Where India’s economy is getting better with every passing year, we are just looking at one side of the picture and not at what is really going on behind the scenes. You see, among all the states of the country, there are a few that are absolutely thriving in terms of per capita income, but there are others that are really struggling and have been struggling for decades now. Let’s have a look at which are the top 5 poorest states in India as of 2025, and see what could be the possible reasons behind that. Alright, here we go now.
1. Bihar
Bihar is still the poorest state in India in 2025 and sure enough, it shouldn’t be a surprise for you to know that it makes only 39.2% of its per capita income of the national average. To talk about the severity of the income levels of people here, you see, nearly 51.91% of the population of the state is surviving below the poverty line. What are the reasons though? Well, the state’s dependence on farming combined with kinda weak industrial growth limits its economic development. Not just that though, Bihar, on the other hand, has issues of low literacy, insufficient healthcare, and poor infrastructure.
2. Jharkhand
You may know Jharkhand as this state where a lot of mineral reserves of the country are, but looking at the per capita income of the people here, it sure is the 2nd poorest state in the country as of 2025. Just so you know though, around 42.16% of its population is under the poverty line. But how does that even happen when this state has so many mineral reserves? Well, the state, however, is torn apart by poor infrastructure, lack of industrialization, and low employment opportunities. Poor health and education down here is another big reason why this state is not thriving. The government has tried to initiate a lot of different programs to help solve these problems, but so far, we haven’t seen a significant change.
3. Uttar Pradesh
Next on the list, Uttar Pradesh is a state of India that has the highest population, with 37.79% of its people living below the poverty line. Like, even though it has a huge population and is located in a strategic region, the economic development is not balanced, and rural areas are way behind urban areas, you know? Things like, impassable roads, high malnutrition rates, and poor-quality healthcare services are still serious problems. There are tons of problems in this state, everything from child marriage, and education, to healthcare and all, and those are kinda the roadblocks for the growth.
4. Chhattisgarh
Yet another state in India that is rich in resources but has a high poverty rate, with nearly 39.93% of its people living below the poverty line, is Chhattisgarh, can you even believe that? You see, much of the state’s economy depends on agriculture and mining, but the absence of the necessary diversification is a constraint to growth. Mostly basic infrastructures such as electricity and clean water in the areas of the Chhattisgarh countryside are not present and health and education quality are low, and those are major issues here. As a resource-rich state of the country, at least they should have decent per capita income but it is not like everything is drained out of this state, making other states richer.
5. Arunachal Pradesh
Last on the list, you see, Arunachal Pradesh is the state that ranks one of the lowest income levels in India, with 34.67% of its population below the poverty line. Just so you know though, the state’s isolation and the lack of connectivity are the two major barriers to economic development. It just doesn’t end there, you see, besides the rather mediocre performance of education, health, and infrastructure, the aforementioned are counted among the reasons for moderate struggles.
Conclusion
There you have it. These are actually the poorest states in India right now, and people living here are among the most poor demographic in the country. We have seen some regime and other changes in the last few years or so, but we’d have to wait to see the actual data on that like how much that has had an impact.
