RURAL DEVELOPMENT Annex-VI

A Presentation on
the Programmes for
Rural Development

By:
Department of Rural Development
Ministry of Rural Development
Government of India
 Mission and Objectives of
the Ministry of Rural Development

• Sustainable and holistic development of rural

India through a multi-pronged strategy,
• Direct attack on poverty by reaching out to the
most disadvantaged sections of the society,
• Creating rural infrastructure for better economic
opportunities and growth, and
• Providing dignified living conditions in rural
areas.
 “Paradigm-shift in Approach”
Programmes of Rural Development…

…aim at Universal …are Demand

Coverage Driven

…are …aim at
Time Empowerment of
Bound the Poor

…follow
Participatory …have built in
Approach Transparency and
Accountability
 Ministry of Rural Development
Strategy and Schemes

Guaranteeing Wage Employment

National Rural Employment Guarantee
Act (NREGA)

Promoting Self Employment

Swaranjayanti Gram Swarozgar Yojana
(SGSY) now being restructured as
National Rural Livelihood Mission
 Ministry of Rural Development
Strategy and Schemes

Ensuring Rural Connectivity

Prime Minister’s Gram Sadak Yojana
(PMGSY)

Facilitating Rural Housing

Indira Awaas Yojana (IAY)

Providing Social Security

National Social Assistance Programme
(NSAP)
 Increasing Budgetary Support for
Rural Development

Funds released for the rural development programmes since 2002-03

Rs. in Crore (Fig. in bracket in billion US$) 67238
(14.01)
50000 42156
(8.78)
45000
40000 30982
27489 (6.45)
35000 (5.73)
30000
18167
18203 19228
25000 (3.79) (40.06)
(3.78)
20000
15000
10000
5000
0
2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09
 Declining Poverty Ratio in India

Poverty Ratio
60
55
50 51
Poverty Ratio (%)

44
40 38
35
30 27.5
20
10 Poverty Ratio

0
1973-74 1977-78 1983 1987-88 1993-94 2004-05

Years

Source : As per NSSO rounds India

 Wage Employment
National Rural Employment Guarantee Act, 2005

An Act to provide for

the enhancement
of livelihood security of
the households in rural
areas of the country
by providing at least
100 days of legally
guaranteed wage
employment in
every financial year to
every household
whose adults volunteer to
do unskilled manual work
 Objectives
National Rural Employment Guarantee Act (NREGA)

Primary:
Supplement employment
opportunities in rural areas

Auxiliary:
Create sustainable livelihoods
through regeneration of
natural resource base – land,
water, forests (“Green Jobs”)

Process outcomes:
Strengthen grass root
democratic processes
 Impact on Poverty

Employment provided to
45 million Households
Major Increase in Wage Income
Reduction in Distress
Migration
Enhanced Food Security
Higher Land Productivity
Increase in Wage Rates
Equal Wages for Men and Women
Improvement in Wage Negotiation Power

Financial Inclusion, 80 million

institutional accounts
Insurance of Wage Earners
Major Safety Net
Annual Budget US $ 8.125 billion
 Self Employment
Swaranjayanti Gram Swarozgar Yojana (SGSY)

Social
mobilization Self Employment
of poor and
Skill Development

Empowerment
of Women
 Key Elements of SGSY

A Self Help Group

(SHG) is formed
with 10-20
members
Habit for saving
is inculcated

Internal lending
is encouraged

Group dynamism
is strengthened
 Outcomes of SGSY
126 Lakhs
(12.6 million)
120 Series1

100

80 71.8 Lakhs
(7.18 million)
60
35 lakhs
40 (3.5 million)

20

SHGs Formed Assisted Assisted

Beneficiaries Women

Investment on SGSY : Rs. 29,200 Crore (US$

6.08 billion) on both credit and subsidy
 Rural Connectivity
Prime Minister Gram Sadak Yojana (PMGSY)

Provision of all-weather road

connectivity to all the habitations
with population of 500 or more
For Hill States, Tribal and Desert
Areas minimum population limit is
250 persons
Up gradation of existing Through
Routes
100% financing by Central Govt.
Maintenance by states
Dedicated implementing machinery
at state and district level
Strong quality assurance mechanism
Online monitoring system
 Achievements in Rural Roads

Objective Indicator Achievements Work in

(up to Sept, 09) progress
Habitations 64,302 30,779
(in Nos.)
New
Connectivity Road Length 1,53,069 88,829
(in km)

Up gradation / Renewal of 1,90,948 77,837

roads
(in km)
 Impact of PMGSY Roads

• Increased market access for farmers

• Improved transport services
• Reduced transportation cost
• Increased non-farm livelihood
opportunities
• Improved access to education and health
facilities
• Direct employment in road construction
 Rural Housing
Indira Awaas Yojana (IAY)

21.2 million houses have been constructed since inception in 1985

- Unit assistance is Rs 35000(US$ 729) for
plain area
- Unit assistance if Rs. 38500(US$ 802) for
hilly areas
Features:
- One of the popular schemes
- Beneficiaries construct houses themselves
- No contractor is involved
- Sanction is in the name of the women
- Earmarking for SC/STs/Minorities
Evaluation studies reveal
- High level of satisfaction
- Positive impact on health and hygiene
- Reduction in poverty and vulnerability
- Multiplier effect on development and
employment generation
 Possible Areas of Cooperation in Rural
Development

• Government of India is willing to fully finance study visits of

senior officials for exchanging best practices in
implementation of rural development programmes
• Training programmes for capacity building of officials may be
organised at National Institute of Rural Development (NIRD),
Hyderabad
• NIRD can provide academic support to other similar
institutions of SAARC countries in various aspects of rural
development
• Fully funded slots for Post Graduate Diploma in Rural
Development Management (PGDRM) course at NIRD,
Hyderabad are offered for SAARC member countries