India reduced the number of people living in extreme poverty by 171 million between 2011–12 and 2022–23

An overview of the World Bank's brief on poverty and equity

Goal: These briefs, which are released twice a year, monitor trends in inequality, shared prosperity, and poverty in more than 100 developing nations.

Highlights of India:

• The percentage of people living in extreme poverty (less than $2.15 per day) decreased from 16.2% in 2011–12 to 2.3% in 2022–23.
• 378 million people were lifted out of lower-middle-income poverty, defined as living on less than $3.65 per day, which decreased from 61.8% to 28.1%.
• From 2005–06 to 2022–23, multidimensional poverty decreased from 53.8% to 15.5%.
• Reduction of inequality: the Gini index increased from 28.8 to 25.5.
• Employment Growth: For the first time since 2017–18, urban unemployment fell to 6.6%.

Factors Contributing to the Reduction of Poverty: Welfare Initiatives: Programs such as PMAY, MGNREGA, and Ujjwala Yojana have broadened safety nets, with 11 crore households benefiting from LPG connections under Ujjwala.

Economic Reforms: The implementation of GST and reforms aimed at enhancing the Ease of Doing Business have stimulated growth in the formal sector, thereby increasing employment opportunities. Access to Basic Necessities: Programs like Ayushman Bharat and Jan Dhan Yojana have significantly improved healthcare access and financial inclusion.

Rural Development: Enhanced road connectivity through PMGSY and initiatives for rural electrification have boosted rural incomes and market access.

Empowerment of Women: The growth of rural female employment and entrepreneurship through Self-Help Groups (SHGs) has led to increased family incomes.

Report Analysis: Positive Aspects: Widespread Benefits: There has been a significant decline in both rural and urban poverty, reducing the rural-urban disparity from 7.7% to 1.7%.

Employment Growth: There has been a remarkable increase in female employment, with a notable rise in self-employment among rural women.

Inclusive Growth: States such as Uttar Pradesh, Bihar, and Maharashtra have made substantial contributions to the national effort in poverty alleviation.

Reduction of Inequality: An improved Gini index reflects a more equitable distribution of wealth.

In conclusion, India's remarkable success in elevating 171 million individuals from extreme poverty within a decade is both historic and of global importance. The acknowledgment from the World Bank underscores India's commitment to a policy-driven strategy for inclusive growth. Ongoing reforms, focused interventions, and the empowerment of informal sectors will be crucial in maintaining this progress towards a poverty-free India.