This paper assesses the extent of poverty and inequality in the IGAD region. It also assesses
the decomposition of poverty and empirically analyze the determinants of multidimensional
poverty for each member States. The global Multidimensional Poverty Index (MPI) was used
to measure multidimensional poverty and understand the magnitude, intensity and
determinants of multidimensional poverty. A brief comparison with income poverty was also
presented. We find that on average the economy of the IGAD region is improving over time,
but poverty still remains the main agenda as a significant proportion of the population of the
region remain poor. Regionally, inequality is a major issue and varies from country to country.
Poverty is also decomposed by location as well as dimensions. Rural areas are identified as
the poorest while living standard appears to contribute the most in multidimensional poverty.
The empirical analysis shows that household level variables explain poverty in both rural and
urban areas of the region. The paper also highlights some policy implications.
