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India pulled out over 27 crore out of poverty in a decade, halved poverty rate: UNDP

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7 years ago

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India pulled out over 27 crore out of poverty in a decade, halved poverty rate: UNDP

In one of the best news about India in several years, a UN report has said that India has halved its poverty rate from 55 per cent to 28 per cent in ten years.

The 2018 global Multidimensional Poverty Index (MPI) revealed that between 2005-06 and 2015-16, more than 271 million people have come out of the clutches of poverty in India.

Poverty reduction was fastest among children, the poorest states, scheduled tribes and Muslims.

The estimates were released by the UN Development Programme (UNDP) and the Oxford Poverty and Human Development Initiative (OPHI).

The report, however, stated that India still has the largest number of people living in multidimensional poverty in the world, pegging the figures around 364 million people.

The index evaluates poverty on three dimensions: health, education and living standards, with focus on access to clean water, sanitation, adequate nutrition and primary education. Those deprived in at least of a third of the index’s components are defined as “multidimensionally poor”. As many as 83% of the multidimensionally poor live in Sub-Saharan Africa and South Asia, the report said.

After India (364 million people), the countries with the largest number of people living in multi-dimensional poverty are Nigeria (97 million), Ethiopia (86 million), Pakistan (85 million), and Bangladesh (67 million).

The report also said India’s scale of poverty reduction has parallels with the phenomenal level of poverty reduction achieved in China a decade or so earlier.

“India’s scale of multidimensional poverty reduction over the decade from 2005/6 to 2015/16 – from 635 million poor persons to 364 million – brings to mind the speedy pace of China’s poverty reduction, which occurred over more than 20 years,” the report pointed out.

One of the striking findings is that 156 million out of 364 million people who are MPI poor in 2015/2016 are children.

The data noted that a change of global proportions occurred in India. Between 2005-06 and 2015-16, the number of multidimensionally poor people in India fell from 635 million to 364 million an historic shift.

Furthermore, in sharp contrast with the trend 1999 to 2006, when the poorest groups reduced multidimensional poverty the slowest, from 2005-06 to 2015-16 the poorest reduced MPI the fastest.

“That is, poverty reduction among children, the poorest states, scheduled tribes, and Muslims was fastest, indicating that, far from being left behind, they were catching up,” it said.

“India has made momentous progress in reducing multidimensional poverty. The incidence of multidimensional poverty was almost halved between 2005-06 and 2015-16, climbing down to 27.5 per cent,” it said.

It said that for the Scheduled Caste, the MPI fell from 0.338 in 2005-06 to 0.145 in 2015-16. For Other Backward Classes, the MPI fell from 0.291 in 2005-06 to 0.117 in 2015-16.

In the case of Muslims, the MPI fell from 0.331 in 2005-06 to 0.144 in 2015-16. For the Scheduled Tribes, the MPI fell from 0.447 in 2005-06 to 0.229 in 2015-16.

The data noted that the positive trend of pro-poor poverty reduction is seen also across religions and caste groups. In both cases, the poorest groups (Muslims and Scheduled Tribes) reduced poverty the most over the ten years from 2005-06 to 2015-16.

Yet these two groups still have the highest rates of poverty. For instance, while 80 per cent of those who identified themselves as being in a Scheduled Tribe had been poor in 2005-06, in 2015-16, 50 per cent of people belonging Scheduled Tribes are still poor.

Within India, 40.4 million people live in districts where more than 60 pe cent of people are poor 20.8 million live in the poorest districts in Bihar, 10.6 million in the poorest districts in Uttar Pradesh, and the remainder in the poorest districts in Chhattisgarh, Gujarat, Jharkhand, Madhya Pradesh and Odisha.

It noted that the landscape of the poorest has improved dramatically and, if current trends continue, is set to change.

The poorest groups across states, castes, religions, and ages had the biggest reductions in MPI 2005-06 to 2015-16, showing that they have been catching up, though they still experience much higher rates of poverty.

“This marks a dramatic reversal,” it said, adding that from 1998-99 to 2005-06 the opposite trend prevailed: India’s poorest groups had the slowest progress.

