Poverty alleviation in Bangladesh : An analysis
To get rid of the curse of poverty practical policies and programmes are needed
Dr. Forqan Uddin Ahmed
In economic terminology, poverty alleviation has come to be used as alternative measure of development. In a sense, economic development and poverty alleviation are two sides of the same coin. Economic development is generally measured by the growth in per capita incomes. But, social thinkers relentlessly reject the yardstick as a source of many pitfalls. Consider a situation where the economic condition of a vast majority of the people-at the lower end of income scale-tend to deteriorate or stagnate, but the per capita income of the nation grows simply because rapid increase in incomes among the few rich households takes place. Should we call it development? The society would always value more (and benefit from) a rate growth of income of the people at the lower end of income scale than the same rate of growth taking place at the top. In that sense, poverty alleviation is a better measure of economic progress than the growth in per capita incomes.
It goes without saying that poverty is deep-rooted and widespread in Bangladesh. To get rid of the curse of poverty, the practical policies/program are needed. Right information about poverty is a must in order to get right information about poverty, an acceptable and measurable definition of poverty is required.
Concepts of poverty may vary from country to country depending on their stages of development, geographical location, environment conditions etc. In general, poverty is defined as lack of means to fulfill basic needs. Opinions vary as to which needs are basic and which are not. Commonly accepted basic needs are food, clothing, shelter, health and education.
He/she who lacks adequate means to fulfill one or all of these needs is said to be in the state of what is called absolute poverty. The lowest stratum of absolute poverty can be described as extreme poverty. On the other hand, one may not be poor in the absolute sense of the term but may yet feel to be poor because he/she has not as much as his neighbour has. This is lack of means in relation to other peoples means. This situation is called relative poverty. Both absolute and relative poverty exists in Bangladesh, which has in fact a mass poverty situation.
Because of all pervasiveness of poverty, the role of small credit and enthusiastic entrepreneurship have become extremely important in poverty reduction through income-generation and self-reliance in Bangladesh. Before we proceed further, let us have an idea about the nature, intensity and dimension of poverty in Bangladesh, because a comprehension of poverty situation will help us to understand the magnitude of micro-credit extension program in a better and more pragmatic way. In Bangladesh, as in most third world countries, poverty is the resultant combination of two main factors : inequality of opportunity created by the socio-political structure as well as the inequality of the capability to avail that opportunity. Declining real-wages also contribute in increasing poverty situation. In Bangladesh, real wages for agricultural labour has gone down by 33% from 1964 to 1984. There was considerable decrease of real wages in 1960s, some reversal in 1970s and again decrease in 1980. Broadly speaking, real wages have been decreasing during the last 35 years.
Who are poor in Bangladesh context? Who are the absolute poor and who are the extremely poor? the estimated FAO requirements for calories for population of Bangladesh (based on height, weight, age, sex and environmental temperature) is about 2,150 calories per person per day.
Bangladesh Bureau of Statistics (BBS) has made an estimation of the percentage of people who cannot afford even 1,805 calories per capita per day and termed them as belonging to Hard-core Poverty. Michac Lipton prefers to call them ultra poor.
The BBS statistics (1997) reveals that during 1981-1996 there was fluctuation of the incidence of both urban and rural poverty of the hard-core but overall poverty situation appears to be alarming. Although severity of the poverty situation in Bangladesh has prompted some GOs as well as large number of NGOs to adopt steps and program aiming at the alleviation of poverty, it is unclear as to the extent of credit to be shared by NGOs and government because of paucity of intensive study and research in this regard in Bangladesh.
In Bangladesh, the per capita income is rising. People are earning through self initiative. They are pro-active and not dependent on others. The marginal and many have-nots are well equipped with the economic tools of livelihood. The youths by taking technical and vocational education are in the line of engagement. They do not sit idle now. By training they have built-up the capacity to combat poverty. Many are going to abroad and sending a good deal of remittance from foreign countries.
Although there is no difference of opinion regarding the vast extent of poverty in Bangladesh, many debates are existing about those trends of poverty. The variety of measurement system and the lack of right statistics is the prime reason behind it. The world Development Report, 1990 defines poverty as the inability to attain a minimal standard of living. What do we man by a minimal standard of living? It is not so easy to calculate a minimal standard of living. The standard of living is generally dependent on the fulfillment of the basic needs. If anyone is incapable of fulfilling the minimal level of all or any one of the basic needs, then he/she is called as poor. But, in practical term, it is very difficult to quantify the minimal level of all the basic needs excepting the food. Therefore, in Bangladesh, the poverty line is based on the cost of a minimum consumption basket, based on the food necessary for a recommended calorie intake. There are many success stories of present government in regards to poverty alleviation. The personal initiative and governments comprehensive program are bringing substantial changes in the socio-economic development in peoples life both rural and urban.
However in the coming election, poverty alleviation is manifested by all political parties in Bangladesh. There will no more prevail the sad picture of unfed and hunger. We are expecting that under the able and dynamic leadership of our honorable Prime Minister, Bangladesh will emerge as a poverty and disparity free country in the global world.
The writer is a regular contributor to
The Independent
