As Kosovo goes beyond the emergencyrelief phase, taking into consideration the situation ofthose that the conflict has left behind is vital to theeffectiveness of any strategy for economic development. Thestudy is designed to inform the current policy debate in thearea of poverty alleviation, and social service delivery,and to include these in the Joint Interim AdministrativeStructure (JIAS), the World Bank, and other donorsperspectives. Within the definition of poverty as amultidimensional force that extends beyond low levels ofincome, the report covers a wide range of issues, includingconsumption, income, education, health, and socialprotection. It is predominantly based on data from theLiving Standard Measurement Survey, statisticallyrepresentative of both the Albanian, and Serb population,though not of other ethnic groups. The study comprises twovolumes, the first one reviews background information, anddata to examine the extent of poverty in Kosovo, the role offood aid, and identifies the correlates of extreme poverty.Poverty is analyzed versus income sources, and socialassistance, and against inequality in educationalattainments, and access to health care, to lay thefoundation for building a strategy for poverty alleviation.Based on the profile of poverty in Kosovo, the second volumediscusses the consumption poverty profile, and factorsaffecting the risk of extreme poverty, to challenge buildingan effective social protection strategy. Conclusionsindicate that to avoid an increase in poverty, economicgrowth should increase the share of income derived fromwages, and the JIAS must increase assistance to householdsnot able to participate in the economy.