Professional Documents
Culture Documents
June 2013
Zambia
Authors: George Lwanda [UNDP] and Paul Quarles van Ufford [UNICEF] for the United
Nations Country Team, Zambia, 2013.
BACKGROUND AND RATIONALE
Zambia has published its 2013 MDG report, which highlights areas of progress and likely
achievement in parallel with areas where progress has stalled and achievement of MDG targets is
unlikely. The MDG status is predominantly based on national averages. This raises the question
about the extent to which progress towards MDG targets hides inequalities between different
socio-demographic and wealth segments of the population and how these, in turn, relate to the
distribution of and trends in poverty, in particular as the effects of poverty (MDG 1) are echoed
throughout the subsequent goals.
It is commonly acknowledged that consistent and strong macroeconomic growth in Zambia has
not been accompanied by concomitant reductions in poverty. Despite registering a robust GDP
growth averaging over 5.5% annually over the last decade and 7.3% in 2012, poverty levels
remain stubbornly high. In fact, evidence continues to show that growth in Zambia is not
trickling down. This is largely because of the capital-intensive sectors it concentrates in.
Additionally, the concentration of economic activity in urban areas and its inability to expand
especially to the small-holder agriculture sector is exacerbating the situation. This raises the
question of how and to what extent persistent poverty has shaped and driven inequality – both in
terms of access to opportunities and in terms of outcomes.
This paper posits that in order to address the stubborn nature of extreme poverty and this growing
state of inequality experienced in the country, apart from macroeconomic and investment policy
is to increase pro-poor, progressive and targeted public spending. This needs to be informed by
data and analysis that identifies the nature and drivers of inequality in Zambia – hence, the
attempt to address this issue.
And in this context, the paper attempts to address the following questions:
1. What are the main socio-demographic and economic variables that characterise patterns of
poverty and inequality in Zambia?
2. How do the patterns and distribution of poverty relate to patterns of inequality in terms of
access to opportunities and development outcomes? Is poverty the main driver of inequality?
3. To what extent are public policies and public expenditure addressing poverty and inequality?
What other social policies bear relevance for addressing economic and, eventually, social
inequalities?
4. What are the specific research questions and key messages that emerge from this initial
analysis and that deserve to be explored by the UN in the coming time, in order to underpin
on-going advocacy and technical assistance as well as to contribute to laying an analytical
foundation for the 2016-2020 UNDAF?
WHY INEQUALITY?
The twin effects of poverty and inequality are globally recognised as a major detractor of
development in general and of human development in particular. Whilst economic growth as a
facilitator of development is uncontested, increasing evidence shows that growth accompanied by
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increasing inequality is unsustainable and inefficient.1 Equality was identified as a fundamental
value in the Millennium Declaration adopted by the UN in 2000. Human rights principles such as
universality, participation, or non-discrimination on the one hand and the set of individual social,
economic, civil, cultural, and political rights on the other provide an unequivocal normative
framework and guidance for the eradication of inequalities. States have an obligation to take
proactive measures that address the drivers of inequality and ensure equality of access,
opportunity, and outcomes.
Economic inefficiency largely is a result of the fact that the “interconnections and resilience of
these inequalities imply that some groups have consistently inferior opportunities … than their
fellow citizens2”. Additionally, increasing inequality, through polarisation, undermines stability
and solidarity. More importantly, inequality sustains and grows poverty through the transmission
of intergenerational poverty. It is therefore vital that the nature and location of inequality in a
country be understood in order to implement appropriate interventions to mitigate and reverse
poverty and inequality. Nonetheless, it must also be pointed out that this paper is not an
exhaustive analysis of inequality but an initial analysis aimed at enriching on-going policy
advocacy and technical assistance as well as to contribute to laying an analytical foundation for
the 2016-2020 UNDAF. It further facilitates a focus on trends ‘beneath the averages’ as far as
progress towards the achievement of MDGs is concerned.
The paper focuses primarily on socio-economic inequalities. These include poverty, income and
expenditure inequality, as well as inequality in access to a basic set of goods and services necessary
for dignified living (such as access to health, safe drinking water or electricity). Inequalities in the
distribution of wealth are seen as both a cause and consequence of other inequalities, such as in
health status or in access to education. The paper tentatively explores these linkages and uses
spatial and demographic dimensions to demonstrate how patterns of inequality play out. Yet, it
does not analyse and cover other equally important inequalities such as those related to power,
politics and prestige (social inequality) or environmentally driven inequalities, and ethnic/tribal
inequalities. We recognise, however, that these multiple drivers of inequalities often intersect and
mutually reinforce each other.
