logo

Daily income of poor falls by 76pc: Survey

Tk 56b food security package suggested as virus spawns new impoverished class


FE REPORT | Friday, 17 April 2020


Daily income of poverty-stricken population in the country plummeted by 76 per cent during the first week of April compared to February in the wake of virus-induced lockdown, a new survey says.
As a result, decreased income caused lower food and nutrition intake at the households of the poor, according to the survey published on Thursday.
Meanwhile, the study has also suggested the authorities form a Tk 56 billion food security support package for the underprivileged for a month.
The findings of the study titled "Poverty Impact of COVlD-19" were disseminated at an online news conference.
It was jointly conducted by the Power and Participation Research Centre (PPRC) and BRAC Institute of Governance and Development between April 4 and April 12.
PPRC executive chairman Dr Hossain Zillur Rahman and BIGD executive chairman Dr Imran Matin participated in the online press conference.
In a presentation, Dr Matin said the study divided the country's poor population into three clusters--extreme poor, moderate poor and vulnerable non-poor.
He said per capita daily income of extreme poor dropped to Tk 15 in the first week of April from an average of Tk 55 in February (78 per cent drop), moderate poor saw a decline of 79 per cent or from Tk 93 to Tk 23.
At the same time, daily earning of vulnerable non-poor dropped to Tk 55 from Tk 161, a 71 per cent decline.
As an impact of the coronavirus pandemic, at least 63 per cent of all poor people become economically inactive while the rate is 65 per cent for extreme poor, 66 per cent for moderate poor and 58 per cent for vulnerable non-poor, he said.
However, there is a disparity between urban and rural poor in terms of economic inactivity as about 71 per cent of urban poor are now inactive while the rate is 55 per cent for their rural counterparts.
The BIGD executive director noted that the "rapid response survey' was conducted on 5,471 respondents via phone calls.
He said the survey showed that the food insecurity among poor people has started with nutritional decline, but warned crisis will further intensify by the end of April.
Food consumption in households of the poor was reduced by 40 per cent while it was 35 per cent for vulnerable non-poor, considered the people who are placed slightly above the poverty line, Mr Matin added.
Giving policy recommendations, PPRC executive director said the COVlD-19 began as a health crisis, but has in time triggered an unfolding economic crisis with particular concerns for the poor and vulnerable.
The impact is broad-based, immediate safety net has to go beyond targeting and prioritise seIf-targeting vehicles such as open market sale, or OMS.
He said Tk 56 billion food security support package for the poor is required immediately, which should be supplemented by an additional package for new poor, who fell below the poverty line due to the pandemic.
Dr Rahman also said it should be noticed that many people living above the poverty level are now entering below the line.

[email protected]