According to a World bank estimate released on Tuesday, there are around 129 million indians living in extreme poverty in 2024—that is, making less than $2.15 (roughly Rs 181) per day—compared to 431 million in 1990. Nonetheless, more indians are living below the poverty line in 2024 than in 1990, mostly due to "population growth," with a higher poverty level of $6.85 (about Rs 576) per day — the bar for middle-income nations.
The World bank had earlier reported that after rising in the two years prior, the number of people living in extreme poverty in india has decreased to 167.49 million in 2021. However, it was made clear in the "Poverty, Prosperity and Planet: Pathways out of the Polycrisis" study that the newly released Household Consumption and Expenditure survey (HCES) for 2022–2023 did not take these new datasets into account. "The report does not include these additional datasets since the required analysis could not be finished in time. The report's main conclusions—that extreme poverty cannot be eradicated by 2030 and that it is increasingly concentrated in Sub-Saharan Africa and fragile nations—are sound, even though it is unclear how exactly these two datasets will affect global poverty as of this writing.
According to the research, efforts to reduce poverty worldwide have nearly stopped, and 2020–2030 is predicted to be a lost decade. The analysis stated that, at the current rate of advancement, it will take decades to end severe poverty and more than a century to raise the average daily income of individuals over $6.85.
India's role in the world's severe poverty is expected to drastically decrease during the next ten years, according to the World Bank. These calculations are based on historical growth rates as well as forecasts for GDP per capita growth over the following ten years. The worldwide severe poverty rate in 2030 would only decrease from 7.31 percent to 6.72 percent, still much above the 3 percent objective, even if the extreme poverty rate in india were reduced to zero, the report continued.
According to the paper, it was also necessary to closely assess the effects of the most recent methodological adjustments made to the HCES. To increase the accuracy of consumption data collecting, india has been experimenting with different recall periods (the length of time respondents are asked to recall previous consumption events, say from a month or six months ago) since 1999–2000. india used three recall periods in the 2011–12 survey: the Modified Mixed Reference Period (MMRP), the Uniform Recall Period (URP), and the Mixed Reference Period (MRP). Official poverty rate computations switched to utilizing MRP in 2011–12, with the understanding that MMRP will be used going forward. india only collected consumption data during the MMRP recall period for the 2022–2023 survey.
Grim Picture
> With the $6.85/day poverty standard, more people are below the poverty line now than in 1990
> Poverty in india declined by 38 million in 2021 after a surge in the previous two years
> Global poverty reduction is slowing, making 2020-2030 a "lost decade" for progress
> India's contribution to global extreme poverty is expected to decrease over the next decade
The World bank had earlier reported that after rising in the two years prior, the number of people living in extreme poverty in india has decreased to 167.49 million in 2021. However, it was made clear in the "Poverty, Prosperity and Planet: Pathways out of the Polycrisis" study that the newly released Household Consumption and Expenditure survey (HCES) for 2022–2023 did not take these new datasets into account. "The report does not include these additional datasets since the required analysis could not be finished in time. The report's main conclusions—that extreme poverty cannot be eradicated by 2030 and that it is increasingly concentrated in Sub-Saharan Africa and fragile nations—are sound, even though it is unclear how exactly these two datasets will affect global poverty as of this writing.
According to the research, efforts to reduce poverty worldwide have nearly stopped, and 2020–2030 is predicted to be a lost decade. The analysis stated that, at the current rate of advancement, it will take decades to end severe poverty and more than a century to raise the average daily income of individuals over $6.85.
India's role in the world's severe poverty is expected to drastically decrease during the next ten years, according to the World Bank. These calculations are based on historical growth rates as well as forecasts for GDP per capita growth over the following ten years. The worldwide severe poverty rate in 2030 would only decrease from 7.31 percent to 6.72 percent, still much above the 3 percent objective, even if the extreme poverty rate in india were reduced to zero, the report continued.
According to the paper, it was also necessary to closely assess the effects of the most recent methodological adjustments made to the HCES. To increase the accuracy of consumption data collecting, india has been experimenting with different recall periods (the length of time respondents are asked to recall previous consumption events, say from a month or six months ago) since 1999–2000. india used three recall periods in the 2011–12 survey: the Modified Mixed Reference Period (MMRP), the Uniform Recall Period (URP), and the Mixed Reference Period (MRP). Official poverty rate computations switched to utilizing MRP in 2011–12, with the understanding that MMRP will be used going forward. india only collected consumption data during the MMRP recall period for the 2022–2023 survey.
Grim Picture
> With the $6.85/day poverty standard, more people are below the poverty line now than in 1990
> Poverty in india declined by 38 million in 2021 after a surge in the previous two years
> Global poverty reduction is slowing, making 2020-2030 a "lost decade" for progress
> India's contribution to global extreme poverty is expected to decrease over the next decade
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