Rural Poverty in Bhutan

Rural poverty in Bhutan
The isolated, mountainous Kingdom of Bhutan began to open up to the outside world in the 1960s. It has adopted a
policy of cautious modernization, moving away from a generally self-sufficient barter economy based on agriculture. Many
subsistence farmers living outside the cash economy. Despite limited resources and strong population pressure, the
agricultural sector, including livestock and forestry, is the main source of a livelihood for about nine out of ten people.
The distribution of land and other assets is relatively equitable, and few sectors of the population are very rich or very
poor. Yet poverty affects more than 30 per cent of the people, and 96 per cent of Bhutan’s poor people live in rural areas.
In this rugged country of high mountains and narrow valleys, there is a basic lack of accessible, good-quality land and
other resources. Opportunities for producing food and generating cash income are limited. There is little potential for
expanding irrigation facilities, and much existing irrigation needs rehabilitation. External inputs and services are
inadequate, while farm technology is at a low level.
Who are Bhutan’s poor rural people?
Bhutan’s poorest people include subsistence farmers, small traders and day labourers and their households. Some people
work at more than one job in an attempt to earn enough to rise above the poverty level. A minority of poor people are
unemployed or are too young or too old to work.
Women have equal legal status and are not subject to gender discrimination, but they are less mobile than men, and less
active in social and economic life outside of their own villages.
Where are they?
Although there are poor people living in remote villages scattered throughout the country, poverty is deepest in the
country’s eastern zones. About 75 per cent of the poorest households are in the Pemagatshel, Zhemgang, Mongar,
Trashigang and Sampdrup-Jongkhar districts. There is some transfer of poverty when poor people migrate to urban
areas.
Why are they poor?
Poverty in Bhutan has diverse causes, but most are linked to the nature of the land. Because villages are isolated and the
terrain is extremely rugged, people lack access to social and health services and to education and markets. In many poor
communities people have to walk from a few hours to a few days to reach the nearest road head. Students in some
villages have to walk two or three hours each way to reach the nearest primary school.
The population is growing rapidly, but resources and opportunities are limited. Poor people do not own or do not have
access to productive assets such as land. Because of high illiteracy rates and lack of training, rural people do not have the
productive skills and knowledge of technology they need to improve their living standards. They have few opportunities
for off-farm employment and for otherwise generating income. Farmers have little or no access to credit and other
financial services.
Among other factors that aggravate rural poverty in Bhutan are natural calamities such as floods and landslides,
breakdowns in society that disrupt family and social support systems, increasing costs of goods and services, and
illnesses such as malaria and tuberculosis.
Statistics
GNI per capita, Atlas method (current US$) (2009) 2,020.0
Population, total (2009) 697,335.0
Rural population (2009) 448,804.8
Number of rural poor (million, approximate) ..
bhutan
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Social indicators
Population growth (annual %) (2009) 1.5
Population density (people per sq. km) (2008) 17.9
Rural population density (rural population per sq. km of arable land) (2005) 282.0
Rural population (% of total population) (2009) 64.4
Birth rate, crude (per 1,000 people) (2008) 21.5
Death rate, crude (per 1,000 people) (2008) 7.1
Mortality rate, infant (per 1,000 live births) (2009) 52.4
Mortality rate, under-5 (per 1,000) (2009) 78.6
Life expectancy at birth, total (years) (2008) 66.1
Labor force, total (2008) 287,384.9
Labor force, female (% of total labor force) (2008) 38.9
Poverty indicators
Poverty headcount ratio at rural poverty line (% of rural population) ..
Poverty headcount ratio at national poverty line (% of population) ..
Income share held by lowest 20% (2003) 5.4
Education
School enrollment, primary (% gross) (2009) 109.1
Literacy rate, adult total (% of people ages 15 and above) (2005) 52.8
Health
Health expenditure, total (% of GDP) (2007) 4.1
Physicians (per 1,000 people) (2007) 0.0
Improved water source, rural (% of rural population with access) (2008) 88.0
Improved sanitation facilities, rural (% of rural population with access) (2008) 54.0
Prevalence of HIV, total (% of population ages 15-49) (2007) 0.1
Agriculture and Food
Food imports (% of merchandise imports) (2009) 14.6
Food production index (1999-2001 = 100) (2007) 154.0
Crop production index (1999-2001 = 100) (2007) 174.0
Cereal yield (kg per hectare) (2008) 1,947.1
Fertilizer consumption (100 grams per hectare of arable land) (2007) 9.6
Environment
Land area (sq. km) (2008) 38,394.0
Forest area (% of land area) (2007) 83.8
Arable land (% of land area) (2007) 3.3
Irrigated land (% of cropland) (2003) 23.5
Economic Indicators
GDP (current US$) (2009) 1,277,107,438.0
GDP per capita growth (annual %) (2009) 5.8
Inflation, consumer prices (annual %) (2009) 4.4
Agriculture, value added (% of GDP) (2009) 17.6
Industry, value added (% of GDP) (2009) 45.0
Manufacturing, value added (% of GDP) (2009) 6.4
Services, etc., value added (% of GDP) (2009) 37.4

