Publication: Moving Out of Poverty : Volume 4. Rising from the Ashes of Conflict
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Published
2010
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Date
2012-08-15
Author(s)
Petesch, Patti
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Abstract
Lifting people out of poverty is one of the great challenges facing the international community today. It has become still more daunting in the context of the global financial crisis, which has severe implications for the poorest people in the world. Almost 1.4 billion people in developing countries live in poverty, according to recent estimates by the World Bank, and a significant part of this population lives in chronic poverty. This is the fourth in a series of volumes emerging from the global moving out of poverty study, which explores mobility from the perspectives of poor people who have moved out of poverty in more than 500 communities across 15 countries. The research on conflict-affected countries was managed by the global development network in partnership with the World Bank. This volume examines the social, political, and economic institutions facing poor people in post-conflict environments, where lives have been turned upside down by violence and instability. Based on original evidence from over a hundred communities in seven countries, the study documents the strategies that poor people use to cope with and move out of poverty, and it concludes with important policy recommendations.
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“Petesch, Patti; Narayan, Deepa. 2010. Moving Out of Poverty : Volume 4. Rising from the Ashes of Conflict. Moving Out of Poverty;Voume 4. © World Bank. http://hdl.handle.net/10986/11837 License: CC BY 3.0 IGO.”
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The second volume provides an in-depth analysis of the Living Standards Measurement Survey (LSMS), jointly implemented by the Bank, and the Republika Srpska Statistical Institute (RSIS), the Federation of Bosnia and Herzegovina Statistical Institute (FIS), and the Bosnia and Herzegovina State Agency for Statistics (BHAS). This report presents the most comprehensive analysis of poverty in Bosnia-Herzegovina (BiH) to date, whose calculations suggest that poverty - defined as lack of adequate consumption - is quite substantial, affecting every fifth citizen. Poverty is substantial compared to some neighboring countries. Nevertheless, and despite the country's post-conflict situation and its low officially measured level of GDP, there is no extreme poverty. Inequality in material well-being also appears to be quite moderate by international standards and, the non-income dimensions of poverty are also generally not extreme in BiH. The analysis finds that a sizable proportion of the population faces the risk of falling into poverty, and it identifies risk factors that may thrust a non-poor household into poverty: a) precarious earning sources, because the predominant living arrangement features a single-earner household; b) widespread health risks, including uninsured financial risks, and lingering post-conflict risks; c) violation of human rights, discrimination and corruption; d) limited geographical mobility; e) limited access to formal safety nets; and, f) worn-out stock of household assets and limited access to credit. Physical security remains an issue, economic security is also a problem, and, powerlessness and voicelessness impede the capacity of poor people to break out of a vicious circle of impoverishment. To reduce poverty, selectivity, stability and growth are outlined, particularly focusing on prudent monetary policy, and responsible fiscal management.
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