Among states, Jharkhand had the greatest improvement, with Arunachal Pradesh, Bihar, Chhattisgarh, and Nagaland only slightly behind. However, Bihar is still the poorest state in 2015/16, with more than half of its population in poverty.

In 2015/16, the four poorest states – Bihar, Jharkhand, Uttar Pradesh, and Madhya Pradesh – were still home to 196 million MPI poor people, or over half of all the MPI poor people in India. Delhi, Kerala and Goa have the lowest incidence of multidimensional poverty.

About 1.3 billion people live in multidimensional poverty globally, the report said. This is almost a quarter of the population of the 104 countries for which the 2018 MPI is calculated. Of these 1.3 billion, almost half – 46per cent – arethought to be living in severe poverty and are deprived in at least half of the dimensions covered in the MPI, it said.

The report observes that while there is much that needs to be done to tackle poverty globally, there are “promising signs that such poverty can be – and is being – tackled.”

“Although the level of poverty particularly in children is staggering so is the progress that can be made in tackling it. In India alone some 271 million have escaped multidimensional poverty in just ten years,” UNDP Administrator Achim Steiner said.

The global MPI is an internationally comparable measure of acute poverty for over 100 countries situated in developing regions. It complements global monetary poverty measures by capturing the simultaneous deprivations that each person experiences in ten indicators related to education, health and living standards. In 2018, five of the ten indicators have been revised.

The global MPI was first developed in 2010 by the UNDP and OPHI at the University of Oxford for the UNDP flagship publication Human Development Report.

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RBI cuts repo rate to 5.25%, paving the way for cheaper loans

The RBI has cut the repo rate to 5.25%, aiming to support growth as inflation softens. The central bank also raised GDP projections and announced liquidity-boosting measures.

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5 hours ago

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December 5, 2025

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Reserve Bank of India

The Reserve Bank of India (RBI) reduced the key repo rate by 25 basis points to 5.25% on Thursday, signalling relief for borrowers as banks are expected to offer lower EMIs on home and vehicle loans. Governor Sanjay Malhotra announced the move after the conclusion of the three-day Monetary Policy Committee (MPC) meeting.

RBI prioritises growth as inflation eases

Malhotra said the decision was unanimous, with the central bank choosing to focus on supporting economic momentum despite concerns over a weak rupee. The repo rate was earlier cut in June from 6% to 5.5% amid easing inflation trends.

The RBI now projects Consumer Price Index (CPI) inflation at 2% for FY2025-26, significantly softer than earlier estimates. For the first quarter of FY2026-27, inflation is expected at 3.9%, lower than the previous projection. The governor noted that rising precious metal prices may contribute to the headline CPI, but overall risks to inflation remain balanced.

GDP outlook strengthened

In a strong upward revision, the central bank increased the GDP forecast for the current financial year to 7.3%, previously estimated at 6.8%. Growth for the October–December quarter has also been revised to 6.7%.

The last quarter registered a six-quarter high expansion of 8.2%, reflecting resilient demand and steady credit flow.

“The growth-inflation balance continues to offer policy space,” Malhotra said, reiterating that the RBI’s stance remains neutral.

Other key decisions

Alongside the repo rate cut, the RBI announced adjustments to key policy corridors:

  • Standing Deposit Facility (SDF): 5%
  • Marginal Standing Facility (MSF): 5.5%

To improve liquidity and strengthen monetary transmission, the RBI will conduct forex swaps and purchase ₹1 lakh crore worth of government bonds through Open Market Operations (OMO).

RBI reviews a challenging year

Reflecting on 2025, Malhotra said the year delivered strong growth and moderate inflation even as global trade and geopolitical uncertainties persisted. He added that bank credit and retail lending remained healthy, providing support to the economy.

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India News

IndiGo flight chaos deepens as over 500 services cancelled, passengers stranded for hours

Over 500 IndiGo flights were cancelled nationwide, leaving passengers stranded without food, clarity or their luggage as airports struggled to manage the disruption.

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5 hours ago

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December 5, 2025

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IndiGo flight

India’s largest airline continued to face massive operational breakdowns, triggering frustration among travellers at major airports across the country. From piles of unattended suitcases to passengers waiting over 12 hours without food or clarity, the disruption stretched into its fourth consecutive day.

