2023 National Multidimensional Poverty Index

  • The report ‘National Multidimensional Poverty Index: A Progress Review 2023’ was released by NITI Aayog.
  • According to the research, a record 13.5 crore people in India have transitioned out of multidimensional poverty between 2015-16 and 2019-21.

What is National Multidimensional Poverty Index (NMPI)?

  • The MPI’s nodal ministry is the NITI Aayog.
  • It collaborates with organisations including the Oxford Poverty and Human Development Initiative (OPHI) and the United Nations Development Programme (UNDP).
  • It employs the Alkire-Foster (AF) technique.
  • The MPI Baseline Report is based on the National Family Health Survey (NFHS) 4, which was performed in 2015-16.

Indicators employed

  • The MPI takes three factors into account: health, education, and level of life.
  • Nutrition, child and adolescent mortality, maternal care, years of schooling, school attendance, cooking fuel, sanitation, drinking water, power, housing, bank accounts, and assets are among the indicators included.

Key findings of the report

  • Poverty Reduction: India has seen a significant reduction in multidimensional poverty, with a 9.89 percentage point drop from 24.85% in 2015-16 to 14.96% in 2019-21.
  • Rural areas witnessed the fastest dip, from 32.59% to 19.28%, while urban areas experienced a decrease from 8.65% to 5.27%.
  • Regional Progress: With 3.43 crore persons exiting multidimensional poverty, UP saw the greatest decrease in the number of poor. The share of multidimensional poor fell the fastest in the states of Uttar Pradesh, Bihar, Madhya Pradesh, Odisha, and Rajasthan.
  • Path to SDG Targets: According to the research, India is on track to meet SDG Target 1.2, which seeks to cut multidimensional poverty in half by 2030.
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