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Malaysia’s Multidimensional Poverty Index Falls Further

Reflecting Stronger Well-Being and Living Standards

PUTRAJAYA, Feb 20 — Malaysia’s Multidimensional Poverty Index (MPI) continued its downward trend, declining from 0.0037 in 2022 to 0.0025 in 2024, indicating steady progress in improving Malaysians’ quality of life across multiple dimensions.

According to the Department of Statistics Malaysia (DOSM), the reduction reflects broader improvements beyond income, particularly in health, education, and living conditions.

Chief Statistician Datuk Seri Mohd Uzir Mahidin said the lower MPI value demonstrates that multidimensional poverty has become less severe, driven largely by a reduction in overlapping hardships experienced by households.

He explained that the MPI framework evaluates poverty using a comprehensive approach, examining non-monetary factors such as education, healthcare access, and living standards rather than relying solely on income measurements.

Health and Living Conditions Show Positive Gains

The latest MPI assessment, based on comparisons between 2022 and 2024, showed improvements in several key areas, particularly healthcare access and basic infrastructure.

Health-related deprivation declined, with improved availability of medical services contributing to the overall reduction.

Similarly, access to clean water improved, further supporting healthier living environments.

Indicators related to sanitation, transport access, and communication facilities remained at minimal levels, reflecting sustained nationwide coverage and stability.

Housing conditions and room density also remained low contributors to poverty, indicating that housing quality has generally been maintained.

Waste collection services improved as well, although it continues to play a small role in the overall poverty index.

Rural-Urban Gap Still Exists but Narrowing

Despite the overall positive trend, rural areas continued to record higher poverty levels compared to urban regions.

Urban MPI remained extremely low at 0.0001 in both 2022 and 2024.

In contrast, rural MPI improved significantly, falling from 0.0164 to 0.0109 during the same period.

This suggests that although disparities remain, rural communities are experiencing meaningful improvements in living standards.

Education Access Improving

The education dimension also recorded encouraging progress.

Deprivation related to years of schooling declined notably.

This reflects better educational access and attainment nationwide.

Education continues to play a key role in long-term poverty reduction.

Malaysia Compares Favourably Regionally

Malaysia’s MPI score compares well with many regional neighbours.

At 0.0025, Malaysia performed better than several countries including Vietnam, Indonesia, and the Philippines.

However, Thailand recorded a slightly lower MPI score of 0.0018.

This places Malaysia among the stronger performers in Southeast Asia in addressing multidimensional poverty.

Continued Efforts Needed for Inclusive Growth

Mohd Uzir emphasised that the progress demonstrates the success of policies aimed at improving living conditions.

However, he said further efforts are still needed.

He stressed the importance of strengthening healthcare access and improving water supply systems.

Enhancing overall living standards remains critical to achieving inclusive socio-economic development.

He also highlighted the importance of accurate economic data in guiding national planning.

DOSM is currently conducting the Economic Census 2026, running from January to October.

The census aims to collect comprehensive data from businesses nationwide.

This information will help policymakers better understand economic performance and plan future development strategies.

Steady Improvement Signals Positive Outlook

The continued decline in Malaysia’s MPI signals steady progress in improving citizens’ well-being.

It reflects not only economic growth but also better access to essential services.

These improvements contribute to healthier, more secure, and more stable lives for Malaysians.

The findings underscore Malaysia’s ongoing journey toward reducing poverty in all its forms and ensuring more equitable development across the country.

-wilayah.com.my

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