KUALA LUMPUR, Aug 23 — Economic Affairs Minister Datuk Seri Azmin Ali today refuted claims by a UN rights expert that Malaysia’s poverty rate has been grossly underreported.

In a media statement today, Azmin defended the country’s low rate of poverty — which is recorded at 0.4 per cent of households as of 2016 — despite claims by UN Special Rapporteur on Extreme Poverty and Human Rights Philip Alston that the poverty rate could be as high as between 16 and 20 per cent.

“Malaysia is disappointed by the remarks made by the Special Rapporteur on Extreme Poverty and Human Rights, Professor Philip Alston, in a press release on August 23, 2019 regarding his preliminary observation on poverty in Malaysia.

“We stand by our absolute poverty rate, which currently recorded at 0.4 per cent of total households in 2016 or 24,700 households. 

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“While the government appreciates the effort by the Special Rapporteur in raising awareness on issues of poverty, certain comments are baseless and uncalled for.

“For instance, the assertion that a sizable part of Malaysia’s population ‘struggles to get by with tenuous access to food, shelter, education and healthcare’, is both misconceived and erroneous clearly lacking empirical evidence and rigorous scientific procedures,” he said.

Malaysia’s Poverty Line Index (PLI) calculates households of four living below RM980 per month, with a daily expenditure of RM8, as those living below the poverty line.

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Azmin then explained that the PLI is derived from the Canberra Group Handbook on Household Income Statistics, Second Edition (2011), which is published by the United Nations, and is also higher than the benchmark set in the UN Sustainable Development Goal 1 at which those living on US$1.25 (RM5.24) per day are considered living below the poverty line.

“This PLI is also higher for Sabah at RM1,180 and Sarawak RM1,020 to take into account additional costs, such as transportation. However at the implementation level, especially when disbursing assistance, a household’s PLI takes into account its location, household size and other demographic factors. 

“This may result in a higher household PLI than the national PLI,” the minister said.

Azmin added that government aid is tailor-made to the needs of the recipients, based on profiling through the eKasih system.

“As such, the assertion made by Professor Alston that there is ‘a statistical sleight of hand that has nefarious consequences’ is wholly unacceptable and irresponsible,” he said.

Azmin also rubbished Alston’s claims that Malaysians have “limited ability to exercise civil and political rights”, as 82.3 per cent of Malaysians participated in the last general election which saw a change in federal administration for the first time since Independence.