Multidimensional Poverty in Curaçao : A Comparative MPI Assessment for 2011, 2017 and 2023

This report presents the results of the Multidimensional Poverty Index (MPI) for Curaçao (Poverty & Human Development Initiative, 2019). The MPI measures the prevalence and intensity of household deprivations through non-monetary domains and is utilized worldwide to complement traditional monetary poverty measures. As such, it provides a more nuanced understanding of poverty. 

Although the MPI has an international definition, national statistics bureaus may create indices based on national definitions, available data, and local circumstances. While the international MPI facilitates cross-country comparisons, a national MPI allows for the inclusion of context-specific forms of deprivations and prioritize national policies which the international MPI may not consider when identifying multidimensional poverty within a country. 

Thus, a national MPI is valuable for designing, targeting, and monitoring effective social interventions on a country level. In this case, the MPI for Curaçao will analyze deprivations faced on four dimensions: health, education, livelihood, and standard of living. The MPI requires a household to be deprived of multiple indicators within those dimensions at the same time for the household to be considered poor.  

The importance of the Multidimensional Poverty Index (MPI) lies in its comprehensive approach to measuring poverty beyond income alone. Traditionally, poverty has been assessed primarily from a monetary perspective. The Central Bureau of Statistics (CBS) of Curaçao has applied this approach in the past, estimating that 25.1 percent of households were classified as monetarily poor in 2011 and 30.4 percent in 2023 (CBS, 2023). 

However, households identified as monetarily poor do not necessarily fully overlap with those classified as multidimensionally poor. Households above the monetary poverty line may still experience substantial non-monetary deprivations, while some monetary poor households may not face such deprivations. 

Finally, the Multidimensional Poverty Index (MPI) helps to monitor progress towards Sustainable Development Goal (SDG) 1 (No poverty), which aims to end extreme poverty globally by 2030. The MPI for Curaçao also contains indicators which fall under some other goals such as Goal 4 (Quality education), Goal 6 (Clean water and sanitation), Goal 7 (Affordable and clean energy) and Goal 8 (Decent work and economic growth) (Nations, 2015).