Dominican Republic - Poverty Assessment : Poverty in a High-Growth Economy, 1986-2000, Volume 2. Background Papers

Abstract

Since its recovery of macroeconomic
 stability in 1991, the Dominican Republic has experienced a
 period of notable economic growth. Poverty has declined in
 the 1990s. Nevertheless, a segment of the population-mainly
 in rural areas-does not seem to have benefited from this
 growth. Poverty in this country in 1998 is less than that of
 other countries if one adjusts for the level of economic
 development. The principal poverty characteristics are the
 following: Disparity in poverty levels in rural areas
 relative to the rest of the country. Destitution in the
 "bateyes," the communities arising near the sugar
 cane plantations, that are mainly composed of women,
 children, and the aged. Urban vulnerability to environmental
 problems while access to basic services is restricted.
 Vulnerability to natural disasters that destroy the means of
 production. Poverty is high among children--especially those
 who have abandoned formal education-female-headed
 households, and the aged-the latter due to lack of social
 safety nets and the absence of pension systems. There is a
 strong correlation between poverty and health indicators
 like the presence of malnutrition, and poverty and
 education, and poverty and the absence of basic services.
 Government transfers and foreign remittances play an
 important role in reducing poverty.