HomeBusinessPoverty datum line shoots 21,3%

Poverty datum line shoots 21,3%

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BY FIDELITY MHLANGA
THE total consumption poverty line (TCPL) for an average of five persons shot by 21,3% to $6 420,87 in March 2020, the country’s statistical agency ZimStat announced on Friday

“The TCPL for an average of five persons stood at $6 420,87 in March 2020.

This means that an average household required that much to purchase both food and non-food items for them not to be deemed poor. This represents an increase of 21,3% when compared to the February 2020 figure of $5 292,63,” said ZimStat.

Moreso, the total food poverty line (TFPL) for an average of five persons in Zimbabwe grew by 12,8% to $2 365,15 in March 2020 from $2 097,12 the previous month.

At a time authorities are providing a cash relief of a paltry $200 to vulnerable households to cushion them from the impact of COVID-19, food poverty line (FPL) for one person in March 2020 stood at $473.

“The total consumption poverty line (TCPL) for Zimbabwe stood at $1 284,17 per person in March 2020. This means that an individual required that much to purchase both non-food and food items as at March 2020 in order not to be deemed poor. This represents an increase of 21,3% when compared to the February 2020 figure of $1 058,53,” said ZimStat.

ZimStat said the poverty datum lines vary by province as prices vary from place to place. The TCPL for an average household in March 2020 ranged from $5 613 in Mashonaland Central province to $7 436 in Matabeleland North province. The differences are explained by differences in average prices in the provinces.

ZimStat said the TCPL which is naturally higher than the FPL was calculated using results of the poverty, income, consumption and expenditure survey done in 2017.

It said the figure was arrived at through computing the non-food consumption expenditures of poor households which were equal to the FPL.

“The amount was added to the FPL, if an individual does not consume more than the TCPL, he or she is deemed poor.

The analysis uses the per capita consumption expenditure, and an average of five persons is used based on the average size of households as established by the 2012 Population Census,” said ZimStat.

The country’s annual inflation rate shot up to 676,39% in March from 540,16% in February.

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