UN LAUNCHES NEW INDEX FOR MEASURING VULNERABILITY

Why in the news?

The UN has introduced the Multidimensional Vulnerability Index (MVI) to help small island states and developing nations access low-interest financing by measuring economic and environmental vulnerabilities.

UN LAUNCHES NEW INDEX FOR MEASURING VULNERABILITYsource:researchgate

Introduction and Purpose of Multidimensional Vulnerability Index

  • The UN General Assembly has officially launched the Multidimensional Vulnerability Index (MVI) to assist small island states and developing nations in accessing low-interest financing.
  • The MVI is designed to complement GDP and other development metrics by providing a new measure of economic vulnerability.

Background and Development

  • Small island developing states (SIDS) have long sought a measure that reflects their vulnerability to external shocks like climate change, despite not being classified as poor based on GDP per capita.
  • After extensive discussions, the General Assembly adopted the MVI resolution by consensus. This new tool incorporates indicators related to structural vulnerabilities, including import dependency, exposure to extreme weather, pandemics, regional violence, and resource limitations.
About Multidimensional Vulnerability Index (MVI):

  • Purpose: Measures structural vulnerability and resilience across multiple dimensions of sustainable development at the national level.
  • Complement to GNI: Used alongside Gross National Income per capita (GNI pc) to assess vulnerability and resilience.

Two Levels of Assessment:

  • Universal Level: Provides a quantitative assessment using a common methodology for all developing countries, resulting in a summary index number to rank countries.
  • Vulnerability and Resilience Country Profiles (VRCPs): Offers detailed, tailored profiles of a country’s vulnerability and resilience factors, including non-structural aspects. Used for directing support and cooperation to address specific vulnerabilities and enhance resilience.