Monitoring Poverty in Armenia using Multidimensional Poverty Indicators

1. Monitoring Poverty in Armenia using Multidimensional Poverty Indicators UNECE conference in Geneva, 4-6 May 2015 Diana Martirosova National Statistical Service of the Republic of Armenia Moritz Meyer Economist, Poverty GP, Europe and Central Asia Nistha Sinha Senior Economist, Poverty GP, Europe and Central Asia

2. Our vision: Describe complexity, depth and persistence of poverty. • Concept: How do households experience poverty? Poverty is characterized by whether an individuals experiences deprivations on aspects of welfare that are a development priority (such as being healthy or having a job). • Benefit: Complement consumption poverty by multidimensional poverty. Measure reflects aspects of quality of life which are not captured by consumption poverty (such as having access to good quality education and health services and having adequate heating). • Policy: Monitor progress on development goals. Multidimensional poverty can be based on government’s development priorities. Monitor progress on development goals. • This presentation: Focus on methodology, findings and policy. Roadmap: Multidimensional poverty in Armenia Martirosova, Meyer and Sinha (2015): Monitoring Poverty in Armenia using Multidimensional Poverty Indicators

3. A pilot multidimensional poverty index for Armenia: Choice of unit of analysis, dimensions and indicators Martirosova, Meyer and Sinha (2015): Monitoring Poverty in Armenia using Multidimensional Poverty Indicators

4. Findings from pilot multidimensional poverty measure:Identify time trends, count and index (by region) Share of population which is deprived in the indicator on heating (household dimension) – breakdown by locations. Share of population which experiences deprivations related to the dimension on labor – breakdown by locations. Yerevan Yerevan Martirosova, Meyer and Sinha (2015): Monitoring Poverty in Armenia using Multidimensional Poverty Indicators

5. How do households experience poverty: Count number of deprivations, Armenia 2008 to 2013 Share of population (in percent) which experiences “0” to “4 or more” deprivations. Martirosova, Meyer and Sinha (2015): Monitoring Poverty in Armenia using Multidimensional Poverty Indicators

6. Time trend for the multidimensional poverty index: Describe incidence and intensity, Armenia 2008 to 2013 Incidence: Share of population which is classified as multidimensional poor. Intensity: Share of deprivations where deprived households experience deprivations. Martirosova, Meyer and Sinha (2015): Monitoring Poverty in Armenia using Multidimensional Poverty Indicators

7. Regional variation of multidimensional poverty:Level and nature of deprivations, Armenia 2008 to 2013 Share of population (in percent) which is multidimensionally poor– breakdown by locations. Martirosova, Meyer and Sinha (2015): Monitoring Poverty in Armenia using Multidimensional Poverty Indicators

8. Policy: Drawing a full picture of poverty - multidimensional poverty complements consumption poverty, Armenia 2013 Share of population (in percent) which is multidimensionally and consumption poor (using the upper national poverty line). Martirosova, Meyer and Sinha (2015): Monitoring Poverty in Armenia using Multidimensional Poverty Indicators

9. Looking ahead – tailor a national measure of multidimensional poverty to the country context of Armenia • Customize agenda of multidimensional poverty to the Armenian context: Which dimensions and indicators should be included? • Use Integrated Living Conditions Survey to complement existing tools to monitor poverty. • Consultations with different stakeholders in Armenia: How are the NSS RA, different line ministries and civil society going to use this measure for the policy design and coordination? • Ensure that dimensions and indicators of multidimensional poverty reflect development progress in the country. Martirosova, Meyer and Sinha (2015): Monitoring Poverty in Armenia using Multidimensional Poverty Indicators