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Economy 21/09/2023 The multidimensional poverty index to serve as a barometer of changes within the country
The multidimensional poverty index to serve as a barometer of changes within the country

Tashkent, Uzbekistan (UzDaily.com) -- The multidimensional poverty index will serve as a barometer of changes within the country. This was stated by CERR Director Obid Khakimov during the High-Level International Conference within the framework of the UN General Assembly in New York.

On 20 September 2023, at the UN headquarters in New York, a high-level conference was held within the framework of the UN General Assembly on the topic: “Effective use of the multidimensional poverty index to achieve interrelated SDGs,” organized by the Multidimensional Poverty Partnership Network (MPPN) and Oxford Poverty and Human Development Initiative (OPHI).

The event aimed to place poverty at the center of debate and stimulate action and collaboration to develop sustainable solutions that have a greater impact on people living in poverty and contribute to the well-being of entire societies.

At the high-level event, Obid Khakimov, director of the Center for Economic Research and Reforms (CERR), made a presentation.

In his speech, the head of CERR noted that in recent years the government of Uzbekistan has made significant progress in solving the problem of poverty within the country. Uzbekistan is a lower-middle-income country with a population of more than 36 million people. In 2022, approximately 14% of the population, or about 5.4 million people, lived in poverty.

Solving the problem of poverty also includes the adoption of the Uzbekistan 2030 Strategy, which aims to reduce poverty by 7% by 2030. In addition, the approved Social Protection Strategy sets out plans to create a system that provides a minimum level of social protection for all citizens.

“This will be achieved by expanding the coverage and improving the targeting of social assistance. Today, all social protection mechanisms are united within the framework of the recently created National Social Protection Agency in accordance with the guidelines of UNDP and UNICEF,” noted O. Khakimov.

In addition, to accelerate progress towards achieving the Sustainable Development Goals, in particular Goal 1, which aims to eradicate poverty in all its forms everywhere, the Government of Uzbekistan has recognized the problem of multidimensional poverty and has made the development of this indicator a high priority. Thus, the national poverty line is based on minimum consumer spending.

During the speech, it was noted that currently, in partnership with UNDP, UNICEF, Innocenti UNICEF and the Oxford Poverty Reduction and Human Development Initiative, Uzbekistan has initiated a pilot project to measure the multidimensional poverty index (MPI). This work is aimed at a comprehensive analysis of the scale and depth of poverty, including child poverty, in the context of Uzbekistan.

The director of CERR told the event participants that the study included two stages: the first survey was conducted in 2022 among 1,500 households, where a definition of multidimensional poverty was developed.

In 2023, data was collected from 4,515 households, focusing on various socio-economic factors affecting the well-being of the people.

“These factors include education, employment, health care, social protection, standard of living, access to information, nutrition and so on. All questions were carefully adapted to the specific context of Uzbekistan, which allowed us to develop an indicator that accurately reflects the unique aspects of deprivation in the country,” emphasized O. Khakimov.

Speaking about indicators of multidimensional poverty, it was noted that the MPI includes 13 indicators grouped into 3 dimensions of well-being:

- material and technical base and living conditions

- healthcare and social capital

- wide access to financial services and employment

“The initial results of the MPI study give us a comprehensive picture of poverty in our country. To solve this problem, the Uzbekistan 2030 Strategy identifies key goals, such as doubling the country’s GDP and increasing the incomes of 4.5 million people at risk of poverty,” O. Khakimov emphasized.

During the speech, it was noted that the Strategy emphasizes the social obligations associated with the further development of the education system, including expanding coverage of preschool education and a minimum 50% level of youth enrollment in higher education institutions.

In addition, the development of the healthcare sector by doubling healthcare funding and achieving 100% digitalization of healthcare facilities is a priority.

In conclusion, O. Khakimov emphasized that the Strategy is aimed at ensuring full coverage of social protection for those in need and reducing the unemployment rate to 7% by providing stable and effective employment opportunities for everyone, including youth and people with disabilities.

Thus, the MPI will serve as a barometer of real changes within the country over the next 7 years.

 

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