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India's extreme poverty fell from 27.1% to 2.6% between 2011 and 2023, says World Bank
The World Bank's October 2026 Poverty and Equity Brief says India's extreme poverty fell from 27.1% in 2011 to 2.6% in 2023 at $3 a day, lifting about 496 million people above the line. The Bank also reports wide earnings gaps, and an earlier estimate used a different line.
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India's extreme poverty rate fell from 27.1% in 2011 to 2.6% in 2023, according to the World Bank's India Poverty and Equity Brief of October 2026, which measures poverty at $3 a day in 2021 purchasing-power terms. The Bank described the decline as one of the fastest in the world and put the number of people lifted out of extreme poverty over the period at about 496 million. The brief also reports a wide gap in earnings and a larger share of people below higher poverty lines. The figures were discussed again this week after the Prime Minister cited the report. This article explains the numbers and is for information only; it is based on summaries of the brief, and the brief itself should be read for the detail.
What the brief says
The headline figure rests on a poverty line of $3 a day, which the World Bank adopted when it updated its international lines to 2021 prices. Using it, extreme poverty in India was 27.1% of the population in 2011 and 2.6% in 2023. The Bank's calculation is based on household consumption surveys, and the gap of twelve years between the two points reflects the years for which comparable data exist.
Reports on the brief give several other figures. On a higher line of $4.20 a day, which the Bank uses for lower-middle-income countries, it projects that the rate could fall from 14.2% in 2026 to 12.1% by 2028. The Bank's multidimensional poverty measure, which looks at health, education and living standards and not only spending, stood at 15.5% in 2022-23. On inequality, the report said that the median earnings of the top 10% of workers were about 13 times those of the bottom 10% in 2023.
| Measure | Figure | Period |
|---|---|---|
| Extreme poverty at $3 a day | 27.1% to 2.6% | 2011 to 2023 |
| People lifted out | About 496 million | 2011 to 2023 |
| Poverty at $4.20 a day, projected | 14.2% to 12.1% | 2026 to 2028 |
| Multidimensional poverty | 15.5% | 2022-23 |
| Earnings, top 10% against bottom 10% | About 13 to 1 | 2023 |
The figures are easy to confuse because the Bank has used different lines at different times. Its April 2026 India Development Update used a line of $2.15 a day and a period from 2011-12 to 2022-23, and on that basis extreme poverty fell from 16.2% to 2.3%. Those numbers are not comparable with the 27.1% to 2.6% in the October brief, which uses the higher $3 line and a different base year. A line that is set higher will always show more poor people, and a decline that looks smaller or larger can come from the choice of line as much as from any change in living standards.
The count of 496 million is also tied to a line. Some reports link it to the lower-middle-income threshold, and others to extreme poverty, and the accounts available do not settle which. A reader who wants to compare India with other countries should check which line each figure uses.
The political reading
The Prime Minister cited the report, taking a dig at the Congress party's old slogan of removing poverty and saying it shows India's progress. Opposition parties and some economists have pointed to what the brief says about inequality and jobs. The Bank itself said coverage notes continuing regional and employment-related challenges. One analysis argued that the decline is real but that the next test is whether enough good jobs are created for the millions who have moved just above the line, who remain vulnerable to a shock.
The measurement itself has a history. India's own household consumption survey was not released for several years after 2011-12, which left a gap in official data, and the World Bank's estimates have relied on a mix of surveys and modelling. That is one reason economists treat the exact percentages with care while accepting the direction of change.
What to take from it
Three points are safe. Extreme poverty as the Bank defines it has fallen sharply, on any of the lines it has used. The scale of the fall depends on the line, so numbers should be quoted with the line attached. And a large part of the population is close to the lines, so a small rise in prices or a loss of work can push people back below them, which is why the Bank pairs its good news with its warnings on jobs and inequality.
For readers who want the primary source, the World Bank publishes the brief and the data on its India country page, and the Ministry of Statistics and Programme Implementation publishes India's own household survey results. Comparing the two is the most direct way to see how the choice of method changes the picture.
The change of line explains part of the difference. In 2025 the World Bank updated its international poverty line from $2.15 to $3 a day to reflect 2021 prices, which raised the line in rupee terms and means that estimates made before and after the update are not directly comparable.
Sources
About the Author
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Subhash Gupta
Desk Editor
Subhash Gupta is a writer at Wirony, contributing articles that are reviewed and verified by the editorial team before publication. The publication prioritises accuracy, editorial…
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