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Productivity, Growth and Poverty Reduction in Rural Pakistan
Pakistan Strategy Support Program (PSSP) December 13, 2012
Islamabad
Pakistan Rural Household Survey Overview and Highlights
by Hina Nazli, Syed Hamza Haider, Stephanie Hausladen, Asjad Tariq,
Hassan Shafiq, Saqib Shahzad, Amina Mehmood, Asma Shahzad and Edward Whitney
Plan of Presentation
• Rationale • Sample and survey instruments • Introduction of Survey – basic human capabilities
– Economic factors (income, livelihoods, work, expenditures),
– Human factors (education, health, living conditions), – Political factors (empowerment, rights, voice), – Socio-cultural factors (status, dignity), and – Protective factors (insecurity, risk, vulnerability)
• Summary of findings • Way forward
Rationale for the Panel Survey – First of Four Annual Rounds between 2012 and 2015
Provide: • a credible baseline assessment of the rural
economy of Pakistan
• a scientific mechanism for the identification of challenges and opportunities for economic growth and poverty reduction
• and an instrument for monitoring and evaluating outcomes from National Policies especially under the New Growth Framework
Survey Sample • 19 districts from three provinces (Punjab, Sindh, KPK)
– 12 from Punjab – 5 from Sindh – 2 from KPK
• 4 mouzas in each district (76 in total)
– 1 enumeration block with a maximum of 200 households
• 28 households in one enumeration block • 2,124 households visited
– 34 refused • Survey covered 2090 households
– 1310 in Punjab, – 556 in Sindh, and – 224 in KPK
Survey Information
• 76 enumerators and 19 supervisors were selected to implement the survey
• The survey was conducted between March 20th, 2012 and April 25th, 2012
• The data entry program was written in CSPro, with internal consistency checks. The files were then converted to Stata and SPSS
Survey Instruments • Separate instruments to collect information at
household and village levels
• Household-level questionnaires – Male questionnaire – Female questionnaire – Young persons questionnaire (18-35 years)
• Village-level questionnaires
– Community questionnaire – School questionnaire – Price questionnaire
Modules in Household Level Questionnaires
Survey to Track Old Panel Households • Track households in four districts surveyed by the IFPRI panel during
1986-1991 – Attock, Faisalabad, Dir, and Badin
• A two page questionnaire was designed to find out:
– If old household is still in the village – Information on new members of the household – Information on the move-out (migration) members of the households – Reasons of moving-out
• We will be linking to the original panel from 1986-1991 and tracking
the split households as well
• This will make one of the most unique data sets in the developing world
Population Pyramid
Under 5
5 to 9
10 to 14
15 to 19
20 to 24
25 to 29
30 to 34
35 to 39
40 to 44
45 to 49
50 to 54
55 to 59
60 to 64
65 to 69
70 to 74
75 to 79
80 to 84
85 to 89
90 to 94
95 to 99
Number of Individuals
Age
Male Female
Household Composition by Per Capita Expenditure Quintile
3.96 2.85 2.57 1.87 1.24 2.49
4.04
4.03 3.69
3.34
2.96
3.60
0.36
0.45
0.43
0.44
0.33
0.40
0
1
2
3
4
5
6
7
8
9
Quintile 1 Quintile 2 Quintile 3 Quintile 4 Quintile 5 Overall
# of
Peo
ple
in H
ouse
hold
# Elderly# Working Age# Children
8.36
7.33
6.69
5.65
6.49
4.53
Economic Factors (work, income, livelihoods)
Type of Households in Rural Pakistan
37 21 50 34
6
29
8
11
28 11
5
22
13
10
29 14
16
29
8
19
0
10
20
30
40
50
60
70
80
90
100
Punjab Sindh KPK Overall
Perc
enta
ge o
f Hou
seho
lds
Non Farm Enterprise
Non Agricultural Wage
Agricultural Wage
Tenant
Land Owner
Proportion of Farmers by Size of Farms and Province
70
87 90
20 12
7 7 1 2 3 0 1
0
10
20
30
40
50
60
70
80
90
100
Punjab Sindh KPK
Perc
enta
ge o
f Hou
seho
lds
Marginal farmers Small farmers Medium farmers Large farmers
Nature of Non-Agricultural Wage Work
0% 20% 40% 60% 80% 100%
Punjab
Sindh
KPK
Overall
Construction labor
Factory worker
Government/parastatal
Private enterprise
Maid servant
Teacher/professor
Other
Percentage of Non-Agricultural Waged Workers
Non-Agricultural Occupations in Rural Pakistan by Gender
0 10 20 30 40 50 60 70
Other
Maid servant
