Poverty Measurement in Kazakhstan: Current Situation and Perspectives

Statistics Agency of the Republic of Kazakhstan Department of Labour and Living Standards

Statistics

Poverty Measurement in Kazakhstan: Current Situation

and Perspectives

Switzerland, Geneva, 2-4 December 2013

Statistics Agency of the Republic of KazakhstanDepartment of Labour and Living Standards Statistics

Living Standards Statistics in 2001-2012: Major Indicators2

5 655 6 003 6 457 6 7857 618

8 4109 653

12 364 12 66013 487

16 07216 815

5 729 6 5187 569

8 3879 751

13 723

16 935

20 03721 348

26 152

30 618

33 745

1,0 1,1 1,2 1,2 1,3 1,6 1,8 1,6 1,7 1,9 1,9 2,0

46,7

44,5

37,5

33,9

31,6

18,2

12,7

12,18,2

6,55,5

3,8

0,0

5,0

10,0

15,0

20,0

25,0

30,0

35,0

40,0

45,0

50,0

0

5 000

10 000

15 000

20 000

25 000

30 000

35 000

40 000

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

SML, annual average, tenge Income used for consumption, per capita, tenge

Ratio of income used for consumption to SML Proportion of population below SML, %


Living Standards Statistics in 2001-2012: Major Indicators3

14,8

13,3

10,2

8,3

7,5

3,9

2,4 2,3

1,3 1,1 0,90,5

6,5

5,5

3,9

2,92,5

1,30,8 0,7

0,3 0,3 0,30,1

8,8

8,1

7,46,8 6,8

7,4 7,2

6,2

5,35,7

6,1 5,9

0,3390,328

0,3150,305 0,304

0,312 0,309

0,288

0,2670,278

0,2900,284

0

0,05

0,1

0,15

0,2

0,25

0,3

0,35

0

2

4

6

8

10

12

14

16

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Headcount ratio, % Poverty gap ratio, % R/P 10% ratio Gini coefficient


Social subgroups under Subjective Household Welfare Assessment Survey in 2013: 4

Poor: lacking funds for food, clothes and footwear

1

Not poor, but not middle class yet: income is sufficient to buy food, clothes and footwear, to pay for utilities, however, have difficulties to buy durable goods

2

Middle class: have no difficulties to buy food, major non-food items and services, however, income is insufficient to buy additional housing (apartment, house), an expensive car, etc.

3

Upper middle class: consume quality food, live in comfortable conditions, have job, business and/or earning assets, however, have no time for recreation and leisure

4

Rich: resources (knowledge, health, funds, assets, time) are sufficient for comfortable life

5


Household living conditions depending on social subgroups (March 2013)

5в процентах

38,5

42,2

32,7

9,1

28,7

51,7

86,2

0

52,8

48,7

59,3

59,1

60,0

44,9

13,8

8,7

9,1

8,0

31,8

11,3

3,4

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

total

urban

rural

Poor

Not poor, but not middle class yet

Middle class

Upper middle class

Rich

good satisfactory poor

percent


6percent

Monthly household income depending on social subgroup (March 2013)

tenge

4,2

48,4

15,5

4,0

2,6

2,3

0,5

52,2

51,6

74,5

68,4

56,8

40,1

20,7

41,9

9,9

27,3

39,8

55,1

72,8

44,6

71,0

1,7

0,1

0,3

0,8

2,5

6,0

55,4

29,0

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Total households

Less than 20 000

20 001 – 50 000

50 001 – 75 000

75 001 – 100 000

100 001 – 200 000

200 001 – 400 000

400 001 – 600 000

Above 600 000

poor not poor, but not middle class yet middle class upper middle class rich


7 в процентах

Distribution of households by health assessment (March 2013)

Частота заболеваний

Наличие/отсутствие проблем со здоровьем

19,9

80,1

25,0

17,2

33,1

24,7

26,0

74,0

18,2

19,9

31,5

30,4

32,5

67,5

13,4

19,3

32,7

34,6

38,0

62,0

4,1

19,5

36,0

40,4

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Have no health issues

Have health issues

continuously(chronic diseases)

