The Gendered Poverty Effects of the COVID-19 Pandemic in Colombia

Everyone, across borders, race and gender, is affected by the global COVID-19 pandemic—but not equally. In this paper, we examine a burgeoning new literature discussing the employment effects of COVID-19. We explore the extent to which COVID-19 will exacerbate gendered employment disparities, income generation gaps, and, ultimately, poverty gaps, using a simple microsimulation methodology. We test our approach in Colombia, which has implemented an unparalleled number of mitigation measures and has reopened its economy earlier than regional neighbors. We find that COVID-19 increases the poverty headcount to a daunting degree (between 3.0 and 9.1 pp increases). Mitigation measures vary considerably in their individual impact (up to 0.9 pp poverty reduction). A fiscally neutral Universal Basic Income program would cause larger poverty reductions. Importantly, both men and women report similar poverty impacts from the pandemic and mitigation policies, reflecting the magnitude of the downturn, the design of interventions and our own poverty measure.