5 days, 17 hours ago
Mint Primer: How to read SBI’s latest poverty estimates
Live MintA recent report by the State Bank of India has stirred up the proverbial hornet’s nest with its claims of a sharp reduction in poverty levels in India, particularly rural areas, in the past decade. The Suresh Tendulkar Committee calculated the poverty line at ₹816 per capita per month for rural areas and ₹1,000 for urban areas in 2011-12. In that sense, it’s a premature back-of-the-envelope estimate, but it’s clear that if we do assume the SBI report’s adjusted poverty line, the headcount would indeed be less than 5%. The Tendulkar committee’s poverty line is based on an older survey that used a mixed reference period, which was based on 30-day and 365-day recall periods.
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