UPSC Essentials | Society and Social Justice: Poverty and associated issues (Part 3)

Manas: What have been the anti-poverty strategies that India has applied so far?

Pranay Aggarwal: India has implemented a range of anti-poverty strategies over the years, driven by both government and non-governmental organisations. These strategies aim to reduce poverty and improve the well-being of marginalised populations.

Some of the key anti-poverty initiatives and strategies in India include:

1. Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA): This flagship programme guarantees 100 days of wage employment to rural households, focusing on unskilled manual labour. It provides economic security to rural households and enhances their purchasing power.

2. Public Distribution System (PDS): The PDS is a nationwide food security program that provides subsidised food grains to eligible beneficiaries. It ensures that vulnerable populations have access to essential food items at affordable prices.

3. Integrated Child Development Services (ICDS): ICDS is a government programme that addresses child malnutrition and health issues by providing supplementary nutrition, healthcare, and preschool education to children in the age group of 0-6 years and to pregnant and lactating mothers.

4. Pradhan Mantri Awas Yojana (PMAY): This housing scheme aims to provide affordable housing to the urban and rural poor. It offers subsidies and loans to help people build or buy homes.

5. Swachh Bharat Abhiyan: This campaign focuses on improving sanitation and access to clean water. It aims to reduce open defecation and improve overall hygiene.

6. Deen Dayal Antyodaya Yojana (DAY-NULM): This programme aims to reduce urban poverty through skill development, self-employment, and livelihood promotion.

7. National Rural Livelihood Mission (NRLM): NRLM focuses on enhancing the livelihoods of rural households through skill development, self-help groups, and microfinance support.

8. Jan Dhan Yojana: This financial inclusion program aims to provide banking services to all households, especially those in rural and underserved areas. It helps individuals access financial services, which is essential for economic empowerment.

9. Mid-Day Meal Scheme: This programme provides free meals to school children, encouraging attendance and improving nutrition.

10. Direct Benefit Transfer (DBT): The DBT system ensures that government subsidies and financial assistance are directly transferred to the bank accounts of beneficiaries, reducing leakages and corruption.

Anti-poverty strategies in India encompass a wide range of interventions, addressing different dimensions of poverty, such as income, education, healthcare, housing, and nutrition. India continues to evolve and expand its efforts to alleviate poverty and improve the well-being of its citizens through these and other programmes.

Manas: A previous year’s UPSC question asked — ‘Though there have been several different estimates of poverty in India, all indicate reduction in poverty levels. Critically examine.’ Your views…

Pranay Aggarwal: The reduction in poverty levels in India, as indicated by various estimates, is indeed a significant and positive trend. As per the NITI Aayog’s 2023 National Multidimensional Poverty Index report, India has registered a significant decline of almost 10 per cent in number of India’s multidimensionally poor from 24.85 per cent in 2015-16 to 14.96 per cent in 2019-2021. The rural areas witnessed the fastest decline in poverty from 32.5 per cent to 19.2 per cent. A record 13.5 crore people moved out of multidimensional poverty between 2015-16 and 2019-21. India is on track to achieve SDG target 1.2 (which is to reduce at least by half the proportion of those living in poverty) much ahead of the 2030 deadline. As per the Multidimensional Poverty Index 2023 report of UNDP; “India saw a remarkable reduction in poverty, with 415 million people exiting poverty within a span of just 15 years (2005/6–19/21)”.

Incidence of multidimensional poverty in India thus fell from 55.1 per cent in 2005-06 to 16.4 per cent in 2019-21. Furthermore, the report also noted that deprivation in all indicators declined in India, and “the poorest states and groups, including children and people in disadvantaged caste groups, had the fastest absolute progress.”

Even as we celebrate the reduction in poverty and give credit where due, it is also important to critically examine this reduction.

Let’s consider the below mentioned factors:

1. Data Sources and Measurement: One critical aspect to consider is the source of data and the methods used to measure poverty. Different estimates may rely on diverse data sets, survey methodologies, and poverty thresholds, which can result in variations in the reported poverty rates.

2. Regional Disparities: India is a diverse country with significant regional disparities. Poverty rates can vary greatly from one state to another. Thus, an aggregate reduction in poverty may mask ongoing severe poverty in certain areas.

3. Vulnerability and Income Instability: Some individuals and households may escape poverty temporarily but remain vulnerable to falling back into poverty due to economic shocks, health issues, or other factors. These aspects of income instability and vulnerability are not always captured by poverty estimates.

4. Conflicting picture: While the recent reports by the UNDP and NITI Aayog paint a healthy picture of successful poverty reduction in India, The State of Food Security and Nutrition in the World 2023 report highlighted that 104 crore or 74 per cent Indians are unable to afford a healthy diet. The latter report is prepared by combined efforts of
credible agencies such as the FAO, UNICEF, WHO and World Food Programme.