1
For example, the countries of Libya and Tunisia were classified as high HD countries and Egypt as medium HD, when the
upheavals in the countries started. All countries were however accompanied by high inequality with Gini-coefficients at
least higher than 0.66 in 2011 (UNDP HDR database).
2
World Bank (2006), World Development Report. P.7
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PATTERNS OF POVERTY IN ZAMBIA
MDG target: Halve, between 1990 and 2015, the proportion of people living in extreme poverty
MDG indicator: Proportion of population living in extreme poverty
MDG status for Zambia: 42.3 per cent
MDG 2015 goal for Zambia: 29 per cent
There has not been any significant overall level of poverty reduction between 2006 and 2010. As
seen by the graph below, overall poverty remains high at 60.5% in 2010. This, however,
represents a slight reduction from the overall poverty level of 62.8% in 2006. Whilst the levels of
the extremely poor have almost remained unchanged, there has been a slight reduction (1.9%) in
the proportion of the ‘moderately poor’.3 Of concern is the fact that despite a slight percentage
point decline in poverty, the absolute number of people living below the poverty line has actually
increased, together with population growth. In absolute numbers, in 2010, around 7.9 million
people lived in poverty, with 5.5 million among them living in extreme poverty. Moreover, since
1991, the number of poor people increased from about 6 million to 7.9 million in 2010.
3
Extreme poverty is also referred to as the food poverty line: it uses a Cost of Basic Needs approach to estimate the
minimum daily basic needs requirements – which then represents the extreme poverty line. Moderate poverty refers to a
set of food and non-food items (shelter, clothing, health and education) to establish a poverty line.
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THE SPATIAL DIMENSION OF POVERTY: THE RURAL URBAN DIVIDE
Figure 2: Breakdown of rural and urban poverty status by year – 2006-2010, Zambia
90
80.3 77.9
80 72.5
70.3
70
58.5 57.7
60
50
40
29.7 27.5
30 21.8 22.1
20.2 19.6
20 16.7 14.4
13 13.1
10
0
Extremely Poor -2006/10 Modarately Poor-2006/10 Non-Poor-2006/10 Total Poor-2006/10
Rural Areas Urban Areas
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Figure 3a: Headcount Poverty rate by province (2006 and 2010)
90 80.5 83.3
78.5 78.5
80 70.7 77.9 73 80.4
73.9 75 70.7
70 60.9 67 67.9
60
50
37.3
40
34.3 Pov 2006
30 24.7
24.4 Pov 2010
20
10
0
70 64.9 64.6
56.4 57.5
60 53.6
48.8 58.7 50.9 64
50 55.8 44.6
36.7 47.3
40 46.1
30
19.5 Ex Pov2006
20 18.3
10.3 Ex Pov 2010
10 11.5
0
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THE POVERTY GAP RATIO
MDG target: Halve, between 1990 and 2015, the proportion of people living in extreme poverty
MDG indicator: Poverty Gap Ratio
MDG status for Zambia: 28 per cent
MDG 2015 goal for Zambia: 31.1 per cent
Figure 4, below, provides Zambia’s poverty gap ratio broken down by province and rural and
urban areas. The poverty gap ratio is an important indicator of how far below the poverty line the
poor actually are, and hence how unequal the incidence of poverty is. The higher the ratio, the
more resources are required to reduce poverty. On an overall basis, the depth of poverty has
progressively reduced from 31.5% in 2006 to 28% in 2010 – an 11 per cent reduction. Between
2006 and 2010, the poverty gap reduction in urban and rural areas occurred at a similar pace. The
reduction of the poverty gap, however small, is a significant finding that puts into perspective the
status quo observation for overall poverty levels: it points to some households actually moving
closer to the poverty line.
Figure 4: Poverty gap ratio by province and rural-urban area, Zambia 2010
60
48.9
50
42.7 41.6 41.3 42.7
37.5 38.1 37.9
40 34.3 35.3
31.4 31 41.3 38.2 31.5
37.2 28
30 25.1
2006
20 15
12.1 10.6 2010
8.58.2 9.3
10
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POVERTY BY GENDER AND BY AGE
Data shows that the proportion of women and men who live in poverty – extreme or moderate –
is the same. However, the 2010 LCMS does show that poverty is higher in female-headed
households.
