The determinants of household poverty in Sri Lanka: 2006/2007

This study examines the Micro-level factors associated with household poverty in Sri Lanka using latest Household Income and Expenditure Surveys (HIES) data in 2006/07 employing OLS, quintile and probit regressions. The results of the probit regression indicate that, the major determinants of household poverty in Sri Lanka are human capital related factors which can be link to the labour market and remittances. Further, qunatile regression shows that education and foreign remittances have significant positive effect on standard of living in Sri Lanka regardless the sector.