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Ending Chronic Poverty by2030: What is Required for
Implementation?
August 2 6 , 2 015

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Do we ‘still’ have 15 years to 2030?
No. We have ‘only’ 15 years. In order
to eliminate extreme poverty, we needto take immediate actions to tackle
chronic poverty. What are thepotential challenges? How can they beovercome?
For the past decade, policy makers
and researchers have paid great
attention to pro­poor growth,
focusing in particular on what types ofgrowth would decrease poverty. Withthe post­2015 era approaching andwith smaller poverty headcounts
compared to the past, debates
surrounding poverty have started
seriously considering the eliminationof extreme poverty in the coming
decades, rather than just its decrease.

SearchThe paradigm shift from reduction toelimination requires future growth tobe aware of whose poverty counts.
High growth and consumption
increases are likely to benefit many ofthe poor, but what of the chronic poor
who structurally remain in long­termpoverty. The chronic poor are
chronically poor because they could
not benefit enough from the past
growth. We need to think about
specific measures that aim to remove
their structural constraints. The latest
Chronic Poverty Report calls for the
implementation of a comprehensive
set of protective and preventative
measures for those living in chronic
poverty, or those moving in and out ofpoverty over time.
Implementation is a key. At thecountry level, it is necessary tounderstand how many people arechronically poor, what theircharacteristics are, how they would betargeted, and what sort of measure
they need. The answers must be
realistic and practical. We do not havemuch time left. Getting zero poverty
by 2030 requires immediate actions
now that provide adequate
environment for all the children living
in long­term poverty to have good
health and education, so that they will
have income generation capacity tofeed their families in 15 years’ time.
For implementation, data is anotherchallenge. The use of panel data iscertainly useful to estimate chronic
poverty. However, most developingcountries cannot rely on panel data as
they simply do not have one toestimate a national figure. The reality
is without panel data they often needto fight chronic poverty. In such case,only measure left for policy makers isto use existing sources to identify
those kept in a vicious cycle ofpoverty.
In my recent research, I attempted toestimate a chronic poverty incidence
and characteristics in rural Cambodia
without panel data. Applying a blendof nationally representative
qualitative (participatory poverty
assessment) and quantitative sources(household survey), I primarily
estimated chronic poverty headcountrates, based on multidimensional
criteria defined by the poor.
Surprisingly, despite the excellent
progress in economic development
and the significant drop in
consumption poverty by 40 percent,
the chronic poverty headcount ratio
little improved from 11 percent
between 2004 and 2010. The result
implies that rapid economic growth
has successfully raised theconsumption of chronically poor
households but done little to help
them accumulate productive assets
and human capital to break a vicious
cycle of poverty. Structural
constraints are identified in theirdemographic and socioeconomic
characteristics, including: limited
asset ownership, low humandevelopment, female­heads ofhousehold, high child dependency,
fewer economically active members,
small household size and many young
members.
From a policy perspective, one
striking finding is that consumption
measurements based on the current
national poverty line cannot be used
to identify a majority of the chronic
poor. This is not merely a matter ofdifferent measurement applications

because the chronically poor
identified in this study are just as
deprived as the consumption­based
poor in some other attributes likehuman development. The evidence
suggests that poverty reduction
programmes should take into
consideration the multidimensional
criteria identified here to avoid
leaving the chronically poor behind in
the country’s development. This
policy implication is particularly
important for targeting mechanismsof social protection instruments
implemented under the National
Social Protection Strategy, which are
key measures in ending poverty in
Cambodia.
In the paper above, I demonstrated
one practical way to better understandchronic poverty using widely available
data, and illustrated characteristics
that could be potential targeting
criteria for social assistance and othertargeted interventions. To design atangible programme, development
practitioners and policy makers willneed such analysis, which does not
require additional data collection, andbegin interventions to combat chronic
poverty sooner. We do not have muchtime left by 2030.
This post was written by Ippei
Tsuruga and first appeared on The
Povertist
Download the full paper.

In Blog

Tags Extreme Poverty, post­

2015, chronic poverty report, 2030,
Cambodia

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