Published by ANUJ KUMAR on



The word poverty originates from the French word “poverté” which suggests bad.

Poverty is a financial state where individuals are experiencing a shortage or the absence of particular products that are needed for the lives of people like loan and product things. Poverty is a complex principle inclusive of social, financial and political aspects.
Listed below table compares the 2016 and 2017 variations of the worldwide and local poverty price quotes for 2013 Based on the above table overall variety of bad increased by 2.5 million (from 766.0 to 768.5 million).

It is complicated to specify poverty. Due to the fact that it depends upon complex and multidimensional aspects like area, period, geographical condition, scenarios and a lot more.

On the basis of social, cost-effective and political elements, there are various methods to determine the kind of Poverty:

1. Absolute 
2. Relative 
3. Situational
4. Generational
5. Rural .
6. Urban 

1) Absolute poverty

⦁ Food:

Adults with body mass index are less than 17, or children who are more than three standard deviations from a certain age / weight / maximum criteria

⦁ Safe Drinking Water:

Use of surface water (i.e. rivers or streams), or at least 30 minutes to collect water from a source


⦁ Sanitation facilities:

Lack of any type of toilet facility


⦁ Health:

Lack of access to any type of health care, including vaccination, postpartum care, or treatment of critical diseases.


⦁ Shelter:

Those children who live in places where more than four people live in a room, adults who live with more than three people in a room, or adults and children who live in non-floor areas


⦁ Education:

Children of school age who are not in the past or currently not in school, or adults who have not attended school and can not read or write


⦁ Information:

Absence of access to any kind of media consisting of radio, tv or computer system


⦁ Services:

Lack of access to schools, health services etc.



2) Relative poverty

Relative poverty is the situation in which the people in which the people live, there is a lack of minimum amount of income required to maintain the average standard. Relative poverty is considered the easiest way to measure the level of poverty in a country. Relative poverty is defined relative to members of a society and therefore, it is different in countries. It is said that if people can not live up to the living standards set by society then they will be considered poor.

Relative poverty also changes over time. As the wealth of society increases, so does the income and resources of society increase, which is necessary for the right circumstances of living. For example, if you were a family of four (two adults and two children) living in the United States in 1963, whose annual income was less than $ 3,100, you would be living in relative poverty. By 1992, this amount had increased to $ 14,228 per year.


3) Situational Poverty

This is a temporary type of poverty based on the occurrence of adverse events such as environmental disasters, job losses and serious health problems.
People can also help with a small help, because poverty comes from unfortunate incidents.


4) Generational Poverty

It is handed over to individuals and families from one generation to another. It is more complex because there is no escape in it because people are stuck due to it and unable to use the necessary means to get out of it.

“It happens in families where at least two generations have been born in poverty. Families living in this type of poverty are not equipped with equipment to get out of their condition “(Jensen, 2009).


5) Rural Poverty

It occurs in rural areas with a population of less than 50,000. This is an area where job opportunities are low, fewer access to services, less support for the disabled and quality education opportunities. People mostly like to live for farming and other works available for the surrounding work.

The rural poverty rate is increasing and since the beginning of the data collection in the 1960s, every year is more than the urban rate. For the last 30 years, the difference between both poverty rates is 5%, urban rates are 10-15% and rural rates are 15-20% (Jolif, 2004).


6) Urban Poverty

It happens in the cities with population over 50,000. These are some significant obstacles dealt with by the Urban Poor:
– Inadequate real estate and services.
– Limited access to health and education.
– Violent and unhealthy environment due to the fact that of overcrowding.
– Little or no social defense system.


India has made significant progress on human development in the past 60 years but regrettably is still home to one-third of the world’s poor.

1. According to 2017 World Bank information, India’s labour involvement rate (for those people over the age of 15) amounted to 53.8 percent; nevertheless, the percent of wage and employed employees of those used just equated to about 21.06 percent.
2. According to the World Health Organization, it is approximated that 98,000 individuals in India pass away from diarrhoea each year. The absence of appropriate sanitation, nutrition and safe water has considerable unfavorable health effects.
3. A 3rd of the world’s malnourished kids reside in India according to UNICEF
4. India falls under the leading 3 poorest nations.

