{"id":42098,"date":"2025-04-26T19:12:00","date_gmt":"2025-04-26T13:42:00","guid":{"rendered":"https:\/\/www.nextias.com\/ca\/?p=42098"},"modified":"2025-06-26T15:40:02","modified_gmt":"2025-06-26T10:10:02","slug":"world-bank-india-poverty-drop","status":"publish","type":"post","link":"https:\/\/www.nextias.com\/ca\/current-affairs\/26-04-2025\/world-bank-india-poverty-drop","title":{"rendered":"World Bank: India\u2019s Extreme Poverty Drops to 2.3%"},"content":{"rendered":"\n<p><strong>Syllabus :GS 3\/Economy&nbsp;<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Context&nbsp;<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>According to the <strong>World Bank\u2019s Poverty and Equity Briefs (PEBs), <\/strong>India&#8217;s extreme <a href=\"https:\/\/www.nextias.com\/ca\/current-affairs\/04-03-2025\/inida-poverty-estimation#:~:text=The%20study%20is%20based%20on%20government%20household%20expenditure,the%20%241.90%20PPP%20line%20is%20now%20below%201%25.\"><strong>poverty <\/strong><\/a>dropped significantly from <strong>16% in 2011\u201312 to 2.3%<\/strong> in 2022\u201323, marking major progress in poverty reduction.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>About the <\/strong><a href=\"https:\/\/www.nextias.com\/ca\/editorial-analysis\/08-01-2024\/problem-of-poverty-in-india\"><strong><u>Poverty<\/u> <\/strong><\/a><strong>and Equity Briefs (PEBs)<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>They are biannual reports by the<strong> World Bank <\/strong>and&nbsp; provide a quick overview of <strong>poverty, inequality, and shared prosperity<\/strong> trends in over 100 developing countries.&nbsp;<\/li>\n\n\n\n<li>It is released during the Spring and Annual Meetings of the World Bank and IMF, they aim to keep poverty reduction central on the global agenda.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Measurement&nbsp;<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><a href=\"https:\/\/www.nextias.com\/ca\/editorial-analysis\/08-01-2024\/problem-of-poverty-in-india\"><strong>Poverty <\/strong><\/a><strong>rates and total number of poor <\/strong>as measured by the national poverty line and for the international extreme poverty line ($2.15 in 2017 PPP terms), as well as the lower-middle-income ($3.65) and upper-middle-income ($6.85) poverty lines.<\/li>\n\n\n\n<li><strong>Comparable <\/strong><a href=\"https:\/\/www.nextias.com\/ca\/editorial-analysis\/08-01-2024\/problem-of-poverty-in-india\"><strong>poverty <\/strong><\/a><strong>and inequality<\/strong> trends for apples-to-apples comparisons over time and across countries.<\/li>\n\n\n\n<li><strong>Multidimensional <\/strong><a href=\"https:\/\/www.nextias.com\/ca\/editorial-analysis\/08-01-2024\/problem-of-poverty-in-india\"><strong>poverty <\/strong><\/a><strong>measure, <\/strong>including measures of poverty that also reflect non-monetary deprivations that poor people face in areas like education and access to basic services.<\/li>\n\n\n\n<li><strong>Inequality<\/strong> as measured by the <strong><a href=\"https:\/\/www.nextias.com\/ca\/current-affairs\/13-06-2025\/india-growth-paradox\">Gini Index.<\/a><\/strong><\/li>\n<\/ul>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full is-resized\"><img data-dominant-color=\"dcd6c9\" data-has-transparency=\"false\" loading=\"lazy\" decoding=\"async\" width=\"598\" height=\"480\" src=\"https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2025\/04\/poverty-at-different-lines.png\" alt=\"\" class=\"not-transparent wp-image-42100\" style=\"--dominant-color: #dcd6c9; width:364px;height:auto\" srcset=\"https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2025\/04\/poverty-at-different-lines.png 598w, https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2025\/04\/poverty-at-different-lines-300x241.png 300w\" sizes=\"auto, (max-width: 598px) 100vw, 598px\" \/><\/figure>\n<\/div>\n\n\n<h2 class=\"wp-block-heading\"><strong>Recent Findings for India<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>India has made significant progress in reducing poverty, with extreme poverty &#8212; measured at<strong> $2.15 per day in purchasing power parity (PPP) terms <\/strong>&#8212; falling from 16 per cent in 2011\u201312 to 2.3 per cent in 2022\u201323\n<ul class=\"wp-block-list\">\n<li>The decline lifted 171 million people above the internationally comparable poverty line.