Global Multidimensional Poverty Index (MPI) 2025

  • 28 Oct 2025

In News:

  • The United Nations Development Programme (UNDP) and the Oxford Poverty and Human Development Initiative (OPHI) released the Global Multidimensional Poverty Index (MPI) 2025 Report, titled “Overlapping Hardships: Poverty and Climate Hazards”.
  • The report provides an evidence-based assessment of poverty that goes beyond income measures, highlighting how climate vulnerability and multidimensional deprivation reinforce each other.

About the Global MPI

  • Nature of Index: The MPI is a global composite measure of acute poverty, capturing simultaneous deprivations in health, education, and standard of living through 10 indicators.
  • Introduced: First featured in the 2010 Human Development Report.
  • Published by: Jointly by UNDP Human Development Report Office and OPHI, annually since 2010.
  • Objective: To assess:
    • Who is poor
    • How they are poor
    • How deprivations overlap across households
    • Enabling policymakers to align development strategies with SDG-1 (No Poverty).
  • Methodology Highlights:
    • 3 Dimensions: Health, Education, Living Standards.
    • 10 Indicators: Nutrition, child mortality, years of schooling, school attendance, cooking fuel, sanitation, drinking water, electricity, housing, assets.

Global Trends in the MPI 2025

Poverty Headcount & Severity

  • Out of 6.3 billion people assessed across 109 countries, 1.1 billion (18.3%) live in acute multidimensional poverty.
  • 43.6% of the poor (≈501 million) experience severe poverty—being deprived in half or more indicators.

Regional Distribution of Poverty

  • Sub-Saharan Africa (565 million) and South Asia (390 million) account for 83% of global poverty.
  • Sub-Saharan Africa alone contains 49.2% of the world’s multidimensionally poor.

Children Disproportionately Affected

  • Children form 33.6% of the global population but 51% of those living in multidimensional poverty.
  • Malnutrition and disruption in schooling are primary drivers of child deprivation.

Middle-Income Countries as Core Contributors

  • Nearly 740 million of the global poor live in middle-income countries, highlighting inadequacies of income-based poverty classifications.

Rural Concentration

  • 83.5% of all multidimensionally poor live in rural areas, despite these areas comprising only 55% of total population.

Climate Hazard Exposure

  • Nearly 80% of poor populations live in climate-vulnerable areas.
  • Climate hazards include droughts, floods, extreme heat, and erratic precipitation patterns.
  • South Asia has the highest number of poor people living in climate hazard zones.

Poverty & Climate Vulnerability in SIDS

  • 22 Small Island Developing States (SIDS) show a combined poverty rate of 23.5%, higher than the developing world average.
  • Rising sea levels (projected up to 70 cm by 2080–2099) threaten livelihoods in nations such as Belize, Comoros, and Samoa.

Post-Pandemic Stagnation

  • Poverty reduction has slowed, with many countries witnessing stagnation or reversal due to:
    • Inflation
    • Conflict
    • Climate shocks
    • Post-pandemic economic disruptions

India in Global MPI 2025

Significant Poverty Reduction

  • India reduced multidimensional poverty from 55.1% (2005–06) to 16.4% (2019–21).
  • Over 414 million people moved out of multidimensional poverty.
  • India's progress is among the fastest globally.

Persistent Child Poverty

  • Children continue to face high deprivation, particularly in:
    • Nutrition
    • Sanitation
    • Housing
    • Cooking fuel

Climate Vulnerability and Poverty Link

  • Nearly 99% of India’s poor live in climate-exposed regions.
  • Heatwaves, floods, droughts, and air pollution intensify hardship and threaten livelihood security.

