Welcome to our community of practice on:

Poverty-focused Micronance

Brought to you by:

The Social Performance Task Force and the Pro-Poor Seal of Excellence

To be able to differentiate between several different poverty measurement tools and make preliminary decisions about which, if any, will be useful to your organization

Feasibility

Reliability

Utility

Is it physically and logistically possible?

Will the information be truthful and accurate?

Will it give us the information we need to know?

What do we need to measure?

When we have a mission to alleviate poverty what are we talking about doing? When we talk about reaching the poor or the poorest, who are we talking about?

Will the results give us the information we need to be able to? Know who our clients are WHY?
Utility

Will it give us the information we need to know?

Be sure our client profile matches financial products offered WHY? Report to donors WHY?

Todays Guests
Research and Evaluation Specialist, Freedom from Hunger Food Security Survey

CARINE ROENEN LAROCHE

Participa- tory Wealth Ranking (PWR)

Poverty Assessment Tool (USAID)

MARY JO KOCHENDORFER

MARGARET RICHARDS

Director, Fonkoze

BOBBI GRAY

Education Specialist & Consultant

Manager, Social Perfor- mance Mgmt. Center, Grameen Foundation

Progress out of Poverty Index (PPI)

How Fonkoze uses PWR

Presentation for the Poverty-focused Community of Practice Webinar Carine Roenen, Executive Director

3rd of April, 2013

What I will share with you:

1- What we use Participatory Wealth Ranking for. 2- How the process works. 3- Some results and lessons learned.

Fonkozes Staircase our of Poverty

1. Local authorities poorest sections 2. Informal leaders of these areas invited in

Selection Process

workshop 4. PWR :
a. b.

5. Household visit to apply poverty

Mapping of each household in the area; Ranking of households according to local poverty indicators

measurement tools to bottom 2 6. Second visit to verify

PWR Process
vOne PWR session with 10 to 15 people

for around 100 households; vThree staff members needed; vLasts about 2 hours; vCost of the entire selection process is about 5USD per program participant; vResults to date: 30% in 2 poorest groups- 12% CLM

Kat geyografik abitasyon an

Results of PWR
Informal map of the area localizing all the

households; List of all the households; Ranking of the households according to local poverty indicators.

Lessons learned
vExcellent tool to gather information on

a community you dont know at all. vWhen used for selection, PWR doesnt preclude verification visits. vNeed to keep the purpose confidential so doesnt preclude information meetings with the community once the program is launched.

Msi!

Food Security Survey

Background
Adapted from US Department of Agricultures Household Food Security Scale Module 17 questions 9 primary questions 8 follow-on questions accessing frequency of events Measures household access to food through available resources to purchase or barter for food Questions serve as a scale each subsequent question measures a higher degree of food insecurity

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Analysis of Food Security Survey

1. Every answer of yes =1. Every answer of no= 0. 2. For answers of yes, if answer to subsequent question of how often it occurred (often, sometimes, rarely) is rarely, the original answer of yes is changed to a no. Possible scores = 0-9 Scores of 0-2 = Food secure Scores of 3-9 = Food insecure 3-5= Food insecure without hunger 6-9= Food insecure with hunger
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Benefits and Weaknesses of Food Security Survey

Benefits Short, takes about 10-15 minutes to administer Can be scored immediately/analyzed easily using hand tabulation or Excel Is sensitive to client well-being status (captures seasonality, etc.) Added to other poverty tools, can give a more comprehensive picture of client well-being Weaknesses Questions appear repetitive to the participant; requires strong understanding by interviewer of intent behind each question Is sensitive to client well-being status (captures seasonality, etc.) if looking for improvement of client well-being in absolute terms, would need to repeat the survey over time. 18

USAID Poverty Assessment Tools

Margaret Richards Training & Implementation Director

USAID Poverty Assessment Tools (PATs) are short household surveys used to calculate poverty levels among a popula<on.

SURVEY

USAID Poverty Assessment Tools (PATs) are short household surveys used to calculate poverty levels among a popula<on.

DATA ENTRY TEMPLATE

USAID Poverty Assessment Tools (PATs) are short household surveys used to calculate poverty levels among a popula<on.

USER GUIDE

PATs
Are derived from nationally representative data sets Include 10-25 questions Take 10-20 minutes to administer

PATs
Are derived from nationally representative data sets Include 10-25 questions Take 10-20 minutes to administer

PATs
Are derived from nationally representative data sets Include 10-25 questions Take 10-20 minutes to administer

So how does it all work?