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Rural extreme poverty<\/strong> declined from <strong>18.4% to 2.8%<\/strong>, and urban from <strong>10.7% to 1.1%, <\/strong>narrowing the rural-urban gap significantly.\n<ul class=\"wp-block-list\">\n<li>Using the $3.65\/day lower-middle-income countries (LMIC) poverty line, poverty dropped from 61.8% to 28.1%, with 378 million people moving above the threshold.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li>The World Bank\u2019s <strong>multidimensional poverty index (MPI<\/strong>), which includes extreme poverty but excludes nutrition and health deprivation, showed that non-monetary poverty declined from 53.8 per cent in 2005\u201306 to 16.4 per cent in 2019\u201321, and further to 15.5 per cent in 2022\u201323.<\/li>\n\n\n\n<li>India\u2019s five most populous states &#8212; <strong>Uttar Pradesh, Maharashtra, Bihar, West Bengal, and Madhya Pradesh &#8212; <\/strong>accounted for 54 per cent of the country\u2019s extreme poor in 2022\u201323 and 51 per cent of its multidimensionally poor in 2019\u201321.\n<ul class=\"wp-block-list\">\n<li>&nbsp;These states had contributed 65 per cent of the extreme poor in 2011\u201312 and drove two-thirds of the overall decline by 2022\u201323.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li>Despite improvements,<strong> wage inequality is high<\/strong>, the top 10% earn 13 times more than the bottom 10%.<\/li>\n\n\n\n<li>The <strong>Gini index<\/strong> based on consumption improved (28.8 to 25.5), but income inequality rose (Gini from 52 to 62).<\/li>\n\n\n\n<li><strong>Youth unemployment stands<\/strong> at 13.3%, rising to 29% among graduates, with most jobs remaining informal, particularly in agriculture.<\/li>\n\n\n\n<li>Female employment remains low at 31% with a 234 million gap compared to men, though overall employment has been growing since 2021\u201322.<\/li>\n<\/ul>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-background\" style=\"background-color:#fff2cc\"><tbody><tr><td><strong>Do you know ?<\/strong><br>&#8211; <strong>Gini index<\/strong> is a measure of income inequality within a population, ranging from 0 to 1, where 0 represents perfect equality and <strong>1 represents perfect inequality.&nbsp;<\/strong><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>Source :BS<\/p>\n","protected":false},"excerpt":{"rendered":"<h3><strong>Context\u00a0<\/strong><\/h3>\n<li class=\"ms-5\">According to the World Bank\u2019s Poverty and Equity Briefs (PEBs), India&#8217;s extreme poverty dropped significantly from 16% in 2011\u201312 to 2.3% in 2022\u201323, marking major progress in poverty reduction.<\/li>\n<p><\/p>\n<h3><strong>About the Poverty and Equity Briefs (PEBs)<\/strong><\/h3>\n<li class=\"ms-5\">They are biannual reports by the World Bank and\u00a0 provide a quick overview of poverty, inequality, and shared prosperity trends in over 100 developing countries.\u00a0<\/li>\n<li class=\"ms-5\">It is released during the Spring and Annual Meetings of the World Bank and IMF, they aim to keep poverty reduction central on the global agenda.<\/li>\n<p><a href=\"https:\/\/www.nextias.com\/ca\/current-affairs\/26-04-2025\/world-bank-india-poverty-drop\" class=\"btn btn-primary btn-sm float-end\">Read More<\/a><\/p>\n","protected":false},"author":15,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-42098","post","type-post","status-publish","format-standard","hentry","category-current-affairs"],"acf":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/42098","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/comments?post=42098"}],"version-history":[{"count":3,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/42098\/revisions"}],"predecessor-version":[{"id":46298,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/42098\/revisions\/46298"}],"wp:attachment":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media?parent=42098"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/categories?post=42098"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/tags?post=42098"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}