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India Close To Achieving SDG 2030 Target Of Reducing Poverty By Half


In accordance with the Global Indices for Reforms and Growth (GIRG) mandate, the Government of India appointed Niti Aayog as the nodal ministry for the first-ever Multidimensional Poverty Index (MPI). The second edition of the Multidimensional Poverty Index presents India's accomplishments in reducing multidimensional poverty between the National Family Health Surveys NFHS-4 (2015-16) and NFHS-5 (2019-21).


The index is based on the November 2021 Baseline Report of India's National MPI. Technical partners United Nations Development Programme (UNDP) and Oxford Policy and Human Development Initiative (OPHI) collaborate to publish the global MPI report.


Historically, we have measured poverty solely on a monetary basis, ignoring the qualitative factors that influence it. In contrast to the traditional method of assessing poverty based on income, MPI is considering a complex formula to supplement the quantitative index. Since 2010, the UNDP has utilised this index, which encompasses three main categories: health, education, and standard of living.


The MPI is derived from the Alkire-Foster method. It computes both the depth (intensity) and the extent (the population ratio) of poverty. The MPI value is then calculated by multiplying the headcount ratio by the mean deprivation score of the MPI poor. The index enables the estimation of multidimensional poverty at the national, state, and district levels, as well as among other disaggregated groups; the clear geographic and demographic distinction aids in the development of targeted policies to combat individual setbacks.


Nutrition, child and adolescent mortality, maternal health, years of schooling, school attendance, cooking fuel, sanitation, drinking water, electricity, housing, bank accounts, and assets are some of the indicators selected by the Inter-Ministerial Coordination Committee created for MPI and the technical partners.


From 24.85% in 2015-16 to 14.96% in 2019-21, the'multidimensional poverty line' in India decreases significantly. Between 2015-16 and 2019-21, 135 million persons have risen above the poverty line. The review has been cited as a significant milestone and a crucial step towards achieving Sustainable Development Goals (SDG) target 1.2, which seeks to reduce "by at least half the proportion of men, women, and children of all ages living in poverty in all its dimensions according to national definitions."


The rural areas experienced the most rapid decline in poverty, from 32.59 percent to 19.28 percent, while the urban areas experienced a decline from 8.65 percent to 5.15 percent. In the past five years, Uttar Pradesh has seen a precipitous decline in the number of MPI, along with other states. The next two states are Bihar and Madhya Pradesh. In Uttar Pradesh, 3.43 billion persons escaped multidimensional poverty. It is 2.25 million in Bihar and 1.36 million in Madhya Pradesh.


However, among the 12 indicators, the education and health sectors have rarely improved. The most significant indicator of progress reflected in the report is the improvement in people's living conditions, as evidenced by improved access to sanitary facilities, culinary fuel, and electricity.


The Economic Survey of 2022-23 places a substantial amount of emphasis on the various government programmes that appear to have played a pivotal role in directing efforts towards overall improvement. Pradhan Mantri Awas Yojana (PMAY) for housing, Jal Jeevan Mission (JJM) for clean drinking water, Swachh Bharat Mission (SBM) for promoting cleanliness, Pradhan Mantri Sahaj Bijli Har Ghar Yojana (Saubhagya) to ensure electricity in every house, Pradhan Mantri Ujjwala Yojana (PMUY) to distribute LPG connections to all below poverty line (B


While the report gives credit to the government for its arduous flagship programmes and the visible work carried out on individual fronts, concentrating primarily on the elements used in measuring the standard of living, it fails to account for the impact of the Covid–19 pandemic on poverty estimates. Even though the National Family and Health Survey-5 included in the report provides a comparison between NFHS-4 (2015-16) and NFHS-5 (2019-21), 70% of the data collected for the latter survey were collected prior to the pandemic.


The report fails to convey the country's economic and social status over the past two years. Even though the report factors for a faster decline in the MPI value in rural areas, the disparity between rural and urban MDP still has a considerable distance to travel.


The review is of the utmost importance to policymakers, state governments, academia, civil societies, and citizens in order to assess both the impact of traditional policies and the trajectory of progress made through data-driven decision-making and targeted policy interventions. The overarching reason, however, remains the achievement of India's SDG 2030 target of 1.2.


The country views this report as a milestone because it intends to achieve the anticipated objective ahead of schedule. According to Dr. Yogesh Suri, Senior Adviser at the National Institute of Transforming India, eradicating poverty and starvation is of critical importance for India's sustainable development. With the goal of eradicating poverty as part of the 2030 agenda, the Indian government views this initiative as a step towards national integration of the Global Sustainable Development Goals, which will ultimately improve India's standing on global indices.



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