Use different index when measuring poverty, Suhakam tells govt

Use different index when measuring poverty, Suhakam tells govt

The human rights body says the Multidimensional Poverty Index will more accurately measure Malaysia's poverty line.

Suhakam says future Malaysia plans should take into account the Multidimensional Poverty Index (MPI).
PETALING JAYA:
The Human Rights Commission of Malaysia (Suhakam) has urged Putrajaya to use the Multidimensional Poverty Index (MPI) to measure poverty in its future five-year development plans.

It said the existing method which measures absolute poverty does not accurately reflect the reality of the cost of living in both urban and rural areas across the country.

The national poverty line is currently set at RM980 a household a month, which would mean a family of four surviving on RM8 for each person a day.

Suhakam said United Nations special rapporteur on poverty and human rights Philip Alston’s indication that the “true poverty rate” in Malaysia is between 15% and 20% is realistic.

“The government’s policy for the Bottom 40 (B40) group is clearly shifting towards the implementation of a MPI for the 12th Malaysia Plan, which will be aligned with the shared prosperity initiative encompassing three dimensions, namely economic empowerment, environmental sustainability and social re-engineering,” it said in a statement today.

It said the use of MPI in future five-year development plans could more accurately calculate the intensity of poverty based on deprivations in areas of education, health and standard of living through a non-income and consumption-centric scope.

“A more accurate calculation of poverty will enable policy-makers in identifying and targeting poverty alleviation programmes to the households, groups and individuals who require assistance and support,” it said.

Suhakam also called for Putrajaya to implement human rights-based poverty alleviation programmes, including human rights standards in policy planning.

Such programmes, it said, should focus on affordable healthcare, employment, quality education, inclusive growth and bridging inequality.

“There are many factors that impact an individual or group that experiences poverty, and by taking a multi-faceted approach, such programmes can be more sustainable and impactful,” he said.

Last week, Prime Minister Dr Mahathir Mohamad said the government would study the reports cited by Alston and review its measurement of poverty, if necessary.

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