
Washington (USA) – As per the latest World Bank report there has been a significant reduction in poverty in India, while the poverty situation in Pakistan is alarming. In the last decade, India has lifted 171 million people out of extreme poverty, while it is estimated that there is 45% of Pakistan’s population is living below the poverty line.
1. According to World Bank data, India’s poverty line has decreased from 27.1% in 2011-12 to 5.3% in 2022-23. During this period, 26.9 million people out of 344 million people came out of extreme poverty. India made this achievement possible by providing direct benefits to the poor through schemes like ‘Ayushman Bharat’, ‘Pradhan Mantri Garib Kalyan Anna Yojana’ and ‘Digital India’.
2. On the other hand, the situation in Pakistan is just the opposite. According to the World Bank’s April 2025 report, 44.7 % (an estimated 108 million people) live below the poverty line and 16.5% of the population (39.8 million people) is in extreme poverty.
3. The World Bank has also criticised Pakistan’s tax system. This tax system emphasises indirect taxes, which burden the poor more. In contrast, India has provided resources to the poor through food security schemes and direct benefit transfers.
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