Poverty Alleviation In Rural Areas Research Articles

RURAL DEVELOPMENT TO CREATE INCLUSIVE ECONOMIC GROWTH

Rural development programs have been implemented in a number of ASEAN member countries, although as a separate priority and not as a complement to industrialization. These steps help increase growth and job creation in rural areas. This, in turn, paves the way for poverty alleviation in rural areas. The research objective that can be expressed is to analyze the influence of village development, village community creativity, BUMDes and creative economic efforts in the village, on the village's inclusive economic growth. The following conclusion was obtained: With accelerated village development, inclusive economic growth will be achieved in accordance with the ultimate goal of development. 1) By developing BUMDES in each village, business opportunities will be opened, absorbing labor and this will have an impact on the level of income and welfare of the community; 2) As the creativity of the village community increases, this will encourage village economic activities and have an impact on the village's original income and the economy of the village community. 3) Developing creative economic businesses as a way to open up job opportunities in the village by utilizing human resources in the village, so that this will increase family income and the village economy. The recommendation that can be given is that accelerating village development is very beneficial for village communities, especially in providing village infrastructure. Therefore, village development funding needs to be increased in order to foster: 1) village creativity, 2) BUMDES and 3) creative economic efforts, in order to increase inclusive economic growth in villages.

How does climate change affect biomass production and rural poverty?

The interrelation between climate change, biomass production, and rural poverty is an area of growing concern, as these factors are intricately linked and often exacerbate one another. The objective of this critical review is to investigate existing knowledge, identify research gaps, and explore how climate-induced disruptions affect biomass production, exacerbate rural poverty, and increase vulnerability. High-quality peer-review publications were sourced via Web of Science, Scopus, and Google Scholar to include the most relevant papers in line with the objective. A bibliometric analysis yielded three key concepts: (i) biofuel innovations and sustainable development, (ii) climate dynamics and biomass environmental impact, and (iii) rural poverty and energy challenges. The review delves into the complex interplay of factors influencing biomass production, climate change, and rural/remote poverty. Climate change intensifies the challenges rural communities face, enhancing their vulnerability to poverty. For these communities, biomass production not only offers a sustainable energy alternative but also a pathway to economic upliftment. Addressing climate change through sustainable biomass production emerges as a vital strategy, providing a dual solution by mitigating environmental degradation and offering a robust framework for poverty alleviation in rural areas. The review emphasizes the urgent need to integrate climate action, sustainable energy production, and rural economic development.

Model of Institutional Integration of the Community Revolving Fund as a Source of Sustainable Capital and Poverty Alleviation in Rural Areas

This study attempts to create an integration model of institutional change from a government-driven initiative, specifically the integration of community revolving funds (DBM) into Village-Owned Enterprises (BUMDesa). In particular, every village in Banyuwangi Regency having a Village Credit Bank was included in this study. This study used descriptive qualitative research. The information was gathered using a combination of in-depth interviews, participant and non-participant observation, and document reviews. The data was examined for validity using a series of source triangulation, technique triangulation, and time triangulation. The institutional dynamics of community revolving funds (DBM) arising from government policies or programs. It was governed by overlapping rules from different independent bodies, which made it challenging to implement the transformation process and expensive to do so. The Village Credit Bank and the PNPM-Mandiri activity implementation unit (UPK) were eventually merged to create the Bumdesma business unit after overcoming numerous challenges. The Inter-Village Cooperation Agency (BKAD) and Bumdesma are two new organizations that were created as a result of the institutional change process but their existence does not enhance community services. The dynamics of institutional change and transformation led to disagreements over property rights, and uncertainty surrounding ownership status sparked the emergence of Free Riders who later converted BKD assets into KSPs run by a number of former managers, which in turn had an impact on the sale of BKD assets to private parties. The institutional transformation process caused BKD's institutional nature to move from private goods to common goods as a secondary bank of BRI. The oversight of Microfinance ex Village Credit Bank (BKD) is the sole aspect of Bumdesa business units that are covered in this research. This research is able to contribute a model of integrating the management of Bumdesa as a Common Resource as an effort to alleviate poverty in Indonesia.

