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POVERTY AND WELFARE TRENDS OVER 1990sIN ARMENIA

Country Paper

Co-ordinator: Juliette MagloutchiantsDepartment of Statistics State Register and Analysis,Yerevan

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Background paper prepared for theSocial Monitor (2002)

The opinions expressed are those of the authors and do not necessarily reflect the policiesor views of UNICEF.

UNICEF Innocenti Research CentrePiazza SS. Annunziata, 1250122 Florence, ItalyWebsite: www.unicef-icdc.org

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Poverty and welfare trends over 1990s in Armenia.

I. Population.

As of January 1 2001, the number of permanent population of the Republic of Armeniawas 3,802.4 thousand people. Compared to the last year, this number has decreased by 0.9thousand. The number of population actually present is considerably less because of migration.There is no reliable data about this latter number because of unrecorded migration. Over theperiod of independence the passport regime of the country has been considerably impaired.Moreover, because of inadequate recording systems for migrants in control posts at the border aconsiderable part of migration population is uncovered by the statistics.

As of October 9 2001 Census of the population of the republic was carried out (the firstcensus since independence) which will give reliable information about the number of thepopulation of the republic in the near future.

Migration

In order to more realistically assess the volumes of migration, a number of sample studieshave been undertaken and the volumes of passenger flow through civil aviation has beenestimated. During the last 8 years the number of people leaving the country by air transport hasexceeded the number of those arriving by 644 thousand.

Passenger Flow Volumes over 1992-2000(Data provided by the Civil Aviation General Department)

(thousand people)

Years People leaving People arriving Migration surplus

(+,-)

1992 865.5 636.9 -228.6

1993 831.0 689.9 -141.1

1994 597.8 470.0 -127.8

1995 507.0 469.5 -37.5

1996 517.4 496.9 -20.5

1997 504.9 473.6 -31.3

1998 439.7 415.3 -24.4

1999 318.6 311.6 -7.0

2000 318.4 292.7 -25.7

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Moreover, data from railway and automobile transportation systems has been analysed.According to data provided by Railway Transportation Department of the Republic of Armenia,between January and December 2000 the difference between the number of people leaving andthose arriving was 13.3 thousand, in other words, there is a negative balance of migration.

According to data provided by border posts in the period May - December 2000, thedifference between the numbers of people leaving the country by automobile transportationexceeded the number of those arriving by 13.6 thousand. According to available informationabout passenger flows by all types of transportation means, the difference between the number ofpeople arriving and those leaving was minus 52.6 thousand in 2000 (including through aviation –25.7 thousand, railway transport – 13.3 thousand, automobile transport – 13.6 thousand).

According to officially registered data of the local passport offices of the Ministry ofInternal Affairs of the RA, the negative balance of migration was 11.2 thousand people in 2000,i.e. 12.8 thousand people have left the country and 1.6 thousand has entered.

Fertility rate

According to national statistical services, 34,276 live births have been registered in therepublic during 2000. Some of the mothers were not able to register the births because of the lackof new passports (a campaign is being implemented in the country for the exchange of old sovietpassports). As a result, 850 newborns were not registered. During the period of independenceboth the absolute number of births and the fertility rate have consistently decreased.

Years Absolute number of births Fertility rate per 1,0001991 77825 21.61992 70581 19.21993 59041 15.81994 51143 13.71995 48960 13.01996 48134 12.81997 43929 11.61998 39366 10.41999 36502 9.62000 34276 9.0

According to official statistics, total fertility rate average for 3 years (1997, 1998, 1999)was 1.3 (for women between 15-49 years). Yet, according to Demographic and Health Survey

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(DHS) 1, the total fertility rate in the same years was 1.7 babies per woman. One of the reasonsfor this difference was that official statistics uses a larger number of women between the age of15 and 49 than is present in reality. The total fertility rate (both according to official statistics andDHS) is not enough for the reproduction of the population (because it is less than 2.0).

The fertility rate level is considerably higher among women in rural areas - 2.1 versus 1.5in urban areas.

The educational level of women has a considerable impact on reproductive behavior andwomen with higher education enter the reproductive process at higher age. According to DHSdata, the total fertility rate by educational level is:

Primary/secondary - 1.9;Secondary-special - 1.6;Higher - 1.4.

Age specific fertility rates (per 1,000 women) and the average number of children bornaccording to Demographic and Health Survey are presented in the following table:

age groups age-specific fertility rates mean number of childrenever born

15-19 50 0.0620-24 149 0.7225-29 88 1.7430-34 35 2.2535-39 16 2.5140-44 3 2.5545-49 0 2.70

The fertility rate is highest among women aged 20-24 although there are births amongwomen of younger reproductive ages.

1 Between October - December 2000, Demographic and Health Survey was undertaken in the Republic ofArmenia jointly by the National Statistical Service, Ministry of Health and Measure DHS + ORCMACRO/US Agency for International Development (USAID). Sample size used was 6,500 Households.Data presented is from the Preliminary report.

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Abortions

According to official statistics, the total number of abortions in 2000 was 11,769.Abortions per 1,000 live births were 343 vs. 395 in 1999.

