836 million Indians live on less than Rs 20 a day

ROAD TO RECOVERY? Ten years of economic reforms seems to have made little difference in India.

ibnlive.com is on mobile now. Read news, watch videos
be a Citizen Journalist. Log on to m.ibnlive.com NOW!

Related Stories

Top Headlines

Top Videos

Most Popular

• Education reform will be for all Indians: Sibal 

• Federer wins record-breaking 15th Grand Slam title | Photogallery 

• Budget preview: Promises to keep | What to expect and what not 

• One-upmanship: Sonia, Pawar in foodgrain politics 

• 5 feared dead in Madhya Pradesh factory explosions 

• Policemen guard Maya's statue wealth across UP 

• Youth shot dead by cops had 26 injury marks | Watch 

• CPI-M leaders to act to curb Kerala infighting 

• Recruiter of child suicide bombers held in Afghan 

• Paes-Black lose Wimbledon mixed doubles final 

• Pranab has promises to keep in Budget of hope 

• Youth shot dead by cops had 26 injury marks 

• Kargil victory was certain: ex-army chief 

• Bollywood stars sizzle at the IIFA fiesta 

• IBNFocus: TDS process simplified 

• No minister contacted Madras HC judge: CJI 

• Scrap EVMs, let's go back to ballot, says Advani 

• CNN-IBN debate: Homosexuality vs Indian morality 

• Watch: Parties react to HC judgement on gays 

• Railways fail to provide basic facilities to passengers 

• Kambakkht Ishq is not vulgar or offensive: Akshay 

• Federer wins record-breaking 15th Grand Slam title 

• Umpire dies after being hit on head by ball 

• Budget preview: Promises to keep 

• Education reform will be for all Indians: Sibal 

• Who said what about record champion Federer 

• Chronology of Federer's record 15 Grand Slam titles 

• 5 feared dead in Madhya Pradesh factory explosions 

• Recruiter of child suicide bombers held in Afghan 

• Scenarios: What to look for in budget, and what not 

Photogallery

Find us on Facebook | Join IBNLive community

Stay ahead with G-Talk Buddy | Click now!

New Delhi: An overwhelming 836 million people in India live on a per capita consumption of less than Rs 20 a day, according to the findings of the Arjun Sengupta report on the Conditions of Work and Promotion of Livelihood in the Unorganised Sector. The report is based on government data for the period between 1993-94 and 2004-05.

While the numbers rose by a staggering 100 million, the numbers of the new rich has also grown by 93 million.

"Our survey is very scientific. The other poverty estimates looked at the absolute poor only but we look at different categories of poor,” Chairman, National Commission for Enterprises in Unorganised Sector, Arjun Sengupta said.

So, who are the ones who have actually benefitted from the boom in the economic growth of the country?

The middle class and the rich grew from 162 million to 253 million while the neo rich of 91 million.

The middle class grew from 15.5 per cent to 19.3 per cent but the extreme poor have also benefited (274 to 237 million) – 43 million of them to be precise. Their per capita consumption has gone up from Rs 9 to Rs 12.

“The rich tend to hide their consumption. So if you account for that, they are actually richer than the report reflects. This again reflects the fact that the gap between the rich and poor is even wider,” Sengupta explained.

One is classified as absolutely poor if the per capita consumption is less than Rs 9 a day. However, if the per capita consumption is Rs 13 a day, then the individual is above the poverty line. So, the definitions of poverty are sometimes difficult to understand.

The justification for economic reforms was supposed to be the trickle down effect but for those who live in trying conditions 10 years of economic reforms seems to have made little difference. Is it any wonder that those leaders who are seen to be reformers can never win the popular vote?