Urban Poverty versus Rural Poverty in India

Earlier, poverty was only looked upon as a rural phenomenon. However, India faces problem of both rural poverty as well as urban poverty. This was one of the grounds on which Rangarajan Committee reported on urban poverty and rural poverty separately and did not construct a same basket like the Tendulkar Committee.

Income poverty is defined as not having enough money to provide basic food, shelter or clothing. The cumulative harmful effects of poverty include greater exposure to environmental toxins such as, alcohol, tobacco and lead, less nutrition, excessively crowded and noisy living arrangements, less parental involvement in school, less cognitive stimulation, residential instability, negative, harsh and unresponsive parenting, exposure to aggressive peers, family instability and divorce, lack of parental monitoring, lack of maternal emotional support and weaker social ties.

In rural areas, there is less sophisticated medical care, the towns are spread out, further away from intervention services and often there is little to no public transportation. People living in these areas are less likely to have strong academic backgrounds- they may not have graduated from high school.

The International Monetary Fund (IMF) states that poverty involves deprivation, vulnerability and powerlessness. These characteristics are felt by some immensely and by some in a mild form.

The IMF in 2014 had stated that 63 percent of the world’s impoverished live in rural areas. Education, health care and sanitation are all lacking in rural environments. This all causes rural poor to move to cities, which further leads to a phenomenon of urban poverty.

The pay in rural areas is low and erratic. The rural poor often suffer more than the urban poor because public services and charities are not available to them.

Several factors tend to perpetuate rural poverty. For example, political instability and corruption, customs of discrimination, unregulated landlord/tenant arrangements and outdated economic policies often make it impossible for the rural poor to rise above poverty lines.

The World Bank had found that urban populations in developing countries is growing rapidly. Residents of rural areas flock to cities for the perceived wealth of economic opportunities, but often, those dreams fall short. This leads to urban poverty, crime, development of slums, trafficking, etc.

Also in urban areas the jobs require certain skills which the migrants from rural areas usually lack. This further deteriorates their conditions. Their dreams fall short and the vicious cycle of poverty perpetuates.

Without an income, the urban poor often find themselves in inadequate housing with poor safety and sanitation. Additionally, health and education packages are limited. Crime and violence are also much more rampant in urban settings than in rural ones, threatening the authority of law enforcement and the peace of mind of city dwellers.

The World Bank Group adopted two goals that will drive its work going forward: ending extreme poverty by 2030 and promoting shared prosperity for the poorest 40 percent in developing countries. However, for this dream to be a reality, within the national borders, the urban poverty and rural poverty must end.

Therefore, it can rightly be said that poverty is urbanising and is no longer limited to rural boundaries.

Government’s efforts through National Rural Livelihoood Mission which is targeting the rural poor and National Urban Livelihood Mission which targets the urban poor need to be channelized more vigorously and poverty must be destroyed.


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