14th April 2025 (12 Topics)

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Kerala’s Dharmadam declared extreme poverty-free

Context

Kerala Chief Minister Pinarayi Vijayan’s Dharmadam constituency in Kannur has been declared the state’s first ‘extreme poverty-free’ constituency (April 2025). This milestone is part of Kerala’s broader plan to eradicate extreme poverty across the state by 1 November 2025, making it a model for inclusive development.

What is Extreme Poverty?

Extreme poverty refers to a condition where a household lacks access to the basic minimum requirements of human survival, including:
- Food availability
- Healthcare
- Basic income
- Adequate housing
These four indicators were used by the Kerala government to identify and classify extremely poor families through a grassroots-level survey.
Extreme poverty is defined by the UN as living on less than USD 1.90 a day.
India’s poverty line
- In India, the official consumption-based poverty line is still the Tendulkar Line, which is close to the World Bank's USD 1.9 a day line.
- The Tendulkar Expert Group chaired by economist Suresh Tendulkar in 2009 was formed to review the methodology for poverty estimation.
- The committee finalised the per person per day consumption figure of Rs 32 a day for urban areas and Rs 26 a day for rural areas.
- The national poverty line for 2011-’12 was estimated at Rs 816 per capita per month for rural areas and Rs 1,000 per capita per month for urban areas.

Rangarajan Committee

In 2012, due to the widespread criticism of the Tendulkar Committee’s approach, the Rangarajan Committee was formed.
This panel’s report, submitted in 2014, raised the daily per capita expenditure to Rs 47 per day for urban areas and Rs 32 for rural areas.
They recommended a monthly per capita consumption expenditure of Rs 972 in rural areas and Rs 1,407 in urban areas as the all-India poverty line.
However, the government did not adopt this report and has continued using the Tendulkar Line.

Major Government Initiatives to Eradicate Poverty in India:

Pradhan Mantri Awas Yojana (PMAY): Provides affordable housing to urban and rural poor.
National Food Security Act (NFSA): Ensures subsidized food grains for low-income families.
Ayushman Bharat - PM-JAY: Health insurance scheme for economically vulnerable families.
MGNREGS: Guarantees 100 days of wage employment to rural households.
Deendayal Antyodaya Yojana (DAY-NRLM): Promotes self-employment and women’s SHGs in rural areas.
PM Garib Kalyan Yojana: Economic support and free foodgrain during COVID-19.
Direct Benefit Transfer (DBT): Transfers subsidies directly to beneficiaries, reducing leakages.

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Kerala’s Dharmadam declared extreme poverty-free

What is Extreme Poverty?

Rangarajan Committee

Major Government Initiatives to Eradicate Poverty in India: