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World Bank Document...1 May 20, 2016 Madhya Pradesh is the 5th most populous state in India and home...

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Madhya Pradesh Poverty, Growth & Inequality 1 May 20, 2016 Madhya Pradesh is the 5th most populous state in India and home to 73 million people. Poverty in Madhya Pradesh was similar to the national average in 1994, but since then poverty reduction has lagged the rest of the country. Consumption inequality has increased marginally during this period. The state today has high levels of poverty, especially in the eastern and southern districts, and is home to 24 million poor. Growth is lower than in other states, and is driven mainly by industry and services. Poverty in Madhya Pradesh is among the highest in the country GA HP KL PJ SK AP DL JK HR UK TN MG RJ TR GJ MH NL WB KA MZ AI UP MP AS OD BH AR MN JH CG 0 10 20 30 40 50 Eastern and southern districts of Madhya Pradesh have very high poverty Population below poverty line, 2012 (%) District level poverty, 2012 N Population below the poverty line, 2012 (%) 4-15 15-25 25-38 38-49 49-77 Bhopal 40 37 37 35 34 33 32 32 29 22 22 21 20 19 17 17 15 15 12 12 11 11 11 10 9 9 8 8 8 5 Low Income States are highlighted in orange, AI is All India. Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized
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Page 1: World Bank Document...1 May 20, 2016 Madhya Pradesh is the 5th most populous state in India and home to 73 million people. Poverty in Madhya Pradesh was similar to the national average

Madhya PradeshPoverty, Growth & Inequality

1 May 20, 2016

Madhya Pradesh is the 5th most populous state in India and home to 73 million people. Poverty in Madhya Pradesh was similar to the national average in 1994, but since then poverty reduction has lagged the rest of the country. Consumption inequality has increased marginally during this period. The state today has high levels of poverty, especially in the eastern and southern districts, and is home to 24 million poor. Growth is lower than in other states, and is driven mainly by industry and services.

Poverty in Madhya Pradesh is among the highest in the country

GAHPKLPJSKAPDLJKHRUKTNMGRJTRGJMHNLWBKAMZAIUPMPASODBHARMNJHCG

0

10

20

30

40

50

Eastern and southern districts of Madhya Pradesh have very high poverty

Population below poverty line, 2012 (%)

District level poverty, 2012

N

N

0.6-5.25.3-13.213.3-17.217.3-22.622.7-62.8

Patna

Population below the poverty line, 2012 (%)

4-1515-2525-3838-4949-77

★ Bhopal

4037 37

35 34 33 32 3229

22 22 21 20 1917 17

15 1512 12 11 11 11 10 9 9 8 8 8

5

Low Income States are highlighted in orange, AI is All India.

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Page 2: World Bank Document...1 May 20, 2016 Madhya Pradesh is the 5th most populous state in India and home to 73 million people. Poverty in Madhya Pradesh was similar to the national average

Madhya PradeshPoverty, Growth & Inequality

2 May 20, 2016

Poverty reduction in Madhya Pradesh has lagged the rest of the country

Poverty in Madhya Pradesh increased during 1994-2005, but has declined steadily since then

0

10

20

30

40

50

60

70

MZDLNLGAPJJKKLSKTRUKHPHRMGGJRJWBMPAPTNAIUPMHKACGASARODBHJHMN

Population below poverty line, (%)

Population below poverty line, (%)

Rural

Total

Urban

1994 2005 2012

0

10

20

30

50

40

60

70

Low Income States are highlighted in orange, AI is All India.

● 1994 ● 2005 ● 2012

49

32

54

35

36

21

4549

32

Page 3: World Bank Document...1 May 20, 2016 Madhya Pradesh is the 5th most populous state in India and home to 73 million people. Poverty in Madhya Pradesh was similar to the national average

Madhya PradeshPoverty, Growth & Inequality

3 May 20, 2016

2005 2006 2007 2008 2009 2010 2011 2012

2005 2006 2007 2008 2009 2010 2011 2012

0

5

10

15

0

3

6

-5

9

15

12

Madhya Pradesh’s growth is driven by industry and services

2005 2006 2007 2008 2009 2010 2011 2012

2005 2006 2007 2008 2009 2010 2011 2012

0

5

10

15

0

3

6

-5

9

15

12

Growth in Madhya Pradesh has lagged other states

AP

AS

BH

GJ

HR HP

KA

KL

MP

MH

OD

PJ

RJ

TN

UP WB

JH

CG

UK

Leading

Lagging

Improving

Weakening

2

3

4

5

6

7

8

9

10

11

12

0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000

An

nu

al g

row

th r

ate,

20

05

- 20

12 (%

)

