In News: A recent World Bank Report has shown that extreme poverty in India more than halved between 2011 and 2019 – from 22.5 per cent to 10.2 per cent.
The reduction was higher in rural areas, from 26.3 per cent to 11.6 per cent.
Reasons for reduction
Identification of deprived households on the basis of the Socioeconomic and Caste Census (SECC) 2011 across welfare programmes was a game-changer in the efforts to ensure balanced development, socially as well as across regions.
Participation of Women:
Coverage of women under the Deendayal Antyodaya Yojana and Self Help Groups (SHG) increased from 2.5 crore in 2014 to over 8 crore in 2018
This provided a robust framework to connect with communities and created a social capital that helped every programme.
Financial Decentralization
Finance Commission transfers were made directly to gram panchayats leading to the creation of basic infrastructure
The high speed of road construction under the Pradhan Mantri Gram Sadhak Yojana created greater opportunities for employment by improving connectivity and enhancing mobility.
Credit Access
The social capital of SHGs ensured the availability of credit through banks, micro-finance institutions and MUDRA loans
Basic Needs
Thrust on universal coverage for individual household latrines, LPG connections and pucca houses improved standard of living
Co operative federalism
The competition among states to improve basic needs helped in development
Example: NITI Aayog SDG index
Monitoring
Through processes like social and concurrent audits, efforts were made to ensure that resources were fully utilized.
Still Poverty persists in India
Pandemic and pandemic induced lockdown – loss of livelihood
Population Explosion
Low Agricultural Productivity
Inefficient Resource utilisation
Inflation
Social Factors – Caste system, communal vilolence etc
