India: Updating and Improving the Social Protection Index (Cofinanced by the Republic of Korea e-asia and Knowledge Partnership Fund)

Transcription

1 Technical Assistance Consultant s Report Project Number: Regional Capacity Development Technical Assistance (R CDTA) August 2012 India: Updating and Improving the Social Protection Index (Cofinanced by the Republic of Korea e-asia and Knowledge Partnership Fund) Prepared by Bindiya Rawat For Asian Development Bank This consultant s report does not necessarily reflect the views of ADB or the Government concerned, and ADB and the Government cannot be held liable for its contents. (For project preparatory technical assistance: All the views expressed herein may not be incorporated into the proposed project s design.)

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3 ABBREVIATIONS AND ACRONYMS AAY Antyodaya Anna Yojana ADB Asian Development Bank ADIP Assistance to Disabled Persons for Purchase/ Fitting of Aids and Appliances APL above poverty line BPL below poverty line BSUP Basic Services to the Urban Poor BWWF Beedi Workers Welfare Fund CSWB Central Social Welfare Board GDP gross domestic product EPFO Employees Provident Fund Organisation ESI Employees State Insurance IAY Indira Awaas Yojana ICDS Integrated Child Development Services IHSDP Integrated Housing and Slum Development Programme IMR Infant Mortality Rate INR Indian Rupees JSY Janani Suraksha Yojana MGNREGA Mahatma Gandhi National Rural Employment Guarantee Act MMR Maternal Mortality Rate NHFDC National Handicapped Finance and Development Corporation NGO non government organization NRHM National Rural Health Mission NSAP National Social Assistance Programme OBC other backward classes PTR poverty targeting rate RGSSBY Rajiv Gandhi Shilpi Swasthya Bima Yojana RSBY Rashtriya Swastha Bima Yojana SCDC State Scheduled Castes Development Corporations SGSY Swarnajayanti Gram Swarozgar Yojana SJSRY Swarna Jayanti Shahari Rozgar Yojana SC scheduled caste SP Social Protection SPI Social Protection Index ST scheduled tribes TPDS Targeted Public Distribution System USD US Dollars UT Union Territory

4 CONTENTS Page I. INTRODUCTION 1 A. Background 1 B. Definition of Social Protection 1 C. Report Structure 3 II. COUNTRY OVERVIEW 4 A. Geography 4 B. Demographic Profile 4 C. Economy 5 D. Poverty and Inequality 5 E. Employment and Labor Force 6 F. Education 7 G. Health 8 III. CURRENT SOCIAL PROTECTION PROGRAMS AND ACTIVITIES 10 A. Data Collection 10 B. Social Assistance Programs 10 C. Social Insurance Programs 20 D. Labor Market Programs 22 IV. THE SOCIAL PROTECTION INDEX AND ITS DISAGGREGATION 28 A. Basic Statistics 28 B. Social Protection Expenditure 30 C. Social Protection Beneficiaries 34 V. ANALYSIS OF COUNTRY RESULTS 36 A. Disaggregation by Social Protection Category 36 B. Disaggregation by Depth and Breadth 36 C. Disaggregation by Poverty Focus 37 D. Disaggregation by Gender 37 VI. CONCLUSION AND RECOMMENDATIONS 39 A. Structure of the SPI 41 B. SPI s Major Disaggregation 41

