1. Urbanization and Multidimensional Child Poverty
in Viet Nam
Nguyen Thi Van Anh, UNICEF’s Social Policy Specialist
“Rethinking urbanization and equity in Asia: Harnessing the Potential
of Urban Living for All Children
Brighton, 9-10 June, 2014
Session D1: Governance and Planning Presentation: 5

2. Contents
1- Background
2- Overview of urbanization
2- Manifestation of child poverty
3- Policy implication and policy approach

3. Background- Low MIC
Economy
• GDP growth rate (2005-2010): 6.8%
• GDP per capita : US$1375 (2011)
Demographics: Fast pop. growth rate:
• Total population: 93,421,835 (July 2014 est.)
• Annual population growth rate (2010): 1.04%
• Urban population: 31% (2011)
• Rural population : 68.3% (2011)
• Rate of urbanization: 3.03% annual rate of change
(2010-15 est.)
Poverty
• Poverty head count: 14.2% (2010)
Major urban area- population
 Ho Chi Minh City: 5.976 million;
 HANOI (capital): 2.668 million;
 Haiphong: 1.941 million;
 Da Nang: 807,000 (2009)

4. Overview of urbanization

5. Urbanization – Overview
 Vietnam has the highest
urbanization rate in Southeast
Asia
 Urbanization occurs in 3 ways
 Rural-urban migration
 Natural growth
 Reclassification of rural land as
urban
 Rural – Urban migration: 9.2%
(1999-2009)
 Urbanization links to growth and
development- is a key feature of
eco. Development
7.57.9 8.79.2
10.011.0
16.0
17.2
20.721.5
19.219.019.720.7
24.025.0
26.927.5
29.6
0
5
10
15
20
25
30
35
1931
1936
1939
1943
1951
1955
1960
1965
1970
1975
1980
1985
1991
1995
2001
2003
2005
2007
2009
The percentage of urban population
during 1931-2009

6. Urbanization: rural – urban migration
0
5
10
15
20
25
0-4 5-9 10-14 15-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60+
%
Age group
Population of Ha Noi and HCM city by registration status, UPS
2010
Residents Migrants
Migrants - heavily concentrated in 15-34 age group
25.57% of migrants in the 0-19 age group

7. High poverty density in urban settings
Poverty reduction have slowed down, especially in urban areas.
Income poverty measurement does not capture multi-dimensions
of poverty
25.1
9.5 6.6 3.6 3.9 3.3 6.0
66.6
44.9
35.6
25.0
20.4 18.7
27.0
0
20
40
60
80
1993 1998 2002 2004 2006 2008 2010
Povertyrates(%)
Urban and Rural Poverty, 1993-2010
Urban Rural
It seems not a problem, from
the data

8. IS THERE A PROBLEM OF MULTIDIMENSIONAL CHILD POVERTY IN
URBAN SETTING ?
Manifestation of urban child poverty

9. Multidimensional child poverty, 2006-2010
(Health, education, housing, water and sanitation, child labour, leisure
and social protection and inclusion)
Urban Multidimensional Child Poverty is increasing
11.3 12.5
15.9
36.3
34.3 34.5
0
10
20
30
40
2006 2008 2010
Childpovertyrate(%) Multi-dimensional child poverty by
Urban and Rural, VHLSS 2010
Urban Rural

10. Child poverty in social inclusion - higher in urban setting
due to unregistered
11.2 9.4
36.8
2.2
12.3
1.7
52.9
11.1
31.2
15.9
48.4
12.6
48.7
9.16
75.3
2.76
0
10
20
30
40
50
60
70
80
MdCP Education Health Shelter Water &
sanitation
Child
labour
Leisure Social
inclusion
MdCPrates(%)
Urban Rural

11. Social exclusion- policy issues ?
 Migrants: 11.33% Hanoi pop. and 20.46% HCM city pop
 Children aged 0-14: 12.5% of migrants
 So poverty could be underestimated in urban areas
 Income poverty does not capture multidimensional aspects
Not everyone is counted
the household surveys
* * *
Social
Exclusion due to
unregistered
migration?

12. Social exclusion – Policy issue?
 The current “Ho Khau” system is based on household
registration. It contributes to the formation of a management
and service system of the localities.
 Current system of social protection, financial investment and
compulsory education have centered around “Ho khau”
 Many procedures and policies made dependent on “household
registration” (Ho Khau)
Child poverty in social inclusion in urban setting (11%) is 4 times
higher than in rural setting due to unregistered, and over 20% in
some big cities (HCM city and Binh Duong)
Lack of “Ho Khau”, migrant (unregistered) children are not
able to enjoy the same rights as local registered children

13. Social exclusion – Policy issue?
Households without “ho khau” are most likely to be
 “Invisible” and “in-calculated” in household survey and
 Excluded from the “poor or social policy beneficiaries list”
 Thus less benefited from support policies
Migrants
 Face higher costs of living and to access to basic social and
welfare services
 Find hard to rely on formal institutions and access to social
protection =>lack of information
 Rely mainly on “informal” network
 Suffer prejudice against them (local children - not to be
friends to migrant children for fear of learning bad habits)