Liangshan Bank, A hybrid model of payment for ecosystem services governance in rural development: The case of Baofu, China

This paper focuses on the operation of Value Realisation of Ecosystem Products and Services based on empirical research of the Liangshan Bank model in Baofu, China. It examines a new hybrid approach to ecosystem services governance to address the problems of idle rural land due to urbanisation. The study finds that operating this new model enhances governance efficiency by coordinating different institutional policies and reducing uncertainties and transaction costs through a mechanism which is guided by the government, dominated by the market and participated by communities. The model can increase rural villagers' income by using idle rural land as a market asset.The research outcomes show that the Liangshan Bank model, which provides a transparent trading platform for villagers and investors to effectively use rural land, protect the environment, and alleviate poverty, can exemplify other rural areas in China and developing countries. The paper highlights the academic debate on payment models for ecosystem services. It also offers an alternative model for governments and communities to achieve environmental protection, effective land use, and poverty alleviation in rural areas.

Impact of ‏‏Microfinance on Poverty Alleviation in Rural Areas of Pakistan: A Case of District Zhob

In this study the role of microfinance toward poverty all eviation is examined undertaking the variables like children education, household expenditure and household assets. Undertaking the population consisting of the borrower of Balochistan Rural Support Program (BRSP) by using the Krejcie and Morgan table and a sample of 169 is selected for the data collection. A questionnaire from is floated to the borrower of BRSP and is analyzed with Statistical Package for Social Sciences (SPSS).Correlation and regression model are used to find the relationship among microfinance and poverty alleviation undertaking the variables children education household expenditure and household assets. The finding of this study shows that microfinance effects the children education, household expenditure and household assets significantly the objective of this study are accepted as there is positive effect presents between microfinance and poverty alleviation.As the result of this study revealed that there is a positive and significant relationship between household expenditure and household assets that mean the loans provided by the BRSP are in line with poverty alleviation but on the side the negative effect between children education and microfinance means that the BRSP need to educate their borrower to spend also on their children education.

Poverty dynamics and the determining factors among East African smallholder farmers

CONTEXTRapid economic development in East Africa is matched by extremely dynamic smallholder livelihoods. ObjectiveTo quantify the changes in poverty of smallholder farmers, to evaluate the potential of farm and off-farm activities to alleviate poverty, and to evaluate the potential barriers to poverty alleviation. METHODSThe analyses were based on a panel survey of 600 households undertaken in 2012 and re-visited approximately four years later in four sites in East Africa. The sites represented contrasting smallholder farming systems, linked to urban centres undergoing rapid economic and social change (Nairobi, Kampala, Kisumu, and Dar-es-Salaam). The surveys assessed farm management, farm productivity, livelihoods, and various measures of household welfare. RESULTS AND CONCLUSIONSAlmost two thirds of households rose above or fell below meaningful poverty thresholds – more than previously measured in this context – but overall poverty rates remained constant. Enhanced farm value production and off-farm income proved to be important mechanisms to rise out of poverty for households that were already resource-endowed. However, households in the poorest stratum in both panels appeared to be stuck in a poverty trap. They owned significantly fewer productive assets in the first panel compared to other groups (land and livestock), and these baseline assets were found to be positively correlated with farm income in the second panel survey. Equally these households were also found to be among the least educated, while education was found to be an important enabling factor for the generation of high value off-farm income. SIGNIFICANCERural development that aims to stimulate increases in farm produce value as a means to alleviate poverty are only viable for already resource-endowed households, as they have the capacity to enhance farm value production. Conversely, the alleviation of extreme poverty should focus on different means, perhaps cash transfers, or the development of more sophisticated social safety nets. Furthermore, while off-farm income presents another important mechanism for poverty alleviation in rural areas, these opportunities are restricted to those households that have had access to education. As more households turn to off-farm activities to supplement or replace their livelihoods, farming approaches will also change affecting the management of natural resources. These dynamics ought to be better understood to better manage land-use transitions.

