Colombia ranks as the third most unequal country in the world-trailing only South Africa and Namibia. Unfortunately, it’s no secret that Colombia is a country with high human development but marked by deep inequalities in wealth distribution.
The United Nations Development Program (UNDP) released its 2025 Human Development Report, titled “A Call to Decide: People and Possibilities in the Age of AI.” Colombia received a Gini coefficient—a metric that measures income concentration on a scale from 0 to 100, with higher values indicating greater inequality—of 54.8.
For context, South Africa recorded a Gini score of 63, while Namibia registered 59.1. In Latin America and the Caribbean, the countries with the lowest levels of inequality were the Dominican Republic (37), El Salvador (38.8), and Suriname (39.2)—all well below Colombia’s average.
In Colombia’s case, the report highlighted stark disparities in wealth distribution: the poorest 40% of the population received just 10.3% of total income, while the richest 10% controlled a staggering 43.5% of the nation’s income.
Despite remaining one of the ost unequal countries in the world, Colombia’s Human Development Index (HDI) improve
Despite Colombia being a country marked by inequalities, in terms of Human Development Index (HDI), Colombia ranked 83rd out of 193 countries, with a score of 0.788 out of 1. While this figure marks an improvement over the previous report–when the score was 0.782–the country’s rise by eight positions was largely due to setbacks in the other nations rather than significant internal progress. Compared to 2015, Colombia has climbed just three spots in the rankings.
According to the report, advancements in the Human Development Index reflects improvements in key areas such as health, education and income. Despite this progress, and as mentioned, Colombia continues to face significant challenges related to income inequality. These disparities underscore the need for targeted policies to ensure that the benefits of development are more equitably distributed across all segments of society.
Although Colombia’s improvement in the HDI signals that progress is being made, it remains fragile and uneven. The numbers show a country advancing in aggregate metrics while leaving millions behind, particularly in its most vulnerable regions. For Colombia to make sustainable, inclusive progress, it must go beyond raising its HDI score and focus on reducing inequality, strengthening institutions, and investing in historically marginalized communities.
The World Bank warns that poverty in Colombia is deeply shaped by where a person is born
The World Bank released a report highlighting the deep inequalities that continue to affect Colombia. While it acknowledged progress in reducing poverty since the impact of COVID-19, the report pointed out that more than 16 million people still live in poverty–facing starkly different realities depending on the region.
In departments like La Guajira and Choco, two out of every three residents live in poverty–compared to significantly lower rates in regions such as Boyaca or Cundinamarca.
“The place and conditions into which a person is born in Colombia can largely determine their future,” the report emphasized, attributing this disparity to the state’s limited capacity to provide quality public services across the country.
The situation is especially critical in areas such as Vaupes, Amazonas, Nariño, and Guainía, where vulnerable populations–including indigenous communities–have significantly less access to education, healthcare, land and housing.
In addition, and on the front of structural barriers and state capacity, the World Bank particularly highlights the state’s limited capacity to deliver equitable public services across the country. Inconsistent governance, corruption, and the presence of armed groups in remote areas hinder effective delivery of healthcare, education and infrastructure.
The report also highlights that land inequality and forced displacement in Colombia–especially among indigenous and Afro-Colombian populations–compound economic exclusion and hinder long-term development. All these factors have led according to the World Bank analysis to a cycle where marginalized communities remain trapped in poverty due to systemic shortcomings.
Pathways to inclusive development in Colombia
To address these challenges, the World Bank recommends enhancing state capacity to deliver quality public services across all regions, investing in education and healthcare to reduce disparities and improve human capital, promoting inclusive economic policies that target marginalized communities and strengthening institutional frameworks to ensure effective governance and accountability. The World Bank insist that by focusing on these areas, Colombia can work towards breaking the cycle of poverty and inequality, ensuring that all citizens have the opportunity to thrive regardless of their birthplace or background.