The Hindu Business Line : 23 cr people still below poverty line: Survey

Stark reality
BPL population down by 8 crore every year
Findings nullify previous reduction rate of 1.66 pc
Detailed data to be made available next month

New Delhi , June 14

The number of people living below the poverty line (BPL) in the country continues to remain in the range of 22-23 crore, while in terms of net percentage of population it has decreased substantially since economic reforms were initiated in the early 90s.

This suggests that the series of poverty alleviation programmes undertaken by the Government between 1993-94 and 2004-05 have had only a minimal impact on the real economic situation of a larger section of the population, according to the latest findings of the National Sample Survey (NSS).

The preliminary estimates of the 2004-05 NSS thick sample survey shows that while the percentage of BPL population has come down between 1993-94 and 2004-05, in terms of net number of people the situation remains alarming.

The percentage of people living below the poverty line has reduced from 36 per cent in 1993-94 to 26 per cent in 1999-2000 and to 22 per cent in 2004-05.

However, at that time of release of the 1993-94 figures, experts had questioned their comparability with 1999-2000 figures and concerns were expressed that the pace of reduction was overstated, official sources told Business Line.

Mr Mahesh Vyash, Managing Director and CEO of the Centre for Monitoring Indian Economy, said: "You are looking at a particular percentage of the population of 1993-94 and the population since then has grown in the range of 1.5-1.7 per cent annually. So if the percentage of population goes up along with reduction in BPL population, it has to be taken into account. In terms of net numbers more details would be required."

The new estimates show that between 1993-94 and 2004-05, the BPL population has come down by 0.74 per cent every year, which in net terms would be around eight crore people.

Sources said that the latest findings nullify that reduction rate of 1.66 per cent a year as implied by the 1999-2000 data.

"This figure of 0.74 per cent has been made the reference point for the Approach Paper to the 11th Five-Year Plan rather than the 1.66 percentage point a year implied in 1999-2000 data. However, it is also clear that poverty continues to reduce. The percentage of poverty in 2004-05 that is roughly, but not strictly, comparable to the 1999-2000 data, is about 22 per cent, implying that poverty has decreased by 0.79 per cent a year between 1999-2000 to 2004-05."

Experts would, however, wait till the detailed data are made available when the figures would be released next month.