Has J&K Really Reduced Poverty According to NITI Aayog’s MPI Data?
Synopsis
Key Takeaways
Srinagar, Feb 6 (NationPress) The latest findings from the national multi-dimensional poverty index (MPI) released by NITI Aayog reveal a notable decrease in poverty levels in Jammu and Kashmir. Additionally, it indicates that access to education and clean drinking water is increasingly seen as a basic necessity rather than a luxury in the union territory.
NITI Aayog’s MPI assesses multiple deprivations across health, education, and standard of living using 12 specific indicators.
Utilizing data from the NFHS, it serves as a vital policy instrument for tracking poverty trends. Recent statistics show that 24.82 crore individuals have risen out of poverty between 2013-14 and 2022-23, with the headcount ratio plummeting from 29.17% to 11.28%.
Over the past seven years, Jammu and Kashmir has experienced a significant reduction in poverty, dropping from 12.56% to 4.8% according to the latest National MPI data.
However, last year, some experts raised concerns regarding the reliability of NITI Aayog’s MPI figures, citing the region's reliance on the Public Distribution System (PDS).
This concern stems from the fact that nearly 50% of the population in Kashmir depends on government-provided food and financial support through the PDS, which has been crucial for those lacking stable employment.
An August 2025 report from the Department of FCS&CA in Kashmir indicates that 98.64 lakh beneficiaries receive food grains monthly. Consequently, social workers argue that many citizens in Kashmir still struggle to escape poverty and are living merely in survival mode.
Critics have focused on food availability and the population's reliance on PDS, often neglecting the reality that, except for the impoverished, food grains provided through PDS are no longer offered at subsidized rates. Residents receive food grains at competitive prices and in quantities that may not meet their full monthly needs.
These experts have overlooked the fact that Kashmir Valley has limited arable land for paddy cultivation, despite rice being the staple food.
Rapid population growth, urban expansion, infrastructure development, and the unviability of agriculture due to rising costs have led to a significant decline in paddy farming.
As a result, many have shifted to more profitable careers, improving their purchasing power and living standards, which is corroborated by NITI Aayog’s MPI data indicating a drop in poverty.
The reality is that a substantial portion of the Jammu and Kashmir population is no longer facing starvation. There have been considerable changes in lifestyle over the last five years.
While reducing PDS dependency is achievable with strategic measures, the reduction of hunger and saving lives are commendable achievements. Efforts by both local and central governments have made substantial progress in poverty alleviation.
The government is increasingly prioritizing employment and entrepreneurship, directing attention towards initiatives that enhance income stability. Funding is gradually being shifted from PDS to central flagship schemes designed to bolster employment and business opportunities, ensuring that poverty continues to decline.