It is true that poverty in India has declined. It has declined in absolute terms to just about 4.62% of the population, a massive step up from the 66% we had at the time of Independence. It is also true that the poverty one got to see some 50 years ago, and even perhaps 30 years ago, is no longer the case in India. Except for the pavement dwellers and beggars at traffic lights, the number of poor who are visible in the streets, shops, markets and public transport are much lower. Even to the naked eye, India’s poor is indeed less than 5% of its people. Today’s people are better dressed and except the technologically challenged elderly people, almost everyone owns a smart phone. Slums are clean, villages are peri urban areas with Amazon deliveries and icecreams. People speak better, read better, and can follow complex written instructions to run mobile phones and laptops. More encouraging is the fact that the distribution of knowledge of new technology crumbles the arrogance of knowing of the older class stratifications. While in olden times, household helpers would ask us to write their bank deposit or withdrawal slips, today it is our domestic servants who help us with glitches in smartphones or wi fi routers. Therefore, the redistribution of technical knowledge that also accompanies the fall in absolute poverty in India, seems to establish very securely the fact that India is overcoming its destitution.
Yet, there are economists and influencers who have presented official data to show that India is still trapped in poverty. The reasons for India’s concerns are the falling share of savings as percentage of GDP, the shrink back of the manufacturing sector, the lack of formal and perhaps even informal employment, the lack of skilled workforce due to the poor standards of education, rising expenses on health and education and the falling consumption of households. However, if the per capita GDP income subjected to the deflators of inflation has not fallen in absolute terms, this might be hasty to comment that India is getting poor. What makes India a possibly poor in future are the falling share of savings as percentage of personal income and the rising share of education and health expenses compounded by unemployment. This means that India is suffering from a want of structured income and employment and for which the possibility of maintaining of net worth of households have come under fire. But is this a correct view of things?
What do we see around us? We no longer find people in tattered clothes, emaciated bodies, we do not hear of people dying from want of medical care, nor do we see dropouts from education. Instead, both education and health business seem to be growing, the real estate market climbs steadily as land prices soar and cities sear into farmlands, expanding suburbs. There does not appear to be poverty at all.
The latest Household survey data by the Government of India shows that the relative inequalities in consumption has declined in both rural as well as urban areas, more for rural India than its cities. Then why do we say that India is poor? We say that India is poor because its economic development and growth is happening in the poor segments. In culture, in education, in healthcare, industry, food systems, transportation, it is the poor person’s growth. Educational institutions are churning out some rote materials called education and no wonder the graduates are not worthy of employment. The footloose educated are thronging to the service sectors such as Swiggy and Zomatoes, Blinkits and Instamarts, delivering needs of simple stuff to simple people. The need for online has increased as the population is increasingly dispersed spatially across the city, far away from its place of work. This reduces the time for shopping for daily provisions and hence the online services. Start ups in Shark Tank are overwhelmingly about banana chips and snacks, or sundry software projects for espionage products like door cameras. Healthcare seems to be conventional, hospitals and packages for surgery. The OTT platforms are replete with cheap dramas of kitsch. All the above are poverty ridden. India’s innovative capital, its administrative and governance capital, its health capital and educational capital are driven by its poor and delivered to its poor. In no sense any aspect of India’s development can add to its assets, tangible or intangible and the slow erosion of savings as percentage of personal income amply reveals that.
Politics of India is also the politics of the poor; it thrives on jealousy and envy of those who have done well, just the immediately well to do. Indians are scared to take on the powerful class, salivating at videos of celebrities and weddings of Ambanis; the target is the better performing classmate, who may be mercilessly ragged and brutally murdered. Indians are also among the world’s highest number who die by suicide, telling us that a falling stock market may not be the only source of despair.
India of the present is the India of the French Revolution, war of classes fought on moral righteously of exploitation and the language of rights. Those who were the middle class intelligentsia of the society find themselves losing their assets and worthiness; those from below are driving the growth engine of the country with talents and knowledge that they know of, learning to do nothing better.

