Asia-Pacific Grows Richer, Yet Why Has Poverty Not Disappeared?

The Asia-Pacific region has been known over recent decades as the world’s fastest-growing economic area. Rapid economic development in Asia-Pacific countries has driven income growth, trade expansion, and increasingly close economic integration at both regional and global levels. International cooperation continues to evolve in various forms through regional organisations and forums aimed at fostering more inclusive and sustainable development. However, behind these achievements, poverty and inequality remain major challenges for the region. The report Protecting Our Future Today: Social Protection in Asia and the Pacific, published by the United Nations Economic and Social Commission for Asia and the Pacific (ESCAP) in 2024, shows that despite economic gains in the Asia-Pacific, poverty and inequality have actually increased. More than 260 million people are at risk of falling into poverty within the next decade if social protection is not strengthened. Furthermore, around 45 per cent of the region’s population still lacks access to adequate social protection. This situation is a serious concern because it is directly linked to the Sustainable Development Goals (SDGs), particularly Goal 1 (No Poverty), which targets the eradication of poverty in all its forms by 2030. However, the Asia and the Pacific SDG Progress Report 2024 indicates that progress towards the SDGs in the region is not on track to achieve all targets by 2030. In fact, the Asia-Pacific is projected to achieve the full set of SDG targets only several decades after the established deadline. This phenomenon raises a critical question: if the Asia-Pacific is becoming wealthier, more connected through international trade, and supported by various regional and global cooperation organisations, why has poverty not yet been eliminated? Poverty is one of the main challenges in the global development agenda. In response, the United Nations established the Sustainable Development Goals (SDGs), comprising 17 goals, with poverty eradication placed as the first goal through SDG 1 (No Poverty), targeting the elimination of poverty in all its forms by 2030. Poverty is not limited to low income but also encompasses limited access to education, healthcare, decent work, social protection, and various resources that support quality of life. Therefore, the success of poverty alleviation is closely linked to the achievement of other sustainable development goals, such as quality education, good health, decent work, and reduced inequality. Although the Asia-Pacific region has experienced significant economic growth in recent decades, various reports show that poverty remains a serious challenge. This indicates that economic growth is not always directly proportional to the equitable distribution of welfare. To support the achievement of this goal, various actors at both national and international levels must be involved. To understand the challenges of poverty alleviation in the Asia-Pacific, the Theory of Complex Interdependence developed by Robert O. Keohane and Joseph S. Nye explains that modern international relations are no longer dominated solely by security issues and interstate relations, but also involve various economic, social, environmental, and development issues that connect countries in a complex web of mutual dependence. According to Keohane and Nye, there are several main characteristics of complex interdependence. First, international relations involve multiple actors beyond states, such as international organisations, multinational corporations, non-governmental organisations (NGOs), and civil society. Second, there is no rigid hierarchy of issues, as economic, social, and environmental matters can be just as important as security issues. Third, cooperation becomes increasingly important because many problems cannot be solved by a single country independently. In the context of poverty, this theory is relevant because the factors affecting poverty do not originate solely from a country’s domestic policies. Many other factors can cause poverty rates to rise, such as international trade, foreign investment, climate change, technological developments, and various global crises, which can directly impact economic conditions and public welfare. Consequently, poverty eradication requires the involvement of multiple actors and cross-country cooperation. Complex interdependence views poverty as a shared challenge requiring coordination between governments, international organisations, development agencies, the private sector, and civil society. Thus, international cooperation becomes an important instrument in supporting the achievement of the SDGs, particularly the goal of poverty eradication in the Asia-Pacific region. The Asia-Pacific is known as one of the world’s fastest-growing economic regions. Yet poverty remains a challenge hindering the achievement of the Sustainable Development Goals (SDGs). This is evident from the Asia and the Pacific SDG Progress Report 2024, which shows that SDG progress in the region is still far from the established targets. The report indicates that the Asia-Pacific is estimated to achieve the SDG targets only by 2062, approximately 32 years later than the 2030 deadline.