Institute of Development Studies

This paper argues that the distribution of global poverty has changed and that most of the world’s poor no longer live in countries officially classified as low-income countries (LICs). It is estimated that the majority of the world’s poor, or up to a billion people, live in middle-income countries (MICs). This pattern is largely as a result of the recent graduation into the MIC category of a number of populous countries. The paper discusses the trends in the distribution of global poverty, and opens a wider discussion on the potential implications for aid and development cooperation.