Despite Implementation of Various Government Programmes, Poverty Still Persists in India – Reasons
Introduction
India has launched multiple poverty alleviation programs, such as MGNREGA, PM Garib Kalyan Anna Yojana, PM-KISAN, and Awas Yojana, yet 21.9% of the population still lives below the poverty line (Tendulkar Method, 2011-12). The Multidimensional Poverty Index (MPI) 2023 highlights that 15% of Indians remain poor, indicating persistent challenges.
Reasons for Continued Poverty in India
1. Population Growth and Resource Strain
- India’s large population (1.4 billion) creates high demand for jobs, food, housing, and healthcare, outpacing welfare measures.
2. Jobless Growth and Informal Economy
- Over 90% of India’s workforce is in the informal sector (NSSO).
- Economic growth has not translated into proportionate employment opportunities.
3. Inefficient Implementation and Leakages
- Corruption, bureaucratic delays, and leakages reduce the effectiveness of welfare schemes.
- Example: PDS leakages (40% as per Shanta Kumar Committee Report).
4. Regional Disparities
- BIMARU states (Bihar, MP, Rajasthan, UP) have higher poverty rates despite national progress.
- Example: Bihar’s poverty rate (33.7%) is much higher than Kerala’s (0.5%) (NITI Aayog, MPI 2023).
5. Low Human Capital Development
- Poor education and healthcare outcomes perpetuate the poverty cycle.
- Example: India ranks 132 out of 191 in the Human Development Index (HDI) 2023.
6. Agrarian Distress and Farmer Suicides
- Over 50% of India’s population depends on agriculture, but low productivity, unpredictable monsoons, and debt traps worsen poverty.
- Example: 10,881 farmer suicides in 2021 (NCRB).
7. Inflation and Rising Cost of Living
- Essential goods and services have become more expensive, affecting poor households.
- Example: Food inflation remains a major challenge, particularly affecting daily wage earners.
8. Gendered Poverty and Social Discrimination
- Low female labor force participation (23% in 2023, PLFS) and gender wage gap keep women in poverty.
- Dalits, Adivasis, and minorities suffer from historical socio-economic disadvantages.
Conclusion
Despite significant efforts, poverty persists due to structural, economic, and governance challenges. A multi-pronged approach focusing on skill development, social security, rural-urban integration, and direct benefit transfers (DBT) is essential to eradicate poverty effectively and achieve SDG 1 (No Poverty) by 2030.
