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Data InsightsThe latest World Bank data counts 125 million more people as living in extreme poverty — but the world has not gotten poorer

The latest World Bank data counts 125 million more people as living in extreme poverty — but the world has not gotten poorer

A line graph titled "A comparison of World Bank estimates of extreme poverty" illustrates the global number of people living in extreme poverty. The x-axis represents the years from 1990 to 2024, while the y-axis indicates the number of people in billions, ranging from 0 to 2.5 billion. 

Two distinct lines are present: one in dark brown representing the previous estimates using a poverty line of $2.15 per day measured in 2017 prices, and another in blue for the latest estimates utilizing a new poverty line of $3 per day measured in 2021 prices. The brown line trends downward, starting around 2 billion in 1990 and reaching 692 million in 2024. The blue line, starting slightly higher at roughly 2.3 billion, shows a similar decline, reaching 817 million in 2024. The difference between the lines — 125 million — indicates the increase in the estimated number of people living in extreme poverty due to the new measurement criteria. 

The note at the bottom indicates that data has been adjusted for inflation and differences in living costs using international dollars from 2017 and 2021. The data source is cited as the World Bank Poverty and Inequality Platform, and the graph includes a copyright notice for "CC BY."

To track progress towards ending extreme poverty, the United Nations relies on World Bank estimates of the number of people living below a poverty threshold called the “International Poverty Line” (IPL).

In June 2025, the World Bank announced a major change to this line, raising it significantly, from $2.15 to $3 per day. As a result, 125 million people who would not have been counted as extremely poor before June are now included.

The increased IPL and the higher poverty estimates are due to a mix of overlapping changes, which we explained in a recent article.

Two things are particularly important to know.

First, the higher estimates of extreme poverty reflect a higher poverty threshold, not that the world is poorer. In fact, the latest data shows that incomes among the world’s poorest are actually higher than previously estimated.

Second, the overall message is the same whether we look at the new or previous estimates. Progress in recent decades has been enormous: well over a billion people have escaped extreme poverty since 1990. But this progress has now stalled. Incomes are stagnant in the places where most of the world’s poorest live. Unless this changes, hundreds of millions of people will be stuck in extreme poverty for years to come.

Read our complete explainer on the new International Poverty Line and World Bank poverty data

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