India Lifts 269 Million Out of Extreme Poverty: World Bank

India has recorded a historic decline in extreme poverty levels, with the latest World Bank data revealing a transformative reduction from 27.1% in 2011-12 to just 5.3% in 2022-23. In absolute terms, this means the number of people living in extreme poverty fell sharply from 344.47 million to 75.24 million—lifting nearly 269 million Indians out of extreme poverty over the last decade.

Rural and Urban India Witness Broad-Based Gains

The decline was not confined to one region but was broad-based across rural and urban India.

• Rural poverty dropped from 18.4% to 2.8%

• Urban poverty decreased from 10.7% to 1.1%

This consistent downward trend highlights the inclusive nature of economic and welfare progress across the country.

Five States Lead the Progress

According to the World Bank, Uttar Pradesh, Maharashtra, Bihar, West Bengal, and Madhya Pradesh—which accounted for 65% of India’s extreme poor in 2011-12—were responsible for two-thirds of the total reduction in poverty by 2022-23. These states have played a pivotal role in driving India's poverty alleviation success story.

Shift in Global Poverty Benchmark

The World Bank based its analysis on the updated $3.00 per day international poverty line (2021 prices). Under the earlier benchmark of $2.15 per day (2017 prices), India’s extreme poverty declined from 16.2% to just 2.3% during the same period, reducing the number of poor from 205.93 million to 33.66 million.

Multidimensional Poverty Also Falls

The country also made significant strides in reducing multidimensional poverty.

• India’s Multidimensional Poverty Index (MPI) dropped from 53.8% in 2005-06 to 16.4% in 2019-21, and further to 15.5% by 2022-23.
  This metric includes access to health, education, and living standards, signaling progress beyond just income-based indicators.

Modi Government Credits Flagship Schemes

As the BJP-led NDA government completed 11 years in office, Prime Minister Narendra Modi credited this progress to focused welfare initiatives and inclusive development strategies.
Key schemes such as:

• Pradhan Mantri Awas Yojana (PMAY) – Housing for all

• PM Ujjwala Yojana – Clean cooking fuel

• Jan Dhan Yojana – Financial inclusion

• Ayushman Bharat – Universal health coverage

• Direct Benefit Transfer (DBT) – Efficient subsidy delivery

...have been instrumental in lifting over 25 crore people above the poverty line, according to government estimates.

Inflation Concerns Ease, Says RBI

In parallel, a recent RBI survey shows a decline in inflation concerns among Indian households—pointing to stabilizing economic conditions that support poverty reduction.

Also Read: World Bank Expresses Strong Confidence in Indian Economy, Urges Investment