Madhya Pradesh Poverty, Growth & Inequality 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 Population below poverty line, 2012 (%) 50 40 40 37 37 35 34 33 32 32 30 29 22 22 21 20 20 19 17 17 15 15 12 12 11 11 11 10 10 9 9 8 8 8 5 0 CG JH MN AR BH OD AS MP UP AI MZ KA WB NL MH GJ TR RJ MG TN UK HR JK DL AP SK PJ KL HP GA Low Income States are highlighted in orange, AI is All India. Eastern and southern districts of Madhya Pradesh have very high poverty District level poverty, 2012 ★ Bhopal Patna Population below the poverty line, 2012 (%) 4-15 0.6-5.2 15-25 5.3-13.2 25-38 13.3-17.2 N 38-49 17.3-22.6 49-77 22.7-62.8 N 1 May 20, 2016 Madhya Pradesh Poverty, Growth & Inequality Poverty reduction in Madhya Pradesh has lagged the rest of the country Population below poverty line, (%) 70 60 50 40 30 20 10 0 MN JH BH OD AR AS CG KA MH UP AI TN AP MP WB RJ GJ MG HR HP UK TR SK KL JK PJ GA NL DL MZ ● 1994 ● 2005 ● 2012 Low Income States are highlighted in orange, AI is All India. Poverty in Madhya Pradesh increased during 1994-2005, but has declined steadily since then Population below poverty line, (%) 70 60 54 49 50 Rural Total 49 45 40 36 Urban 35 30 32 32 20 21 10 0 1994 2005 2012 2 May 20, 2016 Madhya Pradesh Poverty, Growth & Inequality 0 10 20 30 40 50 60 70 80 -1 AS High poverty, declining slowly Annual decline in poverty rate, 2005 - 2012 (%) Growth in Madhya Pradesh -3 has lagged other states JH CG 12 UP -5 UK 11 MP KA BH (%) (%) -7 10 Improving WB Leading All India OD - 2012 - 2012 -9 GJ 9 Data for 19 large states and All India. TN Low Income States are highlighted in orange. 2005 HR rate, 2005 8 -11 AP MH GJ RJ MH rate, KL KL HR 7 PJ HP Interpreting the graph -13 BH RJ TN growth OD KA growth 6 MP CGHP Improvement from 2005 to 2012 UK PJ Improving Leading -15 Low poverty, WB Low income, High income, Annual 5 UP declining fast AP high growth high growth Annual JH 4 -17 Lagging Weakening AS Lagging Weakening 3 Low income, High income, low growth low growth 2 Standard of living, 2005 0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 Real Real GSDP GSDP per capita, per capita, (2005 (2005 Rupees) Rupees) All India Madhya Pradesh’s growth is driven by industry and services Annual growth rate, (%) Components of GSDP growth rate, (%) 15 15 15 15 12 12 4.7 10 10 9 9 4.1 5.3 3.9 5.5 6 6 4.2 5 5 2.1 4.5 3.4 4.2 2.1 1.6 3 3 1.3 3.0 1.9 2.2 2.1 2.1 1.7 0 0 0.3 0.7 0.1 0 0 2005 2006 2005 2007 2006 2008 2007 2009 2008 2010 2009 2011 2010 2012 2011 2012 -1.4 -0.4 -5 -5 ■ Madhya Pradesh GSDP ■ All India GDP 20052006 2005 20062007 20072008 20082009 20102011 20092010 20112012 2012 ■ Services ■ Industry ■ Agriculture 3 May 20, 2016 Madhya Pradesh Poverty, Growth & Inequality Poverty reduction in Madhya Pradesh slower than in other states Poverty rate, 2005 0 10 20 30 40 50 60 70 80 -1 AS High poverty, (%) declining slowly 2012(%) -3 2005 --2012 JH CG UP rate,2005 -5 MP rate, KA BH -7 WB All India in poverty OD in poverty -9 GJ Data for 19 large states and All India. Low Income States are highlighted in orange. HR decline -11 MH RJ decline KL Annual PJ -13 TN HP Annual UK -15 Low poverty, declining fast AP -17 Madhya Pradesh is among the Low Income States where a disproportionate share of India’s poor live bubble size: number of poor (millions) 25 UP (%) (%) 20 2012 2012 poor, BH Data for 19 large states and All India. poor, 15 Low Income States are highlighted in yellow. India’s in India’s Interpreting the graph What % of India’s poor lives in this state? share in 10 MP share MH Share of poor > share io n at of population pul po State OD of State KA WB e JH ar 5 sh CG RJ or = po AS GJ AP of TN ar e Share of poor < share HR Sh of population KL UK PJ 0 HP What % of India’s population lives in this state? 0 5 10 15 20 25 State share State in share inIndia’s population, India’s population, 2012 (%) (%) 2012 4 May 20, 2016 Madhya Pradesh Poverty, Growth & Inequality Consumption inequality has increased marginally in Madhya Pradesh, mainly in urban areas Gini coefficient 0.4 0.37 0.37 0.31 0.30 0.30 0.3 0.28 0.27 0.27 0.25 0.2 0.1 0.0 Total Rural Urban ■ 1994 ■ 2005 ■ 2012 Madhya Pradesh’s consumption inequality is higher than other Low Income states but below the national average Gini coefficient, 2012 0.4 0.3 0.2 0.1 KL DL KA MH AR TN AI HR WB MP CG UP PJ HP GA UK AP GJ MZ OD JK JH RJ AS TR NL BH SK MG MN Low Income States are highlighted in orange, AI is All India. 5 May 20, 2016