MULTIDIMENSIONAL
POVERTY - ECONOMY
News:
Over 24.8 Cr People Moved Out of
Multidimensional Poverty in India In 9 Years: NITI Report
What's
in the news?
●
Recently, NITI Aayog released the
Multidimensional Poverty Index.
Key
details:
●
About
135.5 million (13.5 crore) persons have exited poverty between 2015-16 and
2019-21.
●
Rural areas saw a faster reduction in
their MPI value, compared to urban areas.
●
The
incidence of poverty fell from 32.59% to 19.28% in rural areas compared to a
decline from 8.65% to 5.27% in urban areas between 2015-16 and 2019-21.
●
Nearly 3.43 crore people escaped poverty
in Uttar Pradesh, registering the largest decline among the 36 States and Union
Territories.
Multidimensional
Poverty Index:
●
NITI
Aayog, as the nodal agency for MPI, has been responsible
for constructing an indigenised index for monitoring the performance of States
and Union Territories (UTs) in addressing multidimensional poverty.
●
In order to institutionalise this, NITI
Aayog constituted an inter-ministerial
MPI Coordination Committee (MPICC) including Ministries and departments
pertaining to areas such as health, education, nutrition, rural development,
drinking water, sanitation, electricity and urban development, among others.
Dimensions:
●
Like the global MPI, India’s national MPI
has three equally weighted dimensions –
Health, Education and Standard of living – which are represented by 12
indicators.
Sub-indices
of the National MPI:
●
Headcount
Ratio (H): How many are poor?
○
Proportion of multidimensionally poor in
the population, which is arrived at by dividing the number of
multidimensionally poor persons by total population.
●
Intensity
of Poverty (A): How poor are the poor?
○
Average proportion of deprivations which
is experienced by multidimensionally poor individuals. To compute intensity,
the weighted deprivation scores of all poor people are summed and then divided
by the total number of poor people.