What indicators differentiate NITI Aayog's National MPI from the Global MPI?

Comparative
~ 5 min read

Of course. This is an excellent and highly relevant question for the UPSC examination, as it touches upon the nuances of poverty measurement, a core theme in Social Development. Let's break down the differences between the two Multidimensional Poverty Indices.

The Global Multidimensional Poverty Index (MPI) is a globally recognised benchmark developed by the Oxford Poverty and Human Development Initiative (OPHI) and the United Nations Development Programme (UNDP). In contrast, India's National MPI is an adaptation of this global framework, customised by NITI Aayog to reflect India's specific national priorities and policy landscape. The primary goal of the National MPI is to provide a more granular tool for targeted policy interventions and to track progress at the state and district levels.

Comparison of Indicators: National MPI vs. Global MPI

The core difference lies in the specific indicators used under the broader dimensions of Health, Education, and Standard of Living. While the dimensions and their weights are identical (1/3 each), the indicators within them are not.

Dimension (Weight)Global MPI Indicator (Weight)National MPI Indicator (Weight)Key Difference
Health (1/3)1. Nutrition (1/6)1. Nutrition (1/6)Same
2. Child & Adolescent Mortality (1/6)2. Child & Adolescent Mortality (1/18)Same concept, different weight
3. Antenatal Care (1/18)New Indicator (National MPI only)
4. Maternal Health (1/18)New Indicator (National MPI only)
Education (1/3)5. Years of Schooling (1/6)5. Years of Schooling (1/6)Same
6. School Attendance (1/6)6. School Attendance (1/6)Same
Standard of Living (1/3)7. Cooking Fuel (1/18)7. Cooking Fuel (1/21)Same concept, different weight
8. Sanitation (1/18)8. Sanitation (1/21)Same concept, different weight
9. Drinking Water (1/18)9. Drinking Water (1/21)Same concept, different weight
10. Housing (1/18)10. Housing (1/21)Same concept, different weight
11. Electricity (1/18)11. Electricity (1/21)Same concept, different weight
12. Assets (1/18)12. Assets (1/21)Same concept, different weight
13. Bank Account (1/21)New Indicator (National MPI only)

Key Differences Explained

The customisation of India's National MPI is a deliberate policy choice to align the index with national development goals and flagship schemes.

  1. Inclusion of New Indicators: The National MPI introduces two crucial indicators not present in the Global MPI:

    • Maternal Health: A household is deprived if any woman aged 15-49 who has given birth in the 5 years preceding the survey did not receive at least four antenatal care visits for the most recent birth or did not receive assistance from trained health personnel during the most recent delivery. This aligns with the goals of the Janani Suraksha Yojana (JSY) and the broader National Health Mission (NHM).
    • Bank Account: A household is considered deprived if no member has a bank or post-office account. This directly measures the success of the Pradhan Mantri Jan Dhan Yojana (PMJDY), a cornerstone of India's financial inclusion drive. As per the PMJDY website, over 52.5 crore beneficiaries had been banked under the scheme as of May 2024.
  2. Splitting of the Health Dimension: The Global MPI uses two indicators for health: Nutrition and Child Mortality. The National MPI expands this to four indicators. It retains 'Nutrition' and 'Child & Adolescent Mortality' but adds 'Maternal Health' and 'Antenatal Care'. This provides a more detailed view of health deprivations, particularly concerning maternal and child health, which are critical focus areas for India.

  3. Data Source Alignment: The National MPI exclusively uses data from the National Family Health Survey (NFHS). The latest NITI Aayog report, "National Multidimensional Poverty Index: A Progress Review 2023," uses data from NFHS-4 (2015-16) and NFHS-5 (2019-21) to measure changes over time. This ensures consistency and reliability within the Indian context. For instance, this report highlighted that 13.5 crore people exited multidimensional poverty between these two survey periods.

  4. Purpose and Granularity: The Global MPI is designed for cross-country comparisons. The National MPI, however, is a policy tool for internal use. Its primary function is to provide disaggregated data at the state, Union Territory, and district levels, enabling targeted interventions. It acts as a monitoring mechanism for India's progress towards Sustainable Development Goal (SDG) 1: End poverty in all its forms everywhere.

UPSC Angle

For the Civil Services Examination, examiners are not just looking for a rote list of indicators. They expect you to understand the 'why' behind the differences.

  • Policy Linkages: Your answer must connect the new indicators (Maternal Health, Bank Account) to specific government schemes (NHM, PMJDY). This demonstrates an understanding of how measurement tools are linked to policy implementation and evaluation.
  • Cooperative Federalism: Mentioning that the National MPI provides state and district-level rankings highlights its role in fostering competitive and cooperative federalism. States are encouraged to improve their social indicators, leading to better governance.
  • Beyond Income Poverty: Emphasise that both indices represent a shift from traditional income-based poverty lines (like the Tendulkar or Rangarajan committee methodologies) to a more holistic, multidimensional approach. The National MPI is India's institutionalisation of this modern perspective.
  • Data-Driven Governance: Frame the National MPI as a prime example of evidence-based policymaking. It allows for precise identification of the most deprived regions and social groups, ensuring that welfare schemes are better targeted and more effective.

A strong answer will synthesise these points, showing that the National MPI is not just a statistical exercise but a strategic instrument for accelerating social development and achieving inclusive growth in India.

economy poverty social sector poverty measurement and committees multidimensional poverty index
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Poverty and Social SectorPoverty Measurement and CommitteesMultidimensional Poverty Index (MPI)