Poverty decreases by 1.4 per cent point

KATHMANDU: The poverty in the country has decreased by 1.4 per cent point in the current fiscal year due to increase in literacy rate, rise in agriculture and non-agriculture wages and remittance inflows.

According to the economic survey 2012/13, the poverty rate has decreased from 25.2 per cent point to 23.8 per cent point.

Development and expansion of commercial vegetable farming has also contributed to poverty reduction albeit less, it is said.

However, the poverty has not reduced as forecasted by the government. The government had targeted to lower the poverty rate to 21 per cent in the tri-year plan, which is ending with the end of the current fiscal year.

Lack of full budget and expenses of capital expenditures are also blamed for failure to achieve the target in poverty reduction.

The poverty rate is calculated based on interrelations of poverty and per capita gross national consumption income.

Likewise, the government has estimated to get Rs 46.98 billion foreign assistance in the current fiscal against which is 15.1 per cent more than the last fiscal year. Last year, Rs 40.81 foreign assistance was received.