General government final consumption expenditure (% of GDP) (2009) 22.0
Household final consumption expenditure, etc. (% of GDP) (2009) 14.6
Gross domestic savings (% of GDP) (2009) 63.6
Trade
Merchandise exports (current US$) (2009) 280,000,000.0
Merchandise imports (current US$) (2009) 550,000,000.0
Balance of merchandise trade (US$ million) (2009) -270,000,000.0
Foreign direct investment, net inflows (BoP, current US$) (2009) 36,366,666.7
Government finance
Revenue, excluding grants (% of GDP) (2009) 22.7
Expense (% of GDP) (2009) 23.1
Present value of debt (% of GNI) (2008) 54.6
Total debt service (% of exports of goods, services and income) ..
Official development assistance and official aid (current US$) (2008) 86,530,000.0
Deposit interest rate (%) (2007) 4.5
Lending interest rate (%) (2007) 14.0
External debt, total (DOD, current US$) (2008) 692,440,000.0
Technology and infrastructure
Mobile phone subscribers (2008) 251,000.0
Fixed line and mobile phone subscribers (per 100 people) (2008) 40.5
Personal computers (per 100 people) (2007) 2.5
Internet users (per 100 people) (2008) 6.6

Rural poverty in the Republic of Maldives
Maldives has no significant poverty, according to an assessment carried out in 2004 by the government with the support
of the World Bank and the United Nations Development Programme (UNDP). Between 1997 and 2004, the number of
persons living with incomes below one dollar a day fell from 8,000 to 2,000, less than 1 per cent of the population.
But some segments of the population remain vulnerable. Compared to neighbouring countries, income distribution in
Maldives is relatively unequal. Between 1997 and 2005 there was a noteworthy increase in inequality between Malé, the
capital island, and the atolls. During that period the median per capita income per day in Malé increased from 1.7 times
to 2.3 times the income of people living in the atolls.
The islands that comprise Maldives are widely dispersed and have a low population density. This increases the cost of
living, including transport costs, and the cost of delivering essential social and administrative services to people in the
outer, remote atolls.
Who and where are the country’s disadvantaged people?
Although the overall incidence of poverty has decreased, some vulnerability persists, and poverty remains high on many
farming and fishing islands. Islanders in the northern part of the country have particularly low incomes, and migration of
at least one member of the household is a common coping strategy in those areas.
Rural women in general and particularly women who are heads of households are more vulnerable to poverty. They own
few, if any, assets and they cannot obtain credit. Women on the islands rarely travel outside their atoll. They are
primarily in charge of caring for the home and family, cooking, farming, fish processing and collecting firewood and other
necessities. Their role in fishing and marketing of fish is negligible. Inter-island trading by women is virtually non-existent
and income-generating activities are limited to rudimentary and small-scale enterprises. Although women make a
significant contribution to household income and food security by carrying out practically all fish processing and
agricultural activity, their contribution of unpaid labour for the family is taken for granted.
Why are they disadvantaged?
In rural areas of disadvantaged islands, incomes are low because of inadequate production, under-utilized fisheries
resources, a lack of value chain development and inadequate credit for small-scale producers and enterprises. Production
is low because of the scarcity of land and water, unsuitable farming practices and the lack of support services.
http://www.ruralpovertyportal.org/web/guest/country/home/tags/maldives
Statistics
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Social indicators
Population density (people per sq. km) (2008) 1,016.8
Rural population density (rural population per sq. km of arable land) (2005) 4,879.8
Labor force, total (2008) 141,619.4
Poverty indicators
Poverty headcount ratio at rural poverty line (% of rural population) ..
Poverty headcount ratio at national poverty line (% of population) ..
Education
Health

