Countries in South Asia need to develop a common database on best practices in poverty alleviation in order to reduce the incidence of poverty and improve human development, says the report of the Independent South Asian Commission on Poverty Alleviation.
They also need to focus on tapping regional economic opportunities that are largely unexploited, the report adds.
"Poverty has declined, both in terms of depth and severity, but the rate of decline has been modest and disparity has persisted. Rising inequalities have fueled social conflicts," the report says, adding, increasing income inequality is a rising concern for much of the region.
South Asia has made important gains in the fight against poverty, but the Millennium Development Goals of halving the number of poor by 2015 can only be reached by 2025.
Greater economic integration into the world economy has yet to translate into sustained growth for the majority of South Asian countries, it adds.
A comprehensive inventory of best practices and a better understanding of the characteristics that underlie them has been an important lacuna in the various analysis and initiatives on poverty in the region, it says.
The report goes on to add that countries in the region need to mainstream the informal economy, mobilise the poor, focus on sustainable development and on prudent macroeconomics in order to alleviate poverty.
The report has identified a medium-term regional agenda, which focuses on halving poverty by 2010, eradicating malnutrition and ensuring universal food security, putting in place a social security system, halving the number of people without safe drinking water, sanitation and primary education by 2010 and eliminating all forms of trafficking and child labour in the region.
