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NITI Aayog launched 2nd National MPI: India’s population of Multidimensionally Poor declines to 14.96% in 2019-2021

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Niti Aayog launches National Multidimensional Poverty Index

On July 17, 2023, the Vice-Chairman of National Institution for Transforming India (NITI) Aayog, Suman Bery released the 2nd edition of NITI Aayog’s Report ‘National Multidimensional Poverty Index (MPI): A Progress Review 2023‘.

  • The report represents India’s progress in reducing multidimensional poverty between the two surveys, National Family Health Survey [NFHS-4 (2015-16)] and NFHS-5 (2019-21).
  • India has registered a significant decline of 9.89 percentage points in number of India’s multidimensionally poor from 24.85% in 2015-16 to 14.96% in 2019-2021.

Assessment:

i.The broad methodology followed is in consonance with the global methodology of Alkire-Foster methodology developed by technical partners, the Oxford Poverty and Human Development Initiative (OPHI) and United Nations Development Programme (UNDP).

ii.The National MPI measures simultaneous deprivations across three equally weighted dimensions of Health, Education, and Standard of Living that are represented by 12 Sustainable Development Goals (SDGs) aligned indicators.

  • These include nutrition, child and adolescent mortality, maternal health, years of schooling, school attendance, cooking fuel, sanitation, drinking water, electricity, housing, assets, and bank accounts.

iii.It provided estimates for the 36 States and Union Territories and 707 Administrative Districts

Note: This index is an important tool that enables the country to track its progress towards the SDGs, particularly SDG target 1.2, which aims to reduce poverty in all its dimensions.

  • Its first edition launched in 2021.

Highlights:

i.There is Marked improvement across all the 12 indicators.

ii.Uttar Pradesh (UP) registered the largest decline in number of poor i.e. 3.43 crore people.

iii.The fastest reduction in the proportion of multidimensional poor was observed in the States of UP, Bihar, Madhya Pradesh (MP), Odisha, and Rajasthan.

iv.However, Bihar, Jharkhand, Meghalaya, UP and MP (even after decrease) top the chart where the percentage of total population who are multidimensionally poor is high.

v.Delhi, Kerala, Goa and Tamil Nadu have the least number of people facing multidimensional poverty along with the Union Territories.

vi.The rural areas witnessed the fastest decline in poverty from 32.59% in 2015-16 to 19.28% in 2019-21.

vii.During the same period, the urban areas saw a reduction in poverty from 8.65% to 5.27%.

viii.Between 2015-16 and 2019-21, the MPI value has nearly halved from 0.117 to 0.066 and the intensity of poverty has reduced from 47% to 44%.

ix.This decline showcases Central Government’s strategic focus on ensuring sustainable and equitable development and eradicating poverty by 2030. This include Flagship programs like Poshan Abhiyan and Anaemia Mukt Bharat, Swachh Bharat Mission (SBM), Jal Jeevan Mission (JJM), Pradhan Mantri Ujjwala Yojana (PMUY), Saubhagya, Pradhan Mantri Awas Yojana (PMAY), Pradhan Mantri Jan Dhan Yojana (PMJDY), Samagra Shiksha, among others.

Recent Related News:

i.On April 13, 2023 the Atal Innovation Mission (AIM), NITI Aayog and the Ministry of Agriculture and Farmers Welfare (MoA&FW) agreed to connect Atal Tinkering Labs (ATLs) with Krishi Vigyan Kendra (KVKs) and Agricultural Technology Management Agency (ATMAs) under the initiative.

ii.NITI Aayog released a report titled “Promoting Millets in Diets: Best Practices across States/UTs of India” which presents a collection of good and innovative practices adopted by state governments and organisations in various aspects of the millet value chain.

About National Institution For Transforming India (NITI) Aayog:

Chief Executive Officer (CEO)– B. V. R. Subrahmanyam
Headquarters– New Delhi, Delhi