In the second decade of the 21st century, Colombia showed surprising results in the fight against poverty. Monetary poverty dropped, extreme monetary poverty was cut in half, and multidimensional poverty fell. More than five million Colombians overcame poverty. Inequality also decreased significantly. In the middle of an internal armed conflict and peace negotiations, Colombia became a poverty reduction success story. All of this happened under the leadership of President Juan Manuel Santos (2010-2018). How was this accomplished? In this important book, based on his experience and with data and statistics, former President Santos explains how this battle against poverty was waged and describes the tools, programs, and policies that produced these results. In particular, he emphasizes the importance of Colombia's globally pioneering adoption of the Multidimensional Poverty Index (MPI), calculated according to the Alkire-Foster method and developed at the Oxford Poverty and Human Development Initiative (OPHI). The MPI, inspired by the work of Professor Amartya Sen, has been used in Colombia not only as a poverty measure but also as an instrument to guide social policy. The Colombian approach to poverty offers lessons, clearly explained in this book, to other nations, academics, and decision-makers. The Colombian experience demonstrates that, with political leadership and reliable poverty measurement, it is possible to make progress toward social equality.

In 2013, the World Bank Group announced two goals that would guide its operations worldwide. First is the eradication of chronic extreme poverty bringing the number of extremely poor people, defined as those living on less than 1.25 purchasing power parity (PPP)†“adjusted dollars a day, to less than 3 percent of the world’s population by 2030.The second is the boosting of shared prosperity, defined as promoting the growth of per capita real income of the poorest 40 percent of the population in each country. In 2015, United Nations member nations agreed in New York to a set of post-2015 Sustainable Development Goals (SDGs), the first and foremost of which is the eradication of extreme poverty everywhere, in all its forms. Both the language and the spirit of the SDG objective reflect the growing acceptance of the idea that poverty is a multidimensional concept that reflects multiple deprivations in various aspects of well-being. That said, there is much less agreement on the best ways in which those deprivations should be measured, and on whether or how information on them should be aggregated. Monitoring Global Poverty: Report of the Commission on Global Poverty advises the World Bank on the measurement and monitoring of global poverty in two areas: What should be the interpretation of the definition of extreme poverty, set in 2015 in PPP-adjusted dollars a day per person? What choices should the Bank make regarding complementary monetary and nonmonetary poverty measures to be tracked and made available to policy makers? The World Bank plays an important role in shaping the global debate on combating poverty, and the indicators and data that the Bank collates and makes available shape opinion and actual policies in client countries, and, to a certain extent, in all countries. How we answer the above questions can therefore have a major influence on the global economy.