An interesting feature of the FC poverty rates is their low level in all but a handful of the states. For example, in 2009-10, the FC poverty rate is just 3.9 percent in Punjab, 5.9 percent in Kerala, 6.5 percent in Haryana, 6.9 percent in Tamil Nadu and 10.5 percent even in Rajasthan. In 14 of the largest 17 states, the FC poverty rate is below 25 percent. The states with low FC poverty rates generally also have low OBC poverty rates making the proportion of the SC and ST population the key determinant of the state-wide rate.

This point is best illustrated by a comparison of poverty rates between Punjab and Kerala. Poverty rates for the non-scheduled caste population in 2009-10 is 7.3 percent in Punjab and 10.4 percent in Kerala while those for scheduled castes are 29.2 and 27.4 percent, respectively, in the two states. Yet, since the SC constitute 39 percent of the population in Punjab but only 9 percent in Kerala, the statewide poverty rate turns out to be 15.8 percent in the former and 12 percent for the latter.

The caste composition also partially helps explain the differences in the poverty rates between Maharashtra and Gujarat on the one hand and Kerala on the other. Statewide poverty rates in the former states were 24.8 and 23.2 percent, respectively, and 12 percent in 2009-10 in the latter (Table 10). In part, the differences follow from the significantly higher per-capita expenditures in Kerala, as seen from Table 11<sup>19</sup> . But Maharashtra and Gujarat also face a more uphill task of combating poverty on account of significantly higher proportions of the ST and SC populations. These groups respectively account for 17 and 11 percent of the total population in Gujarat and 10 and 15 percent in Maharashtra. In comparison, only 1 percent of the population is ST and 9 percent SC in Kerala (Table 9).

# **9. Poverty in the States by Religious Groups**

We finally turn to poverty estimates by religious groups in the states. India is home to many different religious communities including Hindus, Muslims, Christians, Sikhism, Jains and Zoroastrians. Additionally, tribes follow their own religious practices. Though tribal religions often have some affinity with Hinduism, many are independent in their own rights.

Table 14 provides the composition of population by religious groups and the rural-urban split of each religious group as per the expenditure survey of 2009-10. Hindus comprise 82 percent of the population, Muslims 12.8 percent, Christians 2.3 percent, Sikhs 1.7 percent, Jains 0.3 percent and Zoroastrians and others the remaining 0.3 percent.

Together, Hindus and Muslims account for almost 95 percent of India’s total population. With 34 percent of the population in urban areas compared to 26 percent in the case of Hindus, Muslims are more urbanized than Hindus. Among the other communities, Jains and Zoroastrians are largely an urban phenomenon. Moreover, whereas Muslims can be found in virtually all parts of India, other smaller minority communities are geographically concentrated. Sikhs are principally in Punjab; Christians in Kerala and adjoining southern states; Zoroastrians in Maharashtra and Gujarat; and Jains in Gujarat, Rajasthan, Karnataka and Tamil Nadu.

> 19 This is true in spite of significantly higher per-capita GSDP in Maharashtra presumably due to large remittances flowing into Kerala.  According to the NSSO (2010), one in every three households in both rural and urban Kerala reports at least one member of the household living abroad.

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