% to 38.8%. Among the black and brown, the rate was 44.7% in 2020, against 31.8% among the white employed population. In addition to that, blacks and browns represented 53.5% of the employed population, but 64.5% of the time-related underemployed population.

On the average, the white employed population (R$ 3.056) had average real earnings from the main job 73.3% above that of the black or brown population (R$ 1,764) in 2020. Men’s earnings (R$ 2,608) exceeded women’s (R$ 2,037) by 28.1%.

The pandemic also left 10.8% of the students aged 6 to 17 without face-to-face classes or school activities in November last year, according to PNAD Covid. In basic education, 42.6% of the schools promoted online classes, being 35.5% in the public system and 69.8% in the private one. Nevertheless, in the pre-pandemic period, only 48.6%% of the students aged 15 to 17 enrolled in public schools had a computer with Internet access in their homes.

In 2019, according to the Ministry of Health, the number of deaths in the country had an average annual increase of 1.9%. From 2019 to 2020, first year of the Covid-19 pandemic, there was an increase of 15.0%, amounting to a total 1.6 million deaths. In 2020, according to the Ministry of Health, infection by coronavirus with a non-specified location caused the death of 57,681 black or brown men and 56,942 white men. In the age groups below 70 years of age, the number of deaths of blacks and browns exceeded that of white persons. In the age group 0-4, the number of black or brown children who died was twice that of white children.

According to POF 2017-2018, for 51.4% of the population living in rented housing units, the rental contract was only verbal. This group represented only 8.6% of the country’s population. The same POF showed that 10.3% of the country’s population lived in housing units prone to floods. In the metropolitan area of Rio de Janeiro, 28.2% of the population were facing this situation, the biggest percentage among urban areas in Brazilian capitals. In the same metropolitan area of Rio, it took 26.2% of the workers more than one hour to get to work. In this indicator, the metropolitan areas of São Paulo (22.8%) and Belo Horizonte (16.5%) followed.

In May 2020, 35.8% of the tenants lived in housing units where the rent was equals to or higher than 30% of the household income.

5.7% of the country’s population lived on less than R$ 155 per month

Brazil does not adopt an official poverty threshold. The Summary of Social Indicators analyzes the Brazilian population’s living conditions considering the thresholds adopted by the World Bank and, also, the criteria adopted in social programs of the Federal Government. In 2020, the country had 7.3 million persons (3.5% of the population) with monthly income per capita of R$89, below the poverty threshold of the Bolsa Família Program. Below the extreme poverty threshold of the World Bank (income of US$1.90/day, or R$155 per month per capita), we find 12 million persons (5.7% of the population). Below the BPC threshold (R$261 per capita), there were 22 million persons (10.5%).

As a poverty criterion, there is the threshold for eligibility for the Bolsa Família Program (R$178 per capita), which concentrated 13.6 million persons (6.5%); the World Bank threshold of US$5.50/day, which was R$450 per month per capita and encompassed 50.9 million persons (24.1%), and the threshold of ½ a minimum wage used for the Unified Registry of the Federal Governement, which was R$523 per capita and covered 61.4 million persons (29.1%).

Monetary poverty thresholds with respective uses, monthly nominal figures per capita,
proportion and total persons considered poor – Brazil – 2020
Poverty Thresholds Reference/use Nominal revenue per capita in 2020 (R$) Poor population
Total
(1000 persons)
Proportion
(%)
EXTREME POVERTY
Bolsa Família (EP) Threshold for granting the basic benefit of Bolsa Família 89 7.353 3.5
US$ 1.90 PPC 2011/dia Threshold of the World Bank for low-income countries 155 12,046 5.7
¼ a minimum wage Threshold for grainting BPC 261 22,064 10.5
POVERTY
Bolsa Família Threshold for eligibility for Bolsa Família 178 13,630 6.5
US$ 3,20 PPC 2011/day Threshold of the World Bank for medium-low income countries 262 22,465 10.6
50% of the median Measure of relative poverty used by the OECD 418 46,828 22.2
US$ 5,50 PPC 2011/day Threshold of the World Bank for medium-high income countries 450 50,953 24.1
½  of a minimum wage Unified Registry of the Federal Government 523 61,452 29.1
Source: IBGE, Diretoria de Pesquisas, Coordenação de População e Indicadores Sociais.

