Understanding Below Poverty Line

The Government makes use of several parameters to recognise the below

poverty line (BPL) sections. These parameters may differ from state to state and

may be different for rural and urban areas. Furthermore, other countries have

different parameters and ways to define the poverty line.

In India, in the year 2011, the poverty line was defined by the Suresh Tendulkar

Committee. It was determined based on monthly food, education, health,

transport, and electricity expenses. According to this committee, a person who

spends Rs. 33 a day in urban areas and only Rs. 27 a day in rural areas live below

the poverty line.

Internationally, an income of less than Rs. 150 per day per head of purchasing

power parity is defined as extreme poverty. By this estimate, about 12.4% of

Indians are extremely poor. Income-based poverty lines consider the bare

minimum income to provide basic food requirements; it does not account for

other essentials such as health care and education.