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2018 First Semester Poverty Statistics of

Date of Release: September 2019 Reference No. 2019 - 026

Poverty and Food Thresholds

The poverty threshold in Caraga in the first semester of 2018 was estimated at PhP12,314 per capita. This means that a person in the region needed at least PhP12,314 for six months or about PhP2,052 monthly to meet his or her basic food and non-food needs. A family with five members needed no less than PhP10,262 monthly to meet the family’s basic food and non-food needs. This amount was 8.98 percent higher than the poverty threshold in the first semester of 2015.

Poverty threshold is the minimum income required to meet the basic food and non-food needs such as clothing, fuel, light and water, housing, rental of occupied dwelling units, transportation and communication, health and education expenses, non-durable furnishing, household operations and personal care and effects. If the income falls below the poverty threshold, the individual or family is considered poor.

Table 1. Per Capita Poverty Threshold, Caraga: First Semester 2015 and 2018

First Semester Per Capita Region/Province Poverty Threshold (in PhP) 2015 2018 Caraga 11,299 12,314 del Norte* 10,119 11,430 11,490 12,095 del Norte 12,253 13,742 11,361 11,945 12,132 13,177 *Including City Source: Philippine Statistics Authority, 2018 First Semester Poverty Statistics

Surigao del Norte had the highest poverty threshold among the provinces in Caraga with PhP13,742 per person in the first semester of 2018. It was followed by Dinagat Islands with a poverty threshold of PhP13,177 per person during the same period.

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

In the first semester of 2018, the estimated per capita food threshold in Caraga was PhP8,623. This means that a person needed at least PhP8,623 for six months or about PhP1,437 monthly to meet his or her basic food needs. A family of five needed no less than PhP7,186 to meet the family’s basic food needs for a month. This amount was higher by 9.07 percent compared with the food threshold in the first semester of 2015.

Food threshold is the minimum income required to meet the basic food needs that satisfy the nutritional requirements based on the Recommended Energy and Nutrient Intake (RENI) to ensure that one remains economically and socially productive. If the income of the individual or family falls below the food threshold, they are considered subsistence poor or food poor.

Table 2. Per Capita Food Threshold, Caraga: First Semester 2015 and 2018

First Semester Per Capita Food Region/Province Threshold (in PhP) 2015 2018 Caraga 7,906 8,623 * 7,027 7,976 Agusan del Sur 8,025 8,443 8,560 9,592 Surigao del Sur 7,923 8,314 Dinagat Islands 8,472 9,198 *Including Butuan City Source: Philippine Statistics Authority, 2018 First Semester Poverty Statistics

Among the provinces, Surigao del Norte posted the highest per capita food threshold with PhP9,592 in the first semester of 2018. The province of Dinagat Islands followed with a food threshold of PhP9,198.

Poverty and Subsistence Incidences

The poverty incidence among population in Caraga in the first semester of 2018 was estimated at 35.4 percent. This means that the 35.4 percent of the total population in the region were living in poverty. During the same period in 2015, poverty incidence among population was recorded at 43.8 percent.

All provinces in the region posted decreases in poverty incidence among population. Agusan del Sur recorded the highest drop with 14.5 percentage points and followed by Surigao del Sur with 10.8 percentage points.

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

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Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Table 3. Poverty Incidence among Population and Families, Caraga: First Semester 2015 and 2018

Poverty Incidence (in percent) Region/Province among Population among Families 2015 2018 2015 2018 Caraga 43.8 35.4 35.2 28.3 Agusan del Norte1 37.0 29.6 28.4 23.5 Agusan del Norte2 - 32.7 - 26.3 Butuan City - 26.1 - 20.3 Agusan del Sur 55.0 40.5 45.0 32.4 Surigao del Norte 39.6 39.2 32.8 32.2 Surigao del Sur 41.6 30.8 32.8 23.9 Dinagat Islands 50.6 43.1 45.4 36.7 1Including Butuan City 2Excluding Butuan City -No disaggregated data for Butuan City Source: Philippine Statistics Authority, 2018 First Semester Poverty Statistics

The poverty incidence among families in Caraga in the first semester of 2018 was estimated at 28.3 percent. This means that the 28.3 percent of the total number of families in the region had income below the poverty line. This was estimated at 35.2 percent in the same period in 2015.

In the first semester of 2018, all provinces in the region had decreases in poverty incidence among families. Agusan del Sur had the biggest decline from 45.0 percent in the first semester of 2015 to 32.4 percent in the same period of 2018. It was followed by Surigao del Sur from 32.8 percent in the first semester of 2015 to 23.9 percent in the same period of 2018.

The subsistence incidence among population in Caraga was estimated at 14.8 percent in the first semester of 2018, lower than the 21.8 percent in the first semester of 2015. This means that the 14.8 percent of the total population in the first semester of 2018 were living in extreme poverty whose incomes were not sufficient to meet subsistence or basic food needs.

All provinces recorded decreases in subsistence incidence among population in the first semester of 2018. Dinagat Islands had the biggest drop in subsistence incidence from 32.4 percent in the first semester in 2015 to 19.7 percent in the same period in 2018. The subsistence incidence among families in the region was estimated at 10.9 percent in the first semester of 2018. This was lower compared with the 16.0 percent in the first semester of 2015. This means that the 10.9 percent of the total number of families in Caraga in the first semester of 2018 had incomes fall below the food threshold and these were not sufficient to meet subsistence or basic food needs.

