FOREWORD

This National Human Development Report for 2001-2002 focuses on poverty. In doing so, it gives the reader information that goes beyond the general picture of poverty in Georgia. To do this, the authors have used not only existing research, but have also generated their own survey data, including breaking out this information by key categories such as regions of Georgia, and seasons of the year.

The Report deals with issues such as the increasing concern of Georgians with poverty and poverty-related issues, including the critical role of good governance for alleviating poverty. The UNDP’s own Human Development Index for Georgia is analyzed in a range of ways, including the disturbing decline in the figure for 2001. The main ways that poverty in Georgia is measured are examined, showing how these categories differ in terms of the types of persons who fit into them, and examining the pros and cons of these approaches. The paper ends with a discussion of the Poverty Reduction and Economic Growth Program (PREGP) for Georgia, which the Government is now finalizing.

As this Report reinforces, there is no question that poverty reduction must be a top priority for Georgia, and for its friends. However, the authors of the Report are also right in making clear that effective poverty reduction in Georgia is a very challenging task. It will require the best efforts that the Government, as well as the public, and international supporters of Georgia, can make in order to reach success. In particular, success will require leadership and commitment at the highest levels of the Government to implementing poverty reduction as a top objective of the Government, and its reform agenda. The Government, with the help of international financial institutions, is determined to obtain high rates of economic growth, which is a necessary component of poverty reduction. However, an expanding economy alone is not enough to bring about the necessary improvements for those Georgians living in poverty. This also requires responsible and effective governance to transform economic growth into key results such as better schools, a strong health care system, and a safety net that effectively protects the vulnerable.

I am confident that this Report will contribute to poverty reduction efforts in Georgia, through furthering our knowledge of poverty, of how best to measure it, and of how to help alleviate it. My thanks to the authors, and my best wishes to the readers, who may not always agree with the authors, but who I am sure share their desire to help those in need in Georgia.

Mr. Lance Clark

UNDP Resident Representative
UN Resident and Humanitarian Coordinator