The South African MPI

1 The South africa I know, the home I understandThe South African MPIC reating a multidimensional poverty index using census data Statistics South africa Private Bag X44 Pretoria 0001 South africa 170 Thabo Sehume Street Pretoria 0002 User information service: 012 310 8600 Fax: 012 310 8500 Main switchboard: 012 310 8911 Fax: 012 321 7381 Website: Email: The South African MPI Creating a multidimensional poverty index using census data Statistics South africa , 2014 Pali Lehohla, Statistician-General Report No.

2 03-10-08 ii The South African MPI: Creating a multidimensional poverty index using census data / Statistics South africa Published by Statistics South africa , Private Bag X44, Pretoria 0001 Statistics South africa , 2014 Users may apply or process this data, provided Statistics South africa (Stats SA) is acknowledged as the original source of the data; that it is specified that the application and/or analysis is the result of the user's independent processing of the data; and that neither the basic data nor any reprocessed version or application thereof may be sold or offered for sale in any form whatsoever without prior permission from Stats SA.

3 Stats SA Library Cataloguing-in-Publication (CIP) Data The South African MPI: Creating a multidimensional poverty index using Census data / Statistics South africa . Pretoria: Statistics South africa , 2014 Report no.: 03-10-08 58pp ISBN 978-0-621-42616-8 A complete set of Stats SA publications is available at Stats SA Library and the following libraries: National Library of South africa , Pretoria Division National Library of South africa , Cape Town Division Library of Parliament, Cape Town Bloemfontein Public Library Natal Society Library, Pietermaritzburg Johannesburg Public Library Eastern Cape Library Services, King William s Town Central Regional Library, Polokwane Central Reference Library, Nelspruit Central Reference Collection, Kimberley Central Reference Library, Mmabatho This report is available on the Stats SA website: For technical enquiries please contact: Ross Jennings Tel.

4 (012) 337 6342 Email: Copies are obtainable from: Printing and Distribution, Statistics South africa Tel: (012) 310 8093 (012) 310 8619 Email: iii Contents List of tables .. iv List of figures .. v Preface .. 1 Introduction .. 2 What is multidimensional poverty? .. 2 The history of multidimensional poverty measurement by Stats SA .. 2 What is the MPI? .. 3 Constructing the South African MPI .. 4 Data sources .. 4 Exploring the data .. 5 The dimensions, the indicators and their deprivation cut-offs.

5 5 The poverty cut-off .. 7 Limitations .. 8 Using the SAMPI .. 8 Profiling multidimensional poverty in South africa .. 9 The poverty measures .. 9 What is driving the poverty situation? .. 10 Poverty measures at a provincial level .. 11 Poverty profile: Western Cape .. 16 Poverty profile: Eastern Cape .. 20 Poverty profile: Northern Cape .. 24 Poverty profile: Free State .. 28 Poverty profile: KwaZulu-Natal .. 32 Poverty profile: North West .. 36 Poverty profile: Gauteng .. 40 Poverty profile: Mpumalanga .. 44 Poverty profile: Limpopo .. 48 Conclusion .. 52 The way forward .. 52 iv List of tables Table 1: The dimensions, indicators and deprivation cut-offs for SAMPI.

6 6 Table 2: Deprivation headcounts on each of the indicators .. 7 Table 3: The dimensions, indicators and their weights .. 8 Table 4: Poverty measures for Census 2001 and Census 2011 .. 9 Table 5: Intensity of deprivation amongst the poor .. 9 Table 6: Poverty measures for Census 2001 and Census 2011 at provincial level .. 11 Table 7: Poverty measures for Census 2001 and Census 2011 in Western Cape .. 16 Table 8: Poverty measures for Census 2001 and Census 2011 at municipal level in Western Cape .. 17 Table 9: Poverty measures for Census 2001 and Census 2011 in Eastern Cape .. 20 Table 10: Poverty measures for Census 2001 and Census 2011 at municipal level in Eastern Cape.

7 21 Table 11: Poverty measures for Census 2001 and Census 2011 in Northern Cape .. 24 Table 12: Poverty measures for Census 2001 and Census 2011 at municipal level in Northern Cape .. 25 Table 13: Poverty measures for Census 2001 and Census 2011 in Free State .. 28 Table 14: Poverty measures for Census 2001 and Census 2011 at municipal level in Free State .. 29 Table 15: Poverty measures for Census 2001 and Census 2011 in KwaZulu-Natal .. 32 Table 16: Poverty measures for Census 2001 and Census 2011 at municipal level in KwaZulu-Natal .. 33 Table 17: Poverty measures for Census 2001 and Census 2011 in North West.

8 36 Table 18: Poverty measures for Census 2001 and Census 2011 at municipal level in North West .. 37 Table 19: Poverty measures for Census 2001 and Census 2011 in Gauteng .. 40 Table 20: Poverty measures for Census 2001 and Census 2011 at municipal level in Gauteng .. 41 Table 21: Poverty measures for Census 2001 and Census 2011 in Mpumalanga .. 44 Table 22: Poverty measures for Census 2001 and Census 2011 at municipal level in Mpumalanga .. 45 Table 23: Poverty measures for Census 2001 and Census 2011 in Limpopo .. 48 Table 24: Poverty measures for Census 2001 and Census 2011 at municipal level in Limpopo.

9 49 v List of figures Figure 1: Dimensions and indicators of the MPI .. 3 Figure 2: Contribution of weighted indicators to SAMPI 2001 at national level .. 10 Figure 3: Contribution of weighted indicators to SAMPI 2011 at national level .. 10 Figure 4: Poverty headcount (H) at provincial level in 2001 .. 12 Figure 5: Poverty headcount (H) at provincial level in 2011 .. 13 Figure 6: Poverty headcount (H) at municipal level in 14 Figure 7: Poverty headcount (H) at municipal level in 15 Figure 8: Contribution of weighted indicators to SAMPI 2011 in Western Cape .. 16 Figure 9: Poverty headcount (H) in Western Cape at municipal level in 2001.

10 18 Figure 10: Poverty headcount (H) in Western Cape at municipal level in 2011 .. 19 Figure 11: Contribution of weighted indicators to SAMPI 2011 in Eastern Cape .. 20 Figure 12: Poverty headcount (H) in Eastern Cape at municipal level in 2001 .. 22 Figure 13: Poverty headcount (H) in Eastern Cape at municipal level in 2011 .. 23 Figure 14: Contribution of weighted indicators to SAMPI 2011 in Northern Cape .. 24 Figure 15: Poverty headcount (H) in Northern Cape at municipal level in 2001 .. 26 Figure 16: Poverty headcount (H) in Northern Cape at municipal level in 2011 .. 27 Figure 17: Contribution of weighted indicators to SAMPI 2011 in Free State.