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Page 3 of 6 Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Table 4. Subsistence Incidence among Population and Families, Caraga: First Semester 2015 and 2018

Subsistence Incidence (in percent) Region/Province among Population among Families 2015 2018 2015 2018 Caraga 21.8 14.8 16.0 10.9 Agusan del Norte1 17.6 11.5 12.3 8.2 Agusan del Norte2 - 12.5 - 9.2 Butuan City - 10.4 - 7.1 Agusan del Sur 28.4 17.8 21.0 13.1 Surigao del Norte 20.8 17.7 16.3 13.6 Surigao del Sur 18.1 11.3 12.5 8.2 Dinagat Islands 32.4 19.7 26.8 16.2 1Including Butuan City 2Excluding Butuan City -No disaggregated data for Butuan City Source: Philippine Statistics Authority, 2018 First Semester Poverty Statistics

In the first semester of 2018, all provinces had decreases in subsistence incidence among families than the 2015 incidence of the same period. Dinagat Islands posted the highest decrease in subsistence incidence from 26.8 percent in the first semester of 2015 to 16.2 percent in 2018 of the same period.

Income Gap, Poverty Gap and Severity of Poverty

In addition to the thresholds and incidences, the PSA also generates other poverty-related statistics such as the income gap, poverty gap and severity of poverty. These statistics could also be used for designing poverty intervention programs.

The income gap measures the average income required by the poor in order to get out of poverty, expressed relative to the poverty threshold. The poverty gap refers to the income shortfall (expressed in proportion to the poverty threshold) of families with income below the poverty threshold, divided by the total number of families. The severity of poverty is the total of the squared income shortfall (expressed in proportion to the poverty threshold) of families with income below the poverty threshold, divided by the total number of families. This is a poverty measure that is sensitive to income distribution among the poor.

In the first semester of 2018, the income gap in the region was estimated at 26.7 percent. This means that the incomes of poor families in the region were short by 26.7 percent of the poverty threshold. This also implies that a person needs a monthly additional income of about PhP548 to move out of poverty in 2018. For a poor family with five members, they need a monthly income of about PhP2,740 to move out of poverty in 2018.

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Page 4 of 6 Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Table 5. Income Gap, Poverty Gap and Severity of Poverty, Caraga: First Semester 2015 and 2018

Income Poverty Severity of Region/Province Gap Gap Poverty 2015 2018 2015 2018 2015 2018 Caraga 29.2 26.7 10.3 7.6 4.2 2.9 Agusan del Norte1 27.8 25.2 7.9 5.9 3.2 2.2 Agusan del Norte2 - 25.5 - 6.7 - 2.6 Butuan City - 24.7 - 5.0 - 1.9 Agusan del Sur 30.5 27.3 13.7 8.8 5.8 3.4 Surigao del Norte 29.7 28.1 9.7 9.1 3.8 3.6 Surigao del Sur 26.8 25.3 8.8 6.0 3.4 2.2 Dinagat Islands 33.9 28.9 15.4 10.6 6.6 4.5 1Including Butuan City 2Excluding Butuan City -No disaggregated data for Butuan City Source: Philippine Statistics Authority, 2018 First Semester Poverty Statistics

On the other hand, poverty gap in the region was estimated at 7.6 percent in the first semester of 2018. This implies that each family in the region has an income shortfall of 7.6 percent of the poverty threshold to eliminate poverty.

TECHNICAL NOTES

Food threshold – the minimum income required for a family/individual to meet the basic food needs, which satisfies the nutritional requirements for economically necessary and socially desirable physical activities

Note: Food thresholds are estimated using actual prices collected by PSA for the estimation of the Consumer Price Index (CPI). In consonance with the updating of the market basket for the collection of prices for CPI, First Semester 2015 Poverty Statistics were revised accordingly.

Income Gap – the average income shortfall, expressed in proportion to the poverty threshold of families/individuals with income below the poverty threshold Note: The difference between the income gap and the poverty gap is the use of number of poor families/individuals as denominator for the income gap. For the poverty gap, the total number of families/individuals is used.

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Page 5 of 6 Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

Poverty gap - the total income shortfall (expressed in proportion to the poverty threshold) of families/individuals with income below the poverty threshold, divided by the total number of families/individuals Poverty incidence - the proportion of families/individuals with per capita income less than the per capita poverty threshold to the total number of families/individuals

Poverty threshold - the minimum income required for a family/individual to meet the basic food and non-food requirements

Notes: Basic food requirements are currently based on 100% adequacy for the Recommended Energy and Nutrient Intake (RENI) for protein and energy equivalent to an average of 2000 kilocalories per capita, and 80% adequacy for other nutrients. On the other hand, basic non-food requirements, indirectly estimated by .obtaining the ratio of food to total basic expenditures from a reference group of families, cover expenditure on: 1) clothing and footwear: 2) housing; 3) fuel, light, water; 4) maintenance and minor repairs; 5) rental of occupied dwelling units; 6) medical care; 7) education; 8) transportation and communication; 9) non-durable furnishings; 10).household operations; and 11) personal care & effects.

Severity of poverty - the total of the squared income shortfall (expressed in proportion to the poverty threshold) of families/individuals with income below the poverty threshold, divided by the total number of families/individuals

Note: This is equal to the Foster-Greer-Thorbecke (FGT) family of measures with alpha = 2. It is a poverty measure, which is sensitive to the income distribution among the poor – the worse this distribution is, the more severe poverty is.

Subsistence incidence - the proportion .of families/individuals with per capita income less than the per capita food threshold to the total number of families/individuals

Approved by:

ROSALINDA C. APURA, DM Regional Director, PSA-RSSO XIII Telephone number: (085) 225-5219 / Telefax No. : (085) 815 – 4935 Email address: [email protected]

Freeman Building, J. C. Aquino Ave., Butuan City 8600 (6385) 2255219 – ORD / (6385) 8152878 – SOCD● Telefax: (6385) 8154935 [email protected]● www.psa.gov.ph

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