Table 1: Poverty rates by sex of household head, Zambia 2010
Overall poverty Extreme poverty Moderate poverty
2006 2010 2006 2010 2006 2010
Male-headed 61.7 60.1 41 41.9 20.7 18.2
households
Female-headed 67.4 62.4 49.8 44.4 20.7 18
households
Source: 2010 LCMS
The data reveal that, in 2010, poverty rates are higher in female-headed households (62.1 per cent
versus 60.1 per cent for male-headed households). However, more importantly, the table shows
that this differential has been reduced from close to six percentage points in 2006 to slightly over
3 percentage points in 2010. Virtually all of this reduction can be attributed to the decline in the
proportion of female-headed households living in extreme poverty, which reduced by 5.4
percentage points – compared with a slight increase for male-headed households. Moderate
poverty rates have remained stable and reveal gender differentials. Reflecting the overall pattern,
poverty is highest in rural areas, affecting about 80 per cent of female-headed households and 77
per cent of male-headed households.
On the basis of LCMS 2010 data, we can estimate that around 65% of children between 0-18 years
lived in poor families. Of those, 46% lived in a situation of extreme poverty. These figures are
higher than the overall poverty figures, reflecting a situation in which poor families typically
have a larger number of children on average. In absolute numbers, 4.6 million children live in
poor families in Zambia. Out of all children in poor families, 85% live in rural areas. Taking into
account that children 0-18 years represent approximately 54% of the country’s population, this
translates into children having a stronger representation among both the extreme and moderately
poor groups of the population – as shown in the following Table 2.
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When disaggregating the percentage of people living in poverty by age (Figure 5), it is noticable
that the proportion of poor children (below 18 years of age) and the proportion of the elderly
poor (above 60 years of age) are the two groups consistently above the country’s average poverty
line.
Figure 5: Proportion of people living in poverty by age, Zambia, 2010
While in percentage terms the poverty numbers for the 0-18 age bracket are similar to other
groups – for example for the population over 45 years – in absolute terms, the differences are
striking (Figure 6).
Figure 6: Absolute number of poor people by age, Zambia, 2010
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In terms of district-level poverty, analysis conducted by UNICEF in 2011-2012 revealed that
poverty is significantly deeper (furthest below poverty line) in districts with more poor people. In
the least poor districts, poor people on average are about 10% from the poverty line. In contrast,
in the very poorest districts, this figure is about 60%.4 At district level, poverty among children is
evident.
In 61 out of the 72 districts in the country, 50% or more of the overall population is
living in poverty;
In 62 districts, 50% or more of the children population (0-18) is living in poverty;
In 69 out of the 72 districts, the percentage of children living in poverty is higher than
the percentage of adults living in poverty;
In 71 districts, the percentage of children living in poverty is higher than the country’s
average (60%).
In general, orphan-hood typically is a strong predictor of poverty and a proxy for estimating the
relationship between poverty and HIV-prevalence. An orphan is most commonly defined as a
child below 18 years of age who has lost one or both parents. In Zambia in 2010, according to the
LCMS data, about 16 per cent of children had lost at least one parent – 14 and 20 per cent in rural
and urban areas respectively.5 Nearly 60 per cent of orphans are paternal orphans. The 2010
LCMS data provide no clear-cut trend between orphan status and poverty. In rural areas, the
proportion of orphans does not vary with farm size (which is used as a poverty proxy) and is
slightly higher among non-agricultural households. In urban areas, the proportion of orphans is
4
UNICEF Zambia (undated) Reaching the MDGs with equity: Identifying Zambia’s most excluded people.
5
The LCSM calculates this percentage among all young people below 20 years of age.
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slightly higher in neighbourhoods qualified as ‘medium-cost’ (low, medium, and high-cost strata
are used as poverty proxy) and ‘low-cost’ and ‘high-cost’ areas having roughly equal proportions.
Figure 8: Poverty headcount (%) by education level of household head, Zambia 2010
90 83.5
79.3
80
70
60
48.8
50
40
30
20 11
10
0
None Primary Secondary Tertiary
Poverty is highest amongst households in which the head of the household has no formal
education (83.5%) whereas only 11% of households in which the head of the household has
reached tertiary education are poor. Additionally, households headed by someone with primary
school education also exhibit high poverty levels whilst almost half of the households headed by
someone with secondary education are poor. A lack of education increases the likelihood of
poverty being perpetuated and transmitted across generations. In fact, the odds are high that a
child who lives in a poor household in which the head has none or only primary education, will
experience a high risk of non-attendance or drop-out of school early (cf. below).
