The World Bank’s Poverty and Equity Brief for India finds that the sharp reduction in extreme poverty has been broad-based, covering both rural and urban areas.
New Delhi: India has achieved a remarkable feat in its fight against poverty. According to the World Bank, India has lifted 171 million or 17.1 crore people out of extreme poverty in the decade between 2011-12 and 2022-23.
According to the World Bank’s ‘Poverty & Equity Brief’ report, the proportion of people living on less than 2.15 US dollars a day, which is the international benchmark for extreme poverty, fell sharply from 16.2 per cent in 2011-12 to just 2.3 per cent in 2022-23.
It added that rural extreme poverty dropped from 18.4 per cent to 2.8 per cent, and urban from 10.7 per cent to 1.1 per cent, narrowing the rural-urban gap from 7.7 to 1.7 percentage points — a 16 per cent annual decline.
Commenting on the report, the Central government said that the achievement is a testament to its commitment to inclusive development, focusing on both rural and urban areas.
“Through targeted welfare schemes, economic reforms, and increased access to essential services, India has made substantial strides in reducing poverty levels. The World Bank’s Spring 2025 Poverty and Equity Brief highlights how these efforts have significantly impacted the lives of millions, narrowing the poverty gap across the country,” the government said in a statement.
Rural and Urban Poverty Reduction
The World Bank’s Poverty and Equity Brief for India finds that the sharp reduction in extreme poverty has been broad-based, covering both rural and urban areas.
Key Findings
In Rural areas, extreme poverty fell from 18.4 per cent in 2011-12 to 2.8 per cent in 2022-23.
In Urban centres, extreme poverty reduced from 10.7 per cent to 1.1 per cent over the same period.
The gap between rural and urban poverty shrank from 7.7 percentage points to 1.7 percentage points, with an annual decline rate of 16 per cent between 2011-12 and 2022-23.
The World Bank also said that India has made strong gains in reducing poverty at the lower-middle-income level, measured at 3.65 US dollars per day. Millions have benefited from this broad-based growth across both rural and urban areas.
