Effect of Bicycle on Poverty Alleviation
Quantitative Field Study-1: Uganda
Organization: Institute for Transportation & Development Policy, Europe
- Cost-benefit analysis of bicycle ownership
- 300 poor households from different regions of Uganda were given subsidized bicycles and a one-time guidance of how to utilize the time saved in doing any allied productive work
- All households either enlarged the area of land used for agricultural purposes or intensified the level of cultivation
- Roughly half of all households began or intensified non-agricultural activities during the survey period, and in that way diversified the composition of their household income.
- Saving of almost 2 hours per day of transport time per household
- Substantially more frequent visits to market and medical facilities
- 35% higher income
Quantitative Field Study-2: Tanzania
Organization: International Labour Office
- The understanding that "Roads Are Not Enough" was the reason why Integrated Rural Transport Project in Makete District, Tanzania was conducted.
- ~50-100 households surveyed for impact of bicycle ownership
- Bicycle has very strong impact on the market production: It enables the farmers to cultivate bigger fields and use more fertilizer.
- Bicycle households marketed two fifth more than comparable non-NMT-households.
- Total monetary benefits of a bicycle 55% of the household’s income
- The main restriction for the purchase of a bicycle is the relative high procurement cost.
- 80-90 % of the households desiring an NMT stated that they could not afford the price
Quantitative Field Study-3: Srilanka
Organization: World Bicycle Relief, USA.
- After Tsunami, 24,000 free bicycles distributed
- Surveyed 221 bicycle owners for impact made
- More than two years after the tsunami, 88% of respondents still rely on the bicycle as part of their livelihood
- Bicycles save between 10 and 20 percent of a household’s annual income over other transportation alternatives, and in the poorest households as much as 30 percent – income that contributes directly to livelihood security
- Bicycle distribution has effectively mobilized and empowered women, with 82 percent of women recipients reporting that they use the bicycle for income-generating activities
- Bicycle saved, in alternative transportation costs, 18% of a recipient’s $71 average monthly income.
- If saved time was spent on productive endeavors, then $0.52/day additional income could be produced – a more than 17% increase.
- While this survey did not specifically calculate the cost savings of a bike recipient’s ability to reach regional markets, parallel surveys show further significant cost savings.