MPs call for review of definition of poverty

Two members of Parliament Tuesday called on the government to review the definition of poverty and poverty line in view of the current economic situation.

Datuk Ahmad Hamzah (BN-Jasin) said although the country is seen as successful in reducing hardcore poverty to zero, the government must accept the reality that the situation and times had changed.

"We must not be ashamed to accept the reality that despite being currently successful in eradicating hardcore poverty, times have changed.

"The figure or definition of poverty should not be static, must change from to time, what more in the current situation of uncontrollable hikes in the prices of goods," he said when debating the 11th Malaysia Plan in the Dewan Rakyat on Tuesday..

Dr Michael Jeyakumar Devaraj (PSM-Sungai Siput) said the poverty level of RM800 fixed currently was not relevant especially for those staying in towns.

"What is the concept of poverty we are using now? Are we not regarded as poor, if we do not die of starvation?

"We use RM800 as the poverty rate, and in the report it is said poverty has gone down to 0.6 per cent last year, it is illogical. Something is wrong with this concept, we are hiding the true facts. The reality is that we need a minimum of RM2,500 to RM3,000 to provide basic needs for our family," he said.

Providing an example of the method used to decide the povery line in several developed nations, Michael said 60 per cent of the people's median income was used to determine the poverty line.

"If here, following this document (RMK11) the median income of the people is RM4,585, take 60 per cent we get the figure RM2,751. If we decide this as the poverty line, ok.

"For those staying in towns, the amount may not be adequate but allows them to provide basic facilities, children's education and pay car instalments but they cannot buy a house," he said.

In addition, Ahmad also suggested that the government provided one master policy as practised in countries such as New Zealand.

"The master policy is very important as it can be used as a decider to tie all government policies and programmes coherently or inter-connectedly," he added.