Power of partnership conference: Presentation: Multidimensional poverty index (MPI)
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The 2018 Multidimensional Poverty Index (MPI) report highlights that 364 million people in India are MPI poor, despite a significant reduction in the poverty rate from 55% to 28%. Key findings indicate that nearly half of the MPI poor are children, with ongoing challenges in areas such as nutrition and living standards, particularly in rural regions. The report underscores significant disparities across states and communities, revealing that certain groups, including Scheduled Castes, Muslims, and young children, remain disproportionately affected by poverty.
Power of partnership conference: Presentation: Multidimensional poverty index (MPI)
- 1. Multidimensional Poverty Index (MPI) 2018: India Findings Christian Oldiges, OPHI, University of Oxford
- 2. KEY FINDING: NEARLY HALF OF THE MPI POOR PEOPLE ARE CHILDREN Interviewed by students of Lady Doak Colleg
- 3. A person who is deprived in 1/3 or more of the weighted indicators is MPI poor. 14-year old Amutha, India mutha is poor: she and her family are deprived in more than 1/3 of the MPI weighted ndicators.
- 4. What is the global MPI? 4
- 5. What is new in 2018? 5 • In 2018, OPHI and UNDP undertook a joint revision of the global MPI, drawing upon and subsuming the best of the previous MPI by adjusting five of its ten indicators to better align the global MPI with the SDGs. • The results from this year cover 100+ countries, and is disaggregated by over 1000 sub-national regions, as well as by rural-urban areas and age groups, making it particularly useful in identifying people who are left behind in multiple SDGs.
- 6. The global MPI 2018
- 7. How do you calculate the MPI? The MPI uses the Alkire & Foster (2011) Method: 1) Incidence or the headcount ratio (H ) ~ the percentage of people who are poor. 2) Intensity of people’s deprivation (A) ~ the average share of dimensions (proportion of weighted deprivations) people suffer at the same time. It shows the joint distribution of their deprivations. Formula: MPI = M0 = H × A
- 8. KEY FINDING : 271 MILLION PEOPLE MOVED OUT OF POVERTY IN INDIA India cut the poverty rate from 55% to 28% The poorest states reduced poverty fastest. Yet India still has the largest number of people living in poverty in the world: 364 million
- 9. THE POOREST INDIAN STATES REDUCED POVERTY FASTEST
- 10. Every indicator declined statistically significantly
- 12. THE POOREST GROUPS REDUCED POVERTY FASTEST
- 13. Why is this so surprising? 13 • In 2015, we published a study comparing the old MPI using NFHS2 and NFH3 data – so 1999-2006. • It’s different (it’s the old MPI), but according to that, both the pace and the pattern are different. • And by the way, if we do the comparison of NFHS3 and NFHS4 using the ‘old’ MPI, how many people would have come out of poverty? 286 million • In fact, out of 20 trial MPIs, in all but one, more than 271 million people leave poverty.
- 14. But standing challenges remain 14 • 364 million people are MPI poor in India = 27.5% • For $1.90day (19 Sept) it is over 170 million = 13.4% • Bihar is still the poorest state (52.2%) • Muslims are still the poorest religious group (31.1%) • STs are still the poorest caste group (50.0%) followed by SCs (35.3%) • Children 0-9 are still the poorest age cohort (41%) • In fact, one in four poor persons in India has not yet celebrated their tenth birthday.
- 15. But challenges remain: High deprivations in Nutrition and 3 living standard indicators 15
- 16. But standing challenges remain: 89% of poor people live in rural areas 16
- 17. But standing challenges remain: Nutrition, cooking fuel, sanitation, education 17
- 18. In four districts in UP and MP more than 70% of people are poor Twenty-seven districts have 60 to 70% of their people in poverty. In 19 districts less than 1% of people are poor In 42 districts, poverty rates are 2 to 5%. 40.4 million people live in districts where more than 60% of people are poor – 20.8 million in Bihar, 10.6 million in Uttar Pradesh, and the remainder Chhattisgarh, Gujarat, Jharkhand, Madhya Pradesh, and Odisha. In South Asia, 27.4 million more people live in such regions – 6.5 million in Balochistan, 8.5 in Sylhet (62.3%), the rest in Afghanistan (12.4M).
- 19. INDIA CHAPTER ONLINE: GLOBAL MULTIDIMENSIONAL POVERTY INDEX 2018 The Most Detailed Picture to Date of the World’s Poorest People WWW.OPHI.ORG.UK
Editor's Notes
- #7: New labels for Living Standard variables, old picture is behind