Long delays, no communication leave passengers anguished

Several travellers at Delhi airport described the situation as “mental torture”, as thousands of unclaimed suitcases lay scattered across the terminal. Many slept on the floor, while others expressed anger over the lack of communication from airline staff.

One flier said he had been waiting for over 12 hours without any explanation: “Every time they say one-hour or two-hour delays. We were going to a wedding but don’t even have our luggage.”

A passenger in Hyderabad recounted a similar ordeal, saying the flight was delayed indefinitely with no food, water, or updates from the airline. At the airport, some travellers blocked an Air India flight in protest over the lack of arrangements.

Goa and Chennai airports also witnessed tense moments. Videos from Goa showed fliers shouting at IndiGo staff as police attempted to calm the situation. At Chennai, CISF denied entry to IndiGo passengers due to heavy congestion.

Major metro airports impacted; cascading cancellations nationwide

Flight cancellations and delays were reported across multiple airports:

  • Over 200 flights were cancelled in Delhi
  • More than 100 each in Mumbai and Bengaluru
  • Around 90 in Hyderabad
  • Dozens more in Pune, Vishakhapatnam, Chennai and Bhopal

Pune airport stated that parking bay congestion worsened the situation, as several IndiGo aircraft remained grounded due to lack of crew. Other airlines continued operations without disruption.

Airport authorities said they had mobilised additional manpower for crowd control and passenger support.

IndiGo admits planning lapses, says more cancellations expected

The airline acknowledged a “misjudgment” in assessing crew requirements under revised night-duty norms, which it said created planning gaps. Winter weather and airport congestion further aggravated the crisis.

IndiGo informed the aviation ministry and DGCA that some regulatory changes—such as the shift in night-duty timings and a cap on night landings—have been rolled back temporarily to stabilise operations.

The airline warned that cancellations may continue for another two to three days, and from December 8, schedules will be trimmed to prevent further disruption.

In a message to employees, CEO Pieter Elbers said restoring punctuality would not be an “easy target”.

Airline issues apology amid nationwide frustration

In a late-night statement, IndiGo apologised to customers and industry partners, acknowledging the widespread inconvenience caused by the disruptions. The airline said all teams were working with authorities to bring operations back to normal.

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India News

Delhi to install 305 mist sprayers across 9 major pollution hotspots

Chief Minister Rekha Gupta announced that 305 mist sprayers will be installed across nine pollution hotspots in Delhi, alongside expert-led planning and coordinated measures to reduce dust and biomass-related pollution.

Published

19 hours ago

on

December 4, 2025

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Delhi-NCR air quality

The Delhi government has announced a large-scale deployment of mist sprayer technology to tackle rising air pollution, with Chief Minister Rekha Gupta confirming that 305 mist sprayers will be installed across nine pollution hotspots in the capital.

Mist sprayers to curb dust at critical locations

During an inspection at ITO, Gupta said the mist sprayers already operational at the site are performing effectively. She noted that 35 poles at ITO have been fitted with these machines, which are helping suppress dust—a major contributor to air pollution in Delhi.

According to the Chief Minister, trials conducted in certain NDMC areas have shown promising results, reinforcing confidence in the technology.

High-level committee to guide pollution-control measures

Gupta announced the formation of a high-level expert committee that will advise the government on effective measures to reduce pollution. The panel will include senior officials from various departments as well as environmental specialists, including experts from IITs. Officials stated that the committee will receive special powers to implement pollution-mitigation strategies.

Departments directed to repair roads, add greenery

The Chief Minister said departments including PWD, DSIIDC and DDA have been instructed to fix potholes, repair and carpet roads, plant foliage along dividers and islands, and take other measures to reduce pollution sources.

She urged residents to report potholes on the government portal for quicker action.

Appeal to RWAs to prevent biomass burning

To curb winter pollution, Gupta advised Resident Welfare Associations (RWAs) to distribute electric heaters to security guards to discourage biomass burning, which significantly contributes to seasonal pollution spikes.

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