Inclusive factor inputs for determination of human development index for informal settlements: A case study of Enugu city, Nigeria

Despite the popularity of the human development index (HDI) in the measurement of human development, it has been variously criticized on the ground that its three dimensions, namely, health, education, and income, as presently constituted do not completely reflect human overall well-being goal which it set-out to measure. The critics have suggested the introduction of additional relevant indicators for the construction of HDI. The goal of this study is to investigate inclusive factor variables for determining the human development index for informal settlements using the city of Enugu, Nigeria, as a case study. The variables used in the development of HDI include the following: wealth, housing/environmental, and social protection. The HDI formula was subsequently modified to the more elaborate and inclusive factor inputs. The results show that households in informal settlements in Enugu are experiencing deprivation. The level of deprivation is highest in the area of wealth dimension, followed by housing/environmental and social protection. Four informal settlements are currently experiencing significant low-level human development in each area of housing/environmental and social protection issues. The aggregation of the three dimensions of the human development index shows that the informal settlements in the city of Enugu are seriously deprived. This implies that the settlements are poorly served with housing facilities, environmental amenities, and social protection structure. In effect, wealth, housing/environmental, and social protection mechanisms are veritable indicators for the measurement of human development and should be included as variables for calculating HDI, especially for the urban poor.