India has climbed to the fourth position worldwide in terms of income equality, according to the World Bank database, as reported by the Press Information Bureau (PIB). The country’s Gini Index score now stands at 25.5—placing it just behind the Slovak Republic (24.1), Slovenia (24.3), and Belarus (24.4). The Gini Index, which measures how evenly income is distributed across a nation’s population, ranges from zero (perfect equality) to 100 (extreme inequality). With its latest score, India falls within the “moderately low inequality” range and is nearing the “low inequality” category.
This achievement highlights India’s continued progress in promoting balanced economic development, especially given its vast population and socio-economic diversity. The improvement is significant when compared to 2011, when India’s Gini score was 28.8.
The World Bank’s Spring 2025 Poverty and Equity Brief noted a remarkable decline in poverty over the past decade. Roughly 171 million Indians have exited extreme poverty, defined as living on less than $2.15 per day. In 2011–12, 16.2% of the population fell under this threshold. By 2022–23, that number had dropped dramatically to just 2.3%. When measured against a slightly higher poverty line of $3.00 per day, the poverty rate now stands at 5.3%.
Key to this shift has been India’s combination of strong economic growth and targeted social initiatives. Several government programs have made widespread impact. More than 556.9 million Jan Dhan bank accounts have expanded financial inclusion. The Aadhaar system has issued over 1.42 billion digital identity cards, streamlining access to public services. Meanwhile, the Direct Benefit Transfer (DBT) mechanism has eliminated inefficiencies, saving an estimated $40.60 billion (Rs. 3.48 trillion) by transferring benefits directly to citizens.
Flagship schemes such as Ayushman Bharat (healthcare), PM Garib Kalyan Anna Yojana (food security), Stand-Up India (entrepreneurship), and PM Vishwakarma Yojana (artisan empowerment) have played essential roles in reducing inequality by uplifting vulnerable populations and improving access to essential services.
India’s advancement in the Gini Index illustrates not just the success of these policies, but a broader shift toward inclusive economic development, reaffirming its commitment to leaving no citizen behind on the path to prosperity.
