Gov’t better equipped to measure, address poverty

The Government of Jamaica is now better equipped to measure and address poverty across the island following the launch of the National Multidimensional Poverty Index (MPI).

Developed by the Planning Institute of Jamaica (PIOJ) in collaboration with Oxford Poverty and Human Development Initiative (OPHI), the Index will serve as a foundation for the development of policies and programmes aimed at reducing multidimensional poverty and promoting the welfare of Jamaicans.

It will complement the existing consumption-based monetary measure used by the Government.

Grant financing for the MPI came from the Caribbean Development Bank (CDB) through its Enhanced Country Poverty Assessment (ECPA) programme, which improves access to timely, reliable, monetary and multidimensional poverty data across the bank's member countries.

It consists of four dimensions - education, health, living standards and employment, broken down into 15 indicators.

An individual would be considered poor if they are deprived in 40 per cent or more of the 15 indicators.

Copies of Jamaica's first MPI report were officially handed over to partners by Director General of the PIOJ, Dr Wayne Henry, during the official launch ceremony at the AC Marriott Hotel in St Andrew on January 16.

Henry noted that the launch of the tool marks an evolution in how disadvantage is defined and addressed, reflecting the Government's commitment to achieving the Sustainable Development Goals (SDGs), specifically that of ending poverty in all its forms.

"It complements our current monetary measure by not solely capturing what households consume, but what they lack in education, health, living standards, and employment," he pointed out.

"Poverty is not reflected in consumption alone. A person may not fall below the consumption threshold, yet still face multiple and overlapping disadvantages, from poor housing and inadequate sanitation to being unemployed or excluded from school. The MPI captures these challenges and helps us make better policy and programme decisions to eradicate them," he stated.

The director general explained that the Index allows the Government to identify multiple pockets of deprivation that a monetary measure, by itself, might miss, and to design and implement appropriate interventions geared towards those who need them the most. "It also enables stronger tracking and evaluation of poverty reduction strategies under the National Poverty Reduction Programme and supports evidence-based decision making," he pointed out.

Henry noted further that the value of the MPI extends beyond the Government, as civil society, researchers, and the general public now have a tool to better understand the nature and dimensions of poverty in Jamaica.

In his remarks, Portfolio Manager for the Social Sector Division of the CDB, Elbert Ellis, noted that the launch of the MPI is an important step forward in how Jamaica understands and addresses poverty within its long-term development framework.

"Jamaica, through the leadership of the PIOJ, has recognised that achieving Vision 2030 requires a broader view of development that prioritises not only economic growth, but also human development, equity, resilience and improved quality of life. By adopting the MPI, Jamaica takes an important step forward to more targeted evidence-based and equitable policymaking," he said.

He pointed out that the MPI complements monetary analysis by showing how deprivations intersect and persist, giving policymakers a clear picture of not just how many people are poor, but how they experience poverty.

"Jamaica's MPI enables the country to identify gendered patterns of deprivation in areas such as education outcomes, access to decent work, housing conditions or access to basic services. This approach aligns closely with Jamaica's commitment to gender equality and social inclusion," he added.

Ellis said that the MPI comes at a critical time as Jamaica navigates the recent shock of Hurricane Melissa.

"These events underscore why multidimensional data are so essential. Hurricanes and other natural hazard events often deepen existing deprivations and vulnerabilities and create new ones across multiple dimensions of well-being. Tools such as the MPI can ensure that recovery and reconstruction efforts are inclusive, targeted and responsive to real needs," Ellis said.The CDB Portfolio Manager added that the Bank is pleased to have supported this important initiative through its ECPA programme.

"Jamaica's MPI stands as a strong example of how the ECPA programme translates into country-owned policy relevant outcomes. It supports the improved targeting and coordination of social protection and development interventions, and it supports the strengthening of Vision 2030 Jamaica and the country's commitments to the sustainable development goals," he stated.

The project to develop the MPI began in June 2021 using data from the Jamaica Survey of Living Conditions (JSLC).

It was conducted in two phases with the first phase involving focus group discussions with 357 participants from 17 communities across seven parishes, and phase two including technical consultations and empirical research to design, compute and validate the measure.

Based on the data presented, the incidence of multidimensional poverty in Jamaica in 2018 was 11.6 per cent, declining to 8.7 per cent in 2019.

- JIS News

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