1. Poverty in Zambia remains stubbornly high at around 60%. The relative decline over the
past eight years is insignificant (2 percentage points since 2006) and the absolute number
of poor people continues to rise (from about 6 million in the early 1990s to 7.9 million in
2010).
2. Only Lusaka and Copperbelt Provinces have a non-poor population that is larger than the
poor population in that province. All other provinces have a majority who are poor.
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3. There are two provincial exceptions to overall stagnant poverty levels: in Luapula
Province, poverty increased by 8 per cent and in Central Province, poverty declined by 29
per cent. The reasons underlying these two opposing patterns should be investigated
further.
4. Central Province registered the largest decline in the poverty gap ratio. This could be
linked to developments in commercial farming, including through backward and forward
linkages. However, national poverty data and trends vis a vis households showed that
where there was a decline in rural poverty, it was observed most notably among non-farm
households.
5. The education level and gender of the household head are strong predictors of poverty.
Households in which the head has no or only primary education are twice as likely to be
poor compared with households in which the head completed secondary education, and
seven times more likely to be poor than households in which the head has tertiary
education. Female-headed households are more likely to be poor than male-headed
households but this gender differential was significantly reduced since 2006, a
phenomenon that is mainly attributed to a reduction of extreme poverty among female-
headed households.
6. The proportion of children living in poor households (65%) is higher than the overall
headcount rate. In all, this adds up to approximately 4.6 million children living in poverty
in Zambia.
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PATTERNS OF INEQUALITY IN ZAMBIA
This section focuses on patterns of inequality, in particular with regard to access to education, safe
drinking water, and electricity. The selection of these areas has been driven by data availability
correlated with priority areas of action for the UN. It is certainly worth expanding the analysis to
cover inequalities in access to opportunities in the areas of health and nutrition, when the data
becomes available to do so. The various inequalities are highlighted by bringing out spatial,
gender and age dimensions. A link is also established with the patterns of poverty as outlined
previously.
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Figure 10 below shows the percentage share of expenditure by quintile in Zambia in 2010 based
on the 2010 LCMS. The expenditure share in Zambia is dominated by the highest quintile which
accounts for 60% of total expenditure whilst the lowest quintile is estimated to account for only
4% of total expenditure. The national quintile expenditure ratio in Zambia is 15, which means
that, on average, the expenditure of the richest 20% of the population is 15 times that of the
average expenditure of the poorest 20%. The 2013 UNDP Human Development Report estimates
the quintile income ratio, which is the ratio of the average income of the richest 20% of the
population to the average income of the poorest 20% of the population, at 16.6. This means that
on average, the income of the richest 20% of the population is 16.6 times more than that of the
poorest 20% of the population, reflecting deep and further deepening income and expenditure
inequalities in the country.
Figure 10: Percentage share of total expenditure by quintile, Zambia, 2010
4%
7%
11% Lowest
Second
60% 18% Third
Fourth
Highest
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Figure 11, above, illustrates the differences in HIV/AIDS prevalence rates in the different
provinces in Zambia. From this, it can be seen that although Zambia achieved its national MDG
target of an HIV/AIDS prevalence rate of below 15.6% in 2007, which was highly commendable,
there remain disparities in the HIV prevalence rates amongst the provinces. Provinces such as
Lusaka, Copperbelt, Southern and Western all have prevalence rates above the national average
rate of 14.3%. In addition, it can be seen from the graphs below (Figures 12) that HIV prevalence
is higher among women than men regardless of whether they live in rural or urban areas. The
data also shows that HIV prevalence rates in Zambia in urban areas (20%) are twice that of rural
areas (10%).
Figure 12: HIV Prevalence among adults age 15 – 49
23.1
16.1 15.9
14.3
12.3
11.0 10.3
9.4
Percent
70% 64%
60% a 56%
50%
50%
40% 31%
30% 23% 21% 25%
19%
20% 11%
10%
0%
Never attended Currently attending Not Currently Attending
In analysing this data, it must be noted that 60% of people between the ages of 5 and 24 years old
reside in rural areas whilst 40% reside in urban areas. When the actual numbers are analysed, it
shows that whilst in urban areas approximately 269,000 children and youth between 5 and 24
years have never attended school, and the number in the rural areas is 4.2 times higher (1.13
million).
