pedalling or hand-guiding vehicles) and 10% on services and sales.5 Unpaid work is higher in rural areas and for poor individuals. Child work (i.e. workers under 18 years old) is concentrated in unpaid activities and it is more frequent in rural areas. Tables 36 and 37 (Annex 2) show that labour participation is higher for men than women at any age group and region, except for persons under 18 in urban areas. In 2009, agriculture, forestry and fishery employed 7 out of 10 workers in rural areas, but only 1 out of 4 in urban regions (excluding Phnom Penh). The percentage of workers in transportation, and hotels and restaurants increased from 5.1% and 1.0% to 7.0% and 6.6% in urban areas (excluding Phnom Penh) between 2004 and 2009, respectively. Finally, 67.2% of labour in Phnom Penh is concentrated in wholesale, manufacturing, public service (including defence) and other services. Labour productivity (value added per employee) increased from KHR 2.4 million (USD 631) in 1998 to KHR 4.2 million (USD 1,032) in 2008. The average growth rate was 5.7% per year in KHR, and 4.9% in USD. The sector with the highest growth rate of labour productivity is mining and quarrying (19.4%), followed by finance and other services (8.6%), transport and communication (5.8%), construction (3.7%), manufacturing (3.1%), agriculture (1.7%), and trade (1.0%), while the sectors hotels and restaurants (-1.0%) and, electricity, gas and water (3.9%) saw a decline. Labour productivity in agriculture, forestry and fishery is around one third of the average national level, and 0.06 times the productivity in mining and quarrying. Labour productivity in Cambodia is less than half of that in Vietnam (NIS, 2010b). Poverty, measured by average household consumption per capita, declined from 47.0% in 1993 to 30.1% in 2007, which represented an average annual decrease of 3.1% per year. Based on the revised methodology (see Box 1), poverty has decreased from 62.0% to 30.1% between 2004 and 20096. The elasticity of poverty to economic growth is an estimated -0.37 to -0.59 depending on the indicator used for economic growth.7 These estimates are lower than the elasticity for East Asia and Pacific countries, which was estimated at -1.00 (Besley and Burgess, 2003: 8). A possible explanation is that inequality, which is one of the factors explaining differences in the elasticity of economic growth on poverty reduction, has not been addressed yet in Cambodia. The share of the poorest quintile in national consumption decreased from 8.5% in 1993 to 6.6% in 2007 (new estimates for 2009 show a relation of 8.0% (RGC, 2012)). Besides, the Gini coefficient of per capita consumption increased from 0.38 in 1993 to 0.40 in 2004 and to 0.43 in 2007 (NIS, 2010: 18). Monthly consumption per capita increased from USD 30 (KHR 121 thousand) in 2004 to USD 68 (KHR 282 thousand) in 2009, with an average growth rate of 10.8% per year in real terms. However, the relation between the richest and poorest quintile (decile) remains at 5.1 5
Own calculations based on CSES 2009. Under the old methodology, the poverty rate declined to 14.6% in 2009. 7 Between 1993 and 2007, total GDP grew at an average rate of 8.5%, while per capita GDP grew at 7.0%, household final consumption expenditure at 6.8% and per capita household final consumption per capita at 5.3%. 6
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