Kerala Declares End to Extreme Poverty
State achieves 2021–25 eradication goal through data-driven, community-led governance model.

The Kerala government on 1 November 2025 announced that the state has successfully eradicated extreme poverty. This will be a key milestone in India’s social transformation journey. The Extreme Poverty Eradication Project (EPEP), launched in 2021 by the Government of Kerala, was an ambitious one, promising the eradication of extreme poverty by November 2025. And, remarkably, it has been delivered on time.
Kerala’s effort to eliminate extreme poverty started long ago. In 2007, the state came up with the Ashraya project, led by Kudumbashree, Kerala’s poverty eradication and women empowerment programme. It sought to support the most underserved families through local self-governments. While the programme won national recognition, reports state that the programme was hampered by issues of selection, implementation, and insufficient follow-up. EPEP learned from the experiences of Ashraya and it worked on the identification processes, involved community networks, and ensured regular oversight from the Chief Minister’s office.
The EPEP’s Approach
The EPEP started with the identification of extremely poor households and individuals in the households. The government then reached out to over 118,000 households across the state. Through a participatory process followed by scientific validation involving ward-level committees, local self-governments, and Kudumbashree networks, 1,03,099 individuals from 64,006 households were identified as living in extreme poverty.
What differentiates EPEP from other poverty alleviation programme is that it came up with significant budget allocation including CSR funds and land donation drives, customized support plan for each household and even individuals, if needed. Household-based micro-plans were prepared to address each household’s specific needs and aspirations. These micro-plans covered housing, livelihoods, health, education and food and nutritional security. These were then approved at the ward level and integrated into local government sub-plans.
The project’s design also ensured that no department worked in isolation. Kudumbashree networks, panchayats, and community resource persons worked for each household’s progress. The Chief Minister’s office and the Local Self-Government Department monitored implementation regularly. The Dharmadam constituency became the first to declare itself extreme-poverty-free, providing a model for other regions to follow.
Why It Worked
Kerala’s success rests on four key pillars.
The first is a strong institutional will. The Chief Minister’s regular reviews kept departments and local bodies accountable. At the same time there were dedicated budget allocations of Rs. 50 crore each in 2023–24 and 2024–25 financial years for EPEP implementation.
The second is recognizing the power of local governance. Kerala’s panchayats and Kudumbashree units played a central role in identifying and mentoring households regularly till they came out of extreme poverty.
The third is scientific validation. The project used structured data tools, mobile-enabled surveys, and ward-level audits to verify household status and progress, improving accuracy and transparency in selection.
And finally, EPEP addressed multiple deprivations together. It did not only work on income poverty, it also worked on housing, food, nutritional security and health services.
Lessons for Other States
Kerala’s achievement comes at a time when India’s overall poverty levels are falling. According to NITI Aayog’s National Multidimensional Poverty Index (2023), the state of Kerala already had the lowest MPI score (0.55%) among other Indian states, followed by Goa (0.84%) and Tamil Nadu (2.20%).
National Rural Livelihoods Mission (NRLM) is working with the state governments in states such as Karnataka, Tamil Nadu, Maharashtra, Chhattisgarh, and Telangana to eradicate extreme poverty. Civil society organizations like BRAC International, PRADAN, The Nudge Institute, Trickle Up, and the Aga Khan Foundation (AKF) are engaged in various capacities in this effort at national or state level. Their experience in participatory identification processes, community mobilization, livelihood planning and implementation, and social protection will be crucial for enriching this programme.
Beyond the Milestone
Kerala’s announcement has to be celebrated as a milestone. But as many scholars and practitioners shared, declaring a state as extreme poverty-free is not the end of the struggle. Poverty is dynamic and vulnerability and poverty are often intertwined. Households can slip back into extreme poverty due to illness, job loss, or climate shocks. Proper systems and processes have to be in place to monitor and support households that are on the edge. It is essential to ensure the inclusion of male-only and elderly households within the Kudumbashree fold. Independent third-party evaluations can help identify potential gaps and offer valuable insights to sustain and strengthen poverty alleviation programmes.
Still, what Kerala has achieved is remarkable. It shows that extreme poverty can indeed be eradicated with political will, data-driven governance, and community participation. It also reinforces a larger truth that when government systems and people’s networks work in tandem, the idea of “Leaving no one behind” can move from vision to reality.
The article is authored by Dibyendu Chaudhuri, Integrator and Iqra Khan, Program consultant, PRADAN.