Prepara&on
Determine research parameters Assemble & train team Translate and prac%ce survey

Implementa&on
Interviews conducted QC in eld and home oce Regular team mee&ngs

Analysis
Data entered into template One-click poverty analysis

Learning

Further custom analysis

Mexico PAT
Poverty line used for MRR reporting Median national poverty line

X% of clients have a monthly per capita income less than the median national poverty line

1286.381 pesos per capita per month in 2008 prices for urban areas Value of poverty line used for MRR reporting (Prices in Mexican Pesos) 715.8926 pesos per capita per month in 2008 prices for rural areas

Other poverty lines

(Prices in Mexican Pesos)

Food poverty line (rural-706.69, urban-949.38) Capabilities (rural-835.52, urban-1164.41)

National (rural-1282.36, urban-1904.84) 50% above national poverty line (rural-1923.54, urban-2857.25)

Automated poverty comparisons by Original source survey

Region, gender of HOH, HH size, Ownership of: regrigerator, car, composition of floor, method of: water van, pickup, computer consumption, garbage disposal 2008 Encuesta de Hogares (EH)

Mexico PAT
Poverty line used for MRR reporting Median national poverty line

X% of rural clients have a monthly per capita income less than the food poverty line

1286.381 pesos per capita per month in 2008 prices for urban areas Value of poverty line used for MRR reporting (Prices in Mexican Pesos) 715.8926 pesos per capita per month in 2008 prices for rural areas

Other poverty lines

(Prices in Mexican Pesos)

Food poverty line (rural-706.69, urban-949.38) Capabilities (rural-835.52, urban-1164.41)

National (rural-1282.36, urban-1904.84) 50% above national poverty line (rural-1923.54, urban-2857.25)

Automated poverty comparisons by Original source survey

Region, gender of HOH, HH size, Ownership of: regrigerator, car, composition of floor, method of: water van, pickup, computer consumption, garbage disposal 2008 Encuesta de Hogares (EH)

Mexico PAT
Poverty line used for MRR reporting

X% of female-headed households households with more than 4 members households in Chihuahua households with treated water Median national poverty line live below the [national] poverty line

1286.381 pesos per capita per month in 2008 prices for urban areas Value of poverty line used for MRR reporting (Prices in Mexican Pesos) 715.8926 pesos per capita per month in 2008 prices for rural areas

Other poverty lines

(Prices in Mexican Pesos)

Food poverty line (rural-706.69, urban-949.38) Capabilities (rural-835.52, urban-1164.41)

National (rural-1282.36, urban-1904.84) 50% above national poverty line (rural-1923.54, urban-2857.25)

Automated poverty comparisons by Original source survey

Region, gender of HOH, HH size, Ownership of: regrigerator, car, composition of floor, method of: water van, pickup, computer consumption, garbage disposal 2008 Encuesta de Hogares (EH)

Learning from PAT

Purpose Point in time

Question to ask
What is the poverty status of this group right now?

What the answer can tell you

Are our services or products appropriate? Do outreach efforts align with goals?

Change over time

Has the poverty level of this group changed over [this time period]?

Are we seeing the effects we think we should see?

Learning from PAT

Purpose Comparison

Question to ask
How does the poverty level of this group compare to that group?

What the answer can tell you

What do these different groups need? Can we explain the differences?

Targeting *with other tools

Should this person/ group be included?

Who & where are the poor? What are their characteristics?

Implementa2on Resources
Country-specic user guides, an implementa2on manual, interac2ve online and oine computer-based trainings, and a live Help Desk are all available for free to assist you in your PAT implementa2on at www.povertytools.org

Contact the PAT Help Desk (me): helpdesk@povertytools.org, +1 202 670 PATS

Progress out of Poverty Index

Seal of Excellence Presentation

April 3, 2013

A Grameen Foundation Product

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Problems Faced By The Poor

Insufcient & inconsistent income#

Inability to tolerate shocks and manage risks#

Lack of essential and actionable information#

Needs are not understood & sub-par services are delivered#

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Progress out of Poverty Index (PPI)

What is the PPI?
A poverty measurement tool for organizations with a mission to serve the poor 10 easy-to-answer questions and a scoring system Provides the likelihood that the survey respondents household is living below the poverty line Country-specific; there are PPIs for 47 countries

Why use the PPI?

With the PPI, your organization can:

Progress out of Poverty Index by Grameen Foundation

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The PPI is a Public Good

PPIs are available for roughly 89% of the worlds poor. Over 200 organizations currently use the PPI in their operations, including MFIs, health organizations, social enterprises and agricultural developers.

