NEW DELHI: India has the highest number of people living below the international poverty line of $2.15 a day, estimated at a staggering 159.8 million to 192.8 million in 2020.
These numbers reflect the harsh reality that millions of Indians confront daily, according to a World Bank report.
Leaked data of survey (National Sample Survey) indicates that India experienced a concerning trend over the past decade. For the first time in four decades, the average monthly per capita consumer expenditure (MPCE) in real terms saw a 3.7% decline, dropping from Rs 1,501 in 2011-12 to Rs 1,446 in 2017-18.
This sharp decline in living standards, particularly pronounced in rural India with an 8.8% decrease, has raised questions about the effectiveness of government policies and its ‘Sabka Saath, Sabka Vikas’ (Collective Efforts, Inclusive Growth) slogan, especially with the Lok Sabha elections approaching in December 2023.
The UNDP’s 2022 report affirmed India’s status as the global leader in poverty, with 228.9 million people living in poverty in 2020. The report also underscored the persistent issue of undernutrition, highlighting elevated levels across ten indicators encompassing education, health, and living standards.
Credit Suisse’s 2022 report added another layer to India’s economic challenges by revealing a rapid rise in wealth inequality. The top 1% of the population now accounts for a staggering 41% of the nation’s wealth.
The World Bank’s “Poverty and Shared Prosperity 2022” report pointed out that 80% of those who fell below the international poverty line in 2020 worldwide were from India, with 56 million people affected.
Several factors have contributed to this alarming trend, including slower GDP growth, stagnant agricultural growth, high unemployment rates hovering at around 8%, and a decline in real rural wages.
The impact of the COVID-19 pandemic has exacerbated these issues further. A study by researchers at Azim Premji University revealed that the number of people with incomes below the national minimum wage threshold of Rs 375 per day surged by 230 million during the pandemic, leading to a 15% increase in the rural poverty rate and nearly 20% in urban areas.
Despite the mounting evidence, critics argue that the government has been slow to respond. The recent Rozgar (Job) Mela, which promised to create 10 lakh jobs over the next one and a half years, has been met with skepticism, given Prime Minister Modi’s unfulfilled 2014 promise of two crore jobs annually.
The situation is dire, with hundreds of thousands of children succumbing to hunger-related deaths each year, and over a third suffering from stunted growth, even as Indian billionaires amass unprecedented wealth on global scales.
Reports highlight that two out of every three child deaths in India are attributable to malnutrition. In 2017, low birthweight affected 21.4% of newborns, child stunting afflicted 39.3%, child wasting impacted 15.7%, child underweight stood at 32.7%, anemia afflicted 59.7% of children, and 54.4% of women aged 15–49 years, exclusive breastfeeding was at 53.3%, and overweight children constituted 11.5%.
The Rashtriya Swayamsevak Sangh (RSS), a right-wing organization closely associated with the ruling Bharatiya Janata Party, has also expressed concerns about these pressing issues. During a webinar organized by RSS-affiliate Swadeshi Jagran Manch, RSS General Secretary Dattatreya Hosabale emphasized the importance of addressing poverty, joblessness, and inequality in India, highlighting the need for equitable growth to ensure the country’s long-term sustainability.