New lines, but India still home to biggest chunk of global poor

Starting this month, the World Bank has began reporting poverty rates for all international locations using two new international poverty strains: a lower middle-income line, set at $3.20 per day, and an higher middle-income line, set at $5.50 per day. These are in addition to the principle poverty line of $1.90 per day. The new strains are supposed to serve two purposes. One, they account for the fact that “reaching the same set of functions might want a different set of products and products and services in different international locations” and, in particular, a costlier set in richer international locations. Second, “they enable for cross-country comparisons and benchmarking each inside of and across creating areas”. Using the $1.90 line, the incidence of poverty in lower middle-income international locations is 15.5%, as in opposition to 45.eight% in low-income international locations. However, using the $3.20 line, 46.7% of the inhabitants of lower middle-income international locations is poor. Similarly, for higher middle-income international locations, the proportion of the poor at $1.90 is simply 2.3%, but at $ 5.50 it is 29.2%.