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Poverty Alleviation and Employment Generation in India

Dear Readers, The upcoming important exams are NABARD Grade-A and Grade-B, in which there is a section of Economic and Social Issues. So, for the same, it becomes really important to have an in-depth knowledge of the various important topics given in the syllabus. To help you with this our experts today are providing you with all the necessary information related to the mentioned field which will help you to fetch some good marks. 

The topics we are covering in this post are Chapter - Poverty Alleviation and Employment Generation in India. These notes would be very useful, so we request you to read it before you appear for the exam. 


Poverty Alleviation and Employment Generation in India 

Poverty and Employment Generation is one of the most significant goals of growth approach since the initiation of planning in India. The concept of sustainable economic growth that implies progressive changes in the socio-economic formation of a country or society in terms of eradicating poverty, and unemployment and also inequality, illiteracy, malnutrition has been accepted as a proper intention to desire for. Anti-poverty and employment generation programs are implementing a proper way to eradicate poverty and increasing employment generation. The present study uses the concept of “poverty and employment generation” to address the problems of poverty and employment generation in all state wise in India. 

The study analysis the state wise percentage of population below the poverty line, and to understand the number of poor and poverty ration of measured by the Rangarajan committee and Tendulkar committee. The study analysis the growth of employment generation in the economic sector, unemployment ratio and status of absolute employment ratio in major states and also poverty alleviation programmes in India This study is purely based on secondary data sources from ministry of labour and employment Govt. of India, Planning commission report and etc. The analysis will be done using appropriate statistical tools and techniques. 

Poverty reduction has been an important goal of development policy since the inception of planning in India. Various antipoverty, employment generation and basic services programmes have been in operation for decades in India.

Anti-poverty, employment generation and basic services programmes-

(a) Pradhan Mantri Gram Sadak Yojana (PMGSY)-

Launched in December 2000 as a 100 percent CSS, PMGSY aims to provide all-weather connectivity to all the eligible unconnected rural habitations. Bharat Nirman envisages connectivity by 2009 to all the habitations with a population of 1000 or more in the plains, and of 500 or more in the hilly, desert and tribal areas. The systematic up-gradation of the existing rural road network also is an integral component of the scheme, funded mainly from the accruals of diesel cess in the Central Road Fund, with support of the multilateral funding agencies and the domestic financial institutions. Up to December 2005, with an expenditure of Rs.12,049 crore, a total length of 82,718 km. of road works had been completed. 

(b) Indira Awaas Yojana (IAY)-

IAY aims to provide dwelling units, free of cost, to the Scheduled Castes (SCs), Scheduled Tribes (STs), and freed bonded labourers, and also the non-SC/ST BPL families in rural areas. It is funded on a cost-sharing basis in the rates of 75.25 between the Centre and the States. To address these gaps in the rural housing program and in view of Government’s commitment to providing “Housing for All’’ by the scheme 2022, the of has IAY has been re-structured into Pradhan Mantri Awaas Yojana –Gramin (PMAY-G) w.e.f. 1st April 2016.

(c) Swarnjayanti Gram Swarozgar Yojana (SGSY)-

SGSY, launched in April 1999 after restructuring the Integrated Rural Development Programme and allied schemes, is the only self-employment programme for the rural poor. The objective is to bring the self-employed above the poverty line by providing them income generating assets through bank credit and Government subsidy. 

(d) Sampoorna Grameen Rozgar Yojana (SGRY)-

SGRY, launched on September 25, 2001, to provide additional wage employment in the rural areas, has a cash and food grains component, and the Centre bears 75 percent and 100 percent of the cost of the two with the balance borne by the States/UTs. 

(e) National Food for Work Programme (NFFWP)

The NFFWP was launched as a CSS in November 2004 in the 150 most backward districts to generate additional supplementary wage employment with food security. States receive food grains under NFFWP free of cost. The focus of the programme is on works relating to water conservation, drought proofing (including aforestation /tree plantation), land development, flood-control/protection (including drainage in waterlogged areas), and rural connectivity in terms of all-weather roads.

(g) Swarna Jayanti Shahari Rozgar Yojana (SJSRY)-

In December 1997, the Urban Self-Employment Programme (USEP) and the Urban Wage Employment Programme (UWEP), which are the two special components of the SJSRY, substituted for various programmes operated earlier for urban poverty alleviation. The SJSRY is funded on a 75:25 basis between the Centre and the States

Govt. aims to remove poverty by 2032-

Transforming India, an ambitious action plan finalised after two months of brainstorming shepherded by Prime Minister Narendra Modi has recommended a slew of reforms to be implemented by ministries and departments if India has to grow by 10 percent per annum until 2032. This, according to the action plan, will totally eradicate poverty from India in the next 16 years and also create 175 million new jobs.

"Growing at 10 percent will transform India - India will be a $10 trillion economy with no poverty in 2032," the plan states. In 2015-16, the size of the Indian economy was a little over $2 trillion and the gross domestic product growth was around 7.6 percent. As part of first steps in this grand plan, the government has set out to implement WTO-compatible procurement norms by 2017-18, achieve 100 per cent rural electrification by May 2018, increase rural teledensity to 100 per by 2020, reach broadband connectivity through optical fibre to all gram panchayats by December 2018 and have 175 million broadband connections by 2017.

The centre identified eight themes and decided to constitute eight groups of secretaries to come out with recommendations and a road map for each of the themes. The objective of the action plan was to foster development but with inclusive growth and efficiency. According to a secretary, the PM was happy with the finalised action plan. He told the secretaries that no expert group could have made such recommendations because these have come from people who think the plan is doable.

Center's Action Plan for Transforming India-


  • Seeding of Aadhaar number in 90% ration cards by March 2017
  • Increase rural teledensity to 100% by 2020
  • 175 million broadband connections by 2017
  • Deregulation of genetically engineered (Bt) insect-resistant pulses by March 2018
  • WTO-compatible procurement norms by March 2018
  • Third-party scrutiny of road project execution agencies by end of 2016
  • VC funds for start-ups by end of 2016
  • PAN mandatory for all businesses - to serve as unique business identifier by March 2017

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