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Poverty Alleviation Policies and Programs in India

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Poverty Alleviation Policies and Programs - Plans Introduced by Government

Have you ever wondered about the lives of those 12 million people who sleep under the sky every night with an empty stomach? Since Independence, the planning commission and the government of India have worked towards the eradication of poverty from the nation. The fifth five-year plans have been formulated with the major goal of alleviating poverty with the slogan - ‘Garibi Hatao’. 


The very first Sustainable Development Goal has been formulated with the idea of SDG1: No Poverty. Considering the importance and need of the society and to take India from a third (developing) World to a state of the first World (developed), the government has been coming up with various poverty alleviation policies and programs. 


This section discusses the programs and initiatives taken by the government to remove the burden of poverty. A student needs to understand the poverty alleviation policy and remember the plans for an in-depth understanding of procedures.


Key Learnings from the Chapter:

  • What is Poverty?

  • Plans introduced by the Government for Poverty Alleviation

  • What is the need for Poverty alleviation? 

  • Reason for the inefficiency of Poverty alleviation programs and policies

  • Frequently Asked Questions


What is Poverty?

According to the World Bank, “Poverty is hunger. Poverty is a lack of shelter. Poverty is being sick and not being able to see a doctor. Poverty is not having access to school and not knowing how to read. Poverty is not having a job, it is fear for the future, living one day at a time.


In other words, in addition to lack of money, poverty is the incapacity of a person to participate in recreational activities, incapacity to educate their children, incapacity to get an appropriate healthcare facility. To overcome these challenges, the Government has formulated the poverty alleviation program. 


Plans Introduced by the Government throughout these Years

To discuss the government policies in eradicating poverty, a student must know the names of programs introduced. They must know the functions of each of these acts to have all-around information and knowledge.


Some of the renowned policies of poverty alleviation programs in India 2019 are -

  1. National Rural Employment Guarantee Act

This scheme is well known as NREGA aims to help the poor and BPL by promoting growth and development. It aids an individual by enhancing the general living standards of rural residents by promoting 100 days off employment opportunities. This is offered to adults belonging to a   household interested in performing an unskilled form of labor.


This scheme was introduced on February 2, 2006, in different phases. This scheme holds an exceptional value due to its employment generating facility.


  1. Pradhan Mantri Sadak Yojna

PMGSY launched on December 25, 2002, to construct roads that connect an urban area to rural areas. It is a centrally sponsored scheme that aims to build high-quality roads. This aided in generating employment for rural masses and their transportation development.


  1. Sampoorna Grameen Rozgar Yojna

This plan was launched in 2001 by the unification of two important schemes EAS and JGSY. Its objective is to offer food security and employment to the residents of rural areas. This scheme also helped in the production of long-standing assets for the community. This program aids poor masses mostly emphasizing on SCs, women, STs, and parents of children inhibited from dangerous industries.


  1. Indira Aawas Yojna

This scheme offers states shelter facilities and development options. Ideally, people belonging below the poverty line get this facility. This scheme was made to provide accommodation for the poor and convert Kachha houses into pakka ones.


  1. Jawahar Gram Samriddhi Yojana

Also known as JGSY, it was launched in 1999, aiming to create infrastructure living options in rural areas in a demand-driven way. It was aimed at the village community and their development. Moreover, it helped in creating employment options for the rural population based on skill. The village panchayat usually controls it.

 

Need for Poverty Alleviation Program 

The poverty alleviation policies and programs discussed above were formulated for the given reasons - 

  •  To reduce the rate of poverty in the country 

  • To ensure equality, liberty, and equanimity among all the citizen 

  • To ensure justice is done to all the individuals  

  • To fight problems related to poverty like malnutrition, illiteracy, high crime rate 

  • To ensure a better standard of living for every individual

  • To make India transform into a developed nation  


Reason for the Inefficiency of Poverty Alleviation Program in India

Though the programs and policies have been successful in reducing poverty to an extent, however, there have been certain loopholes, some of them are - 

  • The disparity in resource allocation - some states receive more aids whereas others face scarcity of resources in implementing the program

  • One size fits all approach - has been inefficient as one program cannot match the need of all different challenges in different states

  • Bureaucratic inefficiency - untapped corruption and red-tapism delay the implementation of certain programs

  • People’s engagement - in certain programs is less, making it fail to reach the grassroots level. 

  • Overlapping programs - various schemes and policies are repetitions in itself thus, unable to meet the needs of the beneficiaries. 

You can think of other reasons and write in the comment box. 