Without social programs, 32.1% of the population would be living in poverty

Considering poverty (US$5.50/day) and extreme poverty (US$1.90/day) indicators according to thresholds of the World Bank, there was a drop in the incidence of extreme poverty and poverty in Brazil between 2019 and 2020: proportions fell, respectively, from 6.8% to 5.7% and from 25.9% to 24.1% of the population. However, in a hypothetical scenario without the benefits from social programs, the proportion of persons living in extreme poverty would have increased from 5.7% to 12.9% and of those living in poverty, from 25.9% to 32.1%.

From 2012 to 2019, the difference between the poverty and extreme poverty rates, with and without benefits from social programs, ranged betwee 2 and 3 percentage points. In 2020, however, considering the simulated absence of social benefits, the difference would be of 7.2 percentage points for extreme poverty and 8.0 percentage points for poverty.

In 2020, Maranhão was the state with the biggest proportion of its population (14.4%) living in extreme poverty (threshold of US$ 1.90), with Amazonas (12.5%) and Alagoas and Pernambuco (both with 11.8%) following it. There was a steep decline in extreme poverty in these states against 2019, when the percentages of the population below that line were: Maranhão (2.1.3%), Amazonas (15.0%), Pernambuco (13.6%) and Alagoas (15.7%).

The states with the lowest percentage of their populations below the extreme poverty threshold in 2020 were Santa Catarina (1.9%) and Rio Grande do Sul (2.4%), with Mato Grosso do Sul and the Federal District (both with 2.6%) in the following positions.

One out of every three black or brown women live in poverty

The poverty and extreme poverty rates among blacks and browns were of 7.4% and 31.0%, more than twice the rates among white persons: 3.5% and 15.1%. The highest incidence of poverty (31.9%) and extreme poverty (7.5%) were among black or brown persons. By age, 8.9% of the children up to 14 years of age were extremely poor and 38.6% were poor. Among the elderly, the rates were of 2.5% and 8.8%, respectively.

Also, families with a female head of households who were black or brown, without a spouse and with children under 14 years had highest poverty levels: 17.3% of the residents of these arrangements had household income per capita below US$ 1.90 and 57.9%, below US$ 5.50 per day.

In the absence of benefits, by color or race, the rates more than doubled. For blacks or browns, the rate of extreme poverty without social programs would be 17.0% and, among white persons, of 7.6%. The difference would then chenge from 3.9 percentage points to 9.4 percentage points. Black or brown women would reach the highest poverty level among the groups (42.4%).

Without social programs, income of the poorest population would fall by 75.9% in 2020

O rendimento médio domiciliar per capita de 2020 foi de R$ 1.349, com crescimento de 2,6% em relação a 2012 (R$1.314) e queda de 4,3% ante 2019 (R$1.410).

The average household income per capita hit R$ 1,349, with a decrease of 2.6% frokm 2012 (R$1,314) and of 4.3% from 2019 (R$ 1,410). In 2020, in case there had been no social programs, this difference would have been 6.0% smaller (R$1,269), a higher difference than observed in 2012 (1.6% smaller) and in 2019 (1.7% smaller). Without benefits, the average household income per capita of 2020 would have fallen by 8.4% against 2019 (R$1,386) and remained leveled off against 2012 (R$1,294).

Without benefits, the first decile (of lowest earnings) of the population would have faced a decrease of 75.9% in income, and income of the second decile would have fallen by 23.4%. In the last two deciles (the highest earnings), there would have been barely any change, either with or without benefits.

Gini Index of 2020 would be of 0.524 instead of 0.573 without social programs

With or without benefits from social programs, the Gini index would have kept, at different levels, decrease up to 2015 and increase up to 2018, with significant stability in 2019.

From 2019 to 2020, however, there would be an increase of 2.3% without benefits (from 0.560 to 0.573). Considering benefits, there was a decrease of 3.7% (from 0.544 to 0.524).

In the Northeast, without benefits, the Gini index would change by 4.5%, going from 0.598 in 2019 to 0.625 in 2020. With benefits, the index fell 6.1% (from 0.560 to 0.526).