Figure 15: Proportion of children and youth that have never attended school or are
currently not attending school, by age and location, Zambia, 2010
70% 63%
60% 54%
50% 41%
40% 36% 35%
28%
30% 21%
20% 16%
9%
10%
0%
5 - 9' 10 - 14' 15 - 19'
60% 53%50%
49%
50%
40%
28%
30% 24% 22% 24%
19% 18% 18% 20% 20%
20% 15%
12% 11% 11% 11% 11% 11% 12%
10% 7% 9% 9%
10%
0%
Total 5 - 9' 10 - 14' 15 - 19' 20 - 24' 25 - 29'30 - 34' 35 - 39' 40 - 44' 45 - 49' 50 - 54' 55+
Male Female
7
The 19+ years age group has been left out as it is not normally a school going age and therefore has a large
percentage of people not going to school.
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Moderately poor Total 13.1 78.2 91.9 88.9 65.1 28.2
Male 12.0 77.5 92.4 87.8 73.5 40.8
Female 14.3 78.9 91.5 90.0 57.5 17.6
Rural 11.0 76.1 90.9 88.9 63.2 28.4
Urban 18.9 83.8 94.3 89.1 69.7 27.7
Non poor Total 34.0 88.4 96.5 92.6 73.8 24.2
Male 33.7 87.1 96.4 94.3 80.0 32.6
Female 34.4 89.7 96.6 91.1 68.7 17.8
Rural 24.0 83.2 95.3 91.9 71.8 24.8
Urban 41.6 91.8 97.2 92.9 74.9 23.9
All Zambia Total 19.1 77.1 91.8 88.2 69.0 27.1
Male 18.7 75.3 92.0 87.9 76.5 37.8
Female 19.5 78.8 91.7 88.5 62.0 17.9
Rural 13.5 73.0 90.2 86.7 66.4 28.6
Urban 32.9 86.8 95.3 91.1 73.4 24.8
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Figure 17: Distribution of household expenditure on education, by expenditure
quintile and level of education, Zambia 2010
100%
16% Q5
80% (Riches
Quintile participation
41%
t 20%)
60% 85%
Q4
40%
20%
21%
Q3
2%
7%
0%
Basic High Tertiary
Source: calculations based on 2010 LCMS data
450,000 417,945
387,507
400,000
350,000
300,000
250,000
200,000
150,000
100,000
50,000 30,438
0
Zambia Rural Urban
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television, electronic mail, the world wide web), including agriculture, commerce,
manufacturing, industry and mining conversely, lack of access to energy contributes to poverty
and deprivation and can contribute to economic decline8”.
The Johannesburg Plan on Implementation, one of the outcomes of the World Summit on
Sustainable Development (WSSD) in Johannesburg in 2002, also emphasises on the links between
access to energy and poverty. This view is also supported by the 2005 UN publication “The
Energy Challenge to Achieving Millennium Development Goals” which opines that although
there is no separate MDG on energy, energy is an integral part of achieving the MDGs and that
“higher quality and larger quantities of energy services than current approaches are required to
meet the MDG challenge”9.
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RE-DRAWING THE LINES ON PUBLIC
POLICY AND EXPENDITURE TO
ADDRESS POVERTY AND INEQUALITY
To what extent do national policies and public expenditures in Zambia effectively and efficiently
address poverty and inequality? Macroeconomic and micro economic policies, linked to pro-poor
investments and expenditures, have a significant role to play in correcting the poverty and
inequality imbalances. This leads to choices on social protection, tax policy and administration,
social and economic infrastructure that are critical instruments that directly impact on levels of
inequality and poverty. No one measure alone can make the change. It is the combined and
appropriate application of these development instruments that will lead to effective and
sustainable poverty and inequality reduction. International evidence, for example, has taught us
that social protection measures have optimum impact when linked to quality, affordable, and
accessible basic social services – requiring, among other things, accompanying supply side
infrastructure investments. Also, social protection policies have proven to lay a solid foundation
for linkages with livelihood and economic empowerment support programmes (micro finance,
savings programmes, feeder roads, and agricultural support and extension services). On the other
hand, market infrastructure investment that has not enabled the poorest to take advantage of the
new roads, transport, credit and supply chain opportunities will only increase the divide. A pro-
poor and inequality reducing set of interventions cuts across sectors and must be designed and
implemented as a whole. The proceeding section goes on to identify four required areas of
intervention in Zambia.
