Model Answer
0 min readIntroduction
Poverty, defined by the World Bank as living on less than $2.15 a day (as of 2022 PPP), remains a significant challenge in India despite decades of targeted interventions. While India has witnessed a substantial reduction in extreme poverty – from 55.1% in 2005-06 to 10.2% in 2019-21 (National Multidimensional Poverty Index), as per NITI Aayog – a considerable population still struggles with deprivation. This persistence necessitates a critical examination of the factors hindering the complete eradication of poverty, despite the implementation of numerous programmes aimed at inclusive growth and social welfare.
Economic Reasons
Several economic factors contribute to the continued existence of poverty in India:
- Unequal Distribution of Wealth: India exhibits high levels of income inequality, with a significant concentration of wealth among a small percentage of the population. This limits the trickle-down effect of economic growth.
- Lack of Employment Opportunities: Despite economic growth, the creation of quality employment opportunities hasn’t kept pace with the growing workforce. A large segment of the population remains engaged in the informal sector, characterized by low wages and job insecurity.
- Agricultural Distress: Agriculture, the mainstay of a large portion of the Indian population, faces challenges like climate change, fragmented landholdings, lack of irrigation facilities, and inadequate access to credit, leading to rural poverty.
- Inflation and Price Rise: Rising prices of essential commodities disproportionately affect the poor, eroding their purchasing power and pushing them further into poverty.
Social Reasons
Deep-rooted social inequalities exacerbate poverty:
- Caste Discrimination: Historical and ongoing caste-based discrimination limits access to education, employment, and other opportunities for marginalized communities.
- Gender Inequality: Women face systemic disadvantages in education, employment, and property rights, contributing to higher poverty rates among female-headed households.
- Lack of Education and Skill Development: Limited access to quality education and skill development opportunities restricts upward mobility and perpetuates the cycle of poverty.
- Social Exclusion: Certain social groups, including tribal communities and minorities, face social exclusion and marginalization, hindering their economic progress.
Governance and Implementation Challenges
Weaknesses in governance and implementation hinder the effectiveness of poverty alleviation programs:
- Leakage and Corruption: A significant portion of funds allocated for poverty alleviation programs is lost due to corruption and leakages, reducing their impact.
- Poor Targeting: Many programs suffer from inaccurate targeting, leading to exclusion of genuinely deserving beneficiaries and inclusion of ineligible ones.
- Lack of Coordination: Poor coordination between different government departments and agencies hampers the effective implementation of programs.
- Inadequate Monitoring and Evaluation: Insufficient monitoring and evaluation mechanisms make it difficult to assess the impact of programs and identify areas for improvement.
Demographic Factors
India’s demographic profile also plays a role:
- High Population Density: High population density puts pressure on resources and infrastructure, making it difficult to provide adequate services to all.
- Rapid Population Growth: Rapid population growth exacerbates the challenges of poverty alleviation, as it increases the demand for resources and employment opportunities.
- Migration: Rural-urban migration, often driven by poverty and lack of opportunities in rural areas, leads to the growth of slums and informal settlements in cities, creating new forms of poverty.
| Programme | Year of Launch | Key Features | Limitations |
|---|---|---|---|
| Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) | 2005 | Guarantees 100 days of wage employment to rural households. | Wage rates often below market rates, implementation challenges, and potential for corruption. |
| National Food Security Act (NFSA) | 2013 | Provides subsidized food grains to eligible households. | Issues with targeting, grain quality, and distribution efficiency. |
| Pradhan Mantri Jan Dhan Yojana (PMJDY) | 2014 | Financial inclusion scheme providing access to banking services. | Low levels of financial literacy and limited access to credit. |
Conclusion
Despite significant progress in reducing poverty, its persistence in India is a complex issue rooted in economic inequalities, social disparities, governance failures, and demographic pressures. A holistic approach that addresses these interconnected factors is crucial for achieving inclusive and sustainable poverty eradication. This requires strengthening governance, promoting equitable access to opportunities, investing in human capital, and ensuring social justice. Continued monitoring, evaluation, and adaptive policy-making are essential to navigate the evolving challenges of poverty in India.
Answer Length
This is a comprehensive model answer for learning purposes and may exceed the word limit. In the exam, always adhere to the prescribed word count.