Developing and Applying Poverty Environment Indicators (WWF, 2004)

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For over a decade, WWF’s Macroeconomics Program Office (MPO) has analyzed and tried to influence the impact of macroeconomic reforms on the environment and the rural poor in more than 20 developing countries. Our analytical work, shared through book-length publications, numerous monographs, and diverse articles, has contributed to shaping public policy regarding the content and implementation of macroeconomic instruments.

More recently, strategic interventions to support poverty reduction and improved natural resource management in five developing countries (China, Indonesia, El Salvador, South Africa, and Zambia) under the umbrella of the Economic Change, Poverty and the Environment project resulted in significant change at local, meso, and macro levels.

Our continued efforts to gauge the impact of macroeconomic and institutional reforms on the poverty-environment nexus (P-E nexus) have led us to examine closely the concept of poverty-environment indicators (P-E indicators). The use of P-E indicators is increasingly accepted among development agencies, NGOs, and developing country governments as a tool for designing, planning, and evaluating strategies and programs at various intervention levels. Our experience, through analysis and direct interventions, shows, however, that key drivers of the P-E nexus are often inadequately reflected in the indicator frameworks used by these institutions. The drivers that have frequently been left aside include, among others, the role of institutions, macroeconomic policies, regulatory regimes, and the exercise of power and privilege.

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