Poverty remains a defining feature of informal settlements, demanding continuous scholarly evaluation and policy attention. This paper interrogates the theoretical and conceptual underpinnings of informal settlement characterization and its intersection with poverty, situating the discussion within the broader context of urban informality. Through a systematic review and content analysis of existing literature, the study frames informality as a knowledge-based phenomenon that links the emergence of informal settlements to survival strategies adopted by urban dwellers. The findings reveal that informal settlements are characterized by precarious habitability, inadequate housing, unemployment, overcrowding, and unsustainable consumption of energy and natural resources. These conditions not only intensify poverty and poor health outcomes but also exert severe pressure on ecosystems, undermining environmental services and accelerating climate change impacts. The paper further identifies a fragmented discourse in prior scholarship, which often treats informal settlements as isolated urban processes rather than as integral to the dynamics of poverty, particularly in the Global South. By reconceptualizing informal settlements as both a product and driver of poverty, the study underscores the need for integrated approaches to urban management. It argues that sustainable responses must prioritize strategic urban planning, investment in health infrastructure, and inclusive policy frameworks that recognize the role of migrants and provide equitable access to education, household services, and urban opportunities. Ultimately, the paper proposes that continuous updating of urban development plans, coupled with inclusive governance, is essential for addressing the dual challenges of poverty and environmental vulnerability in informal settlements. Such measures are critical to advancing resilient, healthy, and sustainable urban futures, where informal settlements are not marginalized but incorporated into broader strategies of equitable urban development.
Fosudo et al. (Fri,) studied this question.