India sees 10% drop in poverty in 5 yrs; UP, Bihar biggest winners: Report

Nearly 135 million people in India, representing about 10% of the country’s population, have escaped poverty in a five-year period leading up to March 2021, a new government report said. According to the new report, Uttar Pradesh has seen the biggest drop in multidimensional poverty in India, with 343 million individuals moving out of poverty […]

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Nearly 135 million people in India, representing about 10% of the country’s population, have escaped poverty in a five-year period leading up to March 2021, a new government report said.

According to the new report, Uttar Pradesh has seen the biggest drop in multidimensional poverty in India, with 343 million individuals moving out of poverty in the state, followed by Bihar and Madhya Pradesh.

The reason for this improvement in poverty levels is due to the improvements in nutrition, years of schooling, sanitation, and cooking fuel in India, said Suman Bery, the Vice Chairperson of NITI Aayog.

The report, which was published by the Government of India’s public policy think tank NITI Aayog, used the global Multidimensional Poverty Index (MPI) used by the United Nations to calculate the reduction in multidimensional poverty.

The MPI is calculated based on 12 key factors divided into three groups – health, education, and living standards. People who are deprived of three or more factors are called ‘multidimensionally poor’ or ‘MPI poor’.

Only 15% of population living in poverty in India: NITI Aayog report

According to the report – which is based on the 2019-21 National Family Health Survey – the percentage of people living in poverty in the country has reduced from 25% in 2015-16 to 15% in 2019-21.

These findings are in line with a report by the United Nations on July 11 that said that 415 million in India have escaped poverty in 15 years.

According to the United Nations Development Programme (UNDP), the percentage of people in India living on less than $2.15 (about ₹176) per day has fallen to 10% in 2021.