Continuing the problems is not enough to solve a problem, we need to find the solutions, some of them are discussed as - 


Solutions to make the Poverty Alleviation Program Effective - 

  • Adopting bottom-up approach - where programs are designed according to the need of the people at the grass-roots level

  • Decentralized allocation - of work, making the people participate in their development process

  • Use of technology - to eliminate any form of corruption at all the levels

  • Empowering Panchayats - by allocation enough resources to carry out the programs

  • Regular auditing - of the progress of the poverty alleviation policies. 

Think of more solutions and suggest them in the comment box. Therefore, poverty is a disease that restricts a nation from becoming prosperous. Adopting the Gandhian philosophy of ‘trusteeship’, the whole nation should stand together to eradicate the problem of poverty and make India great again. 

FAQs on Poverty Alleviation Policies and Programs in India

1. What are the three main approaches the Indian government has adopted for poverty alleviation?

The Indian government's strategy to combat poverty is primarily based on a three-pronged approach:

  • Growth-oriented approach: This relies on the idea that the benefits of economic growth (increase in GDP and per capita income) will eventually trickle down to the poorest sections of society.
  • Poverty alleviation programs: This involves creating specific programs for income and employment generation, such as self-employment and wage-employment schemes.
  • Meeting Minimum Needs: This approach focuses on providing essential goods and services like subsidised food grains, education, healthcare, water, and sanitation to improve the standard of living of the poor.

2. What are some key examples of poverty alleviation programs in India?

Several key programs have been implemented in India to alleviate poverty. Some prominent examples include:

  • Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA): Guarantees 100 days of wage employment to every rural household whose adult members volunteer to do unskilled manual work.
  • Pradhan Mantri Gram Sadak Yojana (PMGSY): Aims to provide all-weather road connectivity to unconnected villages.
  • National Social Assistance Programme (NSAP): A social security and welfare programme to provide support to the aged, widows, and disabled persons.
  • Sampoorna Grameen Rozgar Yojana (SGRY): Aimed to provide additional wage employment in rural areas, along with food security and the creation of durable community assets.

3. How does the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) function to reduce poverty?

MGNREGA is a powerful tool for poverty reduction that works by providing a legal guarantee for one hundred days of wage employment in a financial year to adult members of any rural household willing to do public work-related unskilled manual work. This acts as a social safety net, providing a supplementary source of income, especially during lean agricultural seasons, thereby reducing distress migration and increasing the bargaining power of labourers.

4. What is the 'Below Poverty Line' (BPL) and why is it crucial for these government schemes?

The 'Below Poverty Line' (BPL) is an economic benchmark used by the government to identify individuals and households with an income below a predetermined level, known as the poverty line. This classification is crucial because it helps in the targeted implementation of poverty alleviation schemes. By identifying the BPL population, the government aims to ensure that benefits like subsidised food, housing, and financial aid reach the most deserving and needy sections of society, preventing leakage to non-eligible groups.

5. Beyond providing jobs, how do infrastructure programs like Pradhan Mantri Gram Sadak Yojana (PMGSY) help reduce poverty?

While PMGSY creates direct employment during road construction, its main impact on poverty reduction is indirect and long-term. All-weather roads improve connectivity, which allows farmers to access larger markets for their produce, leading to better prices. It also enhances access to education, healthcare facilities, and financial services for rural populations. This improved access breaks the cycle of isolation and empowers communities, contributing significantly to overall economic development and poverty alleviation.

6. Why have many poverty alleviation programs in India faced challenges in their implementation?

Despite their good intentions, many poverty alleviation programs have faced implementation challenges due to several reasons:

  • Unequal resource allocation: The distribution of resources among states and districts is often unequal.
  • Inefficient delivery mechanisms: Issues like corruption, red-tapism, and lack of transparency can lead to leakages, meaning the benefits do not reach the intended people.
  • Lack of active participation: The top-down approach in designing schemes often results in low participation and engagement from the local community and beneficiaries.
  • Overlapping schemes: Multiple programs with similar objectives can lead to confusion and administrative inefficiency.

7. How does a self-employment program differ from a wage-employment program in its approach to tackling poverty?

The two types of programs tackle poverty through different mechanisms. A wage-employment program, like MGNREGA, provides a direct and immediate income safety net by offering guaranteed labour for a set number of days. Its focus is on providing supplementary income and security. In contrast, a self-employment program aims to create long-term, sustainable livelihoods by providing financial assistance, training, and resources (like through Self-Help Groups) to help the poor start their own small enterprises. It focuses on building assets and entrepreneurial capacity.

8. What is the specific role of the National Social Assistance Programme (NSAP) in India's poverty strategy?

The National Social Assistance Programme (NSAP) plays a critical role by focusing on social security for the most vulnerable groups who may not be able to participate in the labour market. It provides financial assistance in the form of pensions to the elderly, widows, and persons with disabilities living below the poverty line. This ensures a minimum standard of living and social protection, addressing the non-economic dimensions of poverty for specific, high-risk demographics.