NITI AYOG Multi-dimensional Poverty Index

The National Multi-dimensional poverty Index was released by NITI AYOG. This report is based on the reference period of 2015-16 of the National Family Health Survey- 4.

Need for a National Multi-dimensional Poverty Index

• A national MPI is aligned with the national priorities and countries can choose their own set of dimensions, indicators, weights, etc. according to their plans and socio-economic contexts. It gives more in-depth analyses of areas of interest such as State or districts, and specific sectors.
• It is also useful for guiding multi-sectorial and integrated policies, because it highlights the complexity of simultaneous deprivations, a phenomenon where people are deprived of two indicators simultaneously. (for eg: a family lacking both education and sanitation).

Dimensions and Indicators

India’s National MPI has three equally weighted dimensions – health, education, and standard of living, represented by twelve indicators.

• Health: Nutrition, Child & Adolescent Mortality, Antenatal Care
• Education: Years Of Schooling, School Attendance
• Standard of Living: Cooking Fuel, Sanitation, Drinking Water, Electricity, Housing, Assets, Bank Account

Overall, 25% of population in India is multi dimensionally poor.

Performance of States/UTs

Highest Poverty

• States: Bihar has the highest proportion of people, at 51.91 per cent of the state’s population, who are multi-dimensionally poor, followed by Jharkhand at 42.16 per cent and Uttar Pradesh at 37.79 per cent.
• UTs: Among the Union Territories (UTs), Dadra and Nagar Haveli (27.36 per cent), Jammu & Kashmir, and Ladakh (12.58), Daman & Diu (6.82 per cent) and Chandigarh (5.97 per cent), have emerged as the poorest UTs in India.

Lowest Poverty

• States: Kerala, Goa, and Sikkim have the lowest percentage of population being multi-dimensionally poor at 0.71 per cent, 3.76 per cent and 3.82 per cent, respectively.
• UTs: The proportion of poor in Puducherry at 1.72 per cent is the lowest among the Union Territories, followed by Lakshadweep at 1.82 per cent, Andaman & Nicobar Islands at 4.30 per cent and Delhi at 4.79 per cent.