What are the social and economic opportunities associated with the growth of Rio?

Rio de Janeiro’s growth and development have created a number of social and economic opportunities to improve the quality of life of its residents.

Social opportunities in Rio de Janeiro

Health Care – Healthcare provisions, such as health care centres and hospitals, are significantly better in Rio than in rural areas. Compared to living in the countryside, vulnerable people such as children and the elderly have better access to emergency care and vaccinations in Rio.

Education—Rio has many primary and secondary schools, which have enabled 95% of children aged 10 and above to be literate, considerably higher than the national average. The city also has several universities that provide higher education opportunities.

Water supply – Access to clean water has increased considerably in Rio since the city hosted major sporting events such as the 2014 World Cup and the 2016 Olympics. Over 90% of the population of Rio have access to mains water supply.

Energy – Although the city is subject to power cuts, the energy supply is more reliable than in rural areas where lighting and power are not always available. In poor areas, some residents tap into the power supply illegally. This has led to fires.

Locals tapping into electric supplies.

Economic opportunities in Rio de Janeiro

As Rio is one of Brazil’s most important industrial cities, considerable economic growth has occurred. For example, there have been improvements in services (such as water and energy), roads and transport. Employment opportunities are available in Rio’s five ports by exporting coffee, sugar and iron ore. The largest steelworks in South America is located in Sepetiba Bay in Rio. This has attracted new construction and supply industries to the area, further encouraging economic growth and job opportunities. This is known as the multiplier effect. As the population has grown and industry has developed, so has the service sector (e.g. retail and finance) to meet the demands of the area. Migrant labour and economic investment are also attracted to Rio due to the growth in manufacturing industries such as furniture, clothing, pharmaceuticals and food processing.

Unemployment rates in the favelas can exceed 20 per cent. Many residents work in the informal economy, earning their living in whatever way they can. Common jobs include street vending, driving, labouring, housekeeping, and creating sewing and handicraft items to sell at local street markets. Typically, work in the informal sector is low-paid (under £60 a month) and sporadic. Approximately one-third of Rio’s 3.5 million workers lack formal employment contracts, and many lack insurance or access to unemployment benefits. These workers do not pay taxes, resulting in no income tax revenue for the government from this sector.