According to DHS data, the number of abortions per 1,000 women by different agegroups and for women in all reproductive ages is presented in the following table:

Age group Age-specific abortion rates15-19 620-24 9925-29 17530-34 13135-39 8240-44 3045-49 6

Total abortion rates 15-49 2.6

The indicator presented was calculated as an average for the period between 1997 and2000. TAR (total abortion rate) is the number of abortions a woman would have in her lifetime ifshe experienced currently observed age specific abortion rates during her childbearing years.Total abortion rates vary by residence: TAR in rural areas is higher by more than one abortionper woman than in urban areas (3.4 versus 2.1).

In terms of education, the level of induced abortion among women with aprimary/secondary education (3.2) is higher than among women with a secondary-special (2.5)or higher education (1.7).

Mortality

During January-December, 2000 a total of 24,025 people have died in the republic ofwhich 51.2% were men. The absolute number of deaths has decreased by only 62 people and thetotal mortality rate has remained at the same level as last year – 6.3 per 1,000 people. The maincauses are diseases of blood circulation system (55%), tumors (16.7%), respiratory diseases(5.7%), gastric-enteric diseases (3.4%), as well as casualties, poisoning and trauma (4.6%).

The natural of growth of the population during 2000 has been 10,251 people.

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Age structure of the population

Of the total number of population of the republic 26.2% are people younger than theeconomically active age, 59.9% – people of economically active age and 13.9% - older than theeconomically active age. Every year the share of the people older than the economically activeage is increasing, which brings about ageing of the population. The current pattern of agestructure of the population results in an increase of the economic burden of the economicallyactive population, i.e. approximately 700 children and pensioners are supported by 1,000economically active people.

In accordance with article 12 of the Law of the Republic of Armenia “On State Pensionfor the Citizens of the Republic of Armenia”, the age for women to qualify for a pension is set at58 and for men – at 63 for 2001.

In the age structure of the population the share of the population aged 10-14 is thehighest, which can be attributed to the fertility peak of 1986 (absolute number of births 81.2thousand), as well as comparatively high fertility rates in 1990 and 1991 (79.9 thousand and 77.9thousand respectively), in the so-called compensation period after the earthquake of 1988. Thesmall share of population in the 55-59 age group is the consequence of low fertility rates duringthe Second World War. The share of the economically most active age group of 15-64 is higherin urban areas than in rural areas. Migration of young people from villages to cities is primarilydue to the desire to obtain education as well as find appropriate employment.

The elderly population of 65 years and more lives mainly in rural areas; the number ofdependents (children and elderly) is also higher in rural areas.

Marriages and divorces

Since the first year of independence we have observed a consistent decrease of bothabsolute and relative number of registered marriages. According to 2000 data, the marriage rateis 2.9 per 1,000 people. As compared to the same indicator in 1991 (8.0 %0), it is down 2.7 times.

The absolute number of divorces in 2000 was 1,341, which is a 7% increase as comparedto the previous year and a 3 times decrease as compared to 1991. According to 2000 data, thetotal number of divorces per 1,000 newly married couples was 123.

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II. Income and employment

Employment and unemployment

According to estimates, the average number of the economically active population in2000 was 1,452.5 thousand of which 88.3% or 1,283.0 thousand were employed and 11.7% or1,69.5 thousand were permanently unemployed, were registered at the Republican Office ofLabor and Employment and received a status of an unemployed. Over the period ofindependence, the level of unemployment has exhibited growth trends and compared to theprevious year unemployment has gone up by 4.5%.

The level of unemployment is calculated as the relationship between the number ofregistered unemployed and the number of economically active population. The RepublicanOffice of Labor and Employment of the Ministry of Social Security of RA is the main source ofinformation about unemployed citizens who have received a status of unemployed.

According to the Law on Employment, to be defined as an unemployed the person shouldbe 16 or older, should not have work, should have applied to the Republican Office of Labor andEmployment to find work and should have had employment record of not less than one year. Asample study of the labor force was implemented in 1999 based on the methodology of theInternational Labor Organisation. According to this methodology to be considered as anunemployed the person should not have work, should have been looking for it and should beready to start working.

Despite the fact that the results of the sample study, which was implemented in 1,075households, have not been summarised yet, the preliminary results give an opportunity toestimate the real level of unemployment, which in 1999 was 34.4%.

Of the people who have applied for a job to the Office of Labor and Employment, 10.0%were those looking for a job for the first time of which 26.1% were graduates of higher,secondary-special educational institutions or secondary schools, 0.8% wanted to have additionalwork and 0.5% were pensioners.

According to official statistics, 95% of unemployed are from urban areas and more than30% live in Yerevan. Women are approximately 65% of the total number of unemployed.

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Gender, Age and Educational Composition of UnemployedDecember 2000

(Data provided by the Republican Office of Labor and Employment of the Ministry ofSocial Security)

Gender, age and educational composition of theunemployed population (percentage)

Total WomenTotal number of unemployed,including Age:

100 100

Younger than 18 0.8 0.7 18-22 7.5 7.4 22-30 21.3 20.8 30-50 61.4 63.4 Older than 50 9.0 7.7 Education: higher 12.0 11.4 Secondary-special 23.8 23.4 Secondary 57.4 59.5 Incomplete secondary 6.8 5.7

During 2000, 10.6 thousand people found work including 93.1% unemployed. Of thetotal number of people who were assisted in finding work 45.6% found work in state enterprisesand organisations, 38.0% - in private sector, 0.4% - in NGO sector and 16% - in enterprises andorganisations of mixed type. Of the total number of unemployed 1.8 thousand people hadvocational training, of which 0.3 thousand found work including 0.1 thousand aged between 16and 30.

