Health shocks and vulnerability to poverty in Congo

Abstract

The analysis of the link between poverty and health status in developing countries is a major focus of development policy. However, few studies, particularly in the Congo, focus on a prospective analysis of poverty and consider the variability of future consumption after a health shock. The objective of this study is to estimate vulnerability to poverty and analyse the factors that lead to a loss of well-being after a health shock in Congo. The study uses data from the 2011 Congolese Household Survey (CHS). Estimation of vulnerability to poverty and modelling of the effect of the health shock on expected future consumption are performed using the three-step feasible generalized least squares (FGLS) method. This method is also used to identify the socio-demographic determinants of vulnerability. On average, 26.8% of households are vulnerable to poverty in Congo. Health shocks accentuate this vulnerability. Households living in rural areas are more vulnerable to poverty than those in urban areas. Furthermore, household size and the level of education and marital status of the head of household have an impact on vulnerability. In view of the results obtained, poverty reduction efforts should focus on strategies to develop social safety nets and/or health insurance programmes to stabilize consumption in the event of a health shock in the household.