By Christian Klotz
The answer to this question, which should support our philanthropic actions, lies in the numbers that portray the country's reality. Data released in November by IBGE show that, in 2020, the portion of the population with the highest income in Brazil, which represents 1%, earned 34.9 times more than half of Brazilians with the lowest income. While the average monthly income of the richest families is around R$15,800, half of the poorest families have an average income of R$453. Last year, the average monthly income of the general population reached the lowest level since 2012, standing at R$ 2,213.
Despite our great natural resources, which offer us good growth prospects, we are a nation with a lot of poverty, reinforced by inequalities. Based on the Gini index, used to assess the level of income concentration, Brazil is among the ten most unequal countries in the world. The UN Human Development Report, released at the end of 2019, indicated that the country has the second highest concentration of income in the world, behind only Qatar.
The path to reducing inequalities and reducing the gaps that separate the different layers of the people involves philanthropy and the promotion of social justice. For much-needed transformations, we must provide people neglected by social challenges with the opportunity for a dignified life, with access to health, education, housing, basic infrastructure, work and all the resources that will enable them to seek prosperity.
The country we dream of requires a change in awareness and positioning regarding social action, understanding it as part of the engine that drives the growth of all sectors. In the USA, philanthropy accounts for around 2% of GDP, which exceeds US$20 trillion. Here, we are still far from this reality, with a philanthropic index below 0.2% of GDP.
If we consider the poverty we see in all regions, we would need much more donations. There is a mistake that makes it difficult to advance in the objective of improving the general condition of the population: the confusion we make with the concepts of tax, donation and alms. Almsgiving does not promote social justice — momentarily helping someone in need can be beneficial, but this is a deeper debate, which involves the awareness of giving back and trying, with the best of our efforts, to give people the opportunity that society has failed in offering. It is the culture of donation that brings results to the issues we raise, provides social advancement and creates opportunities to change poverty and inequality rates.
For the culture of donation to become effective, it will be necessary for business leaders to get closer to social causes, turning to philanthropy. When companies effectively engage in the plan to reduce inequalities, committing to return and share achievements, the result will be the strengthening of society and, consequently, the economy. If we want an economically active, fairer and more egalitarian society, we need to understand that the responsibility for changing the scenario depends on a joint effort between government, companies and civil society.
* Partner at Brasil Capital and Member of the Administrative Council of Movimento Bem Maior