The Palma ratio showed that, in 2020, the 10% with the highest earnings took 3.71 times more of the total income than the 40% with the lowest earnings. Without benefits from social programs, inequality would be even bigger, with the index reaching 5.39 times more.

Less than half of the women and of youngsters were employed in 2020

In 2020, first year of the Covid-19 pandemic, the level of employment, which corresponds to the percentage of persons at working age who were employed, reached 51.0%, lowest figure in the time series, according to Continuous PNAD. Among youngsters aged 14 to 29, this indicator, which was low in 2019 (49.4%) dropped to 42.8% in 2020. The employment population ratio of women was 41.2%. And that of men, 61.4%.

The proportion of employed black or brown workers (53.5%) was bigger than that of men (45.6%). However, blacks or brown persons were in positions, mainly in agriculture (60.7%), construction (64.1%) and domestic services (65.3%), activities with earnings below the average in all the years of the time series.

In comparison with 2019, the effects of the pandemic on the labor market affected the most vulnerable groups and persons with a lower level of schooling. Women (-10.9%) and black or brown persons (-10.5%) were affected by the biggest decreases in employment, considering all levels of schooling. There was also significant decrease in persons without schooling or with incomplete primary school (-19.0%).

Informality reached 44.7% of the black or brown persons and 31.8% of the white persons

About 44.7% of the black or brown population was employed in informal occupations, versus 31.8% of the white population. These proportions corresponded to 12.5 million white persons, versus 20.7 million blacks or browns working in informal positions. Although the number of persons in informal positions fell in 2020, the difference betwee color or race remains (see the graph below).

The percentage of informal workers (employees and domestic workers without a contract, self-employed persons and employers, these ones that do not pay social security) and auxiliary family worker, reached their highest level in 2019 (41.1%) and fell to 38.8% in 2020, showing that the economy affected informal workers more severely.

White persons made 73.3% more than blacks or browns

On the average, the white employed population (R$ 3.056) had average real earnings from the main job 73.3% above that of the black or brown population (R$ 1,764) in 2020. Men (R$ 2,608) made 28.1% more than women (R$ 2,037).

The average earnings from the main job of employed persons in the North and Northeast were 74.4% and 71.0% of the national average (R$ 2,372), respectively. Piauí (R$ 1.311) and Maranhão (R$1,376) had the highest average earnings among all Federation Units. The highest ones were in the Federal District (R$ 4,144) and in São Paulo (R$ 3,013).

Blacks or browns were 53.5% of the employed persons, but reached 64.5% of the underemployed

The compound underutilization rate went from 24.4%, in 2019, to the highest level in the series in 2020: 28.3%, which represented 31.7 million persons. Although there has been a reduction in the time-related underemployed in relation to 2019, this total (6.1 million) remained above 7% of the employed population. The comparison between the two extremes of the available series (2016-2020) shows that, whereas the employed population was reduced by 4.1 million persoms, the uderemployed population increased by 1.1 million.

Women represented, in 2020, 41.7% of the employed population, but 52.4% of the time-related underemployed population. Blacks or browns were 53.5% of the employed persons, but 64.5% of the uneremployed. Workers without schooling or with incomplete elementary school were 21.6% of the former group, but 31.5% of the latter.

In November 2020, 10.8% of the students did not have school activities

In 2020, according to Inep, schools in Brazil had no face-to-face classes for an average of 279.4 days at all levels of basic education: 287.5 dias in the public system and 247.7 in the private system. The highest average of days without face-to-face activites in the Northeast (299.2 days), with a highlight to the public system (307,1 days).

PNAD Covid19 showed that, in November 2020, 9.2% of the students aged 6 to 17 enrolled in public and private schools did not have face-to-face classes; 5.4% attended face-to-face classes partially and only 2.4% were attending classes regularly.

Also according to PNAD Covid19, in the group of students aged 6 to 17 without face-to-face classes or school activities (10.8%, total), the percentage in the public system (12.4%) was 4.3 times that of the private system (2.9%).