Once a month

Once in 2-3 months-3

Once in 6 months


Disease incidence

Health issues / no health issues


8 в процентах

Distribution of households by satisfaction with their lives (March 2013)

24,3

57,8

17,9

32,6

51,6

15,8

36,5

39,1

24,4

64,8

20,8

14,4

58,5

23,6

17,9

88,5

5,1

6,4

80,6

10,2

9,2

99,4

0,6

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Satisfied

Not satisfied

Difficult to answer

Satisfied

Not satisfied

Difficult to answer


Distribution of households by satisfaction with economic situation (March 2013)


Opinions of households on the future of their children as compared to their living standards (March 2013) 9

в процентах

79,3

43,4

45,5

49,2

66,1

76,7

85,6

0,7

5,7

1,3

4,8

1,9

0,8

12,2

24,8

17,8

22,7

16,8

11,4

11,0

7,1

24,4

35,3

22,8

13,9

10,7

2,7

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Satisfied with their lives

Not satisfied with their lives

Difficult to answer

poor

not poor, but not middle class yet

middle class

upper middle class

rich

Better than we do Worse than we do Difficult to answerMuch the same we do

percent


10Household opinions on the first signs of economic crisis (March 2013)


24,1

44,7

73,0

8,6

4,8

0,6

13,5

46,5

28,4

33,3

75,5

5,7

5,7

1,3

12,7

47,1

27,1

27,1

73,8

8,9

8,9

2,3

13,5

38,9

35,4

23,7

70,0

13,8

8,3

3,8

9,0

35,3

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Decline of production

Wage cuts, detention of wages

Price rise for major goods and services

Destabilized banking sector

Drastic change in tenge/major currencies exchange rates

FOREX deficit in Kazakhstan

Reduction in budget expenditures

Job cuts, growth of unemployment


percent


11Values of major MDG1 indicators in Kazakhstan (2001-2012)

percent

54,3

48,8

42,943,8

42,4

35,6

25,7

21,8

15,5

19,6

17,6

12,0

46,7

44,5

37,533,9

31,6

18,2

12,7

12,1

8,26,5

5,53,8

14,3

9,4

6,65,4

4,53,3

1,7 1,00,3 0,7 0,7 0,2

14,8

13,3

10,2

8,3

7,5

3,9

2,4

2,3 1,3 1,1 0,90,5

19,3

15,5

12,7 12,411,8

8,8

5,6

4,1

2,6

3,73,1

1,9

0,0

4,0

8,0

12,0

16,0

20,0

0,0

10,0

20,0

30,0

40,0

50,0

60,0

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Доля населения с доходами ниже 5 USD по ППС в день Proportion of population below subsistence minimum level

Proportion of population below $5 (PPP) per day Poverty gap ratio below subsistence minimum level

Poverty gap ratio below $2.5 per day Poverty gap ratio below $5 ((PPP) per day

Proportion of population below $5 (PPP) per day


12Values of major MDG1 indicators in Kazakhstan (2001-2012)


40,0

43,3

31,1

27,4

25,2

14,5

9,5 9,4

5,84,5

3,62,3

11,1

6,8

4,53,6

2,9 2,21,1 0,7 0,2 0,4 0,4 0,1

47,5

42,6

36,4 36,8

35,2

29,8

20,5

17,2

11,5

14,913,2

8,4

0,0

5,0

10,0

15,0

20,0

25,0

30,0

35,0

40,0

45,0

50,0

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Proportion of employed people living below subsistence minimumlevel

Proportion of employed people living below $2.5 (PPP) per day

percent

Proportion of employed people living below $5 (PPP) per day

Subsistence Minimum Level and Median Income Used for Consumption as thresholds for poverty measurement in Kazakhstan


13

Food component60% (43 items)

Non-food component40% (estimation)

Consumption basket (subsistence minimum level)

2012 = 16,815 tenge or US$112.8

Income used for consumption

2012 (median) = 27,970 tenge or US$187.6

Median income used for consumption = US$187.6

60% of median income used for consumption = US$112.6

SML = US$112.8

www.stat.gov.kz


14

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Documents

Poverty Measurement in Kazakhstan: Current Situation and Perspectives