Multidimensional Poverty Index (MPI)

1️⃣ What is the Multidimensional Poverty Index?

The Multidimensional Poverty Index (MPI) measures poverty across multiple dimensions, not just income.

It identifies overlapping deprivations faced by households in:

• Health
• Education
• Living standards

So it captures poverty beyond monetary income.

---

2️⃣ Who Publishes It?

Published jointly by:

United Nations Development Programme (UNDP)
and
Oxford Poverty and Human Development Initiative (OPHI)

Prelims trap:

It is NOT published by World Bank or IMF.

---

3️⃣ Dimensions Used in MPI

MPI uses three dimensions:

Health

• Nutrition
• Child mortality

Education

• Years of schooling
• School attendance

Living Standards

• Cooking fuel
• Sanitation
• Drinking water
• Electricity
• Housing
• Assets

UPSC may ask which indicators are included.

---

4️⃣ India’s Latest Performance

📌 Global MPI Report 2024

India has made significant progress in reducing multidimensional poverty.

Over 400 million people moved out of multidimensional poverty between 2005–06 and 2019–21.

India’s MPI value has declined substantially over time.

UPSC may ask conceptual questions rather than rank.

---

5️⃣ Important Concept

A person is considered multidimensionally poor if deprived in one-third or more weighted indicators.

This is a common conceptual question.

---

6️⃣ Difference: MPI vs Poverty Line

Poverty line:

Measures income or consumption.

MPI:

Measures multiple deprivations simultaneously.

UPSC may frame comparative MCQs.

---

7️⃣ Static Linkage

Relevant themes:

• SDG Goal 1 (No Poverty)
• Human development policies
• Welfare schemes
• Social infrastructure

---

8️⃣ Common Prelims Traps

• Confusing MPI with HDI.

• Thinking MPI measures only income poverty.

• Mixing publisher (UNDP vs World Bank).

• Forgetting 3 core dimensions.

• Assuming MPI uses GDP data.

---

9️⃣ Likely Question Patterns

• Which organisations publish Multidimensional Poverty Index?
• Which dimensions are included in MPI?
• What is the threshold for multidimensional poverty?
• Difference between poverty line and MPI.

---

🔁 Quick Recall Box

✔ Published by: UNDP + OPHI
✔ Measures poverty across health, education, living standards
✔ Uses 10 indicators
✔ Poverty if deprivation ≥ 1/3 indicators
✔ Broader than income poverty