Health Empirics

India’s commitment to Sustainable Development Goal 1—to end poverty in all its forms— necessitates a multidimensional approach beyond conventional income measures. This study investigates the evolution and determinants of multidimensional poverty in India, analyzing its incidence, intensity, and structural drivers across demographic and social groups using the Alkire-Foster framework. Using data from three National Family Health Survey (NFHS) rounds (2005–06, 2015–16, and 2019–21), the study computes the Multidimensional Poverty Index (MPI) across health, education, and living standard dimensions. Advanced decomposition techniques such as Kitagawa and Blinder-Oaxaca were employed to quantify the relative contributions of headcount ratios, poverty intensity, and socioeconomic characteristics across caste, wealth quintiles, religion, and regions. India’s MPI declined markedly from 0.282 in 2005–06 to 0.066 in 2019–21, driven by reductions in the headcount ratio (52.3% to 14.7%) and moderate improvement in intensity (53.9% to 44.5%). The Scheduled Tribes, children under 14 years, rural households, and females remained the most deprived groups. Decomposition analyses indicated that 85–89% of poverty reduction stemmed from falling headcount ratios, with improvements in endowments especially education, maternal health, and access to assets playing a key role. The nutrition indicator emerged as the single largest contributor to poverty, accounting for over one-third of total deprivations. Despite remarkable progress in reducing multidimensional poverty, substantial intergroup and regional disparities persist. Strengthening nutrition, education, and social inclusion policies is essential for accelerating equitable poverty reduction and achieving sustainable human development in India.