Can China’s Digital Inclusive Finance Alleviate Rural Poverty? An Empirical Analysis from the Perspective of Regional Economic Development and an Income Gap

Digital inclusive finance (DIF) plays an active role in preventing poverty-stricken groups from returning to poverty and reducing poverty. This paper empirically tests the impact of DIF on rural poverty alleviation using panel data from 30 Chinese provinces from 2011 to 2020 as a sample. It employs multiple linear regression, mediation effect models, and threshold effect models. The results show that: (1) DIF and its three sub-indicators (coverage breadth, depth of use, and digitalization degree) have significant poverty reduction effects, and the findings hold even when endogeneity is taken into account; (2) a study of regional heterogeneity found that DIF and its sub-indices, coverage and depth of use in the eastern region, have the greatest effect on the poverty alleviation of rural residents, and the effects in the central and western regions have the least effect; (3) the mediation effect test found that DIF could indirectly promote poverty alleviation in rural areas by promoting regional economic growth and narrowing the urban-rural income gap. The Sobel test shows that the mediating effect of regional economic growth is greater than the mediating effect of the urban-rural income gap; (4) it is found through the threshold effect test that regional economic growth has a double threshold effect on rural poverty alleviation, and as the threshold value continues to increase, the poverty reduction effect increases in turn. Therefore, this paper puts forward policy suggestions for the aspects of accelerating the development of DIF in rural areas, implementing regionally differentiated poverty reduction strategies according to local conditions, promoting regional economic growth, and narrowing the urban-rural income gap.

Residents’ perception of coping and alleviating strategies of poverty in rural areas of Ayedaade local government, Osun State, Nigeria

The attempts of government in eradicating poverty are always based on a government’s view of what rural dwellers need. Without the rural dwellers themselves assessing their level of poverty, ascertaining their coping strategies and their needs for poverty alleviation; the desired goal of a government in reducing poverty cannot be achieved. This paper thus examined the perception of rural dwellers on coping and alleviating strategies of poverty in rural areas of Ayedaade local government area, Osun State. Questionnaires were administered to three hundred and sixty-eight household heads who were selected across the twenty-five villages in five rural wards of the study area. Poverty was assessed based on the perception of residents. Data were analysed using percentage distribution and Geographical Information System technique. The result of the findings reveals that 57.9% reported themselves as being poor. Poverty based on residents’ perception was denser in the southern part than in the northern part of the study area. Hardworking (25.5%) and gathering of the remnant fruits (23.1%) were the most adopting coping strategies in the area. Residents identified provision of infrastructure (54.7%) and financial assistance (18.2%) as crucial poverty alleviating strategies. The study concluded that the dividend of democracy can only be effective if a government considers the perceptions of rural residents in planning and provision for poverty alleviation in rural areas. This study recommends that the government should consider the residents’ perception in planning and execution of poverty alleviation in their areas.

A Poverty Measurement Method Incorporating Spatial Correlation: A Case Study in Yangtze River Economic Belt, China

The UN 2030 Agenda sets poverty eradication as the primary goal of sustainable development. An accurate measurement of poverty is a critical input to the quality and efficiency of poverty alleviation in rural areas. However, poverty, as a geographical phenomenon, inevitably has a spatial correlation. Neglecting the spatial correlation between areas in poverty measurements will hamper efforts to improve the accuracy of poverty identification and to design policies in truly poor areas. To capture this spatial correlation, this paper proposes a new poverty measurement model based on a neural network, namely, the spatial vector deep neural network (SVDNN), which combines the spatial vector neural network model (SVNN) and the deep neural network (DNN). The SVNN was applied to measure spatial correlation, while the DNN used the SVNN output vector and explanatory variables dataset to measure the multidimensional poverty index (MPI). To determine the optimal spatial correlation structure of SVDNN, this paper compares the model performance of the spatial distance matrix, spatial adjacent matrix and spatial weighted adjacent matrix, selecting the optimal performing spatial distance matrix as the input data set of SVNN. Then, the SVDNN model was used for the MPI measurement of the Yangtze River Economic Belt, after which the results were compared with three baseline models of DNN, the back propagation neural network (BPNN), and artificial neural network (ANN). Experiments demonstrate that the SVDNN model can obtain spatial correlation from the spatial distance dataset between counties and its poverty identification accuracy is better than other baseline models. The spatio-temporal characteristics of MPI measured by SVDNN were also highly consistent with the distribution of urban aggregations and national-level poverty counties in the Yangtze River Economic Belt. The SVDNN model proposed in this paper could effectively improve the accuracy of poverty identification, thus reducing the misallocation of resources in tracking and targeting poverty in developing countries.

