India Achieves Significant Decline in Extreme Poverty, World Bank Reports

The World Bank has updated its global poverty assessment methodology, adjusting the international poverty line to $2.15 per day (2017 PPP), up from $1.90. This revision reflects updated cost-of-living data and improved measurement techniques.

Key Highlights

• Steep Poverty Reduction: India has seen a dramatic decline in extreme poverty over the past decade, according to the World Bank’s latest estimates.
• Revised Metrics: The updated calculations incorporate new household surveys, refined consumption data, and demographic adjustments.

Drivers of Progress

• Economic Expansion: Sustained GDP growth has lifted millions out of poverty.
• Government Initiatives: Welfare schemes, food security programs, and direct cash transfers have significantly improved livelihoods.
• Rural Upliftment: Investments in rural jobs and infrastructure have boosted incomes in underserved areas.

Global and Policy Implications

• Worldwide Impact: India’s progress contributes substantially to global poverty reduction, given its large population.
• Policy Success: The findings validate the effectiveness of India’s anti-poverty measures and economic reforms.

Remaining Challenges

• At-Risk Populations: Many households remain just above the poverty threshold, vulnerable to economic downturns.
• Regional Gaps: Disparities persist across states, necessitating tailored interventions.

In Summary

The World Bank’s revised poverty metrics highlight India’s remarkable success in combating extreme poverty, fueled by strong economic growth and social welfare policies. However, further efforts are needed to secure these gains and address persistent inequalities.