This paper attempts a decomposition analysis of Poverty scenario in UP during 1993-94 and 2004-05. It was found that poverty has decreased but inequality has increased between these years. The main problems in the state are stark inter-region and intra-region differences. A positive observation is that the poorest region in the state, the southern region or Bundelkhand, is making relatively impressive progress in poverty reduction. The study also tries to highlight the way anti-poverty programmes are
generally being implemented in the state.