Environment
Land area (sq. km) (2008) 300.0
Irrigated land (% of cropland) ..
Economic Indicators
GDP (current US$) (2009) 1,356,484,375.0
GDP per capita growth (annual %) (2009) -4.4
Trade
Merchandise imports (current US$) (2009) 967,332,000.0
Balance of merchandise trade (US$ million) (2009) -812,332,000.0
Government finance
Total debt service (% of exports of goods, services and income) (2008) 6.2
External debt, total (DOD, current US$) (2008) 986,800,000.0
Mobile phone subscribers (2008) 435,627.0
Rural poverty in Nepal
Despite some progress in poverty reduction in recent years Nepal remains one of the poorest countries in the world.
Poverty in Nepal is a deeply entrenched and complex phenomenon. Over 30 per cent of Nepalese live below the poverty
line of US$12 per person/per month. Nothwithstanding declining rates of urban poverty, the problem remains widespread
with indicators suggesting a rise in rural poverty.
About 80% of Nepal’s population live in rural areas and depend on subsistence farming for their livelihoods. Household
food security and poor nutrition are still major concerns in rural areas. Most households have little or no access to basic
social services such as primary health care, education, clean drinking water and sanitation services. Rural poor people
generally have large families, are landless or have very small landholdings, with high rates of illiteracy and are also
concentrated in specific ethnic, caste and minority groups, particularly those of the lowest caste (dalits) and indigenous
peoples (janajatis). Small, fragmented subsistence farming is a characteristic of Nepalese agriculture, and the average
landholding is only 0.8 hectares. Life is a constant struggle for survival. The most vulnerable and marginalized groups are
the lowest social castes, indigenous peoples and women.
Rural poor people in Nepal include:
 destitute people, such as sick or disabled persons, abandoned children and displaced persons
 extremely poor people, including illiterate or landless persons or those with very few assets
 moderately poor people, such as those who have small farms but are often heavily indebted
 people who are ‘nearly poor', including small farmers who are at risk of slipping deeper into poverty as a result
of factors such as conflict, debt and land degradation
Building Peace and Reconciliation
Poverty, lack of economic growth, and increasing marginalization contributed to political unrest and violence which
originated in the highlands of Nepal. A Maoist rebellion that began in 1996 in the remote hill districts of the Mid-Western
region later intensified and spread across large parts of the country. More than 14,000 Nepalese were killed in the conflict
and about 600,000 have been internally displaced or made homeless. In addition, more than 2 million people are
believed to have fled to India. Fighting occurred largely in rural areas, with agriculture particularly affected.
In November 2006, a comprehensive peace accord was signed between the Government and the Maoists which, apart
form the provisions for disarmament and the end of hostilities, included clauses about the transformation of the country
to a multi-party democratic republic as well as for respect of human, social and economic rights. A re-instated parliament
abolished the monarchy, formed an interim government led by the former Maoist rebels and provided a new interim
constitution for the nation. A Constituent Assembly election in April 2008 and the country entered into the era of 3Rs
(reconciliation, rehabilitation and reconstruction). Though the armed conflict has ended, peace and the political situation
remain fragile.
Why are Nepal's rural people poor?
Land ownership in Nepal has traditionally been concentrated in the hands of a few. For most poor rural families access to
land is extremely limited. Almost 70 per cent of households have holdings of less than 1 ha and many of them depend on
plots that are too small to meet their subsistence requirements. Productivity levels remain low as a result of limited
access to new farming technologies, inputs and extension services.
Because of poor growth in the agricultural sector, living standards in rural areas are deteriorating and poverty is
increasing. The growing population has put huge pressure on cultivable land, especially in the Terai region, which also
supports many landless migrants from the hills.
Many factors contribute to chronic poverty in Nepal's steep and mountainous areas. The rugged terrain makes it difficult
for promoting economic activiy and delivering services . These areas are also physically isolated, with poor
communications and infrastructure and are ecologically fragile. Increasing population pressure has led to unsustainable
use of natural resources, including overgrazing and deforestation. And erosion in the uplands causes flooding in the
lowlands that can be devastating to crop yields.
Who are Nepal's rural poor people?
Social discrimination plays a significant role in keeping the most disadvantaged people in rural Nepal poor and
marginalized. Excluded groups include smallholder farmers, landless labourers, lower castes, indigenous peoples and
women. Discrimination on the grounds of caste is officially illegal in Nepal but is in fact widespread, especially in rural
areas. Members of the lowest caste (dalits, or untouchables) are the most disadvantaged group. Many lower caste dalits
work as wage labourers for higher-caste farmers.
There is a wide gap between women and men when it comes to access to health, nutrition, education and participation in
decision-making. Infant mortality is much higher for girls, and illiteracy is far more common among women than men.
Many rural women live in severe poverty, without any means of improving conditions for themselves and their families.
Within households women often have less to eat than men. Insufficient calorie intake can lead to chronic malnutrition in
the infants they feed.
Lack of economic opportunity and the recent conflict resulted in many of the most productive members of households to
migrate and leave the villages. As a result more and more women have been heading households alone and taking on the
burden of sustaining the rural economy. Women constitute more than 60 per cent of the agricultural labour force but
have little access to land, production technology and training.
Poor families are often obliged to send their children to work rather than to school. In this way the poverty cycle is
perpetuated into the next generation. It is estimated that about one quarter of the children in Nepal are engaged in some
kind of family or wage labour.
Where are Nepal's rural poor people?
The highest concentration of poor rural people is found in the Mid-Western and Far-Western regions. While the overall
poverty rate for Nepal is 31 per cent, this figure increases to 45 per cent in the Mid-Western region and 41 per cent in the
Far-Western region. In these remote hill and mountain zones the terrain is rugged, rainfall is low and the soil is poor and
difficult to farm. Agricultural holdings per household are the smallest in the country, and access to health, education,
roads, telephones, electricity, water supply and sanitation services is very limited. The conflict has exacerbated the
extreme isolation of these regions.
The Terai plains area has good potential for food production but is increasingly overtaxed by the needs of a growing
population. The number of landless and marginalized poor people is rising in the region.
Statistics
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Social indicators
Population, total (2009) 29,330,505.0
Rural population (2009) 24,133,139.5
Labor force, total (2008) 12,935,304.5
Poverty indicators
Number of rural poor (million, approximate) (2009) 8,350,066.3
Poverty headcount ratio at rural poverty line (% of rural population) (2004) 34.6
Poverty headcount ratio at national poverty line (% of population) (2004) 30.8
Education
Health
Environment
Land area (sq. km) (2008) 143,350.0
Economic Indicators
GNI per capita, Atlas method (current US$) (2009) 440.0
GDP (current US$) (2009) 12,531,144,759.2

