Stating that India’s poverty rate, in 2012, was lowest among countries having large number of poor population, a latest World Bank report has said that by the end of 2015, less than 10% of the world’s population will be living in extreme poverty for the first time. India, however, accounted for the largest number of poor people in any country in 2012.
* According to the report — Ending Extreme Poverty and Sharing Prosperity: Progress and Policies — the poverty rate in low-income countries averages 43% in 2012, compared to 19% in lower-middle-income countries. Yet lower middle-income countries are home to about half of the global poor, compared to a third for low-income countries
* Part of the reason is that four nations with the largest populations were once classified as low-income but have moved into lower-middle-income category: China, India, Indonesia & Nigeria.
* Investment in integration and connectedness through railroads in India helped reduce the exposure of agricultural prices and real income to rainfall shocks, and helped diminish the famine and mortality risks associated with recurrent weather shocks, it said.
* Noting that connective infrastructure is a crucial means of linking the farms and firms where the poor live and work to markets, the bank said rural electrification in India has caused changes in consumption and earnings, with increase in the labour supply, and promoted girls’ schooling by reallocating their time to tasks more conducive to school attendance.