Review of poverty line already started

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Dr Mahathir Mohamad

KUALA LUMPUR: Prime Minister Tun Dr Mahathir Mohamad said the government started reviewing the poverty line from March to give a truer picture of the poverty situation in the country.

He told the Dewan Rakyat sitting today that it is being done with the cooperation of the Statistics Department, Health Ministry and the relevant departments and agencies.

Dr Mahathir explained that the poverty rate in Malaysia in the past was based on data obtained from the Household Income Survey (HIS) which followed international standards maintained by the United Nations Statistics Division (UNSD).

Dr Mahathir was replying to a question from Datuk Seri Anwar Ibrahim (PH-Port Dickson) regarding a special report by the United Nations on the poverty rate in Malaysia, which claimed that the situation was worse than reported.

Elaborating further, the Prime Minister said statistics from the HIS were still relevant and reliable for macro level evaluation but at the micro level, like for states, the data had to be used carefully.

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Dr Mahathir Mohamad

“(This is) because it does not reflect consumer patterns, needs and demography of households accurately due to errors in sampling that cannot be avoided,” he said.

In view of these facts, he said, the government took the step to review the poverty line (PGK).

Dr Mahathir added that in the Mid-Term Review of the 11th Malaysia plan, the government introduced the Multi-Dimensional Poverty Index (MPI) to complement the PGK, that is to measure and monitor poverty in various dimensions like health, education, income and living standards. – Bernama

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