POVERTY IN INDIA

“Poverty is biggest enemy in

development of a economy.”

MANVIR SINGH RANDHAWA

 WHAT IS POVERTY?

 Poverty is lack of shelter.

 Poverty is hunger.

 Poverty is lack of freedom and access to school.

 Poverty is being sick and not able to see a doctor.

 Poverty is not having a job, fear for future.

 What Is Poverty Line ?

 Poverty Line is drawn on the basis of Expenditure that is necessary to Secure the
Minimum Acceptable Living Standard for Work & Efficiency

 Since, Food is the most Basic Requirement, thus, Poverty Line is drawn on the basis of a
Minimum Necessary Nutritional Standard expressed in terms of Calories Per Day.

 In India, the Minimum Calories intake of a Person has been put at 2,400 in Rural Area &
2,100 in Urban Areas.

 Thus, Government defined a Person with an Income of Less than Rs.368 (Rural) &
Rs.559 (Urban) per month as living below Poverty Line.
 Causes of poverty

 The phenomenal increase in population in the cities is one of the main reasons for poverty in the
urban areas of India. A major portion of this additional population is due to the large scale
migration of rural families from villages to cities.

 The Indian family unit is often large,. Also the caste system still prevails in India, and this is a
major reason for rural poverty .The government has planned and implemented poverty eradication
programs, but the benefits of these programs are yet to bear fruits.

 About 52% of the population depends on agriculture whereas the contribution of agriculture to the
GDP is about 17%.

 Unequal distribution of income

 .High population growth

 .Large families.

 Caste system.
 POPULATION

 Current Population of India in 2010 is around 1,150,000,000 (1.15 billion) people.

Currently, India is second largest country in the world after China in terms of population.
By 2030, the population of India will be largest in the world estimated to be around 1.53
billion. There has been rapid increase in Indian population in the last 60 years. Population
of India at the time of Independence was only 350 million. So Indian Population has
increased more

than three times.

Current Population of India in 2010 - 1,150,000,000 (1.15billion)

Population of India in 1947 was - 350 million

 UNEMPLOYMENT

 Unemployment refers to the situation where the Persons who are able to Work & Willing
to Work, Fail to Secure Work or Activity which gives them Income or Means of
Livelihood.

 Those who are fit to Work but do not want to Work & hence do not actively seek Work are
not included among the Unemployed Persons.

 It is incorrect to say that all poverty reduction programs have failed. The growth of the
middle class (which was virtually non-existent when India became a free nation in August
1947) indicates that economic prosperity has indeed been very impressive in India, but the
distribution of wealth is not at all even.
 Implication of poverty

 Health diseases- malnutrition.

 Violence- violence for earning livelihood.

 Drugs abuse- illegal activities

 Slow economic growth.

 SOME GOVERNMENT PROGRAMMES

 Pradhan Mantri Gramoday Yojana (PMGY)

 Launched in December, 2000 to provide Road Connectivity through good all weather
roads to all the eligible unconnected habitations in the Rural Areas by the end of Tenth
Plan.

 Indira Awas Yojana (IAY)

 Major Scheme for construction of Houses to be given to the Poor, Free of Cost.

Swaranjayanti Gram Swarozgar Yojana(SGSY)

Launched in 2001.

Aims at

i. Providing Wage Employment in Rural Areas

ii. Food Security

iii. Creation of Durable Community, Social & Economic Assets.

.National Food For Work Programme

Launched in November, 2004 in 150 backward Districts of the Country with the objective
of providing more Opportunities of Wage Employment & ensuring certain Minimum
Nutritional Levels for Rural Poor.
 MEASURES TO REDUCE POVERTY

 Agriculture & other Rural Vocations should be rapidly developed so as to Eradicate

Rural Poverty
 . Village and Small Industries should be developed to create greater Employment
both in Rural & Urban Areas.
 Programs should be implemented that directly target the Poor & help them increase
their Income & Consumption.
 Income Inequalities should be reduced:
 Labor Legislation should ensure better Wages.
 Goods consumed by the Poor should not be Taxed.
 Goods required by the Poor must be Subsidized.
 Free Health Care & Education should be provided to the Poor.
 Persons belonging to Poor Families must be provided Employment.
 Rapid Growth of Population must be controlled & Population Growth Rate brought
down through Family Planning, Education, Incentives, etc.
 Poverty's fig. and facts.

 As of 2010, more than 37% of India’s population of 1.15 billion still lives below the poverty line.

 More than 22% of the entire rural population and 15% of the urban population of India exists in this difficult
physical and financial situation

 The study examined poverty across 28 Indian states, concluding that “81 percent of people are
multidimensional poor in Bihar—more than any other state. Also, poverty in Bihar and Jharkhand is most
intense—  

 More than 1.5 million children in India are estimated to suffer from malnourishment and 43 percent of
children under five years of age are underweight.

 Between 1999 and 2008, the annualized growth rates for Gujarat (8.8%), Haryana (8.7%), or Delhi (7.4%)
were much higher than for Bihar (5.1%), Uttar Pradesh (4.4%), or Madhya Pradesh (3.5%).Poverty rates in
rural Orissa (43%) and rural Bihar (41%) are higher than in the world's poorest countries such as Malawi.


 India GDP Growth Rate

Year Mar Jun Sep Dec Average

2010 8.60       8.60

2009 5.80 6.00 8.60 6.50 6.73

2008 8.50 7.80 7.50 6.10 7.48

1217 billion dollars GDP

 Conclusion

 After the liberalization process and moving away from the socialist
model, India is adding 60-70 million people to its middle class every
year. At the current rate of growth, a majority of Indians will be
middle-class by 2025.

 The growth of the middle class indicates that economic prosperity has
indeed been very impressive in India, but the distribution of wealth is
not at all even.

 Increasing stress on education, reservation of seats in government jobs

and the increasing empowerment of women and the economically
weaker sections of society, are also expected to contribute to the
alleviation of poverty. It is incorrect to say that all poverty reduction
programs have failed.
He and She are poor;

Not because they are borne so;

In fact, it is the failure of the institutions,

polices and programs

that they continue to be poor .

 Thanks for being patient and cooperative.