India's Remarkable Fight Against Poverty: From 27% to 5% in a Decade

India has witnessed a significant decline in its extreme poverty rate, which fell from 27.1% in 2011-12 to 5.3% in 2022-23, according to a recent World Bank report. This remarkable improvement coincides with the World Bank upgrading its poverty line threshold to USD 3 per day due to inflation.

The report credits free and subsidized food transfers for aiding poverty reduction efforts while highlighting the narrowing gap between rural and urban poverty rates. Nevertheless, it flags economic risks, citing the current account deficit and elevated trade tensions as potential hurdles to sustained growth.

Despite these challenges, India's economy remains resilient. Over the past decade, India successfully lifted 171 million people above the extreme poverty line, signaling positive socio-economic advancements amidst global uncertainties.

(With inputs from agencies.)