Trade
Merchandise imports (current US$) (2009) 3,550,000,000.0
Balance of merchandise trade (US$ million) (2009) -2,870,000,000.0
Government finance
External debt, total (DOD, current US$) (2008) 3,685,175,000.0
Mobile phone subscribers (2008) 4,200,000.0
Rural poverty in Pakistan
Poverty is widespread in Pakistan and is particularly predominant in rural areas. Nearly two thirds of the population, and
80 per cent of the country’s poor people, live in rural parts of the country.
In 2004-2005 the government estimated that nearly 24 per cent of the people were living
below the national poverty line. The percentage of poor people had declined about 10 per
cent since 2001, but health and education indicators remained low in comparison with
other countries in South Asia. Socio-economic indicators for women are the lowest in the
subregion.
The recent increase in the international prices of food commodities has had a significant
impact on Pakistan’s poor people. It is estimated that about 17 million people have joined
the ranks of the 60 million people who are food insecure. And many more are at risk.
About half of the country’s population lives in a condition of food insecurity.
Agriculture is at the heart of the rural economy, and most rural people rely on agriculture
for their livelihoods. But for many of the poorest rural people income depends on non-
farm sources.
The incidence of poverty varies between rural and urban areas, and from one province to
the next. Poverty is widely and evenly distributed in the many mountainous parts of the
country where communities are small, scattered and isolated, and where there are few
major urban centres. The rugged terrain and fragile ecosystems make cultivation difficult.
Lack of access to markets and services has contributed to chronic poverty in these areas.
Although women play a major role in the household economy and in providing care for
their families, they are particularly vulnerable. Despite improvements in economic
conditions after recent reforms, there are still broad discrepancies in social standing
between men and women. Women own fewer assets, they have limited economic options
and less access to social services. They have high rates of illiteracy. And their burden of
labour increases significantly when poor levels of agricultural productivity force men to
migrate to find work.
Most of the land in Pakistan is arid, semi-arid or rugged, and not easily cultivated. Water
resources are scarce throughout most of the country, and it is difficult to provide the more
remote rural communities with a reliable water supply.
Large numbers of rural people are poor because of unequal land distribution. A few large
landholders own a disproportionate amount of land. More than 4 million family farms
have plots of less than 5 hectares, and 25 per cent of all farms consist of less than 1
hectare. At present about 50 per cent of farmers own and operate their farms, while 26
per cent are tenant farmers. Sharecroppers who work land belonging to large-scale
farmers are often in debt to their employers.
The causes of poverty include lack of education, poor access to health services, large
family size, gender discrimination and vulnerability to environmental degradation and
deterioration of the natural resource base. A steady decrease in remittances, which now
amount to less than 10 per cent of their level in 1983, was a factor in the increase of
poverty that was seen in the 1990s.
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Social indicators
169,708,302.
Population, total (2009)
6
w w w .ruralpover
Population growth (annual %) 2.1
(2009)
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Population density (people per 215.5

