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Presentation on Swarnjayanti Gram Swarozgar Yojana (SGSY)/ National Rural Livelihoods Mission (NRLM)

Presentation on Swarnjayanti Gram Swarozgar Yojana (SGSY)/ National Rural Livelihoods Mission (NRLM). S.G.S.Y - 1999: a holistic programme covering all aspects of self-employment Implemented in all the States/UTs except Delhi & Chandigarh Main Achievements since inception

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Presentation on Swarnjayanti Gram Swarozgar Yojana (SGSY)/ National Rural Livelihoods Mission (NRLM)

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  1. Presentation on Swarnjayanti Gram Swarozgar Yojana (SGSY)/ National Rural Livelihoods Mission (NRLM)

  2. S.G.S.Y - 1999: a holistic programme covering all aspects of self-employment • Implemented in all the States/UTs except Delhi & Chandigarh • Main Achievements since inception • 38.9 lakh SHGs formed • 1.47 crores Swarozgaris assisted financially with bank credit & subsidy S.G.S.Y - Status

  3. Credit mobilization: from Rs.1100 crore in 1999-00 to over Rs.4450 crores in 2009-10 • Per capita investment: from Rs.17000 in ’99 to Rs. 31800 in ’09 • Skills and placement projects: About 1.72 lakh beneficiaries trained & 1.35 lakh placed S.G.S.Y - Status

  4. Progress : S.G.S.Y – 2009-10

  5. Shortcomings experienced during implementation • Feedback from key stakeholders • Large scale initiatives of some states • Recommendations of various studies • Steering Committee constituted by the Planning Commission for the 11th Plan • Recommendations of Prof. Radhakrishna Committee Need for restructuring

  6. Building institutions of poor critical to address poverty holistically • Even the poorest family can come out of abject poverty , in 6 - 8 years provided they are: • organized, build and nurture own institutions • provided continuous handholding support • able to access thrift and credit in repeat doses, for meeting varied priority requirements • minimum Rs.1.0 lakh per family required Key lessons from large scale Experiences 6

  7. Institutions of poor – greatest source of strength for the poor • Poor to drive all project initiatives – poor can best be reached through empowered poor • Role of project staff and N.G.Os – redefining required – as facilitators of the process for enabling emergence of community resource persons Key lessons from large scale Experiences 7

  8. Sustainable livelihoods for the rural poor through social mobilization and institution building National Rural Livelihoods Mission: Goal - POVERTY ELIMINATION 8

  9. Two major livelihoods streams: • accessing and optimizing self employment opportunities, and, • accessing skilled wage employment opportunities in growing sectors of the economy National Rural Livelihoods Mission 9

  10. Poor have a strong desire to come out of poverty, and, have innate capabilities • Social mobilization and building strong institutions of the poor critical for unleashing their capabilities • Dedicated and sensitive support structure required to induce social mobilization Guiding principles 10

  11. NRLM Livelihood Services Financial & Capital Services Production & Productivity Market Linkages Institutional Platforms of Poor (Aggregating and Federating Poor, Women, Small & Marginal Farmers, S.Cs and S.Ts) Dedicated Support Institutions (Professionals, Learning Platform M & E Systems) Human and Social Capital (Leaders, CRPs, Community Para- Professionals) Last Mile Delivery of Public Services Access to Entitlements INNOVATIONS Building Enabling Environment Partnerships and Convergence

  12. Saturation approach • One member from each household, preferably a woman, would be organized into a S.H.G • All villages, blocks and districts – in a phased manner • Focus on most vulnerable: SC/ST, PVTGs, minorities, women headed households • Special focus on states with large tribal population and LWE districts Salient Features: Universal social mobilisation

  13. Formation, nurturing - SHGs and their Federations at village, block and district level • Other collectives – livelihoods organisations • Institutional platform to provide space, voice and resources for the poor • Best done through community resource persons, federations of the poor Institution building

  14. Continuous capacity building – key to strong institution building and empowerment • Multi-pronged approach • Knowledge dissemination to all members • Most effective training – at village level • Creating a cadre of trainers, service providers, Community Resource Persons (CRPs) and Master Craftsmen • Network of training institutions for capacity building at districts and State level capacity building

  15. Access to credit key to coming out of poverty. Out of Rs.100,000 per family required – around 90% has to come from financial institutions • Strategic partnerships with banking sector • Leverage IT and business correspondents models • Facilitation support: ‘Bank Mitras’ • Financial literacy and financial counseling • Interest subsidy on loans to SHGs • Micro insurance to cover life, health and assets Building pro-poor financial sector

  16. 2 major livelihoods – account for 80 – 85 % of the incomes of the poor – agriculture and livestock • Promote end-to-end solutions, covering the entire value chain • Promote community managed sustainable agriculture – for food security and for secure livelihoods KEY Livelihoods promotion

  17. Up-scaling of Skill development through public-private partnerships • 15% of allocation for placement linked skill development projects • 50% of the funds for projects transferred to States for inter district projects • Clear focus on placement • 60 lakh skilled jobs for rural poor in 7 years planned skill development and placement

  18. Self employment and micro enterprise development • Entrepreneurship development among local youth to generate in situ employment • 60 – 70 lakh micro-enteprises • Successful RUDSETI model will be replicated

  19. Establishment of RSETIs and their effective functioning • Plan to set up 500 Rural Self Employment Training Institutes (RSETIs) • Bank led institutes. MoRD grant Rs.1 crore for building, and, reimbursement of training cost for BPL candidates. • State Government would provide land free of cost.

  20. Establish healthy relationship between institutions of the poor and the PRIs – based on mutual respect and understanding • Institutions of the poor have a regular dialogue with PRIs, provide all information to them, and, actively participate in the Gram sabhas • PRIs understand the role that S.H.Gs and federations play in the life of the poor, and, include pro-poor initiatives in their plans LINKAGE WITH PRIs

  21. N.G.Os – pioneers in the country in grassroots social mobilisation, building institutions of poor • Partnership based on: mutual respect, core principles of NRLM, accountability to institutions of the poor, outcomes based • Learn from best practices of N.G.Os • Strengthen social capital created and nurtured by them • Resource villages and resource blocks – for mentoring other blocks and districts • Pilots for innovations PARTNERSHIPS: N.G.O

  22. Industry/ Industry associations: • Livelihoods promotion – forward and backward linkages • Skills and placement • Academic institutions • Capacity building of development professionals, village level community professionals • Evaluations and mid-course corrections PARTNERSHIPS

  23. Formation of S.H.G – Rs.10,000 per S.H.G • Revolving fund: Rs. 10,000 to Rs. 15,000 per SHG equivalent to corpus of SHG • Capital Subsidy: Max Rs. 2.50 lakh per SHG calculated @ Rs 15,000 for general and Rs 20,000 for SC/ST per Swarozgari • RF and Capital subsidy - directly to SHGs or through their federations Financial NORMS

  24. Capacity building, skills training: Maximum of Rs 7500 per Swarozgari • Interest subsidy: Difference between PLR and Rs 7% per annum interest rate • Corpus fund for federations • Rs 10,000 at Village/Panchayat level • Rs 20,000 at Block level • Rs 100,000 at District level Financial norms

  25. Extensive use of I.T for transparency and real time monitoring • Accountability Systems • Regular meetings of S.H.Gs and federations – financial transactions read out in the meeting • Social audit for transparency and accountability Accountability

  26. Computerised MIS • Periodic monitoring by teams of experts visiting states • Baseline and impact evaluation by independent agencies • Large scale independent study – panel data - monitoring same households, once a year over 10 years RESULTS MONITORING

  27. Thank you

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