India has witnessed a remarkable decline in extreme poverty over the past decade, with the proportion of people living under the poverty threshold falling to 5.3 per cent in 2022-23, down from 27.1 per cent in 2011-12, according to the latest World Bank data.
The report, released as the BJP-led NDA government completes 11 years in office, credits the reduction to broad-based economic and welfare policies that have lifted an estimated 269 million people out of extreme poverty in 11 years. In absolute terms, the number of those in extreme poverty has fallen from 344.47 million to 75.24 million.
States including Uttar Pradesh, Maharashtra, Bihar, West Bengal and Madhya Pradesh, which together accounted for 65 per cent of India’s extremely poor in 2011-12, contributed significantly to this transformation. These five states accounted for two-thirds of the national decline in extreme poverty.
The World Bank assessment is based on the $3.00-per-day international poverty line, adjusted to 2021 prices. At the earlier poverty benchmark of $2.15 per day (2017 prices), the report notes a steeper decline—from 16.2 per cent in 2011-12 to 2.3 per cent in 2022-23. The number of people living below this threshold has declined from 205.93 million to 33.66 million.
The decline, according to the World Bank, has been uniform across both urban and rural sectors. Rural poverty dropped from 18.4 per cent to 2.8 per cent, while urban poverty reduced from 10.7 per cent to 1.1 per cent during the same period.
“In absolute terms, people living in extreme poverty fell from 344.47 million to just 75.24 million,” showed latest data from the World Bank.
Also read: 171 million Indians lifted out of poverty in 10 years: WB
In addition to the monetary measures, India has made notable advances in tackling multidimensional poverty. The Multidimensional Poverty Index (MPI) fell from 53.8 per cent in 2005-06 to 16.4 per cent by 2019-21, and further down to 15.5 per cent in 2022-23, the data showed.
Asserting his government’s commitment to poverty eradication, Prime Minister Narendra Modi highlighted the transformative steps undertaken by the Centre over the last 11 years, focusing on empowerment, infrastructure and inclusion.
Government initiatives like PM Awas Yojana, PM Ujjwala Yojana, Jan Dhan Yojana, and Ayushman Bharat were credited with enhancing access to housing, clean cooking fuel, banking, and healthcare.
Furthermore, the Direct Benefit Transfer (DBT) scheme, alongside efforts in digital inclusion and rural infrastructure development, were said to have brought about greater transparency and efficient delivery of welfare benefits, helping over 250 million citizens overcome poverty.
The World Bank’s latest assessment places India in a stronger global position in the fight against poverty and underlines the scale of progress made in just over a decade.
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