Ten Factors That Led To The Declining Poverty In India

By Editor Team

The poverty in India has arisen during the British Colonial era. The famine in 1991 has been drastically prevented the economic reforms. A large number of people still exist who belong to just above the poverty line, which has led to fragile economic lives. Various anti-poverty measures have positioned India to continue decreasing poverty in India and, by 2030, meet its Sustainable Development Goals.

India’s Poverty Progress: How Did Extreme Poverty Drop from 12.2% to Just 2% in a Decade?

India has recently unconfined its ingestion spending data for 2022-23, marking the first authorized poverty in India evaluations in over a decade. The previous data set was from 2011-12, and the lack of updated data had produced uncertainties in global poverty calculations.

The data shows that extreme poverty in India defines the PPP$ 1.9 poverty line, which has virtually subtracted the fall of HCR (Head Court poverty Ratio) from 12.2% in 2011-12 to just 2% in the year 2022-23. Urban poverty in India has decreased to 1%, whereas rural poverty is 2.5%. The progression shows India’s inclusive growth trajectory, which redistributes policies and large-scale government programs like the accessibility of electricity globally, piped water and modern cooking fuel.

 The amount of poverty in India has decreased for several govt. Initiatives. Niti Ayog’s MPI reported that 14.96% of India’s population was multidimensional poor, and this proportion has dropped suggestively from 24.8% to 14.9% between 2015-16 and 2019-21. This decline has positively shown the enhancement in nutrition, education, sanitation and the availability of subsidized cooking fuel. In this period, approximately 135 million people were lifted out of multidimensional poverty.

Is India on the Fast Track to Eradicating Poverty in India? Exploring Health, Education, and Economic Initiatives!

The National Health Mission of India has expanded the essential healthcare services, specifically in the rural areas, and it improved the access, which helps to prevent disease and also reduces the costs for families which enables them to allocate more resources to education and livelihood. The healthier populations contributed to higher productivity. As observed by the World Health Organisation, every dollar which is invested in health improvement will there a return of $4 increased productivity.

As per the MPI (Multidimensional Poverty Index), there are 12 indicators of poverty that have improved efficiently. Before 2030 India is now on track to meet the United Nations’ Sustainable Development Goal of splitting. The government of India aims to address numerous dimensions of poverty in India.

For clean energy, several programs have been initiated like Poshan Abhiyan, Anemia Mukt Bharat, and Ujjwala Yojana.

Also, the govt. Has been initiated several schemes in order to enhance the living conditions like Swachh Bharat Mission, Jal Jeevan Mission and Saubhagya schemes. Besides this scheme, the govt. Also, thinking of providing financial inclusion initiatives like Pradhan Mantri Jan Dhan Yojana and several housing programs under PM Awas Yojana has played a significant role.

With these initiatives, the Govt. of India has been trying to reduce disparities across states, specifically that are traditionally poorer regions, and aims to position India as a developed nation by 2047. The govt., in general, is focused on supporting economically and with large-scale programs aimed to lift millions from poverty and deliberately aims to transform lives across the country.

To reduce poverty in India, the govt. Has been initiated inflation control to enhance the economic security for low-income households. The govt. of India has initiated several efforts to manage inflation in order to stabilize the food prices. The Reserve Bank of India has implemented efficient monetary policies with the aim of controlling inflation and targets a rate of around 4%.

With these initiatives, RBI aims to protect purchasing power, specifically those who are poor and who are most affected by the rise in price. With this, the govt. This can ensure that they can keep pace with the cost of living. With this initiative, the govt. It can enhance the real income of the poor and help to rise above the poverty line. 

The Top 10 Factors Fueling India’s Fight against Poverty!

FactorsExplanation
  Economic Growth  Rapid economic growth since the 1990s has created more jobs and increased income levels across the country.
  Government Welfare ProgramsPrograms like the National Rural Employment Guarantee Act (NREGA) and PM Awas Yojana have supported income security and housing for the poor.
  Improved Access to Education                  Expanding access to education has improved literacy rates, enhancing job opportunities and long-term earnings potential.
  Financial InclusionInitiatives like Pradhan Mantri Jan Dhan Yojana have brought millions into the banking system, enabling savings, loans, and subsidies.
  Better Health and NutritionPrograms like Poshan Abhiyan and Ayushman Bharat have improved health outcomes and reduced medical costs for low-income households.
  Sanitation and Clean WaterThe Swachh Bharat Mission and Jal Jeevan Mission have improved access to sanitation and clean water, leading to better health and reduced poverty in India.
  Rural Development InitiativesInvestments in rural infrastructure, like roads and electricity, have boosted economic activity in underserved areas.
  Subsidized Cooking FuelThe Pradhan Mantri Ujjwala Yojana provided clean cooking fuel to low-income families, reducing health risks and costs associated with traditional fuels.
  Electrification and ConnectivityThe Saubhagya Scheme ensured that rural households had access to electricity, enhancing living conditions and productivity.
  Food Security Programs  The Public Distribution System (PDS) and Pradhan Mantri Garib Kalyan Anna Yojana ensured food security for millions, especially during the COVID-19 pandemic.

Can Technology and Education Transform India’s Poverty Landscape? Unpacking the Evidence!

With the help of technological advancement, India is able to enhance productivity, which helps to create new job opportunities. With technological advancement, India is able to communicate and, at the same time able to facilitate better access to the market for the farmers as well as small businesses. The advancement of technology helps to invest in their enterprises and this has suggestively boosted the economic growth of the country and reduces the poverty in India levels significantly.

The Gross Enrolment Ratio of India, the Ministry of Education has reported that pursuing leads to better job opportunities with higher education, which is reported from about 12% in 2000 to around 27% in 2019. Also reported by the National Sample Survey Office that individuals with higher education rates are able to earn, on average, 1.5 to 2 times more than those. This higher education can suggestively impact earnings, which highlights the economic benefits of the country.

India is successfully able to enhance its economic standing and also calling India to transition to a higher poverty line. With that initiative, despite being India’s vulnerable population, India is able to reduce poverty in India, which holds significant implications for global poverty rates and reflects the commitment in order to sustain inclusive development.

India’s National Sample Survey Organization published in the year 2011 analyses that extreme poverty in India has decreased by 12.3 % points from 2011 to 2019, significantly reduced in rural areas, and urban poverty in India has increased by 2% and rural poverty will be reduced amid the economic slowdown.

FAQ

What are the main factors contributing to India’s poverty reduction?

Economic growth, government welfare programs, improved education, financial inclusion, better health, sanitation, rural development, subsidized cooking fuel, electrification, and food security programs.

How has technology played a role?

Technology has increased productivity, improved market access, and boosted economic growth.

What is the impact of education?

Education has improved job opportunities, earnings potential, and overall economic development.

How have welfare programs helped?

Welfare programs have provided income security, housing, and food support.

What are the challenges and gaps?

Persistent inequality, rising unemployment, limited healthcare access, and climate change.

How did COVID-19 impact poverty?

It both increased poverty and led to government interventions to mitigate its effects.

What are the government’s future plans?

Continued economic growth, expanded social safety nets, investment in education and healthcare, and rural development.

How does India compare to other countries?

India has made significant progress, but challenges remain compared to other countries.

What are the key indicators of poverty?

Headcount ratio and Multidimensional Poverty Index.

What are the global implications?

India’s progress contributes to global poverty reduction and demonstrates the potential for developing countries to achieve sustainable development goals.

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Wednesday, Dec 4, 2024