Using Poverty Lines to Measure Refugee Self-Reliance

Investment Rating - The report does not explicitly provide an investment rating for the industry Core Insights - The paper proposes a method to measure refugee self-reliance based on whether self-earned income exceeds the locally relevant poverty line, emphasizing the importance of measurement for assessing the success of self-reliance promotion [4][11][57] - Refugees in middle-income countries are significantly more likely to be self-reliant compared to those in lower-income countries, with urban refugees showing higher self-reliance than those in rural or camp settings [4][58] - There is an inverse correlation between aid and self-reliance, suggesting that higher aid levels are associated with lower self-reliance among refugees [4][59] Summary by Sections Introduction - Over 36 million refugees are displaced globally, with many facing restrictions on labor market participation, leading to dependency on humanitarian aid [8] - The traditional model of refugee assistance is increasingly viewed as outdated, with a shift towards promoting self-reliance [9][10] Measurement of Self-Reliance - The paper defines self-reliance as the ability to meet essential needs independently of aid, using income as a key indicator [11][12] - Existing measures of self-reliance have limitations, often failing to capture true independence from aid [16][18] Empirical Analysis - The analysis utilizes 11 microdata surveys from low- and middle-income countries to estimate refugee self-reliance and poverty [29][30] - Key findings indicate high poverty incidence among refugees, particularly in low-income countries, with significant variations in self-reliance based on location and economic opportunities [36][44] Conclusions - The report concludes that enhancing refugee self-reliance is more effective in reducing poverty than increasing aid, advocating for a reallocation of resources to support self-reliance initiatives [55][60]