Drivers of MPI Improvement

India’s poverty reduction correlates with large-scale welfare and infrastructure missions:

  • Swachh Bharat Mission – sanitation improvement
  • PM Ujjwala Yojana – access to clean cooking fuel
  • PM-Awas Yojana – housing for rural and urban poor
  • Jal Jeevan Mission – access to clean drinking water
  • Universal electrification initiatives

Key Challenges

  • Rural–Urban Divide: 83% of the multidimensionally poor live in rural regions.
  • Climate shocks: Frequent floods and droughts reverse development gains.
  • Data Gaps: Lack of updated household-level data limits monitoring and policy targeting.
  • Gender disparities: Women face inequalities in nutrition, education, healthcare, and asset ownership.
  • Financial constraints: Several states struggle with fiscal capacity, affecting social protection and climate adaptation.

Policy Recommendations

  • Integrate Climate & Poverty Policy: Adopt climate-resilient strategies combining:
    • Green infrastructure
    • Social protection
    • Disaster risk reduction
  • Localised Poverty Tracking: Develop district-level MPI dashboards for real-time, granular monitoring.
  • Promote Green Livelihoods: Expand employment in:
    • Renewable energy
    • Organic farming
    • Circular economy sectors
  • Enhance Global Support: Strengthen access to:
    • Climate finance 
    • Concessional aid
    • Technology transfers
  • Gender and Child-Focused Interventions: Reinforce programs for:
    • Nutrition
    • Maternal health
    • Education
    • Clean cooking energy

UNDP Equator Initiative Award 2025

  • 18 Aug 2025

In News:

The Bibi Fatima Women’s Self-Help Group (SHG) from Teertha village, Kundgol taluk, Dharwad district, Karnataka, has won the prestigious Equator Initiative Award 2025. The award, often referred to as the Nobel Prize for Biodiversity Conservation, honours community-led, nature-based solutions for sustainable development.

About the Equator Initiative Award:

  • Organiser: United Nations Development Programme (UNDP) under its Equator Initiative.
  • Nature: Recognises local and indigenous communities for biodiversity conservation, ecological resilience, and poverty reduction.
  • Frequency: Biennial.
  • Prize: Includes a cash award of $10,000 (approx. ?8.5 lakh).
  • Theme (2025):“Women and Youth Leadership for Nature-Based Climate Action”.
  • Eligibility: The initiative must have been active for at least three years, community-based, and contribute to at least two Sustainable Development Goals (SDGs).

In 2025, Bibi Fatima SHG was the only Indian winner, alongside groups from Argentina, Brazil, Ecuador, Indonesia, Kenya, Papua New Guinea, Peru, and Tanzania.

Achievements of Bibi Fatima SHG:

  • Formation: Established in 2018 by 15 women, with support from Sahaja Samruddha (NGO), Indian Institute of Millets Research (IIMR, Hyderabad), and CROPS4HD.
  • Eco-Friendly Farming: Revived millet-based mixed cropping systems on rainfed lands through natural and climate-resilient farming practices in nearly 30 villages.
  • Community Seed Bank: Distributes millet seeds free of cost to farmers, strengthening local seed sovereignty.
  • Food & Nutrition Security: Promoted millets to improve dietary diversity and resilience against climate change.
  • Women-led Enterprise: Established a solar-powered millet processing unit with support from SELCO Foundation, entirely managed by women.
  • Value Addition & Marketing: Produces millet-based products such as rotis and vermicelli, boosting local markets.
  • Livelihood Diversification: Expanded into livestock rearing, horticulture, and farmers’ markets, improving incomes of small and marginal households.
  • Partnerships: Collaborates with Devadhanya Farmer Producer Company to scale rural, agriculture-based enterprises.

Significance:

  • Strengthens the role of women’s leadership in climate action and sustainable agriculture.
  • Demonstrates a successful community-driven model for biodiversity conservation, food security, and rural entrepreneurship.
  • Aligns with India’s efforts to revive millets (International Year of Millets 2023) and promote climate-resilient farming.
  • Advances multiple SDGs – notably SDG 1 (No Poverty), SDG 2 (Zero Hunger), SDG 5 (Gender Equality), SDG 12 (Responsible Consumption and Production), and SDG 13 (Climate Action).