10
Ibid., p.28
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among the top income quintiles. In fact, whereas primary education spending is fairly equal,
members of the richest income quintiles attend universities, colleges, and technical schools ‘at a
rate that vastly exceeds that of the poor’.11
The pro-poor targeting of public expenditures remains questionable. The FISP and FRA subsidies
reach to 800,000 and 390,000 households respectively. Altogether, they only make a weak dent in
view of the overall number of poor households, even when only the extreme poverty line is
considered (around 5.2 million households). The targeting efficacy of one of the larger social
transfer programmes, the FISP, is illustrated by the graph below which shows that nearly two-
thirds of the beneficiaries of this transfer programme are in the top three income quintiles and
about 36% of benefitting households in the bottom 40 per cent of the income distribution, i.e.
under the extreme poverty line.
Figure 20: Distribution of maize-growing households benefitting from FISP and FSP
30%
Distribution of all beneficiaries
25%
20%
15%
10%
5%
16% 20% 26% 24% 14%
0%
Q1 Q2 Q3 Q4 Q5
(Poorest 20%) (Richest 20%)
11
Ibid., p.35
12
Cuesta, Kabaso, and Suarez-Becerra (2012); How pro-poor and progressive is social spending in Zambia? The World Bank:
Poverty Reduction and Economic Management Network, Poverty Reduction and Equity Unit.
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related capacities, that are directly linked to Zambia’s vast agriculture and extractives sectors, will
ensure new jobs are created at a more rapid pace and wealth further distributed.
Given the limited public resources as well as a shrinking fiscal space, it is imperative that the
country develops innovative ways in which to incorporate the active participation of the private
sector in such infrastructure and human resource capacity investments. The establishment of an
enabling and productive investment climate that is focused on growing small, micro and medium
scale enterprises (SMME) is a proven strategy that has eased levels of poverty and inequality, both
in urban and rural communities. Global evidence has shown that in low income and low middle
income country contexts the highest numbers of new jobs are often created through a vibrant
SMME sector.
13
World Bank (2013) Using Social Safety Nets to Accelerate Poverty Reduction and Share Prosperity in Zambia. Human
Development Department; Social Protection Unit; Africa Region.
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upon the ultimate beneficiaries, it can be assumed that the programme likely benefits the poor
households at a somewhat larger extent than in proportion to their share in the overall
population, which is an indication of the progressive nature of the programme.
Developing a costed gender action plan in each sector that specifically addressed
interventions to close the primary gender gaps in that sector.
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A QUALITY PUBLIC EDUCATION
The achievement of universal quality education and its accompanying and far-reaching
development benefits are globally undisputed. The UNESCO 2012 education for all policy paper14,
reiterates these benefits and how quality universal education unlocks other MDG, human rights
and human development gains. In summary, quality universal education reduces poverty and
promotes economic growth. The policy paper observes that education provides an escape route
out of poverty for the poor. It estimates that in low income countries, each additional year of
education adds about 10% to an individual’s average income. A similar trend can also be observed
for Zambia. In Zambia, poverty is highest amongst households in which the head of the
household has no formal education and is considerably low amongst households whose head has
tertiary education (eight times lower). In addition, quality universal education also improves
maternal health by delaying early marriages, reducing fertility rates and encouraging good health
practices which, amongst other things. It also reduces child mortality; promotes gender equality.
Quality education in Zambia is however expensive which means that poor are denied an
important escape out of poverty. An important reason for this identified by UNESCO is the fact
that Zambia has one of the lowest percentages of public expenditure in education in the world.
The UN recommends countries to spend, at minimum, an amount equivalent to 5% of their GDP
on public education. Zambia is estimated to have spent 1.4% of its GDP on public education
between 2005 and 200915. This amount is negligible if the country is to effectively address the
challenges at hand, especially given the country’s high number of children out of school and
exacerbated by over a decade of very low investments in education during the eighties and
nineties.