According to Inep, in basic education, 42.6% of the schools promoted live online class and with possible interaction betwween the teacher and their students, being 35.5% in the public system and 69.8% in the private system. Acre (8.1%), Amazonas (9.9%) and Pará (13.2%) recorded the smallest percentages in the public system, whereas the smallest percentages in the private system were those of Rio Grande do Sul (56.9%), Roraima (57.1%) and Maranhão (60.0%).

In the pre-pandemic period, only 50.4% of the students aged 15 to 17 enrolled in the public system had a computer

According to PeNSE 2019, among 6.8 million students aged 15 to 17, only 54.0% had simultaneous access to the Internet and a computer or notebook at home in the pre pandemic period. Amog students in private schools, 90.5% had access to the Internet and a computer or notebook in the housing unit, simultaneously. In the public system, 85.3% had access to Internet at home, but only 50.4% had a computer or notebook.

About 67.3% of the white students in this age group had simultaneus access to a computer or notebook and Internet in the housing unit, versus 46.8% of the black or brown students.

Families without a spouse had limited access to healthcare services

Persons living in family arrangements formed by a women withouy a spouse and with children up to 14 years of age had biggest proportion of limited access to medicines (20.7%) and healthcare services (33.5%) in relation to the population overall (16.4% and 26.2%, respectively).

When the reference person is a black or brown woman, restrictions were even more severe: 22.5% of the persons in these arrangements had limited access to medicines and 35.6% to healthcare services.

From 2019 to 2020, the country received almost 20 thousand complementary beds

According to the National Registry of Health Establishments (CNES), in 2010, for every thousand residents there were 1.73 hospital beds for hospitalization available for SUS; in 2019, it reached 1.42 and, in 2020, it increased to 1.46/1,000 residents. As for complementary beds (for specific assistance and with special characteristics, such as isolation, reverse isolation and intensive and semi-intensive care units), availability at SUSU in 2010 was of 0.12 beds/1,000 residrents; in 2019, of 0.15, and in 2020, of 0.19/1,000 residents.

There was a significant increase in the number of complementary beds in 2020 (19,633 new beds in relation to 2019), amounting to 79,038 beds. The biggest share (16,695) is due to the combat to the pandemic. There were a total of 14,690 new beds for adult intensive care units and 560 for children intensive care unit.

The total number of beds (for hospitalization and complementary ones) in Brazil, in 2020, amounted to 522 thousand, or 2.46/1,000 residents. Federal District (3.15) and Rio Grande do Sul (3.00) recorded the highest figures, against Amapá (1.66), Amazonas (1.67) and Sergipe (1,76).

Also according to the CNES, in 2020, the number of physicians in the country amounted to 422,647 in the country, or 1.99 doctor/1,000 residents. Maranhão (0.84), Pará (0.86) and Amapá (0.99) had rates below 1. The Federal District, on the other hand, had 3.52 doctors/1,000 residents.

Number of deaths in the country increases 15% in one year

In 2019, according to the Ministry of Health, the number of deaths in the country had an average annual increase of 1.9%. From 2019 to 2020, first year of the Covid-19 pandemic, there was an increase of 15.0%, amounting to a total 1.6 million deaths.

The main causes of deaths in 2019 were due to diseases of the circulatory system (27.0%) and neoplasias (tumors), with 17.4% of the cases. In 2020, the proportions of these causes fell to 22.8% and 14.7%, respectively. Infectious and parasitic diseases, which include “Coronavirus infection of unspecified location” became the second main cause of mortality in 2020, with 265 thousand deaths (17.0% of the total). In 2019, the deaths in this group amounted to 57 thousand, or 4.1%.

In 2019, in the group aged 60 to 69, 9 thousand persons died of some infectious or parasitic and none of these cases was caused by the coronavirus. In 2020, the number of deaths increased to 56 thousand, being 47 thousand of them due to the coronavirus.

In the age groups below 70 years of age, the number of deaths of blacks and browns exceeded that of white persons.

In 2020, according to the Ministry of Health, infection by coronavirus with a non-specified location caused the death of 57,681 black or brown men and 56,942 white men. The number of white women (45,020) killed by Covid 19 exceeded that of blacks or browns (40,984).

Considering deaths due to the same cause by age groups (table below), the number of killed blacks or browns exceeded thta of white persons in all ages below 70. In the age group 0-4, the number of black or brown children who died was twice that of white children. In the other age groups, the percent differences between the number of deaths of blacks or browns ranged between 80% (15 to 19 years of age) and 7% (60 to 69 anos years of age).