As of the end of 2000, the duration of unemployment for the 5.1% of people who havefound work was 1-3 months, for 8.7% - 3-6 months, for 17.6% - 6-12 months, for 68.6% - 12 andmore and the average duration of employment (starting with the point of registration of theunemployed and up to the point of finding work) was 14.4 months. Compared to the year 1999,this indicator has increased by one month. In December 2000, the number of people per onevacancy was 316 people.

There is high level of disparity between the demand and supply on the labor market.The number of unemployed receiving benefits in 2000 was 22.6 thousand and the average

size of the benefit was 3,185 AMD.

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The sources of data about labor statistics (enterprise statistics and administrativestatistics) do not provide realistic statistical picture of the processes on the labor market. Morereliable information for both the whole and economically active population can be obtainedthrough a sample study of the labor force, which will show the structure of the market in terms ofgender, age, education, and professional skills using international methodology. The study willalso give an opportunity to assess the real volumes of employment and unemployment. Themethodology on which the sample study was based was proposed by International LaborOrganisation according to which the whole population is divided into three groups: employed,unemployed and economically inactive population.

Thus, according to the preliminary results of the study, 65.5% of the economically activepopulation was employed. Of the total number of employed 49% were women and 51% - men.People of 70 and more represented 0.4% of the total number, people between 15 and 19 - 0.6%,people between 20-24 and 25-29 were 6.0% and 6.3% respectively. A dramatic increase has beennoted in the age group of 30-49 with a fluctuation between 10.0 and 19.7%. A decrease is thennoted except the 50-54 age group, which was 10.8%.

Among employed 33.0% people had higher education, 34.3% - special-technical training,26.3% - secondary and 6.4% - incomplete secondary education.

According to the responses which were obtained as a result of the study, the highest shareof employed was noted in the educational sector - 17.4%, trade, car, appliances and personalproperty repair – 15.0%, agriculture, fish and forestry services – 14.8%.

It is worth noting that only 10.8% of employed were in industry. The labor force releasedfrom industry is currently being absorbed by trade sector (self-employed).

According to data obtained as a result of the sample study, 74.3% of employed are paidworkers in enterprises, 24.6% are self-employed, 0.5% are employers and 0.6% have a differentemployment status (paid and unpaid members of the family in a family enterprise, members ofcollective enterprises). A high share of self-employed is observed in agriculture (50.2%) and trade(35.6%).

62.2% of the employed population is working full time, 23.8% - part time and 14.0% -more than full time. 39.3% of the population working part time was not able to find full timework.

The results of the study also provide evidence for the fact that there is unregisteredemployment in the republic mainly among self-employed. Of the total number of unregisteredemployers and self-employed 57% are in agriculture, 31% - in trade.

As of January 1, 2000, of 42.7 thousand enterprises registered in the state register, 98.6%or 42.1 thousand are private sector enterprises with employees up to 100 people.

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The responses obtained from 2,500 enterprises involved in the study (or 6% of the totalnumber) were distributed by the extent of activeness as follows: of the total number of enterprisesinvolved in the study 13.7% were active, 71.0% were not active, 14.1% had a wrong address and1.2% were in the process of liquidation.

Payment for work

In 2000 the average monthly nominal salary in the country was 22.7 thousand AMD($42.1) and has increased by 12.6% as compared with the year 1999.

The relationship of the average monthly salary by various sectors to the average for thewhole economy

(estimates of 2000)(percentage)

Total 100.0Industry 144.3Agriculture 75.4Forestry 51.0Transportation 158.1Communications 201.3Construction 173.4Utility and other services 113.2Information services 87.5Health care, sports, social security 60.9Education 57.0Culture 47.6Art 49.9Science 78.1Lending and state insurance 333.1State governance bodies 152.2Other sectors 118.4

Data presented in the table suggests that in sectors with high levels of women’sinvolvement, the average monthly salary is considerably lower than the average for the wholeeconomy.

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According to data obtained from enterprises and organisations mentioned above, as ofNovember 2000 debts for salaries were 42.4% of the amount of calculated salaries andequivalent payments and compared to the corresponding period of 1999 the amount hasincreased by 5.9 percentage points.

Poverty and unemployment

The position of the head of the family on the labor market has a direct impact on thestandard of living of the family.

Thus, if the head of the family is unemployed, very often (61.17%) the family finds itselfbeyond the poverty threshold. If he/she is employed the risk of poverty is lower although stillpresent (42.1%).

The correlation between unemployment and poverty is considerably higher: 63.7% - arepoor of which 28.9% - very poor.

The official level of unemployment in 1998 was 9.4%, in 1999 - 11.2%, whereasaccording to data obtained from the study of households, implemented with the support of theWorld Bank, 27.3% of the economically active population was unemployed. The unemploymentbenefit in 1999 was 3,091 AMD or 26.3% of the minimal consumer budget.

