BPL full form is Below Poverty Line. BPL is an economic benchmark tied to a certain level of income, determined by the Government of India. It can assist in identifying financially disadvantaged individuals and households in immediate need of government assistance.
Below poverty line: What is it?
The government uses many indicators to identify those living below the poverty line (BPL). These criteria may differ between rural and urban locations. Various countries use different factors and methods to define poverty. The Suresh Tendulkar Committee defined the poverty line in India in 2011. It was calculated by using monthly expenses for food, education, health, transportation, and power. According to this committee, a person who spends Rs 33 per day in urban regions and Rs 27 per day in rural areas is considered poor.
Below poverty line: Criteria
The categorisation of BPL extends beyond income or consumption-based poverty. It encompasses a range of indicators that directly impact the well-being of the impoverished populace. These indicators include housing type, land ownership, clothing, sanitation, food security, access to consumer durables, labour participation, literacy status, livelihood sources, indebtedness profiles, child welfare and reasons for migration, among others. Each indicator is assigned differential weights and scores to delineate the extent of deprivation experienced by households.
Below poverty line: Relief schemes
BPL data is primarily utilised for identifying beneficiaries under various anti-poverty initiatives at both central and state levels. It plays a pivotal role in implementing critical welfare schemes such as the the National Food Security Act (NFSA), Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), the Pradhan Mantri Awas Yojana (PMAY), the Pradhan Mantri Jan Dhan Yojana (PMJDY), the Pradhan Mantri Gram Sadak Yojana (PMGSY) and the Pradhan Mantri Ujjwala Yojana (PMUY).
Below poverty line: Poverty evaluation and monitoring
The government relies on BPL data to observe the efficacy and impact of policies and programs aimed at alleviating poverty and improving the standard of living for marginalised communities. By providing insights into the magnitude and distribution of poverty across diverse regions and social strata, BPL estimates serve as an essential tool for evaluating the efficiency and impact of anti-poverty interventions. This facilitates evidence-based policy formulation and monitoring.
BPL: Causes of poverty in India
Reduced resource utilisation
Underemployment, concealed unemployment of human resources and inefficient resource management, have resulted in low agricultural productivity, causing a decrease in their standard of living.
A rapid pace of economic development
The rate of economic development in India is far below what is required for a good level. As a result, there is still a disparity between the degree of availability and the demand for products and services. Poverty is the end effect.
Scarcity of capital and capable entrepreneurship
Much-needed finance and long-term entrepreneurship play critical roles in boosting growth. However, these are in short supply of money, making it difficult to boost production.
Factors of society
Our country’s social structure is extremely backward in comparison to the rest of the world, and is not conducive to faster progress. The caste system, inheritance law, rigid traditions and practices are impeding speedier progress and exacerbating the poverty problem.
Uneven income distribution
Simply increasing productivity or reducing the population can not alleviate poverty in our country. We must recognise that disparity in income distribution and wealth concentration must be addressed. The government can reduce income disparity and keep the economy in check.
Regional deprivation
India is divided by an unequal distribution of poverty in several states, such as Nagaland, Orissa, Bihar etc. The administration should provide special benefits and incentives to encourage private capital investment in underserved areas.
In a nutshell
Understanding the concept of Below Poverty Line (BPL) in India sheds light on the multifaceted nature of poverty and the government’s efforts to address it. BPL serves as an economic benchmark crucial for identifying and assisting financially disadvantaged individuals and households. By utilising various indicators, including income levels and socio-economic factors, BPL criteria offer a comprehensive framework for evaluating poverty and implementing relief schemes.
Through initiatives like the National Food Security Act and the Mahatma Gandhi National Rural Employment Guarantee Act, the government aims to uplift marginalised communities and improve their standard of living. However, challenges such as reduced resource utilisation, uneven income distribution, and societal factors continue to impede progress in poverty alleviation. To effectively tackle these challenges, policymakers must adopt evidence-based approaches and target interventions to address regional disparities and promote inclusive growth. Ultimately, concerted efforts towards poverty evaluation, monitoring, and policy formulation are essential for building a more equitable and prosperous society in India.
FAQs
What does BPL stand for?
BPL stands for Below Poverty Line. It's an economic benchmark used by the Government of India to identify financially disadvantaged individuals and households in need of government assistance.
How is the poverty line defined in India?
The poverty line in India is determined using various indicators, including monthly expenses for food, education, health, transportation, and power. As per the Suresh Tendulkar Committee's definition in 2011, a person spending Rs 33 per day in urban areas and Rs 27 per day in rural areas is considered poor.
What criteria are used to determine BPL status?
The criteria for determining BPL status extend beyond income or consumption-based poverty. They include indicators such as housing type, land ownership, clothing, sanitation, food security, access to consumer durables, labour participation, literacy status, livelihood sources, indebtedness profiles, child welfare and reasons for migration.
How are BPL relief schemes implemented?
BPL data is primarily used to identify beneficiaries for various anti-poverty initiatives at both central and state levels. These initiatives include critical welfare schemes like National Food Security Act (NFSA), Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), the Pradhan Mantri Awas Yojana (PMAY), the Pradhan Mantri Jan Dhan Yojana (PMJDY), the Pradhan Mantri Gram Sadak Yojana (PMGSY) and the Pradhan Mantri Ujjwala Yojana (PMUY).
How does the government evaluate and monitor poverty alleviation efforts?
The government relies on BPL data to assess the effectiveness and impact of policies and programs aimed at alleviating poverty and improving the standard of living for marginalized communities. BPL estimates provide insights into the magnitude and distribution of poverty across diverse regions and social strata, facilitating evidence-based policy formulation and monitoring.
