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Uttar Pradesh was once among the fastest growing regions in India but later it sank into sea of underdevelopment. Being the most populous state in India, a high incidence of poverty in Uttar Pradesh translates into high poverty for India. This study is an attempt to analyze the poverty and inequality situation in Uttar Pradesh using the 50th and 61st rounds of NSS-data. It also attempts to peek into the plausible causes for this development inertia prevalent in Uttar Pradesh.