According to a recent report by the State Bank of India (SBI), India’s poverty rate is expected to decline further to 4.6% in 2024 from 5.3% in 2023. The report highlights the country’s progress in reducing poverty and improving living standards. The decline in poverty rates can be attributed to various factors, including government initiatives, economic growth, and social welfare programs.
The SBI report notes that the poverty rate in India has been steadily declining over the years, with a significant reduction from 45% in 1993-94 to 22.5% in 2011-12. The report further states that the poverty rate is expected to decline to 4.6% in 2024, indicating a significant improvement in the living standards of the population.
The report attributes the decline in poverty rates to various government initiatives, including the Pradhan Mantri Jan Dhan Yojana (PMJDY), which has helped to increase financial inclusion and access to banking services for the poor. Other initiatives, such as the Pradhan Mantri Awas Yojana (PMAY) and the Deen Dayal Upadhyaya Antyodaya Yojana (DDUAY), have also contributed to the decline in poverty rates.
The report also highlights the role of economic growth in reducing poverty. The country’s GDP growth rate has been steadily increasing, which has led to an increase in employment opportunities and income levels. Additionally, the report notes that social welfare programs, such as the Public Distribution System (PDS) and the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), have also played a crucial role in reducing poverty.
The SBI report also notes that the decline in poverty rates has been more significant in rural areas, where poverty has declined from 35.7% in 2011-12 to 5.5% in 2023. The report attributes this decline to the government’s focus on rural development and the implementation of initiatives such as the PMAY and the DDUAY.
Overall, the SBI report highlights the significant progress made by India in reducing poverty and improving living standards. The decline in poverty rates is a testament to the effectiveness of government initiatives and economic growth. However, the report also notes that there is still a need to address issues such as income inequality and access to education and healthcare, which are critical to sustaining the decline in poverty rates.