Global Multi-dimensional Poverty Index 2021

Why in news?

• The 2021 Multidimensional Poverty Index (MPI) Report was released digitally on 7 October 2021.

About Global Multi-dimensional Poverty Index:

• The global Multidimensional Poverty Index (MPI) is produced by the United Nations Development Programme (UNDP) and the Oxford Poverty and Human Development Initiative.
• MPI is based on the idea that poverty is not unidimensional (not just depends on income and one individual may lack several basic needs like education, health etc.), rather it is multidimensional.
• The index shows the proportion of poor people and the average number of deprivations each poor person experiences at the same time.
• MPI uses three dimensions and ten indicators which are:
  • Education: Years of schooling and child enrollment (1/6 weightage each, total 2/6)
  • Health: Child mortality and nutrition (1/6 weightage each, total 2/6)
  • Standard of living: Electricity, flooring, drinking water, sanitation, cooking fuel and assets (1/18 weightage each, total 2/6)
• A person is multidimensionally poor if she/he is deprived in one third or more (means 33% or more) of the weighted indicators (out of the ten indicators). Those who are deprived in one half or more of the weighted indicators are considered living in extreme multidimensional poverty.
• MPI is significant as it recognizes poverty from different dimensions compared to the conventional methodology that measures poverty only from the income or monetary terms.

Key findings of MPI 2021:

• Global Multi-dimensional Poverty Index 2021 report examines the level and composition of multidimensional poverty across 109 countries covering 5.9 billion people:
  • 1.3 billion people are multidimensionally poor. About half (644 million) of them are children under age 18.
  • Nearly 85 percent of multidimensionally poor live in Sub-Saharan Africa (556 million) or South Asia (532 million).
  • More than 67 percent live in middle-income countries.
• Day-to-day reality of life for multidimensionally poor people:
  • 1 billion each are exposed to solid cooking fuels, inadequate sanitation and substandard housing.
  • 788 million live in a household with at least one undernourished person.
  • 568 million lack improved drinking water within a 30-minute round-trip walk.

PRELIMS QUESTION

Which of the following are parameters considered under Global Multi-dimensional Poverty Index released by United Nations Development Programme (UNDP) and the Oxford Poverty and Human Development Initiative?

1. Child mortality and nutrition

2. Sanitation

3. Years of schooling and child enrollment

Select the correct answer using the code given below:

(a) 1 only

(b) 2 and 3 only

(c) 1 and 3 only

(d) 1,2 and 3

Answer