Editor,

RE: "Pro-growth is not pro-poor” (The New Times, October 12).

Current neo-liberal policies are pro-corporations’ growth that translate into overall national growth in numbers but in practical terms that wealth belongs to very few individuals.

Compliance by countries with the economic recipes imposed by international financial institutions has weakened the state’s role especially in regard to social justice.

The result has been more expensive services, weakened agricultural, livestock and industrial productive sectors, the deterioration of living conditions, a widening inequality gap and the acceleration of the debt spiral.

South Africa is a good example of a country where a record of economic growth has not necessarily translated into improvements in economic well-being for the majority of the population.

The country has generally experienced economic growth since its transition to democracy in 1994, but has not seen the type of associated gains in welfare one might have hoped for. Instead the country has the highest level of inequality in the world.

Economic growth in unequal society is not sustainable and lead ultimately to economic decline as issues related to poverty and inequality will affect growth in general.

Inequality has been linked to many social problems. Studies have consistently linked high level of inequality and violent crimes by highlighting that countries with high levels of violent crimes such as South Africa, Mexico, Honduras, Brazil, and USA…are also the same countries on top in terms of social inequality.

Violence is often a by-product of irregular or uneven economic development, in developing countries. An increase in a developing country’s income inequality tends to increase the criminality of its people.

As neo-liberalism becomes more prominent in a country, then inequality and crimes within that country will increase.

Some observers have indicated that neo-liberalism itself is either unconcerned with or may actually endorse inequality. Others argue that it is the capitalist nature of neo-liberalism that is responsible for rising inequality.

Ndoli Sabi