14. EDUCATION – Equal opportunity?
 Gaps in education between migrant vs. residents;
 Migrant children - enroll in private schools with higher costs
and poorer quality (Kindergarten);
 Benefit less from tuition and contribution fee exemption
88
90
92
94
96
98
Migrants Residents
92.3
97%
Net enrollment rate, UPS 2010
 Poor children - have to support parents, have little time to do
homework and play, Little money to buy learning aids
 Poor parents - difficulties in meeting children’s education costs and
unable to invest in children’s higher education
0
20
40
60
80
100
Aged 5-9 Aged 10-14 Aged 15-19
89
71
21
99 97
77
%
School Attendance by age groups,
UPS 2010
Migrants Residents

15. Health care – Equitable?
12.3
18.8
17
21
0
5
10
15
20
25
Rich poor Residents Migrants
%
Total medical costs in non-food
expenditure (%), UPS 2010
Migrants- less likely than residents to get health insurance and
health care in a public facility/seek professional treatment due
to lack of registration and money
 45% migrants “Only buy medicine” when sick;
 15% migrants vs. 2% residents get professional attention
 Do not get services for SI beneficiaries due to insufficient supplies
(e.g. drugs) from district SI funds; Some migrant children have to
return home for vaccinations or pay for vaccinations services
 Still 39% of urban children (0-4) are
poor in healthcare
 Migrant children have no full
access to local health care services
 Burden on medical costs on poor
and migrants

16. Nutrition – City’s issues ?
HCM city 2010 malnutrition
Underweight (<5): 6,8%,
Stunting: 7,8%
Obesity: 10,9%
Many migrant children have poor
intake, not enough nutritious food
and other daily essentials due to
high costs of living

17. Living conditions –housing disparities ?
 Housing with concrete roof:
22% poor vs.42% of non poor
 housing with concrete floor:
71% poor vs. 90% non-poor
The very urban poor tend to be
migrants and live in a dormitory
or houses of poor and unsafe
living conditions
Rental housing: 64% migrant
vs. 2% residents

18. Living conditions - Water and sanitation disparities?
 Still 12.3% urban children lack
of access to clean water and
hygiene sanitation
 Access to water from private tap
40% migrants vs. 65% residents
 Using tap water
30% poor vs. 57% non-poor
 Using flush toilet
48% poor vs. 89% non-poor

19. Child protection – Child labour
Migrant children are five
times likely to work than
resident children
0.0
20.0
40.0
60.0
0- <5 6- <24 25- <42 >42
3.0
29.9
18.5
48.6
4.5
42.2
23.7
29.5
Child labour by working hours
Urban Rural
0
20
40
60
80
Residents Migrants
1.07
14.67
20.03
75.71
Children with a principal job in Ha noi and
HCM city
Aged 10-14 Aged 15-19
Child labour (aged 15-17) – higher in
urban settings;
Urban child clabourers work longer
hours. 95% of them are not attending
school

20. Policy implication
&
Policy approach

21. Policy issues ?
 Gap in statistics:
 Official data, used for
planning and for
budgeting, might also
underestimate the
population
 Urban Poverty could be
underestimated
Leading to
 The exclusion of some
population groups in
planning and budgeting
 Right to policy choices not
made
What difference does the
undercounting make?
 If plans and budgets are not based
on actual populations, resources
may not be adequate to deliver
services.
 And if resources are inadequate to
deliver services, who misses out?

22. New challenges – New approaches
Include migration in the
development
Count them
so they can be planned for,
budgeted for, their poverty
and access to services tracked
Deliver services to them
do not make household
registration status a barrier to accessing basic services
What legal and policy changes are needed to achieve this?
 Urban planning and budget allocation
Based on actual population, including migrants
Outputs-based social budgeting – prioritized budget allocation
to where the poor are

23. Adopt multidimensional approach to poverty monitoring
and targeting – identify new emerging form of poverty and
vulnerability, particular of migrants
Reform the current social protection system to make it more
comprehensive and accessible - Help the urban poor to cope
with risks and vulnerability e.g. replace “Ho Khau” with IDs
 Design an integrated family package f social assistance for
urban poor, migrants and their children - Priorities given to
early childhood development
Stronger regulate/control over-commercialization
(privatization) in health care and education
Create more effective policies to support small enterprises in
promoting their social responsibility (e.g. Kindergarten) and
promote the formalization of informal economic activities
New challenges – New approaches

24. Reference
 Urbanization review in Vietnam, World Bank
 Vietnam household living standard survey 2010, GSO
 Multidimensional child poverty 2013, GSO-UNICEF
 Urban poverty assessment 2010, GSO-UNDP
 Child Labour survey 2010, MOLISA/ILSSA-ILO
 Participatory urban poverty monitoring, Oxfam and Action Aids
 Impact assessment of poverty reduction policies for 2009-2013 in
HCM city, MDRI
 Migration study 2010, UNICEF-DOLISA HCM city

25. Thank you
for your attention