New Delhi, June 11 – India’s poverty rate is projected to decline further, reaching 4.6% in 2024, according to a recent analysis by the State Bank of India (SBI). This estimate comes soon after the World Bank reported a poverty rate of 5.3% for 2023, signalling continued progress in reducing poverty across the country.
The SBI report highlights several factors contributing to this trend, including stronger economic reforms, more effective welfare delivery, and improved data collection techniques. One of the key changes was the adoption of the Modified Mixed Recall Period (MMRP) method in the latest Household Consumption Survey, which provides a more accurate picture of household expenses compared to the previously used Uniform Reference Period (URP).
Thanks to this updated approach, the 2022–23 survey found that India’s poverty rate had already dropped to 5.25%, based on a daily spending threshold of $3 per person (adjusted for 2021 purchasing power parity). If measured using the older $2.15 threshold, the poverty rate would be even lower—around 2.35%.
Experts say this decline reflects the success of government initiatives aimed at supporting low-income households, including targeted subsidies, rural employment schemes, and food security programs. Additionally, advancements in data transparency and administrative efficiency have played a crucial role in tracking and addressing poverty more effectively.
The convergence of findings from both SBI and the World Bank reinforces confidence in India’s direction toward inclusive economic growth and social development.
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