As many as 24.82 crore people moved out of multidimensional poverty in nine years to 2022-23, with Uttar Pradesh, Bihar and Madhya Pradesh registering the largest decline.

This was revealed in NITI Aayog’s Discussion Paper ‘Multidimensional Poverty in India since 2005-06’.

Key points of the paper:

• The multidimensional poverty in India declined from 29.17 per cent in 2013-14 to 11.28 per cent in 2022-23, showing a reduction of 17.89 percentage points.

• At the state level, Uttar Pradesh topped the list with 5.94 crore people escaping poverty followed by Bihar at 3.77 crore and Madhya Pradesh at 2.30 crore.

• All 12 indicators of MPI have shown remarkable improvement during this period.

• The pace of decline in poverty headcount ratio using the exponential method was much faster between 2015-16 to 2019-21 (10.66 per cent annual rate of decline) compared to the period 2005-06 to 2015-16 (7.69 per cent annual rate of decline).

• Cooking fuel (43.90 per cent) and housing (41.37 per cent) continue to have the highest deprivation, while indicators like child and adolescent mortality (2.06 per cent), electricity (3.27 per cent) and bank account( 3.69 per cent) maintain the lowest deprivation levels based on NFHS-5 (2019-21).

• The proportion of multidimensionally poor persons in the total population has fallen from 55.34 per cent in 2005-06 to 24.85 per cent in 2015-16 and to 14.96 per cent in 2019-21.

• Poorer states record a faster decline in poverty, indicating reduced disparities.

• India is all set to reach single-digit poverty levels during 2024.

• India is likely to achieve Sustainable Development Goals (SDGs) 1.2 (reducing multidimensional poverty by at least half) much ahead of 2030.

How was the Index prepared?

• The National Multidimensional Poverty Index by NITI Aayog uses the internationally acclaimed Alkire-Foster methodology with a difference that National MPI covers 12 indicators, while global MPI covers 10 indicators. 

• This analysis attempts to study the decline in poverty rates and number of multidimensionally poor people across various time periods.

• The methodology identifies people as poor or not poor based on a dual-cutoff counting method. It follows the universally acknowledged metric designed to assess acute poverty, providing a complementary perspective to conventional monetary-based measures of poverty assessment.

• The 12 indicators cover three areas namely health, education and standard of living.

They are:

i) Nutrition 

ii) Child & Adolescent Mortality

iii) Maternal Health

iv) Years of Schooling

v) School Attendance

vi) Cooking Fuel 

vii) Sanitation

viii) Drinking Water

ix) Electricity

x) Housing 

xi) Assets 

xii) Bank Account.

Government interventions to reduce MPI

• The government of India has made significant strides in enhancing the quality of life for millions of individuals, with a focus on the SDG 1.2 target of halving poverty in all its dimensions. 

• Initiatives such as Poshan Abhiyan and Anaemia Mukt Bharat have played a crucial role in addressing reach to health facilities, resulting in a substantial reduction in deprivation.

• The government operates one of the largest food security programmes in the world in the form of Targeted Public Distribution System through 5.4 lakh fair price shops. Under National Food Security Act (NFSA), foodgrains are provided to 81.35 crore beneficiaries covering 75 per cent population in rural areas and 50 per cent population in urban areas. 

• Recently, the government has decided to continue providing free food grains to NFSA beneficiaries under Pradhan Mantri Garib Kalyan Anna Yojana for a period of five years.

• Mission Poshan 2.0 and Saksham Anganwadi have significantly contributed to fostering a healthier India, impacting millions of lives through key schemes like Poshan Abhiyaan, Anganwadi Services, and the Scheme for Adolescent Girls.

• Poshan Vatikas or nutri-gardens have been established nationwide to facilitate easy and affordable access to fruits, vegetables, medicinal plants, and herbs. Through around 14 lakh anganwadi centres, the programme is touching lives of nearly 10 crore beneficiaries which includes around 8.87 crore children under 6 years and 1.1 crore pregnant and lactating mothers. With hot cooked meals given to 93 lakh beneficiaries and take-home ration to 2.7 crore beneficiaries, the programme has immensely contributed to a healthy India.

• Further, Pradhan Mantri Poshan Shakti Nirman (PM-POSHAN), a flagship programme of government of India, is the largest school feeding programme in the world to address the twin problems of improving the nutritional status and school enrolment of children. 

• Under the scheme, there is provision of hot cooked meals to children of pre-schools or Bal Vatika (before Class I) in primary schools and 11.80 crore children of Classes I to VIII studying in 11.20 lakh schools. 

• Another programme instrumental in improving maternal health is the Pradhan Mantri Surakshit Matritva Abhiyan, offering assured, comprehensive, and quality antenatal care to all pregnant women universally on the 9th of each month. The programme has conducted 3.94 crore free antenatal checkups.

• The Ujjwala Yojana has provided clean cooking fuel to an impressive 31 crore individuals, distributing 10 crore LPG connections. Beyond creating smoke-free kitchens, this initiative has protected numerous women from chronic respiratory disorders. Increased LPG access has relieved women from the burdensome task of collecting traditional fuels, enabling them to participate more actively in community life and pursue income-generating opportunities. The substantial growth in LPG coverage has significantly improved women’s health and made kitchens environmentally beneficial by eliminating smoke.

• Initiatives like Saubhagya have improved electricity coverage for almost 100 per cent of the population, benefiting an additional 2.86 crore households and rendering kerosene lamps obsolete, thus improving respiratory health and eyesight. 

• Transformative campaigns like Swachh Bharat Mission (SBM) and Jal Jeevan Mission (JJM) have led to a nationwide wave of improved sanitation facilities providing 14 crore tap water connections and construction of 11.33 crore individual household latrines (IHHL) in rural areas.

• The Pradhan Mantri Jan Dhan Yojana (PMJDY) has been a driving force for change, witnessing the opening of over 50 crore bank accounts in recent years. This mammoth initiative has played a central role in bringing a significant section of the population into the formal financial system, providing efficient access to government schemes, savings, and credit.

• The Pradhan Mantri Awas Yojana has revolutionised living conditions in both urban and rural areas, facilitating the construction of over 4 crore homes for the underprivileged. This has ensured that a majority of families now have access to safe, secure, and comfortable living spaces.

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