Population ageing has long been framed as a challenge for wealthy nations. That narrative is now obsolete. According to the latest report from AARP and Economist Impact, Aging Readiness & Competitiveness Report 4.0, the epicenter of global ageing is rapidly shifting toward low- and middle-income countries (LMICs), bringing with it a far more complex reality: deeply entrenched inequality.
- By 2050, nearly 80% of people aged 65 and over will live in low- and middle-income countries.
- Ageing inequality is shaped throughout life by gender, income, geography, education, and access to healthcare.
- Informal employment leaves millions of older people without adequate pensions or social protection.
- Community-based initiatives and expanded access to healthcare and pensions offer promising solutions in several emerging economies.
- The lack of reliable ageing data remains a major obstacle, with only 32% of countries having comprehensive data on older populations.
A silent but massive demographic shift
By 2050, nearly 80% of people aged 65 and over will live in low- and middle-income countries. Between 2022 and 2050, these countries will account for 85% of global growth in the older population. Sub-Saharan Africa is expected to experience the highest growth rates, while Asian countries will account for more than 70% of the global increase in the number of older adults.
This transformation is not just about numbers. It is redefining global economic and social balances. Because behind this growth lies a fundamental question: can these countries ensure healthy and equitable ageing for their populations?
Inequality: a lifetime in the making
At the core of the report is a critical concept: “ageing inequity.” It does not begin in old age, but rather it is the cumulative result of disadvantages experienced throughout the course of life.
Gender, socio-economic background, geography, and access to education all shape life trajectories. By the time individuals reach older age, these factors translate into stark disparities in health, income, and access to services.
Across the countries analyzed, these inequalities are particularly pronounced:
- Women tend to live longer but in poorer health and with fewer financial resources
- Rural populations face limited access to healthcare, infrastructure, and social protection
- Ethnic minorities and marginalized groups carry a disproportionate burden of vulnerability
Fragile economic structures as a systemic barrier
One of the most significant structural challenges identified is the dominance of the informal economy. In many LMICs, large segments of the population work without formal contracts, social protection, or pension rights.
The consequence is clear: millions reach old age without financial security. This is compounded by underdeveloped public institutions. In many countries, healthcare and pension systems remain fragmented, underfunded, or inaccessible to large portions of the population. The report also points to a lack of strong policy frameworks and political prioritization when it comes to protecting the rights and wellbeing of older adults.
A persistent rural–urban divide
Geographic inequality remains a defining feature of ageing in emerging economies.
In rural areas:
- more than half of the population lacks access to essential healthcare services
- infrastructure remains limited
- economic opportunities are scarce
These disparities directly impact healthy life expectancy and quality of life in older age.
Emerging solutions, yet still fragmented
Despite these challenges, the report highlights a range of promising initiatives.
Some governments have successfully expanded access to pensions and healthcare, notably in countries such as Colombia, India, and Thailand. Targeted interventions such as cash transfer programs for older women in Bangladesh, are also delivering tangible results.
A key takeaway is the effectiveness of community-based approaches. By leveraging local networks and tailoring solutions to specific contexts, these initiatives are better able to reach underserved populations.
Equally important is adopting a life-course approach: investing early in education, employment, and health to reduce inequalities later in life.
The critical gap: lack of data
How can policymakers act without reliable data?
This is one of the report’s most urgent concerns. Only 32% of countries have comprehensive data on ageing populations, and just a quarter collect longitudinal data to track changes over time .
This data gap severely limits the ability of governments to design effective and targeted policies.
A global issue—not just an emerging one
While the report focuses on LMICs, its implications extend far beyond them.
Ageing inequality is not an isolated phenomenon. It is a global trend that challenges societies to rethink how economic and social systems adapt to longer lifespans.
At a time when the UN Decade of Healthy Ageing (2021–2030) calls for coordinated global action, the message is clear: ageing is not just a demographic issue, it is a test of social equity.
You can check out the report for yourself by following this link: https://www.aarpinternational.org/file%20library/arc/aarp_economistimpact_arc4.0_report_final.pdf
Published by the Editorial Staff on