Somalia launches official national Multidimensional Poverty Index: two thirds of people in Somalia are poor

News
19 December 2024
OPHI News

The Somalia National Bureau of Statistics (SNBS) and Somalia’s Ministry of Labour and Social Affairs (MoLSA) have launched a new official national Multidimensional Poverty Index (MPI) for Somalia to help point the way to achieving transformative and inclusive change. 

Earlier this year, Somalia kindly hosted the Side Meeting of the Multidimensional Poverty Peer Network at the UN General Assembly where high-level leaders presented on their commitment to reducing poverty using evidence-based multidimensional approaches. With the introduction of its national MPI, Somalia now joins a group of over 50 countries enhancing poverty reduction through MPIs. 

A report analysing the findings of Somalia’s MPI was launched on 18 December in a ceremony in Mogadishu attended by Salah Ahmed Jama, Deputy Prime Minister of the Federal Government of Somalia who said “Reliable and analytical data, like Somalia’s first MPI report, is critical for driving national priorities. Countries like Nepal and the Maldives have shown us that progress is possible within a short time, serving as a source of inspiration for Somalia. To reduce poverty, we must develop Somali-owned programs rooted in community engagement and inter-ministerial collaboration. For instance, the Ministry of Education can inform the Ministry of Labor about teacher recruitment, while both the Ministries of Education and Health can partner on initiatives like school feeding programs to address poverty in an integrated way.”

The National MPI for Somalia is made up of thirteen weighted poverty indicators grouped under five dimensions:  education, health, living standards, services and inclusion. A person is identified as poor if they are deprived in 35 percent or more of the weighted indicators. 

According to the MPI, two thirds of people in Somalia are multidimensionally poor (67 percent). Across Somalia, people are on average deprived in just over 54.0 percent of the indicators. 

Poverty is higher among the nomadic population and in rural areas, where 81.5 percent and 74.3 percent of people respectively are living in poverty. While poverty rates are lower in urban areas, nevertheless six out of ten people are multidimensionally poor (61.7 percent).   

Bakool and Hiraan in the south and centre are the regions with the highest poverty levels, where 97.4 percent and 90.1 percent of people are multidimensionally poor.  In contrast, Awdal and Lower Shabelle report significantly lower poverty, with incidences of 46.2 percent and 47.4 percent. 

A comparison of monetary and multidimensional poverty statistics highlights why a multidimensional approach can strengthen Somalia’s poverty reduction initiatives. According to the MPI for Somalia, 21.4 percent of the population is multidimensionally poor, but not monetarily poor. Without a multidimensional lens, these households face a range of overlapping deprivations and are at risk of being left behind. 

The MPI provides a more detailed picture of the nature of poverty from household to household. Nationally, indicators within the education and living standards dimensions contribute the most to poverty (26.1 percent and 29.8 percent respectively) and offer clear priorities for policy. Across Somalia, 63.3 percent of multidimensionally poor people are deprived in clean cooking fuel, 55.4 percent of poor people endure overcrowding, and 47.8 percent live in a household where no adult has had more than eight years of education. 

Analysis of the MPI’s poverty indicators across rural and urban areas and among the nomadic population reveals that higher proportions of multidimensionally poor people are deprived in ten of the 13 indicators in rural regions, particularly in terms of electricity, water, and exposure to shocks. The nomadic population faces some of the highest deprivation rates across most indicators, reflecting the unique challenges they face. Fully 78.2 percent of the nomadic population are multidimensionally poor and deprived in overcrowding, while 77.6 percent of nomadic individuals are multidimensionally poor and live in a household where no adult has completed eight years of schooling. 

The findings of the MPI support Somalia’s efforts to implement the National Transformation Plan (2020–2024), the interim Poverty Reduction Strategy, Agenda 2063 of the African Union, and the Sustainable Development Goals. With a National MPI Somalia can now report progress towards eradicating poverty in all its forms under SDG Indicator 1.2.2.  

At the launch, Professor Sabina Alkire, Director of OPHI, said "We are delighted that the capable and motivated team in Somalia have prepared a permanent official MPI for Somalia. We hope that this innovative MPI will be used by actors across government and society to reduce poverty in all its forms sharply and effectively, and that the next update of the MPI will make success visible.”