Multidimensional Vulnerability Index (MVI) launched by UN
Kartavya Desk Staff
Syllabus: Social Justice: Poverty
Source: TH
Context: The UN General Assembly has launched the “Multidimensional Vulnerability Index” (MVI), a new tool to help small island and developing nations access low-interest financing. Though use is voluntary, the UN urges its adoption
What is Vunerability?
Vulnerability refers to the susceptibility of individuals or groups to harm due to various factors, such as social, economic, environmental, or health-related circumstances. It highlights the condition of being at risk and unable to adequately protect oneself from adverse situations.
About Multidimensional Vulnerability Index (MVI):
The MVI is a new global benchmark measuring structural vulnerability and resilience across various sustainable development dimensions. It complements GDP and other metrics, aiming to capture vulnerabilities and resilience in all developing countries. Initially advocated by small island states, it includes factors like import dependency, climate risks, and social resilience.
Aspects | Description
About | The Multidimensional Vulnerability Index (MVI) measures structural vulnerability and lack of resilience across various dimensions of sustainable development at the national level.
Purpose | It addresses the needs of small island developing states (SIDS) and other developing nations that face unique vulnerabilities but don’t qualify for low-interest financing.
Key Indicators in the MVI | The MVI includes indicators such as:
i) Import dependency
ii) Exposure to extreme weather events and pandemics
iii) Impacts of regional violence and refugee crises
iv) Demographic pressure
v) Water and arable land resources
vi) Child mortality under five.
Limitations of Traditional Measures | Traditional metrics like Gross National Income (GNI) often miss the vulnerabilities of developing countries. These measures hinder them from accessing necessary development financing.
Applications of the MVI | The MVI will guide:
i) Programmatic support for SIDS and other developing countries
ii) Debt service strategies
iii) Financing sustainable development initiatives tailored to the challenges of SIDS.
Singificance: The MVI is crucial for helping these nations access concessional financing, improve planning, manage debt, and prepare for climate impacts.
Other similar Indices:
What is National MPI?
The National Multidimensional Poverty Index (MPI) is a metric assessing poverty in a country by considering health, education, and standard of living, represented by 12 indicators. It employs the Alkire Foster methodology.
The National Multidimensional Poverty Index (MPI), a first-of-its-kind, estimates multiple deprivations at a household level using NFHS data. Published by NITI Aayog, it includes three dimensions and 12 indicators. Sub-indices measure the Headcount Ratio (how many are poor) and the Intensity of Poverty (how poor are the poor). The Global MPI, published by OPHI in collaboration with UNDP, is a similar index addressing worldwide multidimensional poverty.
Key findings of Niti Aayog:
• Steep decline in Poverty Headcount Ratio (HCR): HCR represents the percentage of the population below the Poverty Line.
• Positive Improvement in All 12 MPI Indicators
• Faster Decline in Poorer States: Poorer states like Uttar Pradesh and Bihar show a rapid decline in poverty, suggesting a reduction in disparities.
• SDG Target 2: India is expected to achieve Sustainable Development Goal (SDG) Target 1.2, aiming to reduce multidimensional poverty by at least half, well before 2030.
• Successful Government Initiatives: Programs like Poshan Abhiyan and Anemia Mukt Bharat have improved healthcare access, while the Targeted Public Distribution System under the National Food Security Act (ensures food grains for over 81 crore beneficiaries), extending free food grain distribution under Pradhan Mantri Garib Kalyan Anna Yojana.
Insta Links:
Multidimensional poverty
Mains Links:
Though there have been several different estimates of poverty in India, all indicate a reduction in poverty levels over time. Do you agree? Critically examine with reference to urban and rural poverty indicators. (UPSC 2015)