Teacher/professor
Private enterprise
Government
Factory worker
Construction labor
Percentage of Non-Agricultural Waged Workers
Female
Male
Connectivity with markets: Distance to Work (non farm employment)
up to 5 km 53%
5-15 km 19%
> 15 km 28%
Nature of Non-Agricultural Enterprise
44.8
31.5
52.4
40.5
11.8
30.3
17.8
43.4
38.1
47.6
41.7
0% 20% 40% 60% 80% 100%
Punjab
Sindh
KPK
Overall
Trade
Production
Services
Percentage of Non-Agricultural Enterprises
Connectivity with markets: Location where non-agricultural products are sold
In own village 60%
Different village same district
11%
Village in different district
3%
City in same district
22%
City in different district
4%
Labor Force Participation Rates
45
40 41 44
31
21
3
26
38
31
22
35
0
5
10
15
20
25
30
35
40
45
50
Punjab Sindh KPK Overall
Labo
r for
ce p
artic
ipat
ion
rate
(%)
Male
Female
Overall
Women who do not Participate in Labor Force Spent More Hours Per Week on Household Chores than the Non-Participating Women
0.0 5.0 10.0 15.0 20.0
cooking food for home
washing and cleaning utensils
cleaning own house
helping and caring children and elders
collecting water
collecting firewood and fodder
washing and pressing clothes
stitching and craft work for her own house
preparing dung cakes
shopping
house maintenance
household agricultural activities
Participatingwomen
Nonparticipatingwomen
Hours
Sources of Income in Rural Pakistan
Own Farm 28%
Own Livestock 4%
Agricultural Employment
32%
Non-Agricultural
Employment 24%
Non-Agricultural Enterprise
7%
Remittances 1%
Other 4%
Source of Income by Per Capita Expenditure Quintiles
0% 20% 40% 60% 80% 100%
Quintile 1
Quintile 2
Quintile 3
Quintile 4
Quintile 5
Own Farm Income
Own Livestock Income
Agricultural Employment
Non-Agricultural Employment
Non-Agricultural Enterprise
Remittances
Other
Percentage of Income
Major Expenditure Heads
Food, beverage and tobacco
63%
Housing, Fuel and lighting
16%
Clothing and laundary
8%
Medical 5%
Education 1%
Others 7%
Share of Food Expenditure on Major Food Items
0
5
10
15
20
25
30
Whe
at &
whe
atflo
ur
Rice
& ri
ce fl
our
Milk
& m
ilkpr
oduc
ts
Pulse
s
Mea
ts
Oils
Swee
tene
rs
Frui
ts
Vege
tabl
es
Spic
es
Tea
and
Coffe
e
Misc
ella
neou
s
Perc
enta
ge o
f Foo
d Ex
pend
iture
Quintile 1
Quintile 5
Human Factors (education, health, living conditions)
Distribution of Individuals by the Level of Literacy Across Gender and Province
27
51
7
15
47
27
4
22
37 39
6
19
0
10
20
30
40
50
60
Illiterate Fully literate Literate with difficulty Partially literate
% in
divi
dual
s ol
der t
han
10 y
ears
Male
Females
Both
Completed Years of Education by Gender and Province
42
22
15 14
7
72
13
5 5 4
0
10
20
30
40
50
60
70
80
No schooling Primary Middle Matric Higher than matric
% in
divi
dual
s cu
rren
tly n
ot in
scho
ol
Male
Females
Gross Enrollment Rate at Primary Level
115
52
136
98 92
31
121
74
0
20
40
60
80
100
120
140
160
Punjab Sindh KPK Overall
Enro
llmen
t rat
e (%
)
Boys Girls
Nearly 40% of Children Attending Primary School Are More Than 9 years old
5-9 years 58%
10-12 years 35%
13-14 years 7%
Gross Enrollment at Middle Level
51
28
75
48 42
7
59
33
0
10
20
30
40
50
60
70
80
Punjab Sindh KPK Overall
Enro
llmen
t rat
e (%
)
Boys Girls
Reasons for Leaving School by Gender
0 5 10 15 20 25 30 35 40 45
Got available/desired level education
To earn livelihood
School was far away
Uselessness of education
Family pressure
No interest in studying
No resource/poverty
Others
% individuals
Female
Male
Proportion of Villages Reporting the Presence of a Health Facility
11 9
29
55
1
46 43
0
10
20
30
40
50
60Ba
sic H
ealth
Uni
t
Rura
l Hea
lth C
ente
r
Clin
ic/D
ispen
sary
Mid
wife
serv
ice
(priv
ate)
Hosp
ital
Lady
hea
lthvi
sitor
/sup
ervi
sor
Hake
em/q
uack
doc
tor
% V
illag
es
Supply of Drinking Water to Household
2
3
2
2
52
77
33
57
32
5
8
24
5
7
22
7
8
8
36
10
0 20 40 60 80 100
Punjab
Sindh
KPK
Overall
Percentage of Households
Own Tubewell
Hand pump
Motor pump
Piped Water insidehouse
Other
Garbage Disposal Facilities
4.07
1.40
2.51
3.28
28.55
26.39
62.65
30.75
3.92
4.12
0.33
3.68
63.10
68.08
34.51
62.04
0 20 40 60 80 100
Punjab
Sindh
KPK
Overall Thrown into fixed place(regular garbage disposal)
Thrown into fixed place (noregular garbage disposal)