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6 I. INTRODUCTION A. Background 1. Asian Development Bank s (ADB) development of the social protection index contributed to the strengthening of social protection programs in developing member countries (DMCs). ADB will continue its work on updating and improving the Social Protection Index (SPI). The SPI s update will address and incorporate lessons learned from two technical assistance projects 1 that developed the SPI for 35 countries in Asia and the Pacific and introduce new components and institutional arrangements to sustain the effective use of social protection indicators in policy analysis and formulation in the DMCs. 2. These initiatives will be implemented under the ADB commissioned regional technical assistance project 2 that seeks to (i) improve the methodology in defining social protection for each DMC in order to ensure comparability among DMCs; (ii) improve data gathering for statistical analysis on social protection; and (iii) develop capacity of DMCs in monitoring the SPI and allow comparisons between countries and over time on implementation performance. 3. This country study provides updated information and data on social protection arrangements, legislation, and institutions and calculates the SPI for India in view of the revised SPI methodology. The SPI can be updated periodically to assess progress in social protection arrangements in the country and analyse deeper aspects of targeting, coverage and expenditures on various social protection programs; for example, on the breadth (coverage) of social insurance versus social assistance or labour market programs, or on the depth (size of benefit) of various categories of social protection. The revised SPI methodology also provides scope to measure the gender responsiveness of programs, and poverty targeting of programs The primary objective of the India Country Report is to present the results of the research on social protection programs and policies in India from all related ministries; summarizing quantitative information on these activities to enable the formulation of a national Social Protection Index (SPI). B. Definition of Social Protection 5. Social protection is defined as the set of policies and programs designed to reduce poverty and vulnerability by promoting efficient labor markets, diminishing people s exposure to risks, and enhancing their capacity to protect themselves against hazards and interruption/loss of income. 6. This definition categorizes all programs under the traditional components of social protection as social insurance, social assistance, and labour market programs. Microfinance as a form of social protection is excluded from the calculation of SPI since it does not involve a transfer in cash or kind and beneficiaries incur loans or debt instead of transfers. Thus, by eliminating microfinance from the coverage of social protection programs, three major programs are left: (i) social insurance (i.e., the categories of old-age insurance, programs for the disabled, 1 ADB Technical Assistance for Social Protection Index for Committed Poverty Reduction. Manila (TA REG); ADB Technical Assistance for Scaling Up of the Social Protection Index for Committed Poverty Reduction. Manila (TA 6308-REG). 2 ADB Technical Assistance for Updating and Improving the Social Protection Index. Manila (TA 7601-REG). 3 To be able to calculate with relative accuracy the poverty-targeting rate of programs, household surveys need to contain a social protection data. However, the data of the survey was not available at the time of writing this report.

7 2 and health expenditure on insurance and pensions; (ii) social assistance (i.e., the categories of non-contributory health insurance, conditional cash transfers, child protection, and unconditional cash transfers; and (iii) labour market programs as shown in Table 1. Table 1: Social Protection Categories and Types of Programs Social Protection Category Type of Program Social Insurance Programs Pensions Unemployment Benefits Health Insurance - but not universal health insurance Other social insurance (maternity, disability benefits) Social Assistance Assistance for the elderly (e.g., non-contributory basic allowances for the elderly, old-age allowances) Health assistance (e.g., reduced medical fees for vulnerable groups) Child protection (school feeding, scholarships, fee waivers, allowances for orphans, street children initiatives) Family allowances (e.g., in-kind or cash transfers to assist families with young children to meet part of their basic needs) excluding any transfers through the tax system Welfare and social services targeted at the sick, the poor, the disabled, and other vulnerable groups Disaster relief and assistance Cash/in-kind transfer (e.g., food stamps, food aid) Temporary subsidies for utilities and staple foods - only if imposed in times of crisis and if targeted at particular vulnerable groups. General subsidies are excluded even if their rationale is to assist the poor Land tax exemptions Labor Market Programs Direct employment generation through public works programs including food for work programs Direct employment generation through loan-based programs included if loans are subsidized and/or job creation is an explicit objective of the program Labor exchanges and other employment services if distinct from social insurance and including retrenchment programs Unemployment benefits if distinct from social insurance and including retrenchment programs Skills development and training included if targeted at particular groups (e.g., the unemployed or disadvantaged children. General vocational training is excluded). Source: ADB The Revised Social Protection Index: Methodology and Handbook. Manila. 7. Although the term social protection is not widely used in India, there are a wide range of programs, implemented by national and state governments, and NGOs which fall within the definition of social protection. Some social security legislation, inspired by the British Beveridge report of 1942, was established during independence. The poverty alleviation schemes, which have greater importance, were initiated in the 1960s , as a direct consequence of structural reforms that revealed some weaknesses in India s socio-economic development strategy, the need for systems of social assistance and social insurance was strongly felt among the policymakers and planners. The growing importance of social protection is reflected in the Government of India Common Minimum Programme and Eleventh Five Year Plan ( ) which commits to institutionalizing programmes such as legal rights, scaling up of interventions such as social pensions, and

8 3 creating proposals to expand new types of social protection interventions for the large, unorganized sectors. (FNPF). However, its coverage is quite small. The system of social assistance is represented by a number of welfare programs with a small coverage for labor market programs. C. Report Structure 9. The India Country Report is structured as follows: Chapter II contains a brief overview of the social and economic development in India. Chapter III describes current social protection activities and programs in the country using ADB s typology. Chapter IV provides an overview of the derivation of SPI and its disaggregation. Chapter V presents the analysis of the country results. Chapter VI discusses the conclusion and recommendations.