sq. km) (2008)
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Rural population (2009)
5
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Rural population density (rural 476.7

population per sq. km of arable
land) (2005)
Rural population (% of total 63.4

population) (2009)
Birth rate, crude (per 1,000 30.1

people) (2008)
Death rate, crude (per 1,000 6.9

people) (2008)
Mortality rate, infant (per 70.5

1,000 live births) (2009)
Mortality rate, under-5 (per 87.0

1,000) (2009)
Life expectancy at birth, total 66.5

(years) (2008)

Labor force, female (% of total 19.2
labor force) (2008)
Poverty indicators
Number of rural poor (million, 38,638,813.

approximate) (2009) 0
Poverty headcount ratio at rural 35.9

poverty line (% of rural
population) (1999)
Poverty headcount ratio at 32.6

national poverty line (% of
population) (1999)
Income share held by lowest 9.1

20% (2005)
Education
School enrollment, primary (% gross) 84.

(2008) 8
Literacy rate, adult total (% of people 53.

ages 15 and above) (2008) 7
Health
Health expenditure, total (% of GDP) 2.7

(2007)
Improved water source, rural (% of rural 87.

population with access) (2008) 0
Improved sanitation facilities, rural (% of 29.

rural population with access) (2008) 0
Prevalence of HIV, total (% of population 0.1

ages 15-49) (2007)
Food imports (% of merchandise 11.4

imports) (2009)
Food production index (1999-2001 = 124.0

100) (2007)
Crop production index (1999-2001 = 117.0

100) (2007)
2,673.
Cereal yield (kg per hectare) (2008)
6
Fertilizer consumption (100 grams per 166.2

hectare of arable land) (2007)
Environment
770,880.
Land area (sq. km) (2008)
0
Irrigated land (% of cropland) 85.4

(2005)
Economic Indicators
GNI per capita, Atlas 1,020.0

method (current US$)
(2009)
166,545,279,959.
GDP (current US$) (2009)
3
GDP per capita growth 1.5

(annual %) (2009)
Inflation, consumer prices 13.6

(annual %) (2009)
Agriculture, value added 20.8

(% of GDP) (2009)
Industry, value added (% 24.3

of GDP) (2009)
Manufacturing, value 17.7

added (% of GDP) (2009)
Services, etc., value 54.9

added (% of GDP) (2009)
General government final 10.7

consumption expenditure
(% of GDP) (2009)
Household final 79.4

consumption expenditure,
etc. (% of GDP) (2009)
Gross domestic savings 9.9

(% of GDP) (2009)
Trade
Merchandise exports 17,695,000,000.0

(current US$) (2009)
Merchandise imports 31,720,000,000.0

Balance of merchandise -
trade (US$ million) (2009) 14,025,000,000.0
Foreign direct investment, 2,387,000,000.0

net inflows (BoP, current
US$) (2009)
Government finance
Revenue, excluding grants 14.5

(% of GDP) (2007)
Expense (% of GDP) 16.3

(2007)
Present value of debt (% of 24.1

GNI) (2008)
Total debt service (% of 8.7
exports of goods, services
and income) (2008)
Official development 1,539,360,000.0

assistance and official aid
Deposit interest rate (%) 6.9

(2008)
Lending interest rate (%) 14.5

(2009)
External debt, total (DOD, 49,337,417,000.

current US$) (2008) 0
88,019,744.
Mobile phone subscribers (2008)
0
Fixed line and mobile phone 55.7