Real GSDP per capita, (2005 Rupees) All India

ImprovingLow income, high growth

LeadingHigh income, high growth

LaggingLow income, low growth

WeakeningHigh income, low growth

Impr

ovem

ent f

rom

200

5 to

201

2

Standard of living, 2005

Interpreting the graph

Annu

al g

row

th ra

te, 2

005

- 201

2 (%

)

Real GSDP per capita, (2005 Rupees)

High poverty, declining slowly

Low poverty, declining fast

-17

-15

-13

-11

-9

-7

-5

-3

-1

0 10 20 30 40 50 60 70 80

An

nu

al d

ecli

ne

in p

over

ty r

ate,

20

05

- 20

12 (%

)

All India

AP

AS

BH

GJ

HR

HP

KA

KL

MP

MH

OD

PJ

RJ

TN

UP

WB

JH CG

UK

Data for 19 large states and All India. Low Income States are highlighted in orange.

Annual growth rate, (%) Components of GSDP growth rate, (%)

■ Madhya Pradesh GSDP ■ All India GDP

4.2

0.3-1.4

2.1

1.3

1.9

4.1

4.5

0.7

3.4

1.7

-0.4

4.7

5.5

2.2

5.3

2.1

2.1

4.2

2.10.1

3.9

3.0

1.6

■ Services ■ Industry ■ Agriculture

Page 4: World Bank Document...1 May 20, 2016 Madhya Pradesh is the 5th most populous state in India and home to 73 million people. Poverty in Madhya Pradesh was similar to the national average

Madhya PradeshPoverty, Growth & Inequality

4 May 20, 2016

Poverty reduction in Madhya Pradesh slower than in other states

Madhya Pradesh is among the Low Income States where a disproportionate share of India’s poor live

Poverty rate, 2005

bubble size: number of poor (millions)

0

5

10

15

20

25

0 5 10 15 20 25

Stat

e sh

are

in In

dia

’s p

oor,

20

12 (%

)

State share in India’s population, 2012 (%)

AP AS

BH

GJ

HR

KA

KL

MP

MH

OD

PJ

RJ

TN

UP

WB JH

CG

UK HP

High poverty, declining slowly

Low poverty, declining fast

-17

-15

-13

-11

-9

-7

-5

-3

-1

0 10 20 30 40 50 60 70 80

An

nu

al d

ecli

ne

in p

over

ty r

ate,

20

05

- 20

12 (%

)

All India

AP

AS

BH

GJ

HR

HP

KA

KL

MP

MH

OD

PJ

RJ

TN

UP

WB

JH CG

UK

Data for 19 large states and All India. Low Income States are highlighted in orange.

Data for 19 large states and All India. Low Income States are highlighted in yellow.

Annu

al d

eclin

e in

pov

erty

rate

, 200

5 - 2

012

(%)

Stat

e sh

are

in In

dia’

s po

or, 2

012

(%)

State share in India’s population, 2012 (%)

Wha

t % o

f Ind

ia’s

poor

live

s in

this

sta

te?

What % of India’s population lives in this state?

Interpreting the graph

Share of poor > share of population

Share of poor < share of populationShare of p

oor = share of p

opulation

Page 5: World Bank Document...1 May 20, 2016 Madhya Pradesh is the 5th most populous state in India and home to 73 million people. Poverty in Madhya Pradesh was similar to the national average

Madhya PradeshPoverty, Growth & Inequality

5 May 20, 2016

UrbanRuralTotal0.0

0.1

0.2

0.3

0.4

Gini coefficient

Consumption inequality has increased marginally in Madhya Pradesh, mainly in urban areas

Madhya Pradesh’s consumption inequality is higher than other Low Income states but below the national average

Gini coefficient, 2012

MNMGSKBHNLTRASRJJHJKODMZGJAPUKGAHPPJUPCGMPWBHRAITNARMHKADLKL

0.1

0.2

0.3

0.4

Low Income States are highlighted in orange, AI is All India.

0.28 0.27

0.300.31

0.27

0.37

0.30

0.25

0.37

■ 1994 ■ 2005 ■ 2012


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