Rangarajan Poverty Line:
Economists from the Reserve Bank of India’s (RBI) Department of Economic and Policy Research published a paper in which they ‘updated’ the Rangarajan Poverty Line for 20 major states of India, using data from the Household Consumption Expenditure Survey (HCES) 2022-23.
Key Highlights of RBI’s Paper on Updated Rangarajan Poverty Line:
- Odisha and Bihar showed the largest decline in poverty levels since 2011-12, with rural poverty in Odisha falling from 47.8% to 8.6% and urban poverty in Bihar falling from 50.8% to 9.1%.
- Kerala and Himachal Pradesh showed the least decline in poverty percentages because their poverty levels were already low.
- In 2022-23, rural poverty was lowest in Himachal Pradesh (0.4%) and highest in Chhattisgarh (25.1%). Urban poverty was lowest in Tamil Nadu (1.9%) and highest in Chhattisgarh (13.3%).
- The study acknowledges that consumption patterns changed between 2011-12 and 2022-23, suggesting that poverty baskets and lines may need further updates in the future.