subscribers (per 100 people)
(2008)
Personal computers (per 100 0.5

people) (2005)
Internet users (per 100 people) 11.1

(2008)
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Rural poverty in India
The number of poor people in India, according to the country’s Eleventh National Development Plan, amounts to more
than 300 million. The country has been successful in reducing the proportion of poor people from about 55 per cent in
1973 to about 27 per cent in 2004.
But almost one third of the country’s population of more than 1.1 billion continues to live below the poverty line, and a
large proportion of poor people live in rural areas. Poverty remains a chronic condition for almost 30 per cent of India’s
rural population. The incidence of rural poverty has declined somewhat over the past three decades as a result of rural to
urban migration.
Poverty is deepest among members of scheduled castes and tribes in the country's rural areas. In 2005 these groups
accounted for 80 per cent of poor rural people, although their share in the total rural population is much smaller.
On the map of poverty in India, the poorest areas are in parts of Rajasthan, Madhya Pradesh, Uttar Pradesh, Bihar,
Jharkhand, Orissa, Chhattisgarh and West Bengal.
Large numbers of India's poorest people live in the country's semi-arid tropical region. In this area shortages of water
and recurrent droughts impede the transformation of agriculture that the Green Revolution has achieved elsewhere.
There is also a high incidence of poverty in flood-prone areas such as those extending from eastern Uttar Pradesh to the
Assam plains, and especially in northern Bihar.
Poverty affects tribal people in forest areas, where loss of entitlement to resources has made them even poorer. In
coastal fishing communities people's living conditions are deteriorating because of environmental degradation, stock
depletion and vulnerability to natural disasters.
A major cause of poverty among India’s rural people, both individuals and communities, is lack of access to productive
assets and financial resources. High levels of illiteracy, inadequate health care and extremely limited access to social
services are common among poor rural people. Microenterprise development, which could generate income and enable
poor people to improve their living conditions, has only recently become a focus of the government.
Women in general are the most disadvantaged people in Indian society, though their status varies significantly according
to their social and ethnic backgrounds. Women are particularly vulnerable to the spread of HIV/AIDS from urban to rural
areas. In 2005 an estimated 5.7 million men, women and children in India were living with HIV/AIDS. Most of them are in
the 15-49 age group and almost 40 per cent of them, or 2.4 million in 2008, are women (National AIDS Control
Organisation).
Statistics
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Social indicators
Population, total (2009) 1,155,347,678.0

Poverty indicators
Education
Health
Environment
Land area (sq. km) (2008) 2,973,190.0
Economic Indicators

GDP (current US$) (2009) 1,310,170,521,446.6
Trade
Merchandise exports (current US$) (2009) 155,249,000,000.0
Foreign direct investment, net inflows (BoP, current US$) (2009) 34,577,000,000.0
Government finance
Official development assistance and official aid (current US$) (2008) 2,107,650,000.0
Deposit interest rate (%) ..
Rural poverty in the Islamic Republic of Afghanistan

Afghanistan is one of the poorest countries in the world. Since the Soviet invasion in 1979, it has been the scene of a
series of conflicts that have continued for three decades.
Poverty in Afghanistan is widespread throughout rural and urban areas. The government estimates that 42 per cent of
the country’s total population lives below the national poverty line. Another 20 per cent of the people live just above that
line and are highly vulnerable to the risk of falling into poverty.
Afghan households tend to be large. They include numerous children and several generations that share the same
dwelling. Agriculture is traditionally the major activity for a large portion of the population, but the sector has suffered
from nearly 30 years of conflict, low investments and natural disasters. The average size of landholdings is small, and as
a result agriculture is rarely the main source of food or income. About two thirds of rural households own some livestock,
and farmers also sell their labour.
Who are Afghanistan’s rural poor people and where are they?
The incidence of poverty is more severe in rural areas. About 45 per cent of rural people and the nomadic Kuchi people
are poor, as compared to 27 per cent of the urban population.
The poorest rural people include small-scale farmers and herders, landless people and women who are heads of
households. There are an estimated 1 million Afghan widows. Their average age is 35, and 90 per cent of them have an
average of four or more children. Without the protection of a husband, widows suffer from social exclusion in
Afghanistan’s patriarchal society. Many widows have no choice but to become beggars.
Children aged five or under are the most vulnerable segment of Afghan society. As many as 50 per cent of them suffer
from chronic malnutrition.
The estimated 1.5 million Kuchis are nomadic herders whose livelihood depends heavily on livestock and migration
patterns. As a result of conflict and insecurity, in recent years 15 per cent of Kuchi families have been forced to settle
because they have lost their livestock and migration routes. They are now among the poorest households in rural areas.
Between 2002 and 2005 there was a major inflow of refugees returning to their homes. The flow has dwindled because of
increasing insecurity, limited economic opportunities and limited access to basic social services. For people who have
resettled after as many as two decades of exile, economic and social reintegration is a serious challenge. And internal
displacement remains a problem. There are as many as 160,000 internally displaced persons, mainly in southern
Afghanistan.
Poverty varies significantly between provinces, from a poverty headcount of 10 per cent to more than 70 per cent.
Poverty is most severe in the Northeast, Central Highlands and parts of the Southeast. The provinces of Daikundi,
Badakhstan, Zabul and Paktika represent large pockets of poverty.
Up to 70 per cent of Afghans are food insecure, according to the UN Food and Agriculture Organization, and high food
prices have recently pushed millions into high-risk food insecurity.
Why are they poor?
A basic lack of resources affects the majority of Afghans who depend on agriculture for their livelihood. There is little
arable land per capita, precipitation is scarse, and climatic conditions are difficult in many parts of the country. Since
1999, recurrent droughts have severly affected the livelihoods of rural households, which had already lost many of their
assets.
Despite significant improvements since 2001 in governance, social services and transport infrastructure, three decades of
conflict have left most Afghans in conditions of hardship and insecurity. Much infrastructure remains to be reconstructed,
and internal markets are still disrupted.
Poverty in Afghanistan is closely related to:
• the high illiteracy rate in rural areas, where 90 per cent of women and 63 per cent of men are unable to read or
write
• rural people’s dependance on livestock and agricultural activities for at least part of their income
• inadequate land ownership and access to land
• lack of irrigation infrastructure
Many rural households are poor because they have incurred heavy debts, or because they live in remote, disadvantaged
areas, or because they have lost the male head of the household. Often one or more members of the households is
disabled.
Statistics
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Social indicators
Population, total (2009) 29,802,724.3

