Roadmap for Answer Writing

When addressing the question, “What are the reasons for the ongoing persistence of poverty in India, despite the various measures implemented for poverty eradication in recent years?”, follow this structured approach:

1. Introduction

• Define poverty and its implications on society.
• Briefly mention the measures taken by the Indian government to eradicate poverty.

2. Overview of Poverty Reduction Efforts

• Highlight key initiatives such as the National Food Security Act, Ayushman Bharat, MGNREGA, and skill development programs.
• Mention the significant reduction in multidimensional poverty, with 415 million people exiting poverty from 2005-06 to 2019-21, according to the Global Multidimensional Poverty Index 2022 .

3. Reasons for Persistent Poverty

• Limited Fiscal Capacity: Discuss how the financial constraints of both central and state governments limit effective poverty alleviation efforts .
• Corruption and Administrative Inefficiencies: Explain how corruption and inefficiencies prevent benefits from reaching the poorest segments of society.
• Agricultural Challenges: Address issues like fragmented land holdings and disguised unemployment that lead to low agricultural productivity .
• Population Growth: Highlight how rapid population growth strains resources and limits investment in human capital .
• Inequitable Economic Growth: Discuss the lack of inclusive growth and how the trickle-down effect of economic progress is minimal .
• External Economic Shocks: Mention how international events, such as pandemics and wars, destabilize the economy and exacerbate poverty .

4. Conclusion

• Summarize the key points and emphasize the need for targeted support and increased public investment to effectively combat persistent poverty in India.

Relevant Facts

1. As of 2022, India has the largest number of poor people in the world, with approximately 228.9 million individuals living in poverty .
2. The Global Multidimensional Poverty Index 2022 indicates that the incidence of poverty in India declined from around 55% to about 16% between 2005-06 and 2019-21, with 415 million people exiting multidimensional poverty.
3. Limited fiscal capacity restricts the government’s ability to allocate sufficient resources for poverty eradication schemes .
4. Corruption and administrative inefficiencies hinder the effective distribution of benefits from poverty alleviation programs .
5. Agricultural challenges, such as fragmented land holdings, contribute to low productivity and income levels for a significant portion of the population [index: 1].
6. Rapid population growth complicates investments in human capital, affecting the well-being of the poor .
7. The lack of inclusive economic growth means that the benefits of economic progress do not reach all segments of society .
8. External shocks, like pandemics and wars, destabilize the economy and further entrench poverty .