UNDP report ranks Mexico among the most unequal nations in Latin America

The countries of Latin America and the Caribbean are increasingly unequal, with the gap between the richest and poorest people widening as a result of a large income gap among their populations. Within this region, Mexico has been particularly affected by the concentration of income, and by the situation of violence in the country.

The United Nations Development Programme (UNDP) has produced a report entitled 'Trapped: High Inequality and Low Growth in Latin America and the Caribbean'. The document states that 77% of Latin American society considers "that their countries are governed in the interests of a few powerful groups and not for the good of all". Due to this situation of discontent "people feel frustrated, not only because of the injustice in the results but also in the processes".

The UNDP report positions Mexico as one of the countries with the greatest inequality, based on the evidence that only 10% of the population has 59% of the nation's income and, even more worrying, 1% has 29% of the income.

This situation is evidence of the average level of multidimensional poverty faced by the Mexican nation, which manages to maintain an average human development index.

The UNDP points out that the main problem lies in the distribution of power in these countries, as "in the hands of a few who defend private interest rather than the common good is one of the factors that connect high inequality and low growth, as it often results in distorted, short-sighted and inefficient policies and weak institutions".

In this aspect, business plays a decisive role because of its economic influence in the country and the population "points to big business as the most influential powerful group" according to the report.

According to El Financiero, the president of the Bursamétrica Group, Ernesto O'Farril, points out that Mexican inequality is the result of low growth and lack of investment, "if there is no growth, there is no investment and there are not enough jobs, and as a result poverty increases". He also warned that the problem will continue to exist "as long as the circumstances remain the same, where trust does not return because the rule of law is not respected".

The problem of inequality is closely linked to the violence experienced in the territory. "Latin America and the Caribbean is the most violent region in the world," the report notes, explaining that inequality "fosters criminal, political and social violence", thus leading to lower economic growth, as is the case in Mexico.

The Mexican nation maintains high levels of violence, however, homicidal violence varies from state to state, with cities registering homicide rates of over 200 deaths per 100,000 inhabitants.

In addition, concern has been expressed about the increase in violence related to organised crime "due to the instability and subsequent split of Mexican drug trafficking organisations and their clashes with each other and with state authorities following changes in the political environment, the country's homicide rate has tripled in 10 years", according to El Universal.

Latin America Coordinator: José Antonio Sierra.