Causes of urban poverty in India.

by - November 23, 2024

Causes of urban poverty in India.

Write the causes of urban poverty in India.

Write a short note on urban poverty in India.




Causes of urban poverty in India.

There are some differences between urban poverty and rural poverty in India. Since the economy is agricultural in the villages and industrial and non-agricultural in the cities, it is natural that there is a difference in poverty in both places. At present, the number of urban poverty is about 7 crore. This number is very significant in terms of the population of the city. The factors that can be mentioned as the causes of urban poverty in India are -

1. Overpopulation is one of the main causes of urban poverty. Due to excess population, the balance between sources of income and the earning capacity is not maintained. It becomes impossible to create employment opportunities for a large number of unemployed people.

2. A free market economy was introduced in India in the 1990s through globalization and economic liberalization. But the employment opportunities created as a result were not enough to alleviate poverty in India's densely populated cities. On the other hand, globalization increased the consumerism of the urban people and paved the way for increasing poverty.

3. The number of educated unemployed in urban areas is much higher than in rural areas. Due to job-based education, lack of vocational education, lack of proper infrastructure, lack of alternative employment opportunities, etc., the number of educated unemployed in urban areas is increasing.

4. The government has arranged various schemes, loans for small businesses, vocational training programs, etc. for the unemployed youth in urban areas. But they are not enough compared to the need. Although there are government loan schemes, in many cases genuine loan seekers are being deprived due to the strict conditions of the banks.


5. In many cases, due to wrong industrial policies, many industries are running at a loss and employment opportunities in them have been completely closed. Also, due to the government's delay in establishing new industries, new employment opportunities are not being created in the industrial sector.

6. Some unprincipled industries are another reason for creating poverty in urban areas. The industries that cause excessive pollution have been closed by the Supreme Court. Again, in many cases, the owners' attempts to earn extra profits and unprincipled industries are one of the reasons for creating unemployment in urban areas.

7. Most of the industrial sectors in India are far from modernization. Due to traditional production methods, non-use of modern technology, non-continuity of supply according to demand, non-adoption of modern industrial policies, etc., production in industrial centers has decreased significantly and this has resulted in a contraction in employment.

8. Almost every government industrial institution is currently facing losses. Due to negligence of employees, lack of proper policies and initiatives of the government, etc., government industrial centers are on the verge of closing down today and many industrial centers have already closed down. As a result, civil poverty has increased.


9. In many cases, due to long-standing labor movements, trade union movements, lock-outs, retrenchment of workers, etc., on the one hand, many industrial establishments have been closed, and on the other hand, employment opportunities have significantly decreased. In each case, the working class has been affected and unemployment has increased.

10. Products produced in Indian industrial establishments often cannot compete with the quality of international products. As a result, on the one hand, the demand for Indian products is decreasing; on the other hand, the development of Indian industry is being hampered. As a result, unemployment and poverty are increasing in parallel.

11. The number of appointments in the government sector has also decreased significantly. Especially in the last two decades, the number of appointments in the government sector has decreased significantly. There are many government agencies where appointments have completely stopped. As a result, employment opportunities have decreased and the number of educated unemployed has increased.

12. Inflation has deeply affected urban poverty. In urban areas, on the one hand, the cost of living has increased, on the other hand, income has decreased and sources of income have narrowed. People are failing to meet their minimum needs. Although globalization and free market economy have provided some benefits, in reality, they have increased the disparity between the rich and the poor and made people helpless.

Many more factors can be mentioned as the reasons for the increase in urban poverty in India. For example, political dishonesty, lack of effective government policies, dishonesty in business, nefarious alliances of the government with some business organizations, excessive dependence on the employment of educated people, infrastructural problems, corruption in all fields - etc. Various factors directly or indirectly affect urban poverty in India.

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