India's Remarkable Progress in Poverty Reduction

According to a groundbreaking study by the State Bank of India, poverty rates in India have plummeted to below 5%, with extreme poverty becoming almost minimal in 2024. This significant achievement highlights the nation's successful efforts in combating poverty.

Rural and Urban Poverty: A Closer Look

The report reveals a notable decrease in both rural and urban poverty. Rural poverty in FY24 stood at 4.86%, a significant drop from 7.2% in FY23 and 25.7% in FY12. This improvement is attributed to increased consumption growth among the bottom 5% of the population, leading to a shift in the poverty line.

Similarly, urban poverty decreased to 4.09% in FY24, down from 4.6% in FY23 and 13.7% in FY12. The study anticipates further reductions in urban poverty following the completion of the 2021 census and the release of updated rural-urban population data.

Looking Ahead

While these figures are promising, the study acknowledges the possibility of minor revisions once the 2021 census is completed and new Rural Urban population share is published. Nevertheless, the progress made thus far is a testament to India's commitment to eradicating poverty and improving the quality of life for its citizens.