Vanuatu Hardship & Poverty

Hardship & Poverty Report

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vnso reportAnalysis of the 2010 Household income and Expenditure Survey

The analysis includes the incidence, severity and depth of poverty, the characteristics of the poor, changes in poverty between 2006 and 2010, and the economic factors that contribute to those changes.
The analysis identifies three sub-national areas: the two urban areas of significance, Port Vila and Luganville, with all other areas classified as Rural. They respectively contain 20%, 6% and 74% of the population.

Household composition and expenditure

The overall national average household size was 4.9 members (3.9 adult equivalents). Poor households were larger on average in both rural and urban areas. Nearly one in eight (12.2%) of households were headed by women; in Port Vila, 13.5% of households were headed by women, compared to 8.3% in Luganville and 12.2% in rural areas. There were 99,350 children under the age of 15 years in 2010, accounting for 40% of the population.

Household weekly expenditure averaged 17,576 Vt with the average total weekly expenditure per capita adult equivalent (p.c.a.e) was 4,455 Vt. For the lowest expenditure quintile, the average weekly household expenditure was 7,259 Vt, compared to 33,577 Vt per week for the highest expenditure quintile. Household average total weekly expenditure is higher in urban areas (23,711 Vt and 17,927 Vt per week in Port Vila and Luganville, respectively) than in rural areas (15,986 Vt per week).


 The ratio of non-food to food expenditure increases for each expenditure decile (i.e. as expenditure increases the proportion of total expenditure on food decreases). The average weekly expenditure of households increased on both food and non-food items, and overall per capita adult equivalent (p.c.a.e) expenditure increased by 37.8%, between 2006 and 2010. Proportionately, the expenditure of lower decile households increased more than that of higher decile households.

In 2010, households produced, on average, 58% of their own total food consumption, compared to 52% in 2006. In both years, the proportion of household produced food was significantly higher in rural areas than in urban areas, and rural households consumed the highest proportion of household produced food. In urban areas, higher expenditure households consume a greater proportion of household produced food than households in the lowest quintile.

The Report has more informaiton on Major Topics of:

1. Overview of the 2010 and 2006 HIES results

a). Household Size and Characteristics
b). Household Expenditure
c). Vanuatu Poverty Line
d). Poverty Line Estimates

2. Poverty Indicators and 2006 / 2010 comparative analysis

a). Poverty Indicators
b). Incidence of Food Poverty
c). Incidence of Basic Needs Poverty and Hardship
d). The depth and the severity of Poverty
e). Millenium Development Goals: Poverty Target Status

3. Expenditure distribution and inequality

4. Growth, income distribution and poverty reduction linkages

5. Key Characterestics of the poor and vulnerable

a). Location of the Poor
b). Gender
c). Economic Activity and Poverty
d). Education Level

6. Vulnerable Groups

a). Vulnerable age groups

7. Human poverty and public services

a). Energy
b). Drinking water and sanitaion
c). Housing
d). Education
e). Health

8. Income Analysis

9. Policy Implicaitons

10. Policy Recommendations

Vanuatu Hardship and Poverty

Hardship and Poverty