14
UNESCO. 2012. Education for all global monitoring report: Policy paper 4
15
Acosta A. 2012. Using natural resource revenues for education. Background paper prepared for the education for all
global monitoring report 2012. P17
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IN CONCLUSION: A FOCUS ON THE
GAME CHANGERS FOR A ‘MORE EQUAL’
ZAMBIA
This paper, on the basis of available data and research, has shown that poverty and inequality in
Zambia are closely linked and exacerbate each other. Poverty in Zambia is deep (42 per cent food
poverty), rural (close to 80 per cent), and remains stagnant (minimal reductions since 2006).
Higher levels of poverty are found among children (65% as opposed to 60% overall), elderly, and
in female-headed households, despite a significant reduction in extreme poverty among the latter.
In addition, poverty is a key dimension driving inequality and results in some groups consistently
having inferior opportunities. Inferior access to opportunities is typically transmitted over time
resulting in intergenerational poverty and inequality. For instance, the level of education of heads
of poor households is usually low and this correlates with a reduced opportunity to access to
education for the children living in that household.
The paper has also shown that inequalities in the country mirror the characteristics and patterns
of poverty and have an income, spatial and gender bias. Income inequality is generally higher in
the provinces with relatively higher levels of formality in their economy and lower in more
informal economy provinces. However non-income inequality, mainly in terms of access to
opportunities, is pronounced and reflected in lack of access to basic services such as safe drinking
water, education, electricity and sanitation amongst the poor. This inequality is then exacerbated
by spatial conditions with poor households in rural areas being worse off than those in the urban
areas. Additionally, the provincial variations are also significant with, for example, Luapula
province exhibiting the highest levels of poverty and inequality in access to basic services. These
factors must be taken into account in scoping policy and investments.
International experience demonstrates that a policy mix that combines targeted transfers with the
provision of quality education, affordable and quality basic social services and infrastructure, and
the reduction of gender imbalances, can be a powerful mix of instruments to reduce both poverty
and inequality in the short and long run. With regards to targeted transfers, Zambia can use the
on-going development of a comprehensive national social protection policy to formulate bold
policy intentions on the expansion of social assistance for the extreme poor. This includes the
rationalisation of the existing and multiple social protection schemes. Adequately targeting the
extreme poor is not an easy exercise and one where data and information has to be constantly
monitored and updated. However, when done well, it has the potential of significantly reducing
poverty and inequalities. In this context, the National Social Protection Policy should, ideally,
link to efforts to improve the pro-poor targeting of agricultural subsidy support programmes.
Measures to shift budgetary resources to ensure adequate coverage through targeted school
feeding, public education and health services for the poor, and social cash transfers are means
through which well-resourced and implemented social policy effectively contributes to
narrowing the gap between the rich and poor.
The need to re-direct national policy and expenditures to inequality and poverty reducing goals
are necessary if Zambia is to shift gear to have a real impact on the relatively static high levels of
poverty and the growing inequalities the country is experiencing. In order to further substantiate
the paper’s findings and recommendations, and provide a useful and responsive guide to the both
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policy makers and partner support, the analysis of poverty and inequality needs to be tracked
with current and composite data and household surveys. It should also encompass additional
sectors such as health & nutrition, to get a full picture. In addition to this sector specificity, the
analysis has also highlighted the need to further investigate location-specific trends, such as the
poverty decline in Central Province, the steep increase in Luapula Province, or the decline among
non-farm households in given rural areas. Applied research that facilitates policy and programme
direction towards context-specific pathways of poverty and inequality reduction is valued.
For the UN in Zambia, there is a clear need to invest policy and programme resources in
supporting initiatives that aim at reducing poverty and inequality in the country, with a focus on
interventions detailed in the preceding sections that are most likely to have the deepest positive
and cascading effect. These are the promotion of quality public education (with a focus on early
learning through secondary); reducing gaping gender imbalances in economic, social and political
opportunity; strengthening better targeted social protection schemes and a cohesive social
protection policy; the creation of jobs and distribution of wealth through technical advisory
services that support pro-poor public policy and expenditures; and the expediting of programmes
and partnerships that invest in raising the productive capacities and infrastructure in vulnerable
communities. To do so with optimal impact, the UN must continue and intensify its collective
efforts at data gathering and impartial analysis to ensure an accurate and current picture of
poverty and inequality in Zambia; share this information and continue to advocate for the issues
in the public domain; ensure on-time policy support to national decision-makers; and invest its
programme resources to support national initiatives that aim directly at reducing poverty and
inequality in the country.
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