Business

South Africa still fighting poverty despite two decades of progress

Nicola Mawson|Published

Poverty remains an unequal scourge in South Africa.

Image: Freepik

South Africa has made slow but steady progress in reducing poverty over the past two decades, according to the latest Poverty Trends Report from Statistics South Africa.

The third edition of the report, released in 2025, analyses money-metric poverty levels between 2006 and 2023.

Using the lower-bound poverty line (LBPL), which measures households that cannot afford basic food and non-food necessities, the share of people living in poverty has dropped from 57.5% in 2006 to 37.9% in 2023.

This means roughly 4.1 million fewer South Africans are living below this line today. Food poverty, measured by the food poverty line, fell from 27.4% to 17.6% over the same period.

The report highlights that poverty is not evenly distributed. Children, women, black Africans, and those living in larger households or rural areas remain most affected.

Over half of the poor population is under the age of 24, with children aged 0 to 17 making up the largest portion. KwaZulu-Natal, Eastern Cape, North West, and Limpopo continue to report the highest poverty rates.

Gauteng and the Western Cape have lower rates, though Gauteng now accounts for roughly one in five poor South Africans.

Education remains a key factor. People with lower levels of education face significantly higher poverty rates, though about a quarter of the adult poor population have completed matric.

Household size and urban versus rural living conditions also influence poverty levels, with rural residents more likely to experience extreme food poverty, while urban poverty has grown at the upper-bound level.

Economic shocks such as the 2008 global financial crisis and the COVID-19 pandemic have slowed progress, but government interventions, including social grants and the special social relief of distress grant, helped cushion many households.

While the overall picture shows improvement, the report warns that poverty remains a complex problem in South Africa. Reducing the gap between the poor and the rest of society, and addressing disparities by age, sex, race, and geography, remains critical.

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