Causes of poverty in India:

1. Demographic factors: Rapid growth of population aggravates the poverty of the poor.
2. Economic causes: Low agricultural productivity and unequal distribution of land leads to poverty of the farmers and their families in the rural areas.
3. Lack of job opportunities cause the poor to remain unemployed.
4. Education is one of the most accountable causes of poverty. As they are not literate they do not attain jobs which lead to further poverty.

Many other countries who are encountering poverty have thought of 4 tools to eradicate this situation. Many have already started progressing too.

1. Quality education to everyone.
2. Free access to health care in smaller cities.
3. Basic water and sanitation facilities to all.
4. Economic help to all the deprived by providing them with job opportunities.

India’s measures to end this plight:

How should a country which contains almost one in 3 of the world’s poorest individuals resolve this really genuine issue?

We see 3 reliable methods to resolve the obstacle of poverties: by (a) assisting bad individuals establish income-generating services of their own; (b) supplying tasks that enable them to increase their earnings through incomes or incomes; or (c) offering them items that allow them to make or conserve loan.

These are the five effectual ways through which some well known analysts think that we could probably end poverty.

The new government of India has included these strides in its manifesto, it would take to eliminate this predicament:

1. Empower each and every Indian through health and education.
2. Increase job opportunities and give priority to job creation.
3. Ensure basic level of infrastructure to all i.e. Home, Electricity, Water and Toilets.
4. Identify 100 most backward districts of the country and prioritize them through integrated development.
5. Strengthen the agricultural field and impart the farmers with additional resources for their well being.

⦁ We need to arrest this problem else this one third will become half and we would have to face civil war in the future.

⦁ These potent steps and its thorough execution could suppress this barrier in a short span of few years. Then I could say that I live in the first ever country which has ‘0’ poverty.


Child poverty

A condition that puts many children in danger for many issues listed in this section. The lack of access to basic needs like food, shelter and clothing is the underlying cause of poor child health, poor child nutrition, child labor, child marriage and various other issues. In poverty, children increase the already existing economic, social, cultural and gender inequalities in society. Poverty essentially threatens every child right: existence, development and protection. Poverty follows a vicious cycle because poor children are poor adults who then lend their children.

Children experience different poverty

Than adults because it creates an atmosphere that is harmful to their mental, physical, emotional, and spiritual development. It can not be understood only in terms of household income or domestic consumption. UNICEF defines “children living in poverty, lacking in material, spiritual and emotional resources, being unable to develop and develop and enjoy their rights, to achieve their full potential or to complete and equal society Members are required to participate in the form of. ”

In a study on the poverty faced by children,

UNICEF found that children have to face seven areas of serious deficiency: adequate nutrition, safe drinking water, good sanitation facilities, health, shelter, education and information. Studies have found that half of the world’s population is deprived of at least one species. The nature of the absence is such that one deficiency strengthens others. Lack of access to safe drinking water can affect the health, education and nutrition of the child. Rural children in poverty are likely to suffer from their shortage as their urban partners twice.

Child poverty is not only an issue in countries with low income, but it is also found in many middle income countries. For example, Columbia and Namibia have similar levels of per capita income but still there is a more serious lack of Namibia. Namibia’s children are nearly deprived of Togo, a very poor country. Child poverty is also high with gender discrimination. How income or resources are earned, distributed and valuable, it depends on the electricity relations between men and women in general and in the family.

Physical Poverty

Children in poverty experience more, then simple physical poverty. The lack of physical security exposes children to abuse and exploitation of all kinds. It creates an economic need which pushes children into child labor and therefore abandons their right to education and entertainment. Therefore, children experience emotional and mental poverty. This, in turn, produces more poverty, thereby becomes a normal cycle of poverty.

In 2005, 1.4 million people living below the poverty line were given the most popular international estimates of poverty by the World Bank. In 2008, the World Bank set the poverty line at $ 1.25 per day using purchasing power parity conditions and value data from 2005. Comparative Program 2005 This line is based on the national poverty lines of various poor countries.

In the Tenth Five Year Plan, the line was calculated from thirteen parameters, with a score of 0-4 for each parameter. Families with less than 15 out of 52 probable marks are considered below poverty line (BPL). The Government has 3.26 lakh households in this category and 3.18 lakh families in the BPL survey in 2002 in the rural area. Thirteen parameters include landholding, house type, clothing, food security, sanitation, the consumer. Durable, literacy status, labor force, means of livelihood, the status of children, type of indebtedness, etc. due to migrations. In the urban BPL, the survey is calculated by seven parameters: roof, floor, water, sanitation, level of education, type of employment and status of children in a house. In the survey in 2004, 1.25 lakh urban poor families were found below the poverty line. State Governments use their own criteria for BPL calculation for state plans.