In order to obtain work only 15% of unemployed have applied to the Employment Office.The main hope to find work is placed with friends and relatives (70%), 7% permanently scan jobannouncements and only 1% announce for themselves.

The results of the study show that 98% of unemployed are ready to start workingimmediately after finding one and the majority (79%) wants permanent full time work.

Unfortunately, having work currently does not guarantee satisfactory standard of living.Among employed population 17% cannot afford the minimal consumer basket and belong to thegroup of very poor. In 1999 the average monthly pay in Armenia was 20,157 AMD and theminimal salary was set at 5,000 AMD.

According to the results of the study, the coefficient of the economic activeness of thepopulation which is calculated as the relationship between the number of economically activepopulation to the number of the whole population is:

Whole population - 0.439;Average (not poor) groups - 0.482;Poor groups - 0.412;Very poor groups - 0.392.

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This data evidences of a very high level of dependency (burden) for the poor layers of thepopulation.

Regression analysis shows that if the head of the household either loses work or cannotwork for whatever reasons, the standard of living will drop by 6%.

III. Health.

Newborns with low weight

The deterioration of the standard of living of the population, unbalanced nutrition andstresses have had a negative impact on the reproductive abilities of women, i.e. the number ofcomplicated births as well as the number of newborns with low weight has increased recently.Thus, the dynamics of the number of newborns with low weight per 1,000 live births ischaracterised by the following data, which reveals growth trends:

Years Less than 1,500 gr. Less than 2,500 gr.1991 5.4 66.91992 5.3 77.21993 3.9 73.51994 2.5 65.11995 4.5 74.41996 5.5 74.71997 6.8 75.11998 6.6 82.81999 7.6 83.62000 8.8 84.6

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Despite the increase of the number of newborns with low weight, the number ofstillbirths per 1,000 births is fairly stable in the country.

Of which

YearsTotal births Live births Still births

Per 1,000 births1991 78571 77825 746 9.51992 71197 70581 616 8.71993 59419 59041 378 6.41994 51509 51143 366 7.11995 49291 48960 331 6.71996 48495 48134 361 7.41997 44245 43929 316 7.11998 39649 39366 283 7.11999 36794 36502 292 7.92000 34494 34276 218 6.3

Maternal mortality

According to official statistics during 2000 there were 18 cases of maternal mortality inthe country. This indicator is 52.5 per 100,000 live births. As compared to the previous year andthe data for the decade this indicator has increased dramatically.

Dynamics of maternal mortality between 1991 and 2000

Years Absolute number of deaths Per 100,000 live births1991 18 23.11992 10 14.21993 16 27.11994 15 29.31995 17 34.71996 10 20.81997 17 38.71998 10 25.41999 12 32.82000 18 52.5

The indicator of maternal mortality fluctuates every year.

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As is well known the target level set by the WHO for maternal mortality for Europeancountries is 15 deaths per 100,000 live births. In Armenia this indicator was 3.5 times the WHOnorm in 2000.

The most typical causes of maternal mortality in Armenia are:♦ Hemorrhage during pregnancy and delivery;♦ Toxic pregnancy;♦ Sepsis during delivery and antenatal period;♦ Abortions.These pathologies are mainly caused by the low accessibility and quality of prenatal and

in-patient care.

Infant mortality up to 5 years

Official records of civil acts are the main sources of data about infant mortality inArmenia. The definition of infant mortality, which was in use up to 1995, did not correspond toWHO definition. Thus, according to the official definition used before 1995, only the newborns,which were born later than the 28th week of pregnancy with the weight of 1,000 gr. and more andhave had at least one respiratory act were considered live births.

Since 1995, the Ministry of Health has classified the newborns with weight lower than1,000 gr. who have exhibited life signs at birth (heartbeat, respiration, etc) as live births inaccordance with the WHO definition. Children born with the weight less than 1,000 gr. used tobe considered as live births only if they had lived not less than 7 days.

Indicators of infant mortality(infants less than 1 year of age per 1,000 live births)

1991 1992 1993 1994 1995 1996 1997 1998 1999 2000Total 17.9 18.5 17.1 14.7 14.2 15.5 15.4 14.7 15.4 15.6

Boys 19.0 21.2 18.7 16.8 15.7 17.3 17.2 16.4 17.2 17.4

Girls 17.0 16.5 16.6 13.2 12.6 13.6 13.4 12.8 13.4 13.6

Data presented provides evidence for the fact that infant mortality rate is considerablyhigher among boys which can be attributed to the fact that there is no discrimination againstgirls.

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Between 1991 and 1995 we can observe consistent decrease of the infant mortality rate.The slight rise of the rate since 1995 can be attributed to the usage of the WHO definition.

In 1993, a number of comprehensive programs worked out by the Ministry of Health ofRA jointly with UNICEF and WHO within the framework of the initial medical assistance wereconfirmed and implemented.

They are the following:

1. Infant food. High quality infant food replacing mother’s milk was distributed through theMinistry of Healthcare system. Feeding of children under 5 and pregnant women wasalso organized for 1994-1995; 9 this. tons of infant food was received within theframework of humanitarian aid.

2. Breast-feeding. Since 1993, a new order of staying of mother and baby together in oneroom was established. Medical personnel and mothers have been learning the requiredskills for implementation of the breast-feeding practice. Practicing medicines informpregnant women on advantages of breast-feeding and support feeding by demand ofbabies, not by schedule.

