Over 25% of Moldovans consumed less than absolute poverty line in 2007

In 2007, the poverty line in Moldova dropped considerably, by 4.4 % in comparison with 2006, according to a study on main poverty indices, made by the Ministry of Economy and Trade jointly with the National Statistics Bureau. According to data of the World Bank, during 2001-2007, 49% of the Moldovan population lived under the national poverty line, Info-Prim Neo reports. According to the study, made annually in the country, in 2007, the number of poor people declined 16,000. Last year, 25.8% of the entire population expended less than the level of absolute poverty, which was 839.3 lei. This level represents the sum of total expenditures on food, non-food products and services. In 2006, this level was 747.4 lei, and number of people under this level was 30.2%. Another basic index of the study is the extreme poverty level, representing the money value of the consumer basket. Extreme poverty level in 2007 was 453.9 lei, and in 2006 - 404.2 lei. The number of people under this level in 2006 was 2.8% of the total population. In 2007, this index dropped 1.7 % in comparison with 2006. The results of the study have proved once again that in villages the poverty level is higher than in towns. Indices on poverty are calculated on the basis of household budget researches, carried out by the Statistics Bureau. In August, 2008, the World Bank decided to give a grant of $7 million to help Moldova through the food price crisis. The Bank has estimated that, with the food inflation rate of about 24%, Moldova could face an increase of 13% of the poverty level in 2008, putting more stress on the challenge determined by the need to provide access of poor people to food. A direct nutritious challenge is the situation of the institutionalized groups, including children and elderly, who now survive with less than 2 dollars a day.