Kerala Declare Free from Extreme Poverty
- 03 Nov 2025
In News:
On Kerala Piravi Day (1 November 2025), Kerala declared itself free from extreme poverty, becoming the first Indian state to achieve this milestone. The achievement is the outcome of a four-year Extreme Poverty Eradication Programme (EPEP) led by the state government and marks a key step toward SDG-1 (No Poverty).
What is Extreme Poverty?
Global Definition
- As per the World Bank’s 2025 revision, extreme poverty refers to living on less than $3/day (2021 PPP).
- Earlier benchmark: $2.15/day (2017 PPP).
- Additional poverty lines:
- Lower-middle-income countries: $4.20/day
- Upper-middle-income countries: $8.30/day
Difference Between Poverty & Extreme Poverty
- Individuals between $3–$4.20/day are poor but not extremely poor.
- Extreme poverty captures severe deprivation in food, health, shelter, and education.
India in the Global Context
- 838 million people lived in extreme poverty globally in 2022 (World Bank).
- In India, extreme poverty fell from 16.2% (2011–12) to 2.3% (2022–23).
- Around 171 million Indians moved out of extreme poverty over the decade.
- Improvements were driven by rising employment, urbanisation, and economic recovery.
- Persistent issues include:
- Youth unemployment: 13.3% (29% among graduates)
- Female labour force participation: 31%
- Informal employment: 77% of non-farm jobs
Measuring Poverty in India – The MPI Framework
NITI Aayog’s Multidimensional Poverty Index (MPI) uses the Alkire–Foster method, covering:
- Health: nutrition, maternal health, child mortality
- Education: years of schooling, attendance
- Living Standards: sanitation, housing, fuel, drinking water, bank accounts, assets
Kerala already had India’s lowest poverty rate (0.7%) in NITI Aayog’s 2021 MPI.
Kerala’s Approach: Extreme Poverty Eradication Programme (EPEP)
Launch & Implementation
- Launched in 2021 under the Local Self-Government Department (LSGD).
- 4 lakh personnel (officials, elected representatives, volunteers) trained for implementation.
- Aimed at family-specific micro-interventions rather than income-only metrics.
Kerala’s Local Definition of Extreme Poverty
Unlike World Bank or MPI, Kerala used four local indicators:
- Food insecurity
- Poor access to healthcare
- Lack of housing
- Absence of income and livelihood security
Identification of Beneficiaries
- Initial survey: 1.18 lakh families identified.
- Verification and migration checks narrowed it to 59,000 families.
- Conducted through a bottom-up, participatory exercise by local bodies.
Key Interventions
- Food and Nutrition Security: 20,600+ families ensured regular meals through Kudumbashree community kitchens and LSGD support.
- Housing for the Homeless: Of 4,677 homeless families, 4,005 received houses under the LIFE Mission.
- Access to Essential Services – Avakasam Athivegam (Rights Fast): Ensured:
- Aadhaar, voter ID
- Bank accounts, social pensions
- MGNREGS job cards
- Electricity & LPG connections
- Micro-Plans for Every Household: Customized plans addressing food, shelter, health, education, and income security.
- Institutional Convergence: Collaboration among local governments, Kudumbashree, health services, and welfare departments.
Significance of the Achievement
- India’s first state to officially eliminate extreme poverty.
- Demonstrates effectiveness of localized targeting, data-driven governance, and micro-level planning.
- Reinforces Kerala’s long-standing strengths in education, health, and social welfare.
- Provides a replicable model aligned with SDG-1 targets.