Burn garbage
Throw where convenient
Sell garbage
Percentage of Households
Daily Power Outages
9
10
10
38
27
72
42
35
39
16
49
18
24
3
9
0 20 40 60 80 100
Overall
Punjab
Sindh
KPK
Percentage of Households
0-6 Hours
7-12 Hours
13-18 Hours
18+ Hours
Political Factors (empowerment, rights, voice)
Perceptions of Major Business Constraints
0 20 40 60 80 100
Inadequate access or poor quality ofelectricity
Lack of access to formal credit
Poor quality roads
Corruption
Loan procedure too tedious
Poor access to markets/market information
A dysfunctional legal system
Crime, theft and social disorder
% focus groups
Major Source of Credit Commercial Banks
9%
Govt Bank/ NGOs/ Microfinance Institutions
11%
Aarthi/Beopari/Trader
9% Shopkeeper
11% Relatives and
Friends 51%
Landlord 7%
Others 2%
Availability of Public Services in Selected Villages
0 10 20 30 40 50 60 70 80 90 100
Village electrified
Availability to cylinder gas in village
Availability to sui gas in village
Availability to fixed-line phone service in village
Availability of cellular phone service in village
Availability of sewerage channel for waste water
Availability of garbage collection system in village
Availability of any immunization program in village
Availability of any family planning awareness…
Availability of any health awareness program in village
% villages
Villages Reporting the Presence of a Social Welfare Program
61
14
82
57
27
71
6
29
12 14 12 14
0
10
20
30
40
50
60
70
80
90
BISP Watan Card NRSP Others
% v
illag
es
Punjab Sindh KPK
Socio-Cultural Factors (status, dignity)
Score of “life right now” on a ten-step ladder
3.3
9.8
17.3 18.2
25.6
14.2
6.5
4.1
.6 .4 .0
5.0
10.0
15.0
20.0
25.0
30.0
1 2 3 4 5 6 7 8 9 10
% re
spon
dent
s
Steps of ladder
Level of Trust
71
49 44 43
29 24 23
20
0
10
20
30
40
50
60
70
80
Neighbours Judiciary Healthinstitutions
People Govt. official Police Nationalgovt
Parlimentmembers
% re
spon
dent
s
Status and Dignity
40%
52%
49%
51%
42%
58%
39%
51%
0% 10% 20% 30% 40% 50% 60% 70%
Internal Locus of Control
Self-esteem
Religiosity
Trust
Rivalry/ Envy
Poverty Seen as Due toExternal Factors
Openness to Change
Extremely Risk Averse
Percentage of Individuals
Protective Factors (insecurity, risk, vulnerability)
Food Security: Worry About Having Enough to Eat
Did Not Worry About Not Having
Enough to Eat 79%
Rarely 10%
Sometimes 7%
Often 4%
Negative Economic Shocks Experienced by Households
0 10 20 30 40 50 60 70
Other
Cost of court case
Loss of income due to illness or injury
Loss of livestock due to flood
Cut-off or decrease of regular remittances
Loss or destruction of other consumption assets
Major loss of crops due to flood
Other costs of wedding
Lost home/ repair cost due to flood
Medical expenses due to illness or injury
Percentage of Households
Most Common Coping Strategies for Negative Economic Shocks
48
12
9
9
6
5
4
6
0 10 20 30 40 50 60
None
Extra hours work/more members at work
Substitution for inferior food
Cut in non-essential expenses
Assistance from people/NGOs
Borrowing
Sale/mortgae of assets
Other
Percentage of households
23% households in 2010 and 18% in 2011 were affected by floods
Flood Coping Strategies Used by Households
0 5 10 15 20 25 30 35
Invested in a better house
Rebuilt house away from watercourse
Helped community build barrages
Some family members migrated
Seasonal migration
Move toward more non-farm activities
Reduction in agricultural machinary investment
Built storage room for crops/seeds
Saved more money in case of natural disasters
Percentage of Households
Summary of Findings • Size of rural non-farm sector is larger than farm sector
• Wages and salaries are important sources of income especially for
the individuals in lower expenditure quintile
• Non farm enterprises are constrained by poor electricity and lack of credit
• A large proportion of adult population is either illiterate or do not have formal education
• Females are far behind males
• Levels of internal locus of control, self-esteem, and trust are low
Way Forward
• Detailed analysis of data is ongoing on many fronts – Markets – Linkages and connectivity – Clusters and urban agglomeration – Employment and income diversification – Migration – Decision making – Aspirations
Thank You so much