5. Inequality: Reduction in poverty levels does not necessarily equate to a reduction in income inequality. While the poor may experience some improvement, if the rich benefit disproportionately, income inequality can persist or worsen. A focus on absolute poverty levels might not fully address the issue of relative deprivation and inequality.

In conclusion, while there is a welcome positive trend in the reduction of poverty levels in India, a critical examination of these estimates should account for the complexities and nuances involved in measuring poverty. It is essential to consider multiple dimensions of poverty, regional disparities, income inequality, and the sustainability of these reductions to ensure a more comprehensive and accurate understanding of the progress made in addressing poverty in India. Moreover, ongoing monitoring, data collection, and comprehensive policies are crucial to
maintain and build on these positive trends.

Manas: ‘An essential condition to eradicate poverty is to liberate the poor from the process of deprivation.’ What is the way forward in dealing with poverty?

Pranay Aggarwal: The eradication of poverty involves addressing the underlying processes of deprivation and improving the well-being of the poor. Effective measures for poverty alleviation should encompass a comprehensive approach that tackles multiple dimensions of poverty. Here are some key strategies and actions for moving forward:

1. Access to Quality Education: We need to enhance access to quality education, with a particular focus on marginalized communities. This includes improving school infrastructure, teacher training, and increasing enrollment and retention rates, especially for girls, lower castes and scheduled tribes.

2. Healthcare Access: Steps must be taken to strengthen healthcare systems to ensure that the poor have access to affordable and quality healthcare services. This includes expanding healthcare infrastructure, increasing health
awareness, and promoting preventive healthcare measures.

3. Employment and Livelihood Opportunities: India has to create sustainable job opportunities in both rural and urban areas. Focus on the development of skills and vocational training to enhance employability, and support
entrepreneurship and small businesses through microfinance and access to credit.

4. Social Safety Nets: The governments need to develop and expand social safety net programs that provide a basic level of income security to the poor, including cash transfer programs, food security initiatives, and unemployment benefits.

5. Agricultural Reforms: While economic reforms for the industry were initiated in early 1990s, Agrimarket reforms have not been undertaken despite the immense political, social and economic importance of farmers. We need to urgently implement agricultural reforms to improve the productivity and income of farmers. This includes providing access to modern farming techniques, irrigation, better infrastructure and improved market linkages.

6. Housing and Infrastructure Development: Governments should invest in housing and infrastructure development to provide safe and affordable housing to the poor. Access to clean water, sanitation, and electricity is crucial for improving living standards.

7. Financial Inclusion: While a lot has been done, more needs to be done to promote financial inclusion by ensuring that the poor have access to formal financial services, such as savings accounts, microcredit, and insurance. This empowers them to manage their finances and invest in income-generating activities. India’s digital public infrastructure comprising of Aadhaar, Jan Dhan accounts and mobile phones has helped immensely in moving ownership of transaction accounts from just a quarter of the adult population in 2008 to over 80 per cent now. The remaining gap needs to be narrowed down.

8. Gender Equality: We, as a society, must address gender disparities by empowering women through education, economic opportunities, and legal rights. Gender-sensitive policies can help reduce the feminisation of poverty.

9. Social Inclusion: There is an urgent need to combat discrimination and social exclusion based on factors like caste, religion, or ethnicity. Policies that promote social cohesion and inclusivity are vital.

10. Sustainable Development: Promote sustainable development by integrating environmental considerations. Sustainable practices ensure that economic growth benefits the poor without harming the environment.

11. Government Transparency and Accountability: Ensure transparent and accountable governance to prevent corruption and ensure that resources reach their intended beneficiaries.

12. Data Collection and Monitoring: Strengthen data collection and monitoring systems to track the progress of poverty alleviation initiatives, identify gaps, and make data-driven policy decisions.

13. Partnerships and International Cooperation: Collaborate with international organisations, NGOs, and other stakeholders to leverage resources, expertise, and knowledge to combat poverty effectively.

14. Community Empowerment: Promote community-based approaches that involve local communities in the design, implementation, and evaluation of poverty alleviation programmes.

15. Investing in Children: Prioritize investments in children’s well-being, including nutrition, healthcare, and quality education, to break the cycle of inter-generational poverty.

16. Research and Innovation: Encourage research and innovation to develop more effective and evidence-based poverty alleviation strategies.

Eradicating poverty is a complex and long-term endeavour, and it requires sustained efforts from governments, civil society, and the private sector.

Effective measures should be context-specific and adaptable to the evolving challenges faced by the poor.

