Definition Of Poverty: Loosely defined based on prevalent social condition in the said country. Two main concept of poverty are absolute poverty (based on realistic conditions and measurement) and relative poverty (comparatively-based, and depends on certain dynamic situation). Method that being deployed to measure absolute poverty are poverty rate (percentage of population); or number of households that live below the poverty line.

Absolute Poverty: A condition where the monthly sustenance is insufficient to buy basic daily needs of a family; calculated based on minimum expenses incurred OR poverty line income indicator.

Relative Poverty: Imbalance of income among groups. It is measured using differences on ratio of group of incomes, ethicity, urban and rural area. Another yardstick for relative poverty which is commonly used is percentage of households with income, for example, less than half of median or average income.

Poverty Line Income (PLI): Level of income that barely sufficient in order for the household to get the necessary food nutrients as well as basic needs such as clothing, rental, energy source (fuel, etc.), transportation, communication, healthcare, education and recreational. Poverty Line Income is revised annually based on Consumer Price Index (CPI).

Food PLI: Food component for Poverty Line Income (PLI) that is revised based on Food Expert advice, Dietitian and Medical Expert. Daily kilo-calorie needs for each individual incorporates balanced diet which includes - wheat and wheat-derived products (rice, bread, etc.); poultry; eggs; fish; dairy products, fat/oils, sugar, vegetables, fruits, and legumes.

Non-Food PLI: Expenses pattern for non-food PLI component consist of clothing, housing, transportation and others. It is calculated based on investigation on household expenses.

Hardcore Poverty: According to 2005 methology, a household is considered under hardcore poverty when the raw household income is less than food PLI.

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