Estimating Filipinos' Vulnerability to Poverty

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Natural disasters, together with other shocks, have contributed to the vulnerability of both poor and nonpoor Filipino households to poverty. While the government needs sufficient information to formulate appropriate interventions for these vulnerable households, the country's official poverty statistics have not paid much attention to measuring the Filipinos' vulnerability to poverty. This Policy Note provides an estimate of Filipinos' vulnerability to poverty and finds that Caraga and Zamboanga Peninsula regions had the highest vulnerability proportion. Moreover, it reveals that vulnerable households tend to have younger and less-educated heads, have higher dependency ratio, dwell in rural areas, and lack access to irrigation. It urges the government to continue implementing policies and programs that develop human capital, such as the Pantawid Pamilyang Pilipino Program. It also recommends increasing the productivity of nonagriculture industries to improve labor absorption and provide more and better jobs.