Analysis of Multidimensional Poverty Index in India

Abstract

Poverty is a complex phenomenon in India. It creates multilayered challenges that extend beyond income deprivation to include deficits in health, education, and living standards. This study examines the nature, extent, and determinants of multidimensional poverty in India and also analyses trends, regional variations in the Multidimensional Poverty Index (MPI), and the core indicators contributing to poverty.
This paper reveals a significant decline in multidimensional poverty due to substantial progress driven by improvements in sanitation, electricity, housing, and access to basic services. Rural areas experienced slightly sharper reductions compared to urban regions, although disparities persist. This paper also highlights state-level analysis of multidimensional poverty. This study further evaluates the impact of major government schemes and initiatives in health, education, and infrastructure, demonstrating their critical role in reducing poverty across multiple dimensions. In addition to statistical analysis, this paper also incorporates community experiences to understand the impact of multidimensional poverty on people’s daily lives. These experiences show that poverty is not just a lack of income, but also includes limited access to health services, barriers to education, inadequate housing facilities, social exclusion, limited opportunities and insecurity. Community experiences show that government programs have improved living conditions, but inequalities and regional disparities in service delivery continue to impact the real lives of vulnerable populations. The paper also provides policy recommendations emphasizing targeted interventions, improved service delivery, inclusive economic growth, and strengthened governance mechanisms.