Kerala is poised to declare itself free of extreme poverty by November 1, 2025, becoming the first Indian state to achieve this milestone. This accomplishment follows the launch of the Extreme Poverty Eradication Programme (EPEP) in 2021, a comprehensive initiative aimed at uplifting families outside the government's support system. The state's Local Self Government (LSG) department has been spearheading the EPEP with the support of various government departments.
M.B. Rajesh, Kerala's Minister for Local Self-Governments, stated that the EPEP has successfully uplifted 93% of the 64,006 identified families living in extreme poverty. These families, comprising 103,099 individuals, were found to be lacking adequate income, food, healthcare, and shelter. The minister noted that this initiative might be the first of its kind globally, besides efforts in China.
The EPEP distinguishes itself through its adoption of the Multidimensional Poverty Index (MPI) framework, which considers factors beyond income, such as food, shelter, health, and overall well-being. Instead of relying on abstract poverty lines, the government conducted local-level surveys through Kudumbashree and panchayats to identify households facing extreme deprivation. Kudumbashree, Kerala's flagship program for poverty eradication and women's empowerment, operates as a community network with a three-tier structure. Over 1.4 million people, including Kudumbashree members, ASHA workers, Anganwadi workers, and community organizations, participated in identifying marginalized individuals previously overlooked by existing systems.
Following the surveys, individual micro-plans were created for each identified household, addressing specific needs such as housing, healthcare, employment, and education. These plans ensure that relevant departments can act swiftly to provide necessary assistance. The government has also pooled funds from corporate social responsibility initiatives and land donation drives to support the EPEP.
Kerala has a history of progressive reforms and consistently outperforms the national average in human development indicators. The state achieved near-universal literacy in 1991 and boasts a 96.2% literacy rate today, the highest in India. Its high Human Development Index (HDI) of 0.784 in 2022 rivals that of countries like Sri Lanka and Thailand.
According to the NITI Aayog's National Multidimensional Poverty Index (MPI) 2023, Kerala has the lowest multidimensional poverty headcount ratio at 0.55%, compared to the national average of 14.96%. This success is attributed to the state's progressive policies, including land reforms, universal education, accessible healthcare, decentralization of power, social security initiatives, public distribution systems, and women's empowerment.
The state government allocated ₹52.8 crore out of a ₹60 crore budgetary allocation in 2025 to provide safe shelter for extremely poor families. They are ensuring uninterrupted food and healthcare access through the joint efforts of the State government and local bodies for families who lacked these essential services. Essential documents were provided to 21,263 individuals. Additionally, 4,359 out of 5,350 families struggling to earn an income have received assistance to engage in income-generating activities through Kudumbashree, local self-government institutions, and other departments.
While Kerala has made remarkable progress, challenges remain. A 2024 study highlighted that nearly one-third of extremely poor households were pushed back into poverty due to unforeseen circumstances such as the death of an earning member or severe health emergencies. The study emphasized the need for proactive identification of at-risk households and the establishment of distress relief funds to prevent such setbacks.