3. Use of polyvitamins and iron preparations.4. Program on diarrhea and acute respiratory infections.5. Program on provision with medicines guaranteeing free of charge supply with medicinesfor children under 14.

The programs noted have lead to a definite decrease of infant mortality.Nonetheless, a number of studies of infant mortality implemented in the country show a

considerable non-registration of infant mortality especially during the period of 0-28 days.

Main causes of infant mortality

1995 1996 1997 1998 1999 2000Infant mortality (0-1 years per 1,000 live births)

14.2 15.5 15.4 14.7 15.4 15.6Including caused by the following:

Respiratory diseases 3.2 3.4 2.7 2.5 3.3 2.8

Intestinal infections 1.7 1.8 2.4 1.7 1.8 1.6

Prenatal diseases 5.7 7.1 6.9 7.0 6.3 6.2

Congenital abnormalities 2.4 1.9 2.5 2.7 3.4 3.9

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According to the official statistics, there has been a reduction of child mortality ratebefore the age of 5 over the last decade. As infant mortality is a component of child mortality,these tendencies have had an impact on it as well.

Child mortality before the age of 5 per 1000 live births

1995 1996 1997 1998 1999 2000Total 19.9 19.5 19.5 18.4 18.5 19.1

Boys 21.1 21.4 21.2 19.5 20.2 21.1

Girls 18.5 17.3 17.6 17.0 16.6 17.0

Provision of general health services.

Since the start of the transition period there has been a deterioration of both child andgeneral population health status. The number of visits to various medical institutions has droppeddramatically. Reforms in health sector were not effective probably because of the budget crisis.

The so-called “poverty diseases” were revived, the number of newly registeredtuberculosis cases has consistently gone up.

The total mortality rate calculated based on the number of permanent population of thecountry is rather low due to the fact that the number of population used is higher than in reality.The main causes for death are diseases of blood circulation system, tumors, respiratory diseasesand casualties, poisoning and trauma. The indicator for men exceeds the average for the republicin the case of the following causes: tumors, respiratory diseases, casualties and trauma.

According to the results of an integrated study, during the last month (survey period)17% of the respondents were ill or reported having trauma and 39% of these noted that the maindisease started more than a year ago, i.e. is becoming chronic.The dependency of health indicators from the standard of living is presented below:

(percentage)People ill duringthe last month

Had to stop routineactivities

Visited a doctor forthe illness

Average (not poor) 46.06 46.21 55.11

Poor 29.21 29.19 28.67

Very poor 24.73 24.60 16.22

The opportunity to visit a doctor and get appropriate treatment is higher for the average(not poor) population as it is mainly related to financial issues.

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The average price of one consultation or treatment is 12,177 AMD ($ 22.6), and themaximum price is 1.6 million AMD (approximately $ 3,000).

Medical consultation was mainly received in the following institutions:(percentage)

Polyclinics DiagnosticCenter

Hospital Private Doctor

Average (not poor) 54 56 57 65

Poor 29 38 26 26

Very Poor 17 6 17 9

Of the total number of pregnant women 85% visited a women’s consultation and 55% ofthem were not poor. The average price of one gynecological consultation is approximately 3,000AMD ($ 5.6).

Only 36% of respondents have taken their children aged 0-5 for antenatal consultation orroutine examination to polyclinics of which:

Average (not poor) - 46%;Poor - 34%;Very poor - 20%.

The average price of medical services is approximately 5,000 AMD ($ 9.3).Respondents have assessed their own health as follows:

(percentage)Very good Good Normal Not good Bad

Average (notpoor)

3.3 21.5 52.4 17.2 5.6

Poor 2.0 20.4 54.8 16.3 6.4Very poor 2.2 21.5 52.4 16.4 7.5

The majority of the population assesses own health status as normal or good but aconsiderable part assesses it as not good and even bad.

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IV. Education.

Schools

During the school year 1999-2000 there were 1,407 mainstream state schools in therepublic where there were 564.6 thousand students involved. There were 21 special schools forchildren with cognitive and physical developmental disabilities where there were 4.9 thousandstudents enrolled.

A network of private schools is being established in the republic and there were 23private schools active in the same period where the total number of students was 2.1 thousand.

Nevertheless part of the school age children is not covered by the school system andthese are mainly children in higher grades.

For the three levels of the mainstream schools the curricula are being reformed, inparticular, there are special new programs for teaching human rights, basics of democracy andcivil society.

Technical education

Currently there 77 state technical educational institutions active in the republic and thereare 28.7 thousand students involved. There is a wide range of programs (more than 100specialties) offered by these institutions. 10.4 thousand students are in the state order scheme,that is study free of charge.

The fee in paid departments is between 60 and 150 thousand AMD ($111-278) anddepends on the specific specialty.

The following categories of citizens have certain privileges when applying to technicaleducational institutions:

1. disabled people of the 1st and 2nd groups of disabilities and disabled children,2. children of the military killed in conflicts and military disabled of the 1st group,3. orphans before 18 years.

