India’s Silent Poverty Revolution: 171 Million Rise Above Extreme Poverty, 415 Million Escape Multidimensional Poverty

India’s efforts to alleviate poverty over the past decade have yielded remarkable outcomes. According to World Bank estimates, extreme poverty—measured at $2.15 per day in purchasing power parity terms—declined from 16% in 2011-12 to just 2.3 per cent in 2022-23. 

This significant shift has lifted approximately 171 million people above the internationally recognised poverty threshold.

Both rural and urban areas have witnessed notable improvements. Rural extreme poverty fell from 18.4% to 2.8%, while urban extreme poverty dropped from 10.7% to 1.1%. 

The rural-urban gap, once a persistent concern, has narrowed considerably—from 7.7 to 1.7 percentage points—highlighting a more equitable pattern of progress.

Transformation at the $3.65 Poverty Line: A Wider Lens

While the $2.15 threshold measures extreme destitution, the $3.65 per day line—applicable for lower-middle-income countries—provides a broader perspective. Under this measure, poverty in India declined from 61.8% to 28.1% between 2011-12 and 2022-23, resulting in 378 million individuals moving out of poverty. 

This transformation reflects not just incremental gains, but a silent social revolution reshaping the country’s economic landscape.

Methodological Cautions: Interpreting the Numbers Carefully

Despite the impressive statistics, concerns surrounding data reliability persist. The World Bank acknowledges that the comparability of consumption data has been complicated by changes in survey design and sampling techniques in the 2022-23 Household Consumption Expenditure Survey.

Former Planning Commission secretary NC Saxena has emphasised the need for triangulating poverty estimates with independent data sources such as the Census and the National Family Health Survey. Without such cross-verification, there remains a risk of overstating the scale of the achievement. A cautious and methodologically sound approach is therefore essential when interpreting these outcomes.

Beyond Income: Progress on the Multidimensional Poverty Index

India’s advancements are not limited to income-based poverty measures. On the Multidimensional Poverty Index (MPI), which incorporates dimensions like education, health, living standards, and access to basic amenities, India has also made striking gains.

Between 2005-06 and 2019-21, India’s multidimensional poverty fell from 53.8% to 16.4%, and further declined to 15.5% by 2022-23. The United Nations reports that 415 million Indians have escaped multidimensional poverty over the last 15 years. 

Particularly noteworthy is the rapid progress made by traditionally underdeveloped states such as Bihar, Uttar Pradesh, and Madhya Pradesh, indicating that human development indicators are gradually improving across broader geographies.

Read More: 5.6 Lakh People Above 100 Years Identified in Food Security Scheme. 

Conclusion

India’s poverty reduction journey over the past decade is undoubtedly a story of hope and resilience. However, while celebrating these achievements, it is equally important to maintain vigilance. Questions of sustainability, growing inequality, and methodological soundness must continue to be examined to ensure that the gains of today translate into long-lasting human development tomorrow.

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