Study on the Xiangxian Council in Chinese Rural Governance in the Post-poverty Era

At present, Chinese society is in the stage of a decisive victory in building a moderately prosperous society in all respects. By 2020, all the existing impoverished counties and people in China will exit the ranks of poverty. As China enters the Post-poverty era, the issue of rural governance will become the key to a sustainable poverty alleviation in rural areas. As a new type of social organization, Xiangxian councils play an important role in rural governance. This research studied the existing problems of the Xiangxian Council in rural governance to promote Xiangxian’s participation and practice in rural governance.

An Assessment of Poverty Alleviation Measures and Sustainable Livelihood Capability of Farm Households in Rural China: A Sustainable Livelihood Approach

This paper aims to identify effective mechanisms for government poverty alleviation measures based on the livelihood sustainability of farm households in Southern Shaanxi province, China. The paper utilizes data from 414 farm households, collected through field observations and in-depth interviews in 24 rural communes in Qinba Mountain Area of Shaanxi province, China. Using theoretical research methods and employing the sustainable livelihood approach (SLA) framework, this paper analyzes poverty alleviation measures as well as the impact of varied capital availability on sustainable livelihood. The study shows that developing local industries and governmental financial support improve the sustainable livelihood of farmers and eradicate absolute poverty. The findings of this study further indicate that there is a positive correlation between poverty alleviation measures and natural and social capital for sustainable livelihood. The paper provides empirical and quantitative evidence on alleviation of poverty, and the findings will help improve the sustainability of livelihood capability of farming households. This study suggests impactful approaches to stabilizing mechanisms for poverty alleviation in rural areas over the longer term.

The Role of Internal and External Migration on Rural Poverty Alleviation In Pakistan: A Case Study of Multan District

Migration has become an important part of the current global economy. People migrate from their homes for different purposes although this study endeavors to estimate the role of internal and external migration on poverty alleviation in rural areas of the Multan district. Binary logistic regression is applied to the data of 170 rural households. Poverty has been measured by the headcount index, poverty gap, and squared poverty gap, estimates show the high incidence of poverty in rural areas of Multan district. The findings reveal that rural to urban migration, foreign remittances, educational attainment of the household head, household head age and livestock population turn out to be discouraging aspects of poverty while physical disability and household size turn out to be encouraging aspects of poverty. To eradicate poverty easiness in internal and external migration should be ensured by the government.

Evaluating the Impacts of Smallholder Farmer’s Participation in Modern Agricultural Value Chain Tactics for Facilitating Poverty Alleviation—A Case Study of Kiwifruit Industry in Shaanxi, China

Market-based initiatives like agriculture value chain (AVC) are becoming progressively pervasive to support smallholder rural farmers and assist them in entering larger market interventions and providing a pathway of enhancing their socioeconomic well-being. Moreover, it may also foster staggering effects towards the post-era poverty alleviation in rural areas and possessed a significant theoretical and practical influence for modern agricultural development. The prime objective of the study is to explore the effects of smallholder farmers’ participation in the agricultural value chain for availing rural development and poverty alleviation. Specifically, we have crafted the assessment employing pre-production (improved fertilizers usage), in-production (modern preservation technology), and post-production (supply chain) participation and interventions of smallholder farmers. The empirical data has been collected from a micro survey dataset of 623 kiwifruit farmers from July to September in Shaanxi, China. We have employed propensity score matching (PSM), probit, and OLS models to explore the multidimensional poverty reduction impact and heterogeneity of farmers’ participation in the agricultural value chain. The results show that the total number of poor farmers who have experienced one-dimensional and two-dimensional poverty is relatively high (66.3%). We also find that farmers’ participation in agricultural value chain activities has a significant poverty reduction effect. The multidimensional poverty level of farmers using improved fertilizer, organizational acquisition, and using storage technology (compared with non-participating farmers) decreased by 30.1%, 46.5%, and 25.0%, respectively. The multidimensional poverty reduction degree of male farmers using improved fertilizer and participating in the organizational acquisition is greater than that of women. The multidimensional poverty reduction degree of female farmers using storage and fresh-keeping technology has a greater impact than the males using storage and improved storage technology. Government should widely promote the value chain in the form of pre-harvest, production, and post-harvest technology. The public–private partnership should also be strengthened for availing innovative technologies and infrastructure development.

