Reduction of poverty in Albania

Type Working Paper - Economic Development
Title Reduction of poverty in Albania
Issue 1-2/2009
Publication (Day/Month/Year) 2009
Page numbers 235-250
In the past years, Albania has undertaken substantial reforms, consolidated its gains from the transition and enjoyed high and sustained growth. The result has been an impressive structural transformation of the economy. Much has been achieved in terms of improved living standards. Poverty rates have fallen across the land and inequality has risen only slightly, however, poverty in Albania has remained high. The Living Standards Measurement Surveys provide valuable information on a variety of issues related to living conditions in Albania, including details on income and non-income dimensions of poverty in the country, and forms the basis of the evaluation of poverty in the country. The objective of this paper is to make a research about analysis of changes in poverty measured not only as the incidence but also in terms of depth and severity based on Living Standards Measurement Surveys data. This extended analysis will capture the changes in Albanian living condition from different points of view that is in a multidimensional picture that includes every aspect of Albanian household’s life. The main objective of the research are: the challenge of poverty reduction in Albania, not only who are poor but also how deep is poverty and what is the severity; in addition, the most affected segment and the profile of poor have to be identified in order to help determining policies for shifting from the level of poverty and integrating them in the society.

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