Poverty indicators
Income share held by lowest 20% ..
Education
Health
Environment
Land area (sq. km) (2008) 652,230.0
Economic Indicators
GNI per capita, Atlas method (current US$) (2008) 370.0
GDP (current US$) (2008) 10,624,133,953.9
GDP per capita growth (annual %) (2008) -0.4
Inflation, consumer prices (annual %) (2009) -13.2

Gross domestic savings (% of GDP) (2008) -7.9
Trade
Government finance
Total debt service (% of exports of goods, services and income) ..
Official development assistance and official aid (current US$) (2008) 4,865,080,000.0
Deposit interest rate (%) ..
Rural poverty in Asia

Almost two thirds of the world's population lives in Asia. Some 4 billion people are scattered throughout rural areas or
crowded into towns and cities on a land area of almost 45 million km2, roughly 17 per cent of the world’s surface. The
region has a highly varied range of climatic and agro-ecological zones. Large areas have been affected by degradation
over the past 50 years. Drier areas are particularly vulnerable, and 39 per cent of the region’s population lives in areas
prone to drought and desertification.
Poverty in Asia is a massive problem. Reducing poverty for huge numbers of poor people there is crucial to achieving the
primary Millennium Development Goal of halving poverty by 2015. More than two thirds of the world’s poor people live in
Asia, and nearly half of them are in Southern Asia.
Poverty is basically a rural problem in Asia: In the major countries, 80 to 90 per cent of poor people live in rural areas.
While Eastern Asia and South-Eastern Asia have made impressive progress in reducing rural poverty over the past three
decades, progress has been limited in Southern Asia. And the tsunami that recently struck the region will be taking a toll
for years to come in Indonesia, Maldives, Sri Lanka and Thailand.
Despite wide-ranging diversities in the region, many poor rural people in Asia share a number of economic, demographic
and social characteristics, the most common of which is landlessness or limited access to land. Poor rural households tend
to have larger families, less education and higher underemployment. They also lack basic amenities such as a safe water
supply, sanitation and electricity. Their access to credit, equipment and technology is severely limited. Other constraints
– including the lack of market information, business and negotiating experience and collective organizations – deprive
them of the power to compete on equal terms in the marketplace.
Southern Asia
Most of Southern Asia has been left behind in the overall economic upturn in Asia. In the past three decades, the
economies of Southern Asia’s countries have grown by 4 to 6 per cent and the gross national income by only 1.4 per
cent. Although poverty declined by one third, the incidence of poverty, in terms of the percentage of the population living
below the government poverty line, is higher in Southern Asia than in any other region in the world except sub-Saharan
Africa. Southern Asia continues to have strong gender inequalities, and women continue to suffer severe social
deprivation. While the worldwide ratio of women to men is 106:100, in this region it is only 94:100.
1.1 Poverty headcount ratio at $1.25 a day (PPP) (% of

population)
16.8%
East Asia & Pacific
2005
3.7%
Europe & Central Asia
2005
Latin America & 8.2%