Higher education

One of the most drastic changes in the educational system was the introduction of thethree-step higher education. The rationale behind this was not only the establishment of generallyaccepted international standards but also the introduction of improved forms and methods ofeducation. Moreover, the differentiation of education by steps gives an opportunity to regulate

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knowledge and skills. The process was successfully introduced in Yerevan State University,State Engineering University of Armenia and Armenian Agricultural Academy where the totalnumber of students is more than 15.0 thousand. The second global reform in the educationalsystem is related to the establishment of private higher educational institutions. Currently thereare 17.1 thousand students enrolled in these institutions.

People with higher education have more opportunities to get work and feweropportunities to be poor. Having higher or technical education is a guarantee against poverty andunemployment. This is evidenced by data provided below.

(percentage)Primary

educationSecondaryeducation

Specialtechnicaleducation

Highereducation

Average (notpoor)

42.88 42.75 47.08 56.70

Poor 32.32 32.27 32.88 29.44

Very poor 24.80 24.98 20.04 13.85

Nevertheless, education is not a guarantee of protection. The people who were affectedgreatly over the transition period are the employees of state enterprises and a large number ofpublic servants. Women working in such “feminist” sectors as education, health care and culture,which practically depend on the state budget, were also affected. Average monthly salary in 1999in the educational system was 9,909 AMD ($ 18.4), which is lower than the poverty threshold by15%, in health system – 11,147 AMD ($ 20.7), and 5% lower than poverty threshold, in culture –8,667 AMD ($ 16.1) - by 26% lower than the poverty threshold. One of the highest concerns isthe fact that highly educated specialists find themselves beyond the poverty threshold.

The deterioration of the standard of living of the population and the worsening of social-economic problems has had a negative effect on education in schools. The main problems of thechildren of school age are: incomplete coverage of the children by the system of primaryeducation, school dropout, school leaving after the 8th grade because of unwillingness to continueeducation in grades 9-10. Low quality of education in schools makes students in higher gradestake private lessons, which are mainly accessible for children from affluent families.

According to the results of the study, private lessons were taken by:Average (not poor) - 65%;Poor - 21.7%;Very poor - 13.3%.

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Stress is a widespread phenomenon among the young people of this age because they donot have confidence in the future.

After graduating from the school only one third of the young people before the age of 30continues education in technical or higher educational institutions which are accessible tochildren of relatively affluent families:

Average (not poor) - 54%;Poor - 33%;Very poor - 13%.

Considerable part of the young people (83.5%) studies in state educational institutionsand more than half (55%) is in the state order scheme, i.e. free-of-charge. Every year thegovernment directs some money from the very poor state budget and places state order witheducational institutions in order to prepare specialists of highest quality. But after the graduationthe specialist may find out that there is no demand for his/her expertise and may have to decidewhat to do on his own. Sometimes there is an opportunity to find a professional or some otherjob. But sometimes young people do not succeed and they either become unemployed or leavethe country.

Nonetheless one third of youth intends to continue education and those are mainly (59%)young people from relatively affluent households. Some 19% has to work, 26% thinks thateducation is too expensive. There is another concerning fact that 25% of young people simply donot want to study.

Regression analysis shows that if the level of education is enhanced by one step, theliving standard goes up by 2.7% on average.

V. Children in especially difficult circumstances

The following categories of children can be placed under the definition of children inespecially difficult circumstances: orphans and homeless children, disabled children, refugeechildren, children who are victims of military conflicts, natural disasters, abused children,children who have committed crime or delinquency.

1990 1995 2000The number of crimes committedby adolescents 256 384 610The share of these crimes in thetotal number of registered crimes 2.1 3.8 5.1The number of adolescentssentenced for criminal offense 133 297 263

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As the table shows both the absolute number of crimes committed by adolescents and therelative share of these crimes in the total number of registered crimes has increased which causesanxiety.

The colony of Abovyan has women's, children’s and investigative-isolation blocks. As ofMay 1, 2001 there were 44 adolescents including young people who were sentenced duringadolescent age but were already 19-20. 16 of them are in the adolescent block and 4 newbornbabies are placed with their mothers in the women's block. The average age of the adolescents is16.5. Older adolescents are 40% of the total number of detained. A considerable number ofadolescents were sentenced for theft caused by difficult social and economic circumstances. Themajority comes from poor families.

Crimes committed by adolescents that are placed in Abovyan colony are:

Crime types Number of adolescents sentencedTheft 15Homicide, attempt for homicide, causing complicatedtrauma

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Dishonest conduct 1Rape 2Robbery 3Burglary 8Minor theft 2Attempt to escape 1

Total 44

During 2000 2 adolescents were sentenced for drug abuse. According to data submittedby the Inspectorate for the Elimination of Illegal Circulation of Drugs of the Ministry of InternalAffairs of RA, there are 4 adolescents currently on record and the inspectorate team is workingwith them.

According to 2000 data, provided by the Information Center of the Ministry of InternalAffairs there were no cases of child trafficking or kidnapping in the country.

In 2000, there were 3 cases of adolescent prostitution. All of these adolescents are onrecord currently.

The Inspectorate for Adolescents of the Ministry of Internal Affairs implements activitiesto identify parents or other caretakers who abuse children physically and sexually or havenegative influence on them.

In 2000, 120 parents or caretakers were placed on record for bad treatment of children. 59adults were sentenced for involving adolescents in prostitution, alcoholism, gambling.

