Site icon Policy Circle

Eradication of extreme poverty in Kerala sets a new benchmark

Kerala extreme poverty

Kerala declares an end to extreme poverty through a participatory model, offering lessons for India’s welfare design.

Kerala has often stood apart in India’s development experience. Its social indicators — high literacy, low infant mortality, and gender-sensitive policies — have long drawn international attention. Yet the state now faces what development economists call second-stage challenges. These include persistent inequality, stagnating wages, and the limits of welfare-driven growth. In this context, Kerala’s latest claim — that it has eliminated extreme poverty — marks not just a statistical milestone but a test of the state’s long tradition of inclusive governance.

This achievement stems from a social and political culture that sees welfare not as charity but as entitlement. It reflects the power of decentralised planning, community participation, and a moral conviction that no citizen should be left behind.

READ | Why BFSI sector needs a structural reset

From land reforms to a welfare state

Kerala’s path to social transformation began with the land reforms of 1957, which redistributed land to tenant farmers and ended centuries of feudal inequality. Over the decades, labour movements pushed up rural wages, while public investment in health and education expanded opportunities for the poor.

Welfare programmes evolved in tandem. Today, over 6.2 million citizens receive a ₹2,000 monthly social pension, and 4.2 million households access subsidised food through the state’s universal public distribution system. Initiatives like Asraya, implemented by Kudumbashree, focus on women-led social care. Together, these continuous interventions helped reduce Kerala’s poverty rate from around 60% in the 1970s to below 1% by the 2010s, as estimated by the NITI Aayog’s Multidimensional Poverty Index.

Such achievements did not come overnight. They reflect six decades of consistent policy choices — investing in people rather than capital — and building administrative systems that reach the last mile.

Mapping the invisible poor

When Chief Minister Pinarayi Vijayan took office in 2021, his government announced a mission to identify and free every family still trapped in extreme poverty. Four years later, on November 1, 2025, the state declared that goal achieved. The effort identified 64,006 families — a total of 1,03,099 individuals — living in severe deprivation and provided them targeted assistance.

The methodology drew upon the legacy of the People’s Plan Campaign of 1996, which decentralised power to over 1,200 local bodies. Kudumbashree members, ASHA and Anganwadi workers, residents’ associations, and palliative-care volunteers joined hands in an unprecedented participatory mapping exercise.

More than 13.7 lakh people took part, forming around 60,000 focus groups across wards. Instead of relying on conventional income or asset surveys, the Kerala Institute of Local Administration (KILA) trained volunteers to use community knowledge — the lived experience of neighbours and local networks — to identify extreme poverty.

As former Chief Secretary Sarada Muraleedharan observed, it was perhaps “Kerala’s largest social mapping exercise, built on trust, empathy, and social awareness.”

Defining and addressing extreme poverty

The mission began by defining what it meant to be extremely poor. The government adopted nine risk parameters, including landlessness, illiteracy, homelessness, widowhood without income, chronic illness, disability, hunger, begging, and survivorship of abuse. Families meeting at least seven of these were classified as extremely poor.

Special indicators were created for historically marginalised groups such as Scheduled Castes, Scheduled Tribes, coastal communities, people living with HIV, LGBTQIA+ individuals, orphans, and the urban homeless. The identified families painted a sobering picture of deprivation. Nearly one-third lacked adequate income, while a quarter faced serious health challenges. One-fifth suffered food insecurity, and 15% were homeless. Around 12,763 families belonged to Scheduled Castes and 3,021 to Scheduled Tribes, groups that continue to face systemic barriers.

Each household’s needs were documented in detail. The first priority was to ensure that all members possessed identity documents — a crucial step for accessing welfare entitlements. By the time the survey concluded, 79% had Aadhaar cards, 74% had ration cards, and 72% had voter IDs.

Turning mapping into micro-action

Kerala’s governance machinery translated this mapping into a series of micro-plans — household-specific blueprints for breaking the poverty cycle. The interventions varied widely: some families needed housing, others medical treatment, livelihood support, or nutritional aid.

Within two years, the programme showed measurable results. Over 20,000 families gained uninterrupted food access, while 85,000 individuals received treatment and medicines. More than 5,400 new houses were built, and another 5,500 repaired. Nearly 4,400 families began new income activities, and 2,700 families received land for housing. Essential documentation was expedited for over 21,000 people, enabling access to welfare programmes.

Importantly, this achievement was not partisan. Of the 941 panchayats involved, 321 were governed by the opposition United Democratic Front and 19 by the BJP. Among the 93 municipalities and corporations, nearly half were non-left controlled. The mission’s success owed much to the decision to keep political divisions aside in pursuit of a shared social goal.

The limits and lessons

Despite these accomplishments, sceptics remain unconvinced. Critics cite LIFE Mission data indicating that over 3.4 lakh families in Kerala are still homeless or landless, questioning how extreme poverty can be declared “eradicated.” The government argues that its definition uses stringent multi-dimensional criteria and that poverty mapping remains a continuous process. Families that fall into distress later can still be added to the programme.

Whatever the limitations, the exercise offers valuable lessons. It demonstrates that when local governments are empowered and social networks are mobilised, welfare delivery becomes far more effective. Kerala’s achievement is not merely the outcome of good intentions but of robust institutional design, decentralised execution, and a culture of empathy in governance.

Kerala’s success in a national context

Placed against the broader Indian picture, Kerala’s achievement looks even more striking. Across India, one in three people survives on less than ₹100 a day, and four out of five earn below ₹200, according to World Bank estimates. The country also accounts for the world’s largest number of illiterate adults (around 37%) and undernourished people (about 25%), as per the FAO’s State of Food Security report.

In this light, Kerala’s participatory model stands out as an example of how social democracy can deliver results. The state’s progress does not rest on economic growth alone, but on the moral conviction that prosperity without inclusion is meaningless. The challenge now is to sustain this momentum — and inspire other states to adopt similar community-driven models of welfare.

Kerala’s experience offers three key lessons for policymakers across India. First, decentralisation works: local governments are better equipped than distant bureaucracies to identify and support the poorest citizens. Second, data must meet empathy: participatory poverty mapping complements statistics with lived experience, creating more accurate and humane interventions. And third, political consensus matters: the absence of partisanship made it possible for Kerala’s anti-poverty campaign to succeed where many others have failed.

As India debates its next generation of welfare reforms, Kerala reminds us that the final stage of development is not about GDP or per capita income. It is about ensuring dignity and opportunity for every citizen.

Exit mobile version