India Lifts 17 Crore People Out of Poverty

India Lifts 17 Crore People Out of Poverty

Why in the News ?

According to the World Bank’s Spring 2025 Poverty and Equity report, India has lifted over 17.1 crore people out of extreme poverty in the past decade, with major contributions from five states and notable improvements in rural and urban poverty rates.

Major Reduction in Extreme Poverty:

• Over 1 crore Indians moved out of extreme poverty between 2011-12 and 2022-23.
• Five states — Uttar Pradesh, Maharashtra, Bihar, West Bengal, and Madhya Pradesh — contributed nearly two-thirds to this reduction.
• The World Bank report highlights a consistent decline in both rural and urban poverty levels across India.

Rural and Urban Poverty Trends

• In rural areas, extreme poverty dropped from 4% to 2.8% over the last decade.
• In urban areas, poverty levels reduced from 7% to 1.1% during the same period.
• These improvements are attributed to expanded welfare initiatives, employment programs, and enhanced access to education and healthcare services.

Employment Growth and Rising Self-Employment

• Since 2021-22, India has witnessed positive employment growth, supporting poverty reduction efforts.
• There is a noticeable rise in self-employment, especially among rural workers and women, enhancing economic participation.
• The increase in entrepreneurial activities and government support schemes have strengthened livelihood opportunities in rural sectors.