India’s poverty rate declined to 4.5-5% in 2022-23: SBI Research
rural poverty declining to 7.2% from 25.7% in 2011-12 and urban poverty down to 4.6% from a decade ago period, according to the new Household Consumption Expenditure Survey data.
SBI Researchers estimated the new poverty line or the basic level of consumption required was Rs 1,622 for rural areas and Rs 1,929 for urban areas.
“Rural Poverty has thus staged a significant 440-basis point decline since 2018-19 and Urban Poverty a 170-basis point decline post pandemic….This indicates that many
Government programmes currently for those at the bottom of the pyramid are having a significant salutary impact on rural livelihood,” it noted.
India’s poverty rate had declined to 11.6% for rural areas and 6.3% for urban areas, according to a World Bank paper.
The new formula is derived by using the recommendations of an expert group headed by Suresh Tendulkar, based on which a Rs 816 poverty line for rural and Rs 1000 for urban areas was determined for 2011-12.
“Starting with 2011-12 poverty line estimate of Rs 816 in rural area and Rs 1000 in urban area, the new poverty line was adjusted for decadal inflation and imputation factor derived from NSSO report,” SBI researchers pointed out.
India has not had a revision to poverty line calculations since 2014, when another expert group chaired by former RBI governor C Rangarajan had submitted its report.
The government released the household consumption expenditure survey for 2022-23 Saturday after over a decade, as the results of 2017-18 survey were junked citing data