Determinants of Performance of Village Government in Early Implementation of Village Law

Decentralization policy in Indonesia has been expanded to the level of the village since 2015. The main purpose of this policy is to improve the performance of village government in providing more effective public service and efforts to poverty alleviation in rural areas. The authors argue that social capital, governance practices, leadership capacity, and resources can be important factors influencing the performance of village government. However, knowledge about to which extent village governments present their actual performance concerning social capital, governance practices, leadership and resources is still not sufficient yet. Using survey data conducted in 2015, this study aims to describe the early state of village government performance and examines links among social capital, governance practices, leadership capacity and resources with village government performance. The survey has selected 10 villages representing upland and lowland areas in Banyumas Regency, Central Java Indonesia. From each village, we choose 30 community leaders to express their opinion on our variables. Data is analyzed by descriptive statistics and ordinal regression since it was an ordinal scale. The result shows that village governments still have a good ability to formulate strategic planning, to realize development outcomes relevant to community needs, to utilize public participation in decision-making stages, to develop community organization capacity and to empower villagers.

FOOD SECURITY AND POVERTY STATUS OF CASSAVA PROCESSORS IN AWKA NORTH LOCAL GOVERNMENT AREA OF ANAMBRA STATE OF NIGERIA

Cassava is one of Nigeria’s most important root cash crops and plays a key role in food security and poverty alleviation in rural areas. The study assessed the food security and poverty status of cassava processors in Awka North Local Government Area of Anambra State, Nigeria. Data were collected with a well-structured questionnaire from a cross section of 490 randomly selected cassava processors in 2019. Data were analyzed with descriptive statistics, mean threshold from 5 point Likert scale, logistic regression, food security index, and Foster Greer Thorbecke (FGT) poverty status model. The study reveals that the majority (60.8%) of processors is female, it equally summarized that the average age, level of education, processing experience, household size, contact with agricultural officers, enterprise size, monthly income, and monthly expenditure were 45 years, 11 years, 16 years, 9 people, 4 times, 67.36 tons, 126.5204286 USD and 91.91425714 USD at N350 per dollar respectively. The average cassava processing output was 26.02 tons/month and the processor’s food security line was 61.28 USD, while the poverty line was 84.45 USD. The study equally observed that the food security index was 1.5 with the majority (89.59%) of the processors being food secure. Also, the poverty incidence, depth and severity were 0.098, 0.055, and 0.03 respectively, while the poorest processors spent 71.5% of their income on food consumption. Furthermore, the determinants of food security were sex, age, farm size, household size, contact with agricultural officer, and cooperative membership.

Yearning Life: Reflections on Morality and Trust among Individuals under the Governance of Rural Poverty—Read Ferdinand Tönnies "Community and Society"

This study is based on the experience of reading Ferdinand Tönnies' Community and Society, trying to clarify: firstly, to solve the current social contradictions caused by poverty in rural areas; promote social development, strengthen the construction of civic morality, build a "bridge" of trust between individuals. The second is whether the rural community is possible to establish, and how to establish. Third, we will strengthen targeted poverty alleviation in rural areas, determine the direction of targeted poverty alleviation, improve effective mechanisms and promote the participation of national government and social forces in poverty alleviation. In general, every poverty alleviation policy has been implemented with targeted measures for households. Improving individual moral standards; promoting targeted poverty alleviation measures. Ensure the effectiveness of targeted poverty alleviation, and finally build a new countryside to achieve the goal of villagers yearning for life.

