Almost daily, headlines in the world’s leading newspapers are full of examples of public sector failures: public money is mismanaged or outright misused; civil servants are not motivated or are poorly trained; government agencies fail to coordinate with each other; and as a result, citizens are either deprived of quality public services, or must go through a bureaucratic maze to access them.
The World Region
Today, less than 10 percent of the world population lives in extreme poverty. Based on information about basic needs collected from 15 low-income countries, the World Bank defines the extreme poor as those living on less than $1.90 a day. However, because more people in poverty live in middle-income, rather than low-income, countries today, higher poverty lines have been introduced. These lines are $3.20 and $5.50 a day, which are more typical of poverty thresholds for middle-income countries.
The World Development Indicators (WDI) is the World Bank’s premier compilation of international statistics on global development. Drawing from officially recognized sources and including national, regional, and global estimates, the WDI provides access to almost 1,600 indicators for 217 economies, with some time series extending back more than 50 years. The database helps users—analysts, policymakers, academics, and all those curious about the state of the world—to find information related to all aspects of development, both current and historical.
An annual World Development Indicators report was available in print or PDF format until last year. This year, we introduce the World Development Indicators website: a new discovery tool and storytelling platform for our data which takes users behind the scenes with information about data coverage, curation, and methodologies. The goal is to provide a useful, easily accessible guide to the database and make it easy for users to discover what type of indicators are available, how they’re collected, and how they can be visualized to analyze development trends.
So, what can you do on the new World Development Indicators website?
1. Explore available indicators by theme
The indicators in the WDI are organized according to six thematic areas: Poverty and Inequality, People, Environment, Economy, States and Markets, and Global Links. Each thematic page provides an overview of the type of data available, a list of featured indicators, and information about widely used methodologies and current data challenges.
- open data
- world development indicators
- Urban Development
- Social Development
- Public Sector and Governance
- Private Sector Development
- Migration and Remittances
- Law and Regulation
- Labor and Social Protection
- Information and Communication Technologies
- Global Economy
- Financial Sector
- Climate Change
- Agriculture and Rural Development
- South Asia
- Middle East and North Africa
- Latin America & Caribbean
- Europe and Central Asia
- East Asia and Pacific
- The World Region
Today we’re (re)launching HEFPI—aka the Health Equity and Financial Protection Indicators database. HEFPI sheds light on two major concerns in global health: a concern that the poor do not get left behind in the rush to achieve global health goals; and a concern that health services should be affordable. Neither concern featured in the MDGs; both feature prominently in the SDGs.
The HEFPI database draws on data from over 1,600 household surveys, including the Demographic and Health Survey and the Multiple Indicator Cluster Survey. Most of the 1,600 surveys have been re-analyzed in-house to ensure comparability across surveys and years, since published indicators from different surveys often use different definitions. We have settled on a definition based on recommendations in the relevant literature, and have used that across all surveys and time periods. As a result, the numbers in HEFPI are often different from (and more comparable than) numbers published elsewhere.
The database is, in effect, the fourth in a series. The first was in 2000. That database focused entirely on MDG-era health service and health outcome data—so no financial protection data. It covered just 42 countries, each with one year’s worth of data. The second (in 2007) and third (in 2012) gradually expanded the scope, with the 2012 dataset covering both financial protection and health equity, and getting up to 109 countries, including some high-income countries.
Last week we had World Food Day on October 16 and World Poverty Day on October 17. The good news from World Poverty Day is that there is global progress on reducing extreme poverty. Based on the latest available data, it is estimated that in 2015 there were 736 million people living on less than US$1.90/day, which compares very favorably to the 1,895 million people living in extreme poverty in 1990. And while the world’s population grew from 5.3 billion in 1990 to 7.4 billion in 2015, the poverty rate fell from 36 percent to 10 percent or 1 percentage point per year on average over this period.
During the days coming up to, and after October 17, when many stories, numbers, and calls for action will mark the International Day for the Eradication of Poverty, we want to invite you to think for a second on what you imagine a poor household to be like. Is this a husband, wife, and children, or maybe an elderly couple? Are the children girls or boys? And more importantly, do all experience the same deprivations and challenges from the situation they live in? In a recent blog post and paper, we showed that looking at who lives in poor homes—from gender differences to household composition more broadly—matters to better understand and tackle poverty.
Globally, female and male poverty rates—defined as the share of women and men who live in poor households—are very similar (12.8 and 12.3 percent, respectively, based on 2013 data). Even in the two regions with the largest number of poor people (and highest poverty rates)—South Asia and Sub-Saharan Africa—gender differences in poverty rates are quite small. This is true for the regions, but also for individual countries, irrespective of their share of poor people. Why is that the case? As Chapter 5 of the 2018 Poverty and Shared Prosperity Report explains, our standard monetary poverty indicator is measured by household, not by individual. So, a person is classified as either poor or nonpoor according to the poverty status of the household in which she or he lives. This approach critically assumes everyone in the household shares equally in household consumption—be they a father, a young child, or a daughter-in-law. By design, it thus masks differences in individual poverty within a household.
Notwithstanding this shortcoming, when we look a bit deeper the information we have today still shows visible gender differences in poverty rates. Take age, for example. We know that there are more poor children than poor adults, and while we do not find that poverty rates differ much between girls and boys at the early stages of life, stark differences appear between men and women during the peak productive and reproductive years.
Against the backdrop of catastrophic natural disasters that struck in Indonesia, the World Bank Group and IMF Annual Meetings took place last week in Bali. No scene could be more illustrative of the fragility of infrastructure in the face of more extreme and frequent weather events—and the urgent need for meticulous planning, with an eye for resilience.
The 2018 Poverty and Shared Prosperity Report shows how poverty is changing and introduces improved ways to monitor our progress toward ending it.
The landscape of extreme poverty is now split in two. While most of the world has seen extreme poverty fall to below 3 percent of the population, Sub-Saharan Africa is experiencing extreme poverty rates affecting more than 40 percent of people. The lamentable distinction of being home to the most people living in extreme poverty has shifted, or will soon shift, from India to Nigeria, symbolizing the increased concentration of poverty in Africa.
In much of the world today, the incomes of the poor are growing. The World Bank calls this concept shared prosperity, defined as the average annual growth in income or consumption of the poorest 40 percent (the bottom 40) within each country. So, if shared prosperity in a country is positive, the poor are getting richer.
In addition, the shared prosperity premium is defined as the difference between the annual income or consumption growth rate of the bottom 40 and the annual growth rate of the mean in the economy. A positive premium indicates that the bottom 40 are getting a larger share of overall income in the economy.