Progress out of Poverty Index by Grameen Foundation

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47 Country-speci c PPIs

Afghanistan Bangladesh Benin Bolivia Brazil Burkina Faso Cambodia China* Colombia Dominican Republic Ecuador

Egypt El Salvador Ethiopia Ghana Guatemala Haiti Honduras India Indonesia Jordan Kenya Malawi

Mali Mexico Morocco Nepal Nicaragua Nigeria Pakistan Palestine Paraguay Peru Philippines Romania

Russia Rwanda Senegal Sierra Leone South Africa Sri Lanka Syria Tanzania Timor-Leste Uganda Vietnam Yemen

*China has an expert-based poverty scorecard in place of a PPI.

Progress out of Poverty Index by Grameen Foundation

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Building a PPI

HOUSEHOLD E EXPENDITUR E M O OR INC

NATIONAL

SURVEY

10,891 9,731 8,501 . 2

Possession of a telephone Possession of a television Number of family members .. Possession of steel utensils

NTIAL POTE I #1 PPes tion 1

Qu Question 2 Question 3 Question 4 Question 5 Question 6 Question 7 Question 8 Question 9 Question 10

Progress out of Poverty Index by Grameen Foundation

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Building a PPI

For more detailed information, view How a PPI is Made on our website. Our website also provides detailed documentation on how each PPI is built.
Progress out of Poverty Index by Grameen Foundation

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How Organizations use the PPI

Poverty outreach
Concentration, Scale and Penetration of Outreach Client segmentation

Program evaluation Product development Monitoring

Client profiles and behaviors Organization and program performance Tracking over time

Targeting and screening

Progress out of Poverty Index by Grameen Foundation

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Poverty Outreach
Concentration
Percentage of clients living below a poverty line
# of poor clients # of clients

Scale

Number of poor households reached

# of poor clients

Penetration

Percentage of poor households served

# of poor clients # of poor households

Progress out of Poverty Index by Grameen Foundation

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Concentration of Poverty Outreach

Sample size: 34,529

Progress out of Poverty Index by Grameen Foundation

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Scale of Poverty Outreach

National Poverty Line
20,000 15,000 15.7% 20.0% 15.0% 11.4%

10,000
5,000

10.0%
9.8% 1,081 5.0%

948

1,993 Jawa Barat

0.0%

Banten

Jawa Timur

Households below NPL

Households above NPL

While concentration is highest in Banten, the number of poor households reached in Jawa Barat is double.
Progress out of Poverty Index by Grameen Foundation

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Penetration of Poverty Outreach

MFI Province

Progress out of Poverty Index by Grameen Foundation

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Benchmarking and Client Segmentation

2,158

4,234

Progress out of Poverty Index by Grameen Foundation

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Program Evaluation & Product Development

After a devastating hurricane in Haiti, Fonkoze developed its Hurricane Loan Program. Using PPI data, they were able to see that hurricane-affected clients were moving out of poverty at the same rate as those not affected. In response to the devastating earthquake in 2010, Fonkoze used their evaluation of the HLP to design a natural disaster insurance product.

Progress out of Poverty Index by Grameen Foundation

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Monitoring: Performance

Progress out of Poverty Index by Grameen Foundation

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Monitoring: Tracking over Time

CLIENTS IN LOAN CYCLE 2 Sample Size: 725

Poverty Rate

90% confidence interval: +/- 0.4%

Progress out of Poverty Index by Grameen Foundation

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Targeting and Screening

The Livelihood School in India administered both the PPI and the Participatory Wealth Ranking survey to target the poorest households for its program. For more information, read Targeting the Poorest at GrameenFoundation.org.

Progress out of Poverty Index by Grameen Foundation

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Learn more at www.progressoutofpoverty.org

1. 2. 3. 4.

Find the PPI for your country Download PPI documents Download learning materials Ask questions and share information on the discussion forum

Also available: case studies, blog, instructional videos, and more.

Progress out of Poverty Index by Grameen Foundation

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Progress out of Poverty Index

Question and Answer

Progress out of Poverty Index by Grameen Foundation

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TaroWorks: Mobile-Enabled Data Tools

Collect and retrieve data in low reception and power supply areas Evaluate impact on poverty alleviation with the PPI For more information, visit TaroWorks.org or email mobiletools@grameenfoundation.org
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Send us your thoughts!

measurelearnchange@gmail.com

What topics would you like to discuss? Do you have suggestions for the format of the sessions? Would you like to hear from certain people or organizations?

Upcoming Events
Save the Dates! Wednesday, May 1st Wednesday July 3rd
Times TBA

The Poverty-focused Microfinance community of practice will have regular meetings the first Wednesday of every month.