Monitoring land governance: Understanding roots and shoots

Despite a growing interest among land use policymakers to identify the indicators that measure changes in land tenure systems, little consensus exists about what framework can functionally analyze land tenure systems, and how it should be developed. The existing indicators have mainly focused on measuring the “effects” of land tenure (in)security and often neglected the “causes”. Hence, comprehensive monitoring of land tenure systems has been poorly understood and practiced. Given their multifaceted meanings, land and its related concepts have been a challenging issue for policymakers. Accordingly, the overall objective of this paper was to propose a functional and analytical framework on how to study monitoring land governance from roots to shoots through five main studies: i) understanding the historical trajectories of land, ii) recognizing institutional arrangements on land, iii) identifying land governance grammar, iv) defining land governance typology, and v) assessing land use changes. In line with this objective, the general research question of this study is how and by whom a monitoring system should be developed. Overall, this study can be considered as a conceptual framework that has been designed to conceptualize, develop, build, and apply a functional and analytical framework for formulating land governance grammar to explain how access to land is governed. Unlike previous studies, this study focuses on both causes and effects of strong land governance (SLG) and weak land governance (WLG). The paper discusses that land governance allows various stakeholders to participate in government decisions and ensures the security of their livelihoods. However, land governance could be either poor or strong depending on the government decision-making process. The paper also concluded that SLG is a precondition for economic growth and poverty alleviation in rural areas of developing countries.

Is the photovoltaic poverty alleviation project the best way for the poor to escape poverty? ——A DEA and GRA analysis of different projects in rural China

The solar photovoltaic poverty alleviation project (PPAP) is an important innovation in China's targeted poverty alleviation (TPA) mission. Through investment in the renewable energy industry and an emphasis on poverty alleviation in rural areas, China's TPA has achieved great success. Although China has invested large amounts of money in PPAP, its actual contribution to rural poverty alleviation has not been verified. This paper analyzes the contribution of PPAP's efficiency in TPA via data envelopment analysis (DEA) and grey relation analysis (GRA). The results show that: 1) the overall efficiency of TPA is high; 2) the overall efficiency of TPA has large geographical differences; 3) the inputs of TPA have a great impact on the efficiency of poverty alleviation; and 4) China's investment in PPAP is indeed effective, but its impact on poverty alleviation is overestimated. Therefore, we propose four policy recommendations: 1) the scale and proportion of financial investment in TPA should be optimized; 2) local governments should allocate poverty alleviation funds according to local situations; 3) the Chinese central government should strengthen macro control and reduce support for PPAP; and 4) local governments should balance the allocation of funds for PPAP and other poverty alleviation projects.

Finance, law and poverty: Evidence from India

Using state-level data from India over the period 1983–2005, this paper shows a strong negative relationship between financial depth (as measured by credit volume) and rural poverty. Instrumental variable regressions suggest that this relationship is robust to endogeneity biases. Furthermore, financial deepening has a bigger impact on rural poverty alleviation than outreach (as measured by branch penetration). We find suggestive evidence that financial deepening reduced poverty rates especially among self-employed in the rural areas and also supported an inter-state migration trend from rural areas into the tertiary sector in urban areas, consistent with financial deepening being driven by credit to the tertiary sector. Our findings suggest that financial deepening contributed to poverty alleviation in rural areas by fostering entrepreneurship and inducing geographic-sectoral migration.

Efficiency and sustainability of microfinance: Study case agribussines microfinance institutions in Bogor

Microfinance is one of the solutions in poverty alleviation in rural areas. The existence of financial access in a rural area, with hope, low-income society can increase their revenues and eventually able to escape the circle of poverty. The agribusiness microfinance institution is the institution that provides financing services to farmers in rural areas. However, agribusiness microfinance institution is facing sustainability problems. We analyzed financial sustainability in terms of the cost-efficiency of the Agribusiness Microfinance Institution (AMFI). The study utilized a parametric approach method of Stochastic Frontier Analysis (SFA). The sampling technique used was purposive sampling, namely AMFI possessing two years of financial reports (in the year 2016-2017) around Bogor District, there were fifteen AMFIs qualified. The result indicates AMFIs' efficiency value in Bogor District almost approaching 100%. It means that the AMFIs' financial performance in Bogor District was highly efficient. Labor cost is a very responsive variable in the total cost. However, AMFIs' labor cost was low. This matter caused administrator performance in servicing their customers to become not optimal, thus impacting the unsustainability of AMFI. JEL Classification: G21, G23 DOI: https://doi.org/10.26905/jkdp.v23i4.3591