4 steps to ending extreme poverty

We are witness to monumental
human progress.

Over the past few decades,
the expansion of the global marketplace

has lifted a third of the world's
population out of extreme poverty.

Yet we are also witness
to an astounding failure.

Our efforts to lift people up

have left behind those
in the harshest forms of poverty,

the ultra poor.

What it means to be ultra poor
goes beyond the monetary definition

that we're all familiar with:

living on less than two dollars a day.

It goes even beyond not having assets

like livestock or land.

To be ultra poor means to be stripped

of your dignity, purpose and self-worth.

It means living in isolation,

because you're a burden
to your own community.

It means being unable
to imagine a better future

for yourself and your family.

By the end of 2019,

about 400 million people

were living in ultra poverty worldwide.

That's more than the populations
of the United States and Canada combined.

And when calamity strikes,

whether it's a pandemic,
a natural disaster or a man-made crisis

these numbers spike astronomically higher.

My father, Fazle Abed,

gave up a corporate career

to establish BRAC
here in Bangladesh in 1972.

Bangladesh was a wreck,

having just gone through
a devastating cyclone

followed by a brutal war for independence.

Working with the poor,

my father realized that poverty

was more than the lack
of income and assets.

It was also a lack of hope.

People were trapped in poverty

because they felt their condition

was immutable.

Poverty, to them,

was like the sun and the moon,

something given to them by God.

For poverty reduction programs to succeed,

they would need to instill
hope and self-worth

so that, with a little support,

people could lift themselves
out of poverty.

BRAC went on to pioneer
the graduation approach,

a solution to ultra poverty

that addresses both income poverty

and the poverty of hope.

The approach works primarily with women,

because women are
the most affected by ultra poverty

but also the ones most likely
to pull themselves

and their families out of it.

Over a two year period,

we essentially do four things.

One, we meet a woman's basic needs

by giving her food or cash,

ensuring the minimum to survive.

Two, we move her
towards a decent livelihood

by giving her an asset, like livestock,

and training her to earn money from it.

Three, we train her to save,

budget, and invest her new wealth.

And four, we help
to integrate her socially,

first into groups of women like her,

and then into her community.

Each of these elements

is key to the success of the others,

but the real magic is the hope
and sense of possibility

that women develop through
the close mentorship they receive.

Let me tell you about ??.

?? was born in a remote village
in northern Bangladesh.

She never went to school,

and at the age of 15

she was married off to an abusive husband.

He eventually abandoned her,

leaving her with no income

and two children

who were not in school

and were severely malnourished.

With no one to turn to for help,

she had no hope.

?? joined BRAC's
graduation program in 2005.

She received a dollar a week,

two cows,

enterprise training,

and a weekly visit from a mentor.

She began to build her assets,

but most importantly

she began to imagine a better future
for herself and her children.

If you were visit
??'s village today,

you would find that she runs
the largest general store in her area.

She will proudly show you
the land she bought

and the house she built.

Since we began this program in 2002,

two million Bangladeshi women

have lifted themselves and their families
out of ultra poverty.

That's almost nine million people.

The program, which costs
500 dollars per household,

runs for only two years,

but the impact goes well beyond that.

Researchers at the London
School of Economics

found that even seven years
after entering the program,

92 percent of participants

had maintained or increased
their income, assets and consumption.

Esther Duflo and Abhijit Banerjee,

the MIT economists who won
the Nobel Prize last year,

led multi-country evaluations

that identified graduation

as one of the most effective ways
to break the poverty trap.

But my father wasn't content

to have found a solution

that worked for some people.

He always wanted to know

whether we were being ambitious enough

in terms of scale.

So when we achieved
nationwide scale in Bangladesh,

he wanted to know how we
could scale it globally.

And that has to involve governance.

Governments already dedicate
billions of dollars

on poverty reduction programs,

but so much of that money is wasted

because these programs
either don't reach the poorest,

and even the ones that do

fail to have significant long-term impact.

We are working to engage governments

to help them to adopt and scale
graduation programs themselves,

maximizing the impact

of the billions of dollars

they already allocate
to fight ultra poverty.

Our plan is to help
another 21 million people

lift themselves out of ultra poverty

in eight countries over the next six years

with BRAC teams on site
and embedded in each country.

In July of 2019, my father was diagnosed
with terminal brain cancer

and given four months to live.

As he transitioned out of BRAC

after leading the organization
for 47 years, he reminded us

that throughout his life
he saw optimism triumph over despair,

that when you light the spark
of self-belief in people,

even the poorest
can transform their lives.

My father passed away in December.

He lit that spark for millions of people,

and in the final days of his life

he implored us to continue to do so

for millions more.

This opportunity is ours for the taking,

so let's stop imagining
a world without ultra poverty

and start building that world together.

Thank you.

(Applause)