Context: India ranked 132 out of 191 countries in the 2021 human development index, according to a report released by the United Nations Development Programme (UNDP).

Key Findings related to India

• India ranks 132 out of 191 countries in the Human Development Index (HDI) 2021, after registering a decline in its score over two consecutive years for the first time in three decades.

• In the 2020 report, India had ranked 131st among 189 countries and territories. The decline in the country’s performance from its previous level was on account of a fall in life expectancy.

• The drop is in line with the global trend since the outbreak of COVID-19 during which 90% of the countries have fallen backward in human development.

• Like global trends, in India's case, the drop in HDI from 0.645 in 2019 to 0.633 in 2021 can be attributed to falling life expectancy - 69.7 to 67.2 years. 

• Although India retained its 132nd position in the Gender Development Index, the female life expectancy dropped from 71 years in the 2020 report to 68.8 years in the 2021 report.

• The mean years of schooling for females declined from 12.6 to 11.9 years in the corresponding period.

• India's expected years of schooling stand at 11.9 years, and the mean years of schooling are at 6.7 years.

• India scored 0.123 in the Multi-Dimensional Poverty Index (MPI) with a headcount ratio of 27.9 per cent, with 8.8 per cent population reeling under severe multidimensional poverty. Over the last decade, India has lifted a staggering 271 million out of multidimensional poverty

• However, the United Nations Development Programme (UNDP) report said India’s policies on the 3Is (investment from renewable energy to preparedness for pandemics; insurance including social protection; and innovation) hold promise for the rest of the world.

• The country is improving access to clean water, sanitation and affordable clean energy.

• India has also boosted access to social protection for vulnerable sections of society, especially during and after the pandemic, with a 9.8% increase in the budgetary allocation to the social services sector in 2021-22 over 2020-21.

• India’s international contributions to sustainable development continue to grow. India is a champion of South-South cooperation and emerged as a major global supplier of Covid-19 vaccines and medicines.

Global Trends

• Among India’s neighbours, Sri Lanka (73rd), China (79th), Bangladesh (129th), and Bhutan (127th) are ranked above India, while Pakistan (161st), Nepal (143rd), and Myanmar (149th) are worse off. 

• For the first time, the HDI has declined for two years in a row, with 90% of countries registering a decline in their HDI value in 2020 or 2021, in the face of multiple crises like Covid-19, the war in Ukraine, and dangerous planetary changes. 

• The report notes that people across the globe are feeling more distressed and insecure about their lives and the future, in the wake of the Covid pandemic.

• A large contributor to the HDI’s recent decline is a global drop in life expectancy, down from 72.8 years in 2019 to 71.4 years in 2021.

• While perceived insecurity is higher in low and medium HDI countries, some of the largest increases in feelings of insecurity are in very high HDI countries. Ethnic minorities of both sexes were severely affected in the United Kingdom, with the largest increase in mental distress among men with a background from Bangladesh, India or Pakistan.

About HDI

• Pakistani economist Mahbub -ul-Haq developed Human Develo­pment Index (HDI) with the objective — “people are the real wealth of nations”. 

• The HDI measures progress on 3 key dimensions of human development - a long and healthy life, access to education and a decent standard of living. 

• It is calculated using 4 indicators, which include life expectancy at birth, average years of schooling, expected years of schooling and gross national income per capita.

Road Ahead

• The world is scrambling to respond to back-to-back crises. We have seen with the cost of living and energy crises that, while it is tempting to focus on quick fixes like subsidizing fossil fuels, immediate relief tactics are delaying the long-term systemic changes we must make.

• India is bridging the human development gap between men and women faster than the world. This development has come at a smaller cost to the environment. India's growth story reflects the country's investments in inclusive growth, social protection, gender-responsive policies, and push towards renewables to ensure no one is left behind.