BASIC POVERTY PROFILE OF THE EASTERN CAPE

POVERTY AND UNDERDEVELOPMENT IN RURAL SOUTH AFRICA

3.3. BASIC POVERTY PROFILE OF THE EASTERN CAPE

The Eastern Cape is one of the most destitute provinces in South Africa. In terms of the former division of the country into Development Regions, Region D, which formed the core of this province, was deemed in 1981, to be the most deserving of state support and the targeted regional development assistance at the time (Nel, 1999: 85). The findings of the World Bank Study on poverty established that the Eastern Cape has the country's greatest concentration of poor people, which is 67%of the total population living in rural areas (Nel, 1999: 85). What was discovered is that poverty is mostly focused on the former homeland areas and secondly within the former 'black enclaves'. In the former Transkei, 92%of that area's population were regarded as poor. Hence, 60% of the children were living under the

'breadline ' (Nel, 1999: 85). The province at large has long been at the bottom of the scale in

terms of human development.

The Eastern Cape constitutes 169 580km", 14% of the total land area of South Africa. The province has a population of 5 865 million which can be broken down into 2 703 million males (46%) and 3 162 million females (54%). It is a home to some 16% of South Africa's total population. The population density is 38,2people per square kilometre. Moreover, most households are female headed and designated to be the poorest (Madikizela, 2000:6).

Madikizela (2000:7) also argues that the Human Development Index (HDI- the level of development of the population calculated on the basis of life expectancy, education and income)- for the province is 0,506 (original source not stated). The index is used to place human progress and human deprivation into perspective. The 0,506 level of HDI for the province is lower than the 0,7 for the whole country and it places the province at a medium scale in terms of human progress. There are probably marked regional inequalities within the

22

province itself. For example, the Wild Coast District Council (Alfred Nzo),where the study area Mount Ayliff is located has a HDI of only 0,20. This is not surprising because nationally, levels of human developmentand qualityof life differ acrossgeographical regions (as well as across race and sex). At a national level for instance, the HDI for Africans is 0,50 as compared to 0,66 forColoureds, 0,84for Asians and 0,90 for Whites. For the Eastern Cape, the HDI for Africans (thepoorest in the province) ranges between 0,08and 0,36(Madikizela, 2000: 7).

Moreover, the Community Development Index (CDI), a measure of the level of human development within communities used to assessthe needs for such development ,is 5,2in the Eastern Cape (Madikizela, 2000: 7). This suggests that the need index is greater than the average on a scale of 0 to 10 (with 5 being the average and Zero indicative of a high level of needs). Therefore,the province is given a low priority in terms of funding to promote human development. Most importantly, closely linked to CDI is the Development Potential Index (DPI), which assess the level of development investment in infrastructure and services,which is 3,5for the province (Zero developmentpotential is also of Iow priority in termsof funding requirements for promoting human development). However, this clarifies the poor level of development investment attraction to the area (Madikizela,2000: 7).

On a range of otherkey indicators, the province features very poorly.Ithas the lowest labour participation rate of all the provinces (42,6%), the second lowest labour absorption capacity (44,8%), the third highest de jure unemployment rate (23, 6%), the highest level of male absenteeism (31,3%), the second highest dependency rate (3,7), the second lowest nominal GGP (Gross Geographical Product) per capita rate in the country (R2 317),the second lowest personal income per annum (RI 358), and the lowest life expectancy (59,6 yrs) (Nel, 1999:86).

According to Nel,a surveyof prevailingunemploymentlevels in the rural areas in the Eastern Cape reveals just how serious the current situation is. This is revealed in Table 3.1below.

Although these figures only relate to the formal sector, the seriousness of the unemployment situation remainsgrave.

TABLE 3.1. UNEMP LOYME NT LEVELSIN TilERURALDISTRICTSOF THEEASTERNCAPE (formal sector)

REGION % RANGEiOFJUNEMPEOYMENT

WestemE.<:::ape /"""i'i ^". 9... i,1-16i)i.\ ;~.,ro//

FormerCiskei 41;8-45,3%

. .

Borderfl>lE.C~pe ^e. •.R4.li)'.'iof"

... ii ^{{ :3'}';i'

Former Transkei 17,7-84,8%

,i

Source:(Nel,1999:86)

The bleaknessof theprevailingpoverty situation in theEastern Cape is also revealedin Table 3.2 below,which compares the percentage of rural African peopleliving in poverty in various provinces.

TABLE 3.2.PERCE NTAG EOFRURALAFRI CAJ"lSLIVI NGINPOVERTY

PROVINCE %'OEAFRICANS ^./

.•...•

Western Cape 0,0

·i,,·i·..

Northern Cape /50;9 ,i

".

... ^'..

Eastern Cape

86 ~~ii

^{,/ ...}

•

^{..... ...}

,,'

^,i

l(ZN >"64;3

.i Free State

i'

/ 0·§ '~ " ,

Eastern Transvaal ^'.,','.' ii5 3_,6

Northern Transvaal /··'i/75;6 .i ".i,

..... i

North West 57,4 .

. ^{. .,}

^·//i.....ii.i,

GaUtellg ^,

, / 9 ; r

^{·······i}

Source :(Nel, 1999:89)

Indeed, by looking at the above statistics the Eastern Cape is the poorestprovince in South Africa, with the highest percentage (86,4 ) of people (Africans) living in poverty.

Nevertheless, it should be noted that the rural women are particularly hard hit by prevailing poverty and unempl oyment levels and are the most urgent in need of support and assistance.

24

3.4. A CASE STUDY OF THE MOUNT AYLIFF DISTRICT: POVERTY AND