In just 15 years, 25 countries, such as Cambodia, China, India, and Indonesia, have made remarkable strides in poverty reduction by halving their global Multidimensional Poverty Index (MPI) values. This demonstrates the achievable nature of rapid progress in poverty eradication. Notably, India witnessed a significant reduction in poverty, with 415 million individuals escaping poverty from 2005/6 to 2019/21. China (69 million) and Indonesia (8 million) also lifted large numbers of people out of poverty during specific time periods.
The United Nations Development Programme (UNDP) and the Oxford Poverty and Human Development Initiative (OPHI) at the University of Oxford recently released an updated report on the global MPI, encompassing estimates for 110 countries. The report emphasizes that poverty reduction is attainable, but evaluating immediate prospects is challenging due to the lack of comprehensive data during the COVID-19 pandemic.
The analysis of trends from 2000 to 2022 focused on 81 countries with comparable data, revealing that countries achieved MPI halving in periods as short as four to 12 years. These findings underscore the feasibility of the Sustainable Development Goal (SDG) target to halve poverty, according to national definitions, within 15 years.
Pedro Conceição, Director of the Human Development Report Office, observed: “As we reach the mid-point of the 2030 Agenda for Sustainable Development, we can clearly see that there was steady progress in multidimensional reduction before the pandemic. However, the negative impacts of the pandemic in dimensions such as education are significant and can have long-lasting consequences. It is imperative that we intensify efforts to comprehend the dimensions most negatively affected, necessitating strengthened data collection and policy efforts to get reduction back on track.”
MOMENTUM IN REDUCTION
While data for most countries during the pandemic period remains limited, a few countries, including Mexico, Madagascar, Cambodia, Peru, and Nigeria, suggest that momentum in poverty reduction may have endured. Cambodia, Peru, and Nigeria exhibited substantial reductions during their most recent periods, instilling hope that progress is still possible. Cambodia, in particular, experienced an encouraging decline incidence from 36.7% to 16.6%, halving the number of poor individuals from 5.6 million to 2.8 million in just 7.5 years, including the pandemic years (2014–2021/22).
Nonetheless, the complete global impacts of the pandemic are yet to be measured. Therefore, it is crucial to prioritize data collection and broaden the scope to include the pandemic’s effects on children. In over half of the countries assessed, there was either no statistically significant reduction in child poverty or a slower decline in MPI values among children compared to adults during at least one period. This highlights the pressing issue of child poverty, particularly concerning school attendance and under nutrition. Sabina Alkire, the Director of OPHI at the University of Oxford, expresses concern about the scarcity of data on multidimensional poverty, stating that a billion of the 1.1 billion poor people lack post-pandemic visibility.
Nonetheless, the complete global impacts of the pandemic are yet to be measured. Therefore, it is crucial to prioritize data collection and broaden the scope to include the pandemic’s effects on children. In over half of the countries assessed, there was either no statistically significant reduction in child poverty or a slower decline in MPI values among children compared to adults during at least one period. This highlights the pressing issue of child poorness, particularly concerning school attendance and under nutrition. Sabina Alkire, the Director of OPHI at the University of Oxford, expresses concern about the scarcity of data on multidimensional poverty, stating that a billion of the 1.1 billion poor people lack post-pandemic visibility.
2023 RELEASE
According to the 2023 release, approximately 1.1 billion people, or just over 18% of the global population, live in acute multidimensional poverty across 110 countries. Sub-Saharan Africa (534 million) and South Asia (389 million) are home to the majority of these individuals. Notably, nearly two-thirds (730 million) of all poor people reside in middle-income countries, underscoring the importance of taking action in these nations to reduce global poverty. Although low-income countries constitute only 10% of the MPI-covered population, they house 35% of the world’s poor.
Children under 18 years old represent half of the MPI-poor population (566 million). The rate among children stands at 27.7%, compared to 13.4% among adults. Poverty predominantly affects rural areas, with 84% of all poor individuals residing in rural regions. Across all regions worldwide, rural areas experience higher poor rates than urban areas.
MULTIDIMENSIONAL INDEX
The MPI sheds light on the complexity of poverty, wherein different indicators contribute to people’s experiences of poverty, varying across regions, subnational areas, and communities. To address these challenges and sustain progress towards a more equal world, ensuring up-to-date and comprehensive data on global poverty is the crucial first step.