Jharkhand Poverty, Growth & Inequality Jharkhand is the 14th most populous state in India and home to 33 million people, 13 million of who are poor. There was rapid poverty reduction in the state between 1994 and 2005. Thereafter, the state has lagged behind other Low Income States in reducing poverty. Poverty is among the highest in the country today, particularly in the state’s southern and eastern districts. Growth, which is driven mainly by industry, is slow and volatile. Consumption inequality in the state increased marginally after 2005, but remains lower than in most other states. Jharkhand has one of the highest poverty rates 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. Poverty is higher in Jharkhand’s southern and eastern districts District level poverty, 2012 ★ Ranchi Patna Population below the poverty line, 2012 (%) Ranchi 22-29 0.6-5.2 29-35 5.3-13.2 35-37 13.3-17.2 N 37-47 17.3-22.6 0.6-5.2 47-79 22.7-62.8 5.3-13.2 No data 13.3-17.2 N 17.3-22.6 22.7-62.8 1 May 20, 2016 Jharkhand Poverty, Growth & Inequality The pace of poverty reduction in Jharkhand was slower than in most other states after 2005 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 reduction in Jharkhand was faster between 1994 and 2005 Population below poverty line, (%) 70 66 Rural 60 Total 61 52 50 47 41 Urban 40 42 37 30 24 25 20 10 0 1994 2005 2012 2 May 20, 2016 Jharkhand 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 Jharkhand is-3lower than in most other JH states 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 Growth in Jharkhand is driven mainly by industry and is highly volatile Annual growth rate, (%) Components of GSDP growth rate, (%) 20 20 25 25 15 15 20 20 4.8 10 10 15 15 16.2 14.7 6.6 5 5 10 10 8.5 8.5 1.1 0 0 5 5 3.2 2.7 3.3 3.7 2.0 2.6 2.8 0.3 0.5 1.0 0.7 -5 -5 0 0 2005 2006 2005 2007 2006 2008 2007 2009 2008 2010 2009 2011 2010 2012 2011 2012 -2.9 -0.2 -1.2 -1.1 ■ Jharkhand GSDP ■ All India GDP -5 -5 -6.4 -7.5 -10 -10 20052006 2005 20062007 20072008 20082009 20092010 20112012 20102011 2012 ■ Services ■ Industry ■ Agriculture 3 May 20, 2016 Jharkhand Poverty, Growth & Inequality Poverty reduction in Jharkhand is the slowest among Low Income 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 Jharkhand 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 Jharkhand Poverty, Growth & Inequality Consumption inequality has increased only marginally in Jharkhand, mainly in urban areas Gini coefficient 0.4 0.34 0.34 0.31 0.3 0.27 0.26 0.25 0.22 0.21 0.21 0.2 0.1 0.0 Total Rural Urban ■ 1994 ■ 2005 ■ 2012 Consumption inequality in Jharkhand is lower than in most states 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