How to break the vicious circle Poverty-Informality/Illegality?
In towns and cities in developing countries there is a high co-incidence between areas of concentration of poverty and areas where people live in the uncertainty of informal and illegal settlement. Poverty itself is much more than low income, it is the lack of access to the basic essentials of life including shelter, health, security and a means to earn a living. Lack of security may mean initial access to housing but it also limits options for improvement. Informal services such as water supply systems may cost many times as much per litre as the piped water of the middle and upper income groups. Health is often bad due to poor nutrition, again increasing living costs. Lack of security and restrictive regulations limit possibilities to raise finance and to earn a living. Security may have to be paid for to both corrupt public sector and private sector mafia. Breaking the vicious circle between poverty and insecurity of tenure and employment is essential. To help develop more effective