Number of deaths due to (CID 10 B34.2) Coronavirus infection of unspecified location by sex and color/race, by age groups - Brazil - 2020
Age groups Number of deaths by (CID 10 B34.2) Coronavirus infection of unspecified location
White men White women Black or brown men Black or brown women
Total 56,942 45,020 57,681 40,984
Children 39 32 89 69
01 - 04 years of age 18 27 51 51
05 - 09 years of age 20 14 33 27
10 - 14 years of age 20 23 38 30
15 - 19 years of age 60 56 102 107
20 - 29 years of age 382 325 601 424
30 - 39 years of age 1.394 897 2.113 1.290
40 - 49 years of age 3.189 2.065 4.776 2.770
50 - 59 years of age 6.875 4.275 8.648 5.308
60 - 69 years of age 13.291 8.594 14.062 9.336
70 - 79 years of age 15.935 11.595 14.787 10.421
80 years of age and over 15.715 17.117 12.368 11.150
White/Unknown 4 0 13 1
Source: Ministério da Saúde. Painel de monitoramento de mortalidade CID-10, 2010-2020. Acesso em 08/09/2021.

Among the population aged 70 and over whose cause of death was Coronavirus infection of unspecified location, the highest percentage was that of the white population, 30.1%, whereas blacks or browns recorded 24.3%. But, in age groups, blacks or browns persons recorded the highest percentages: 24.9%, against 20.7% of the white ones.

Half of the tenants had informal rental contracts

According to POF 2017-2018, for 51.4% of the population living in rented housing units, the rental contract was only verbal. This group represented only 8.6% of the country’s population.

The informality rate of rental contracts almost reached 72.4% in the population quintile of lowest income per capita and almost three times lower (27.1%) in the quintile with the highest income. Besides, the difference between the index of the white population (42.7%) and of the black or brown population (58.7%) was of 16.0 percentage points.

More than 1/3 of the population delayed payment of household services

More than one third (37.5%) of the population were part of families that delayed payment of water, electricity or gas bills due to financial difficulties at least once in a period of 12 months, according to POF 2017-2018. This proportion was higher among blacks or browns, among youngsters and in housing units of the quintile with lowest monetary income per capita. The proportion of defaulter families that did not pay for basic services reached 54.3% in Amazonas. Santa Catarina had the smallest proportion (19.7%).

About 54.1% of the persons that were part of families with a female head of household, without a spouse and with children up to 14 years of age were defaulters for not paying for basic services (electricity, gas, water and sewage, etc.). That was the family arrangement with the highest default percentage.

10.3% of the country’s population lived in housing units prone to floods

In 2017-2018, 10.3% of the population were part of families that considered their housing unit was located in an area prone to floods. ] Other 2.9% reported their housing unit as located on a hillside or area prone to floods.

POF estimated that 28.2% of the population in the metropolitan area of Rio de Janeiro lived in housing units located in areas prone to floods, the highest percentages among the areas analyzed. And the metropolitan area of Maceió showed the biggest percentage of persons living in housing units located on hillsides or areas prone to floods.

It takes 9.8% of the population more than 1 hour to get to work

POF 2017-2018 also showed that it took 9.8% of the employed Brazilian population more than one hour to get to work. Among the residents of urban areas of capitals and metropolitan areas, this percentage reached 16.7%.

Among the 27 urban areas of capitals and of metropolitan areas formed by capitals analyzed by SIS, that of Rio de Janeiro recorded the highest percentage of employed persons that spent more that one hour to get to work: 26.2%, or more than one fourth of the workers. São Paulo (22.8%) and Belo Horizonte (16.5%) followed.

Excessive rental burden reached more than 1/ of the tenants during the pandemic

PNAD COVID 19 showed that, in May 2020, 35.8% of the tenant population lived in housing units where rent was equals to or above 30% of the household income - a situation classified as Excessive rental burden In the following months, this proportion fell, and reached 27.2% in August 2020.

Without income from auxiliary aids related to the pandemic, the occurrence of excessive rental burden would have reached 49.6% in May 2020.