Poverty estimates cover a very large population compared to below poverty line. There are different opinions on the assessment of poverty in India. There are four main sources of poverty estimation in India.

poverty line

Planning Commission 2004-05 estimates : Planning Commission as the nodal agency in the Government of India for assessment

Poverty is assessing the number and percentage of the poor at national and state levels.
Since March 1997, it is using the Expert Group Method (Expert Group on Estimation of)
Powered by the National Sample Survey Organization (NSSO) of the Ministry of Statistics and
Program implementation Using this method, Planning Commission, in the past
Released poverty estimates for the years 1973-74, 1977-78, 1983, 1987-88 and 1993-94
Press Information Bureau, Government of India, March 11, 1997, After this poverty
Estimates for 1999-2000 were issued by the Government of India, Press Information Bureau
22 February 2001. While issuing the estimation of poverty for 1999-2000.

2. State wise rural and urban poverty line of the year 2004-05 has been given in Table-1.
They are estimated using the original state-specific poverty lines identified by the expert group
Using the Consumer Price Index of Agricultural Laborers and updating them for 2004-05 prices
(CPIAL) for Rural Poverty Line and Consumer Price Index for Industrial Workers (CPI-IW)
Urban poverty line.

3. NSSO has now released results of the latest large sample survey data
Household Consumer Expenditure (NSS 61st Round), covers the period from July 2004 to June 2005
[Report No. 50 (61 / 1.0 / 1)]. With this data, two separate consumption disbursements for the year
2004-05. First of all the collected data using 30-day
Recall period (also known as reference period) for all items. Another distribution is received
Consumer expenditure data is received five times using the 365-day record period
Non-food items, i.e. clothing, shoes, durable goods, education and institutional
Remain medical expenses and the 30-day period for remaining items. These two consume
Distribution is called the Uniform Reckon Period (URP) consumption distribution
Mixed Recall Period (MRP) consumption distribution, respectively. Using the Planning Commission
Expert group methodology has used poverty in 2004-05 to predict poverty.

Arjun Sengupta has reported :

On the conditions of promoting work and livelihood in the unorganized sector: 77% of the population is estimated to have 836 million people with purchasing power of less than two dollars. Depending on the data of NSSO, the committee classifies poverty into four different groups: extremely poor people who survive on the official poverty line (PL) 0.75 (which is about Rs 10 per person per day). Poor sub-determinator between 0.75 PL and PL. Due to their daily consumption between PL and 1.25PL, the slightest poor are slightly better. And in the end, the weaker group which is threatening to remain poor at 1.25PL to 2PL (which is about Rs.20.3 per day per capital).

Saxena Committee Report :

Union Rural Development and Panchayati Raj Minister Dr.C.P. Joshi told the Lok Sabha today that the Ministry of Rural Development formed an expert group on August 12, 2008, which can advise the Ministry for the conduct of BPL census for the identification of rural households. Dr. In the presidency of NC Saxena, the expert group presented its report on August 21, 2009. The terms of reference for the expert group are as follows: –

(i) To provide assistance under the programs of the Ministry of Rural Development to recommend BPL to simplify the use of simplified, transparent and purposeful measurable indicators, to recommend the next suitable BPL census.

(ii) Recommendation of the institutional system for conducting surveys, data verification process and approval of BPL list at different levels.

(iii) To recommend institutional mechanisms to overcome public grievances on exclusion/inclusion in the BPL list

(iv) In the short term, the relationship between evaluation and identification of the poor and the identification of a limit on the total number of BPL families should be considered.

(v) Any other recommendation for making BPL census practice easy and acceptable.