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The problems of children involved in vagrancy and begging are always in the center ofthe attention of the Inspectorate for Adolescents of the Ministry of Internal Affairs. The Ministryperforms a number of activities for the identification and placement of those children inappropriate institutions. As a result of this, s205 adolescents involved in vagrancy and begging(some of them were identified for the second time) were found during the 8 months of 2000. 129children were sent to the Center for collection and distribution of children, 28 were put onrecord, 3 were sent to children’s home, 2 – to a special school, 4 – to a boarding school.Particular attentions is paid to the identification of adolescents involved in prostitution, drugabuse or various delinquencies.

Children that are deprived of families, i.e. orphans, are in a particularly difficult situation.From data for the beginning of 2001 provided by the Ministry of Social Security, the followingpicture emerges:

Number of families with children lacking one of the parents - 20,806;Number of children lacking one of the parents – 29968;Number of families with children lacking both parents – 866.There is also an evidence of the growth of social orphanage with the change of social

values in the Armenian society due to the long-term social-economic crisis.Three Ministries are involved in the problems of children in public care and are

responsible for children’s institutions of general and special types.Ministry of Social Security of the Republic of ArmeniaMinistry of Education and Science of the Republic of ArmeniaMinistry of Internal Affairs of the Republic of ArmeniaThere are 5 children’s homes under the supervision of the Ministry of Social Security

where approximately 600 children live. These institutions are located in Gavar, Vanadzor,Harbert, and Gyumri, and there is an infant home in Yerevan (where children up to 5 years ofage are placed). Children with cognitive and physical problems live in Harbert and Gyumri.There a lot of children here but the number is not increasing. The same is true for the institutionsfor healthy children. They are placed here for various reasons. These are children in difficultcircumstances. They may be children lacking one or both parents, may have sick parents, theirparents may have been deprived of parents’ rights, or who cannot be supported by their parents.

The activities of children’s homes are directed at supporting physical, mental andspiritual development of children, formation of their personalities in these difficult circumstancesand teaching work skills to them. Socialisation and preparation for an independent life are issues,which receive much attention here.

Children from these institutions attend the mainstream schools nearby which helps toprevent possible social isolation and improves integration among the peers.

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After placing a child in these institutions some parents are not interested in his/her futureany more. Moreover these parents do not officially suspend their rights, which is a majorobstacle for possible future adoption of the child. The parents that have not given up theirparents’ rights can officially prohibit the child from entering an alternative family. They may notgive their consent for adoption.

Parents who are involved in drug, alcohol abuse or have left their children and do notcare about their upbringing are put on a separate record and certain work is implemented withthem to support them in the recognition of the problems. If this work does not result insomething positive, certain materials are filed and presented to the court and a special committeefor adolescents to take appropriate measures.

In the scope of the social policy directed at disabled people, which is based onhumanitarian principles, physical and social rehabilitation of disabled children considered as oneof the most vulnerable groups in the society receives special attention.

There are two specialised children’s homes for disabled children under the supervision ofthe Ministry of Social Security. As of January 1 2001 there were 245 children with variousdisorders of central nervous system, defects of physical and cognitive development. Themajority of these children do not have parents.

In the nursing home of Gyumri children with disabilities up to 5 years are taken care ofand treated, different activities directed at their social-psychological rehabilitation are alsocarried out. At the age of 5 children are taken to Harbert (Ararat Marz) children’s specialisedhome where they live up to the age of 16.

There are various specialists who work with disabled children in children’s homes –doctors, pedagogues, psychologists, rehabilitation specialists, nurses, etc. Children are taughtvarious skills of independent life and the teaching is matched to the abilities of each child usingvarious game and rehabilitation methodologies. This work is directed at the rehabilitation ofchildren with problems of physical or cognitive development, improving the quality of learningand the abilities and skills to cope with various life situations. Parents of children have anopportunity to visit them.

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VI. Our contribution.

Household size, children, poverty

Big households are socially more vulnerable and are considered one of the major riskgroups because children are also raised in poverty.

(percentage)Household size Children between

0 and 14 in onehousehold

Elderly aged 60 ormore in onehousehold

Average (not poor) 3.83 0.93 0.55

Poor 4.52 1.33 0.62

Very poor 5.13 1.69 0.69

Total 4.29 1.19 0.60

The average size of very poor households is very high, with the highest child burden (0-14 years). Families with many children very often live beyond the poverty threshold, 62% ofchildren between the age of 0 and 7 live in poverty and 27% of them are very poor. In the 8-16age group 58% are poor of which 26% - very poor.

Poverty level of households with two parents and children(percentage)

One child 2children

3children

4children

5 and morechildren

Average (not poor) 51.07 42.03 34.07 34.12 22.86

Poor 29.98 35.04 35.54 31.76 34.29

Very poor 18.95 22.93 30.39 34.12 42.86

Data presented shows evidence that the more children are in the household the higher thepoverty level and in households with 5 or more children the poverty level is 77%.

A more difficult situation is observed in households with one parent and children. Thus,56% of households with one parent and one child are beyond the poverty threshold, among thosewith two children 64% are beyond poverty threshold. As for the households in our study withone parent and three or more children, they were all beyond the poverty level.

