Lok Sabha Question No. 1372 (UNSTARRED), answered on 2025-12-08
Subject: Revision of International Poverty Line
Ministry: FINANCE
Asked by: Shri Rao Rajendra Singh

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF ECONOMIC AFFAIRS

## LOK SABHA UNSTARRED QUESTION NO. 1372

TO BE ANSWERED ON 08.12.2025

## REVISION OF INTERNATIONAL POVERTY LINE

## 1372.  SHRI RAO RAJENDRA SINGH

Will the Minister of FINANCE be pleased to state:

( a)  whether  the  Government  has  taken  into  account  the  World  Bank's  revision  of  the  International Poverty Line from USD 2.15 to USD 3.00 per day, 2021 Purchasing Power Parity (PPP) and its impact on the country poverty estimates, if so, the details thereof;

- (b)  the  extent  to  which  India's  updated  consumption  data  influenced  the  revised  global  poverty calculations; and

(c) whether the Government proposes to introduce long-term policy measures to promote self-reliance and reduce dependency on subsidies for people still living in extreme poverty, if so, the details thereof?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI PANKAJ CHAUDHARY)

(a): Yes, Sir. The Government is aware of the World Bank's revision of the International Poverty Line (IPL) from USD 2.15 to USD 3.00 per day (2021 Purchasing Power Parity (PPP)). According to the USD 3.00 per day international poverty line (2021 PPP), India's extreme poverty rate decreased to 5.25 per cent in 2022-23 from 27.12 per cent in 2011-12. The number of people living in extreme poverty fell from 34.4 crore to 7.5 crore over this period.

The Government of India has developed a comprehensive index known as the National Multidimensional Poverty Index (MPI) to measure poverty. According to the NITI Aayog discussion paper,  'Multidimensional  Poverty  in  India  since  2005-  06',  multidimensional  poverty  in  India  is estimated to have declined from 29.17 per cent in 2013-14 to 11.28 per cent in 2022-23, implying that 24.8 crore people have escaped poverty during this period.

(b): According to the World Bank, the increase in international poverty reflects changes in prices across the world and improvements in country-level data. In this context, the World Bank has noted that India's revamped  consumption  survey  data  has  significantly  contributed  to  the  revision  of  global  poverty calculations.

(c): The primary policy objective of the Government is the development of all sections of the population. Its focus on inclusive growth is reflected in its commitment to 'Sabka Saath, Sabka Vikas' to reduce poverty and inequality, provide social security, income generation and livelihood options, and improve the quality of life of the vulnerable sections of the population in the country.

With these objectives, the Government is implementing a number of targeted programmes to promote self-reliance  and  to  provide  social  security  such  as  Mahatma  Gandhi  National  Rural  Employment Guarantee Scheme, Deendayal Antyodaya Yojana - National Rural Livelihoods Mission, National Social Assistance Programme, Deen Dayal Upadhyaya Grameen Kaushalya Yojana, Pradhan Mantri Suraksha Bima Yojana, Pradhan Mantri Jeevan Jyoti Bima Yojana, Atal Pension Yojana, Pradhan Mantri Mudra Yojana,  Stand  Up  India  Scheme,  Umbrella  Programmes  for  Development  of  Minorities  and  Other Vulnerable Groups; Rashtriya Krishi Vikas Yojna; fund transfer under PM-KISAN, PM Fasal Bima Yojana  claim  payments;    fertiliser  subsidies,  interest  subvention  for  dairy  cooperatives;  AgriInfrastructure Fund for farm gate infrastructure, etc. Further, the Government has implemented various programmes,  including  Jal  Jeevan  Mission,  Swachh  Bharat  Abhiyan,  PM  Ujjwala  Yojana,  PM Saubhagya Yojana, Ayushman Bharat, Pradhan Mantri Jan-Dhan Yojana, etc., to bring about overall improvement in the quality of life of the people through universal access to basic amenities.

The Government has a multi-pronged approach that addresses economic inequality, promotes social mobility, and ensures fair economic participation. It has been prioritising employment generation and improving employability. The annual periodic labour force survey (PLFS) report shows that labour markets have recovered beyond pre-COVID levels in both urban and rural areas. The unemployment rate for individuals aged 15 and above has decreased from 5.8 per cent in 2018-19 to 3.2 per cent in 2023-24.

Various schemes and programs have been implemented to expand job opportunities. Besides, the focus on  growth-promoting measures like robust  capital  expenditure,  continuing  improvements  in  logistic facilities,  urban  development,  promotion  of  MSMEs,  agriculture  and  manufacturing  are  promoting overall economic growth, thereby improving employment and purchasing power of the citizens.

The Government is also implementing the Skill India Mission (SIM) to provide skill, re-skill, and upskill training through an extensive network of skill development centres, schools, colleges, and institutes. The SIM aims at enabling the youth of India to get future-ready, equipped with industry-relevant skills. Besides, the PM Vishwakarma scheme was launched in September 2023 to provide end-to-end support to artisans and craftspeople of 18 trades who work with their hands and tools.

*****