Combining multiple strategies, as well as promoting equity, inclusivity, and sustainable development, is essential in the fight against poverty.

Manas: Examples are very important for Mains answer writing be it Essays or GS papers. Please share some case studies and success stories with reference to poverty alleviation in India that you think students should know for exams in particular and knowledge in general.

Pranay Aggarwal: Certainly, there have been several inspiring case studies and success stories in the context of poverty alleviation and development in India. Here are a few examples:

1. Pradhan Mantri Jan Dhan Yojana (PMJDY): The PMJDY financial inclusion programme aims to provide banking services to all households in India. Nearly 49 crore PMJDY accounts have been opened in the last nine years. Over 80 per cent of the total accounts are operative. It is today the world’s largest financial inclusion scheme. It has succeeded in bringing millions of previously unbanked individuals into the formal financial system, allowing them to save, access credit, and benefit from insurance services.

2. Amul: The Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets the Amul brand, is a successful cooperative model that has uplifted millions of dairy farmers in rural India. By providing access to markets, fair pricing, and technical support, Amul has enabled farmers to increase their incomes and improve their standard of living.

3. Kudumbashree: It is a women’s self-help group (SHG) movement in Kerala. It was launched by the state government under its local self-government department and relies on financial support from the union government and NABARD, and today covers more than 45 lakh women. It has been highly successful in empowering women and reducing poverty. Through various income-generating activities, such as micro-entrepreneurship, agriculture, and handicrafts, Kudumbashree has not only improved the economic status of its members but has also led to their increased participation in decision-making processes within their communities.

4. Har Ghar Jal: Jal Jeevan Mission launched by the Government of India in 2019 aims to provide safe and adequate drinking water through household tap connections by 2024 to all rural households. The progress in substantial, with rural tap water connections having increased from 16.8 per cent in 2019 to 69.3 per cent till now. A report by the WHO has highlighted the significant impact of the programme on public health and economic savings.

5. SEWA (Self-Employed Women’s Association): SEWA, based in Gujarat, is an organisation that supports women working in the informal sector. It provides a platform for these women to access financial services, healthcare, and education. SEWA has significantly improved the economic and social well-being of its members, offering an example of the power of collective action.

Elaben, as she was called, founded SEWA, one of the biggest women’s cooperatives and national trade unions registered in 1972 which was born out of a textile trade union. (File photo)

These case studies demonstrate that with the right interventions, community involvement, political will, and targeted support, it is possible to make substantial progress in alleviating poverty and improving the lives of marginalised populations in India. These examples serve as inspiration and models for similar initiatives in the country and around the world.

Manas: Though we know that aspirants hardly find time to read some thing extra but they should read good books and articles whenever possible. Please suggest some must-read sources for this topic.

Pranay Aggarwal: To gain a comprehensive understanding of poverty and inequality in India, it is advisable to consult only reliable sources, including books, reports, academic articles, and reputable news outlets. Here are some must-read sources for this topic:

1. Reports and Publications:

—  National Multidimensional Poverty Index (MPI): A Progress Review 2023 report by NITI Aayog

—  Global Multidimensional Poverty Index, 2023 report by UNDP

—  Understanding Poverty section on World Bank website

— Economic Survey 2022-23 by Ministry of Finance, Government of India

— Reports from the Ministry of Rural Development and Ministry of Housing and Urban Affairs

2. Books:

—  ‘An Uncertain Glory: India and its Contradictions’ by Jean Drèze and Amartya Sen

—  ‘The Bottom Billion: Why the Poorest Countries are Failing and What Can Be Done About It’ by Paul Collier

These sources cover a wide range of topics related to poverty and inequality in India, from economic policies and social programs to the lived experiences of the poor. They provide a comprehensive and well-rounded perspective. Of course, these sources may be read selectively.

Previous topics on Society and Social Justice:

UPSC Essentials: Society & Social Justice | Population and associated issues (Part 1)

UPSC Essentials: Society & Social Justice | Population and associated issues (Part 2)

UPSC Essentials| Society & Social Justice — Urbanisation and associated issues (Part 1)

UPSC Essentials | Society & Social Justice : Urbanisation and associated issues (Part 2)

UPSC Essentials | Society & Social Justice : Urbanisation and associated issues (Part 3)

UPSC Essentials | Society & Social Justice : Literacy and associated issues (Part 1)

UPSC Essentials | Society & Social Justice : Literacy and associated issues (Part 2)

UPSC Essentials | Society & Social Justice : Literacy and associated issues (Part 3)

UPSC Essentials | Society & Social Justice : Poverty and associated issues (Part 1)

UPSC Essentials | Society & Social Justice : Poverty and associated issues (Part 2)

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