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Regression analysis shows that with the increase of the number of children aged 0-14 inhouseholds by one child, the level of life deteriorates by 7.5%.

Poverty and gender issues

According to UNDP estimation 70% of all poor in the world are women. Women findthemselves in poverty more often than men, stay in those conditions longer and have moreproblems when they try to overcome poverty. In the total number of poor in Armenia, 53.3% arewomen and 46.7% are men.

The decrease of the number of people employed in the economy had more impact onwomen. It is necessary to note that women are very educated and that is a major advantage.Although unemployment is an issue for both men and women, the latter have more difficulty infinding a work mainly due to the fact that they are more heavily involved in childcare.

Of the total number of households in the study 26.8% are headed by women. The averagesize of these households is considerably lower (3.4) as compared with those headed by men(4.6). If we compare the living standard of families by the gender of the head of the household, itis considerably lower in those households, which are headed by women. 54% of thesehouseholds are beyond the poverty threshold and 22% of these are very poor. 48.9% of familiesheaded by men are poor of which 18.8% are very poor.

Nutritional Status of Children1.

Anthropometrics provides one of the most important indicators of children’s nutritionalstatus. Height and weight measurements were obtained for respondents’ children who were bornin the five-year period preceding the survey2. The data on height and weight were used tocompute three summary indices of nutritional status: height-for-age, weight-for-height, andweight-for-age. These three indices indicate children’s susceptibility to diseases and theirchances of survival.

The nutritional indices are expressed as standard deviation units from the median for theinternational reference population recommended by the World Health Organization. Childrenwho fall more than two standard deviations below the reference median are regarded asmalnourished, while those who fall more than three standard deviations below the referencemedian are considered severely malnourished. 1 Armenia Demographic and Health Survey 2000, Preliminary Report, National Statistical Service, Ministry ofHealth, MEASURE DHS+ORC Macro2 Using Shorr Boards, height was measured standing up for children two years of age and older and lying down forchildren under two years. Weight was measured using electronic Seca scales.

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In the survey, children born to female respondents since January 1995 were eligible forheight and weight measurements. Of the 1.596 children eligible for measurement (i.e., age 0-59months at the time of the survey), 1.461 (92 percent) was measured and had consistent results.Table shows the nutritional status of these children by demographic and backgroundcharacteristics.

Height-for-age(Stunted)

Weight-for-height(Wasted)

Weight-for-age(Underweight)Demographic

characteristics Below–3 SD

Below–2 SD*

Below–3 SD

Below–2 SD*

Below–3 SD

Below–2 SD*

Numberof

children

Child’s age in months<6 0.0 6.2 0.0 3.8 0.4 1.6 1316 – 9 0.0 4.2 0.0 3.0 0.0 1.2 8510 – 11 4.8 8.6 1.2 1.7 0.5 3.9 5012 – 15 1.1 14.6 2.3 5.2 0.0 3.4 10016 – 23 1.6 16.0 0.0 2.9 0.0 1.5 17624 – 35 1.9 12.1 0.5 1.1 0.0 3.0 26236 – 47 5.2 17.8 0.0 0.4 0.4 2.3 31848 – 59 3.2 15.5 0.0 1.9 0.0 3.0 340Sex of childMale 3.0 12.9 0.4 2.2 0.1 2.3 835Female 2.1 14.6 0.1 1.7 0.2 2.8 626ResidenceUrban 1.7 11.0 0.5 2.2 0.0 2.2 748Rural 3.6 16.4 0.1 1.7 0.3 2.8 713Mother’s educationPrimary/secondary 3.2 15.9 0.0 2.3 0.3 3.0 714Secondary-special 2.9 13.0 0.7 1.7 0.0 2.4 493Higher 0.7 8.7 0.2 1.7 0.0 1.2 254Total 2.7 13.6 0.3 2.0 0.1 2.5 1461Note: Figures are for measured children born in the period 0-59 months preceding the survey. Each of the indices isexpressed in standard deviation (SD) units from the median of the NCHS/CDC/WHO International ReferencePopulation. Children are classified as malnourished if their Z-scores are below minus two or minus three standarddeviations (-2 SD or –3 SD) from the International Reference Population median.

* Includes children who are below –3 SD.

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Children whose height-for-age is below minus two standard deviations from the median ofthe reference population are considered stunted or short for their age. Overall, 14 percent ofchildren under age five are stunted; 3 percent are severely stunted. In general, children of higherbirth orders, children residing in rural areas, and children born to mothers with less education aremore likely to be stunted.

Children whose weight-for-height age is below minus two standard deviations from themedian of the reference population are considered wasted (or thin). Children whose weight-for-age is below minus two standard deviations from the median of the reference population areconsidered underweight. Overall, 2 percent of children are wasted and 3 percent areunderweight, signifying that Armenian children are no more likely to be wasted or underweightthan the international reference population.

Information about children’s nutritional status at the national level is available from anotherrecent survey. According to a survey conducted in 1998 (Branca et.al.), 12 percent of childrenwere stunted (versus 14 percent in the ADHS survey) and 4 percent of children were wasted(versus 2 percent in the ADHS survey). When confidence intervals are considered, these figuresdo not vary significantly from the ADHS survey.