Multidimensional Poverty Reduction: A Decade of Progress
December 6, 2025
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Home Opinion

Multidimensional Poverty Reduction: A Decade of Progress

In a significant milestone for India, a recent report released by NITI Aayog reveals that 24.82 crore individuals have successfully escaped multidimensional poverty over the past nine years

Kishore UpadhyayKishore Upadhyay
Jan 23, 2024, 08:00 pm IST
in Opinion
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In a significant milestone for India, a recent report from NITI Aayog reveals that 24.82 crore individuals have escaped multidimensional poverty over the past nine years. This achievement, outlined in the Discussion Paper titled ‘Multidimensional Poverty in India since 2005-06,’ highlights the Government’s proactive initiatives addressing various dimensions of poverty between 2013-14 and 2022-23. Released by Prof Ramesh Chand, Member of NITI Aayog, on January 15, the paper acknowledges the technical inputs from the Oxford Policy and Human Development Initiative (OPHI) and the United Nations Development Programme (UNDP).

Decline in Multidimensional Poverty:

The report showcases a substantial decline in India’s Multidimensional Poverty Index (MPI) from 29.17 per cent in 2013-14 to 11.28 per cent in 2022-23, marking a remarkable reduction of 17.89 percentage points. This positive trend indicates significant progress in addressing poverty across various dimensions beyond monetary aspects. The use of the Alkire and Foster method in MPI underscores its robustness as a globally recognised measure.

State-wise Achievements:

Uttar Pradesh emerges as a frontrunner in poverty reduction, with 5.94 crore people escaping multidimensional poverty during the last nine years. Bihar follows closely with 3.77 crore, Madhya Pradesh with 2.30 crore, and Rajasthan with 1.87 crore. The data suggests that traditionally, poorer States have recorded faster declines, signalling a reduction in inter-State disparities.

Accelerated Decline:

An interesting aspect highlighted in the paper is the pace of decline in the poverty headcount ratio. The exponential method demonstrates a much faster decline between 2015-16 to 2019-21, with a 10.66 per cent annual rate compared to the period from 2005-06 to 2015-16, which had a 7.69 per cent annual rate. This acceleration signifies the effectiveness of recent interventions and policies.

Improvement in all MPI Indicators:

The comprehensive analysis includes improvement in all 12 indicators of MPI throughout the study period. The positive trajectory in these indicators reflects a holistic approach in addressing poverty, encompassing education, health, and living standards. Projected estimates have been employed to assess poverty levels in 2013-14 against the current scenario due to data limitations for specific periods.

Government Initiatives:

The Government’s commitment to reducing poverty in all dimensions is evident in various initiatives. Noteworthy programs like Poshan Abhiyan and Anemia Mukt Bharat have significantly enhanced access to healthcare, leading to a decrease in deprivation. The Targeted Public Distribution System, covering 81.35 crore beneficiaries, is one of the world’s largest food security programs, ensuring food grains reach both rural and urban populations.

Continued Commitment:

Recent decisions, such as the extension of free food grain distribution under the Pradhan Mantri Garib Kalyan Anna Yojana for another five years, underscore the Government’s unwavering commitment. Various programs addressing maternal health, clean cooking fuel distribution through Ujjwala Yojana, improved electricity coverage via Saubhagya, and transformative campaigns like Swachh Bharat Mission and Jal Jeevan Mission collectively contribute to elevated living conditions.

Flagship Programs:

Flagship programs like Pradhan Mantri Jan Dhan Yojana and PM Awas Yojana play pivotal roles in financial inclusion and providing safe housing for the underprivileged. The comprehensive approach of these initiatives signifies the Government’s determination to tackle poverty from multiple angles.

State Variances and Reduced Disparities and Assam’s perspective:

While States exhibit varying performances, the report indicates that traditionally high-poverty States have made remarkable progress, reducing inter-state disparities in multidimensional poverty. This suggests that fundamental problems in accessing basic services are getting resolved, paving the way for India to move closer to its vision of becoming a developed nation by 2047.

Assam is currently witnessing a remarkable phase of prosperity, marking a pivotal moment in its modern history. Under the leadership of Chief Minister Dr Himanta Biswa Sarma, approximately 80 lakh individuals in the State have successfully overcome poverty, reflecting a substantial reduction in the poverty headcount ratio by 25 per cent over the last three years. This positive trajectory is indicative of Assam’s commitment to economic growth, with the State poised to become one of the top five contributors to the nation’s development. The strides made under the current Government underscore a promising future for Assam as it actively contributes to the broader narrative of India’s progress.

India’s journey in the past decade, as reflected in the NITI Aayog’s Discussion Paper, is a testament to the transformative impact of targeted policies and initiatives. The substantial reduction in multidimensional poverty, State-wise achievements, and improvements in all MPI indicators showcase the success of a comprehensive approach. As the Government continues to implement and enhance programs addressing various dimensions of poverty, India is poised to achieve its Sustainable Development Goals well before the target year of 2030. The commitment to inclusive development and the well-being of the most vulnerable populations remains at the forefront of India’s progress towards a developed nation.

Topics: Pradhan Mantri Garib Kalyan Anna YojanaPM Awas YojanaPradhan Mantri Jan Dhan YojanaPovertyPoverty ReductionHuman Development Initiative
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