Muslim poverty rates have shown significant decline
Why in news?
Recent analyses indicate India has nearly eliminated extreme poverty, defined as living below $3 per day in PPP terms. By 2023-24, the national poverty rate dropped to 2.3%, with Muslims at 1.5%—slightly lower than Hindus at 2.3%. Rural Muslim poverty fell sharply from higher levels in 2011-12 to 1.6%, compared to 2.8% for Hindus, while urban rates converged to around 1%.​
Historical Trends
- The Sachar Committee Report (2006) found 31% of urban Muslims and 40% of rural Muslims below the poverty line, exceeding national averages of 27% and 28%.
- Earlier studies, like 2004-05 data, indicated Muslims at 31% poverty overall, slightly above Scheduled Castes and Tribes at 35%.
- Multidimensional poverty affected 33% of Muslims in 2015-16, similar to Dalits.​
Comparative Data (2021-22)
- Muslims recorded the lowest average monthly per capita consumption and asset levels among major groups, at 87.9% and 79% of national averages.
- Buddhists faced around 40% poverty in some older metrics, while Sikhs and Jains had lower rates at 5% and 2%.​
Global Patterns
- Many Muslim-majority countries rank among the poorest, with Somalia at $462 GDP per capita in 2025, followed by Yemen and Syria, due to conflict, weak governance, and resource mismanagement.
- Factors include rapid population growth, low education investment, and inequality, perpetuating cycles in regions like the Islamic world.
- Oil wealth concentration in elites hinders broader development.​
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