Brazil Sees Historic Drop in Poverty and Extreme Poverty Rates in 2024, IBGE Reports

IBGE data reveals Brazil's poverty and extreme poverty rates have fallen to their lowest levels since 2012, driven by social programs and economic recovery.

    Key details

  • • Brazil's poverty rate dropped from 27.3% to 23.1% in 2024, lifting 8.6 million Brazilians out of poverty.
  • • Extreme poverty rate fell from 4.4% to 3.5%, reducing the number of extremely poor by 1.9 million.
  • • Social programs such as Bolsa Família and Auxílio Brasil played a crucial role in reducing poverty and inequality.
  • • Regional and racial disparities persist, with the Northeast and North regions and Black and Brown populations experiencing higher poverty levels.

Brazil has recorded its lowest poverty and extreme poverty levels since 2012, as announced by the Brazilian Institute of Geography and Statistics (IBGE) on December 3, 2025. The poverty rate fell from 27.3% in 2023 to 23.1% in 2024, indicating that 8.6 million Brazilians rose above the poverty line. Extreme poverty also declined, with the rate dropping from 4.4% to 3.5%, equating to 1.9 million fewer people living in extreme poverty.

This reduction means that 48.9 million people now live below the poverty threshold, down from 57.6 million the year before, while the number of those in extreme poverty fell from 9.3 million to 7.4 million. Researchers attribute this significant improvement to a recovering job market and strengthened social support programs such as Bolsa Família and Auxílio Brasil, which saw increased benefits starting in 2022. Without these social programs, the extreme poverty rate would have surged to 10%, underscoring their vital impact.

Income inequality has also seen progress, with the Gini index dropping to 0.504, its lowest since 2012. This decline highlights a narrowing earnings gap between wealthier and poorer Brazilians. Average household income per capita rose to R$ 2,017 in 2024, the highest since 2012, with the lowest income group benefiting from a 13.2% increase.

Despite overall advancements, regional and racial disparities remain pronounced. The Northeast and North regions continue to experience higher poverty rates of 39.4% and 35.9%, respectively, compared to the national average. Moreover, poverty disproportionately affects women and Black and Brown populations, who combined represent over 71% of those living in poverty. Approximately 39.7% of children aged 0-14 live below the poverty line, and about 12% of workers are classified as "working poor."

IBGE researcher André Geraldo de Moraes Simões highlighted the critical role that social assistance programs have played in reducing poverty and inequality, alongside a recovering economy. The decline marks a third consecutive year of improvement post-COVID-19 pandemic setbacks, signifying a hopeful trend for Brazil's socioeconomic future.

This article was synthesized and translated from native language sources to provide English-speaking readers with local perspectives.