Tendulkar Committee Report:

In November 2009, the Tendulkar Committee, which was appointed by the Planning Commission of India as an expert group to review the functioning of poverty estimation, prepared a report. The committee recommends that the data collected by the NSSO as per the private household consumption expenditure of Indian families is the best way to continue calculating the poverty line. Therefore, according to this report, the urban poverty headcount ratio is 25.7% as per earlier calculation. But there has been a change in the rural national poverty headcount ratio, which was originally 28.3%. It is now estimated to have a “high and accurate” ratio of 41.8%. This means that according to the report, 37.2% of the population is considered below the new poverty line. The new all-India poverty line is set on RS. 446.68 in rural areas and Rs. 578.8 in urban areas.


Facts about poverty in India

1.Most of India’s population does not have adequate health care.

Today, among many facts about poverty in India, health care is perhaps the most important. Based on the Global Burden of Disease Study published in 2018, India is ranked 145th out of 195 countries about the quality and accessibility of health services. There are huge inequalities within the states and income groups in the country and India is behind other BRICS countries. In 2018, the government launched a National Health Protection Plan named Ayushman Bharat which aims to help nearly 100 million people living in disadvantaged communities.

2.Inequalities persist in education.

Literacy rate in India has increased from 68.2 percent in 2001 to 74 percent in 2011. However, there is a broad gender inequality; 82.14 percent of men and 65.46 percent of the women are literate. The quality and availability of classes and teachers helps in reducing the literacy rate. Social barriers prevent the spread of education among women. A deeply entangled patriarch prevents women from receiving higher education, especially in rural areas of the country.

3.There is high unemployment in the country.

The unemployment rate is gradually increasing by bringing about 31 million Indians out of work. By August 2018, the unemployment rate in India is 5.7 percent; This rate is widely decreased every month. The social security network traditionally provided by the joint family system is now being destroyed.

4.Homeless at large scale throughout the country.

As of 2011, there were 1.77 million homeless people in India. There is widespread inequality among urban and rural areas; In urban areas, there was an increase of 36.78% in homelessness, whereas there was a negative growth in rural areas. Most government assistance is targeted towards rural areas. According to Mohammad Tariq, coordinator of Kesish, a TISS Field Action Project on Homeownership and Destination, economic migration from rural areas to urban areas can be an important factor as there is lack of infrastructure and employment opportunities in rural areas, Especially in the secondary And tertiary area.

5.Cleanliness is getting better.

According to the Economic Survey, the number of defecations in the open has decreased from 550 million to 250 million in 2018 in 2014. The credit of this shortage has been given to Swachh Bharat Mission, a cleanliness program initiated by Prime Minister Narendra Modi. However, the vast sections of the population are still deprived of access to basic hygiene, especially the weaker groups.

6.The rate of hunger is still high.

India’s hunger problem is driven by high rates of child malnutrition. India is ranked 100th out of 119 countries on the Global Hunger Index, which measures inferior nutrition, child waste, child stunting and child mortality rates. The lack of access to nutritious food increases the risk of disease. Due to the burden of rural indebtedness, there is an increasing number of farmer suicides.

7.India lacks sound structure.

According to the Asian Development Bank, India’s weak infrastructure contributes to slow growth and development. Investment in infrastructure, such as transport, communication and better facilities for agriculture will increase employment and productivity. Financing of rural infrastructure projects depends on a sound banking system, which currently has a lot of agreement with bad credit.

8.There is extensive corruption.

India is 81st in the 2017 Global Corruption Index released by Transparency International. Bribery, money laundering and tax evasion prevent the growth of the country and negatively affect social welfare programs. Government has distributed identification letters with biometric information to reduce this problem, but it still prevails in the spatial corruption system.

9.Social exclusion reduces opportunities for many groups.

There are structural inequalities within the country, where people and women of some castes and sections are systematically discriminated. Although progress has been made to incorporate these groups, but there is still a long way to go. Gender and racial inequalities are still rife and important legislation on women’s empowerment is pending in the legislature.

10.Poverty is declining in India.

In spite of the above, studies show that India’s population is gradually avoiding extreme poverty. In fact, the world poverty watch predicts that by 2021, less than 3% of people in India will be in extreme poverty. Due to well established governance systems, partnership development, an independent judiciary and an active media provides hope for the poor of India.


Causes of poverty

There are many reasons which lead towards poverty. Some of these are listed here:Inflation
Population growth
Poor growth rate
Lack of capital
High debt in rural areas
Colonel hangover
Poor education
Constant inflation pressure
Migration from rural to urban cities
Ineffective implementation of policies and reforms

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