Using Poverty Lines to Measure Refugee Self-Reliance

Johannes G. Hoogeveen and Robert Benjamin Hopper

No 10910, Policy Research Working Paper Series from The World Bank

Abstract: Humanitarian models of refugee assistance increasingly promote refugee self-reliance without offering a clear understanding of what constitutes self-reliance, or how to measure it, although measurement is essential to assess whether the promotion of self-reliance has been successful. This paper proposes an approach to measuring self-reliance rooted in global poverty measurement: a refugee is self-reliant if their self-earned income exceeds the locally relevant poverty line. In its empirical application, the paper uses estimates of self-reliance drawn from 11 consumption surveys, which present the universe of data that can be used for such purposes. Refugees in middle-income countries are found to be far more likely to be self-reliant than those in lower income countries, while refugees residing in urban and non-camp settings demonstrate higher levels of self-reliance than those in rural and camp environments, reflecting the presence of greater economic opportunities outside camps and in urban areas. The paper also finds evidence that aid and self-reliance are inversely correlated, with more aid spent in environments where refugee self-reliance is constrained. The paper argues that a different outcome should be envisaged, one in which governments that encourage refugees to be self-reliant receive more aid. Such an approach would be beneficial for refugees, who would gain financial autonomy, and for host country citizens, who often face high levels of poverty and at times are even poorer than refugees.

Date: 2024-09-17
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