New Delhi: India’s poverty rate is expected to fall to 4.6% in 2024, down from 5.3% in 2023, according to a recent State Bank of India (SBI) report. This projected decline highlights the nation’s ongoing progress in reducing poverty, driven by enhanced data collection methods and economic reforms.
The SBI’s forecast aligns closely with World Bank estimates, reflecting a consistent approach to measuring poverty in India. A key factor behind the anticipated reduction is the adoption of the Modified Mixed Recall Period (MMRP) in India’s Household Consumption Expenditure Survey. This updated methodology, which replaces the older Uniform Reference Period, uses shorter recall periods for frequently purchased items, providing a more precise picture of household spending. As a result, national surveys have recorded higher consumption levels, contributing to lower poverty estimates.
The report underscores India’s emergence as a global leader in poverty alleviation, with modernized data practices and policy measures playing a critical role in this achievement.