Caribbean 2005
Middle East & North 3.6%

Africa 2005
40.3%
South Asia
2005
50.9%
Sub-Saharan Africa
2005
Source
Poverty headcount ratio at $1.25 a day (PPP) (% of population)
About Population below $1.25 a day is the percentage of the population living
on less than $1.25 a day at 2005 international prices. As a result of revisions
in PPP exchange rates, poverty rates for individual countries cannot be
compared with poverty rates reported in earlier editions.
Catalog Sources World Development Indicators
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1.2 Poverty headcount ratio at $2 a day (PPP) (% of

population)
38.7%
East Asia & Pacific
2005
8.9%
Europe & Central Asia
2005
Latin America & 17.1%

Caribbean 2005
Middle East & North 16.9%

Africa 2005
73.9%
South Asia
2005
72.9%
Sub-Saharan Africa
2005
Source
Poverty headcount ratio at $2 a day (PPP) (% of population)

About Population below $2 a day is the percentage of the population living on
less than $2.00 a day at 2005 international prices. As a result of revisions in
PPP exchange rates, poverty rates for individual countries cannot be
compared with poverty rates reported in earlier editions.
Catalog Sources World Development Indicators
More

Rural Poverty in Bhutan

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Rural poverty in Bhutan

Who are Bhutan’s poor rural people?

Where are they?

Why are they poor?

GNI per capita, Atlas method (current US$) (2009) 2,020.0

Population, total (2009) 697,335.0

Rural population (2009) 448,804.8

Number of rural poor (million, approximate) ..

Population, total (2009) 697,335.0

Population growth (annual %) (2009) 1.5

Population density (people per sq. km) (2008) 17.9

Rural population (2009) 448,804.8

Rural population (% of total population) (2009) 64.4

Birth rate, crude (per 1,000 people) (2008) 21.5

Death rate, crude (per 1,000 people) (2008) 7.1

Mortality rate, infant (per 1,000 live births) (2009) 52.4

Mortality rate, under-5 (per 1,000) (2009) 78.6

Life expectancy at birth, total (years) (2008) 66.1

Labor force, total (2008) 287,384.9

Labor force, female (% of total labor force) (2008) 38.9

Poverty headcount ratio at rural poverty line (% of rural population) ..

Poverty headcount ratio at national poverty line (% of population) ..

Income share held by lowest 20% (2003) 5.4

School enrollment, primary (% gross) (2009) 109.1

Health expenditure, total (% of GDP) (2007) 4.1

Physicians (per 1,000 people) (2007) 0.0

Prevalence of HIV, total (% of population ages 15-49) (2007) 0.1

Agriculture and Food

Food imports (% of merchandise imports) (2009) 14.6

Food production index (1999-2001 = 100) (2007) 154.0

Crop production index (1999-2001 = 100) (2007) 174.0

Cereal yield (kg per hectare) (2008) 1,947.1

Land area (sq. km) (2008) 38,394.0

Forest area (% of land area) (2007) 83.8

Arable land (% of land area) (2007) 3.3

Irrigated land (% of cropland) (2003) 23.5

GNI per capita, Atlas method (current US$) (2009) 2,020.0

GDP (current US$) (2009) 1,277,107,438.0

GDP per capita growth (annual %) (2009) 5.8

Inflation, consumer prices (annual %) (2009) 4.4

Agriculture, value added (% of GDP) (2009) 17.6

Industry, value added (% of GDP) (2009) 45.0

Manufacturing, value added (% of GDP) (2009) 6.4

Services, etc., value added (% of GDP) (2009) 37.4

Household final consumption expenditure, etc. (% of GDP) (2009) 14.6

Gross domestic savings (% of GDP) (2009) 63.6

Merchandise exports (current US$) (2009) 280,000,000.0

Merchandise imports (current US$) (2009) 550,000,000.0

Balance of merchandise trade (US$ million) (2009) -270,000,000.0

Revenue, excluding grants (% of GDP) (2009) 22.7

Expense (% of GDP) (2009) 23.1

Present value of debt (% of GNI) (2008) 54.6

Total debt service (% of exports of goods, services and income) ..

Deposit interest rate (%) (2007) 4.5

Lending interest rate (%) (2007) 14.0

External debt, total (DOD, current US$) (2008) 692,440,000.0

Technology and infrastructure

Mobile phone subscribers (2008) 251,000.0

Personal computers (per 100 people) (2007) 2.5

Internet users (per 100 people) (2008) 6.6

Who and where are the country’s disadvantaged people?

Why are they disadvantaged?