9 4 II. COUNTRY OVERVIEW A. Geography 10. The India is surrounded by the Bay of Bengal and Bangladesh in the east, the Arabian Sea in the west and Indian Ocean in the south. This South Asian country is separated by the Himalayan Mountains from China and the rest of Asia and bordered on the west by Pakistan. India covers an area of 32, 87,263 sq km 5, making it the 7 th largest country in the world in terms of land area. B. Demographic Profile 11. As per the 2011 Census of India (provisional data), India is the world s second most populous country in the world with a total of 1.21 billion people. Table 2 shows the population statistics of India. Table 2: Statistics of India Indicator Population (in millions) 1210 (in millions) Annual Growth Rate (%) Density of Population per SQ Km Sex Ratio (Number of Females per 1000 Males) Average Household Size Scheduled Castes (in millions) Not yet available Scheduled Tribes (in millions) Not yet available Crude Birth Rate Crude Death Rate Infant Mortality Rate Males Females Total Government of India. Know India. 6 Census of India. Provisional Population Tools. 7 Data for 2011 based on reference 4 Data for 2011 is Provisional Data 9 Data for 2011 is Provisional Data 10 Data available for (National Family and Health Survey ) 11 Crude birth rate indicates the number of live births occurring during the year, per 1,000 populations estimated at midyear. (Source: 12 Crude death rate indicates the number of deaths occurring during the year, per 1,000 populations estimated at midyear. (Source: 13 Infant mortality rate is the number of infants dying before reaching one year of age, per 1,000 live births in a given year. (Source:

10 5 C. Economy 12. From 2000 until 2011, India's average quarterly GDP growth is 7.45%. India's diverse economy includes traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. The economy has posted an average growth rate of more than 7% in the decade since In 2010, the annual growth rate of the economy is registered at 7.3%. 13. The Central Statistical Organisation (CSO) released the revised estimates for GDP for as well as the quarterly estimates for GDP for the fourth quarter of India s GDP at factor cost and constant prices registered an increase of 8.5% in Weaker performance registered in sectors such as mining and quarrying, manufacturing, trade, hotels, transport and communication, financing, insurance, real estate and business services. However, in case of the agriculture and allied activities sector, the revised estimates pegged growth in at 6.6%, which is much higher compared to the advance estimates placing growth at 5.4%. 15. Another sector showing substantial upward revision in growth rate between the advanced and revised estimates is the community, social and personal services sector. CSO indicated a growth of 5.7% for this sector. In the revised estimates, this figure increased to 7% due to a larger increase in the central government s total expenditure than initially anticipated. D. Poverty and Inequality 16. Poverty India has been able to maintain steady progress in reducing poverty as measured by consumption. Using the Government of India s official poverty lines, 28% of people in rural areas and 26% of people in urban areas live below the poverty line in The Planning Commission has accepted the Tendulkar Committee Report on poverty estimation (i.e., Planning Commission Press Note 2011). According to this report, the rural and urban poor population ratio is 41.80%, and 25.70%, respectively. 18. India ranks low at 119 among 169 countries on the 2010 Human Development Index developed annually by United Nations Development Programme. India compares quite poorly with countries having a high level of human development on all key indicators such as life expectancy, education and per capita income. 19. Since the early 1950s, the Government of India and non-governmental organisations (NGOs) initiated several programmes to alleviate poverty. These include launching programmes and schemes to help self sufficiency in food; subsidizing food and other essentials; investing in research and development especially in agriculture; setting up and facilitating initiation of industries; increasing access and availability of loans through self-help groups, banks, and other formal institutions; promoting education and family planning. These measures helped eliminate occurrences of famines and absolute poverty, and aided in poverty reduction. 20. However, the growth of economy has not been equitable in the country. Economic growth has varied impacts across different social groups, economic groups, geographic regions, and rural and urban areas. For instance, in , the annualized growth rates for Gujarat 14 Government of India. Press Information Bureau.

11 6 (8.8%), Haryana (8.7%), or Delhi (7.4%) were much higher than Bihar (5.1%), Uttar Pradesh (4.4%), or Madhya Pradesh (3.5%). 21. India has progressed in terms of human development. Between 1980 and 2011, India s HDI value improved from to 0.547, an increase of 59% or an average annual increase of about 1.5%. However, in order for this steady progress to be sustainable, there should be continuous improvements on education (especially higher education), health, social security, and economy. Also, it is important that the strategies should be pro-poor and pro-women, especially for those engaged in the informal sector since they are currently and largely outside the ambit of the government schemes and initiatives. E. Employment and Labor Force 22. The Labour Bureau of the Government of India conducted a survey, The Employment Unemployment Survey and determined the unemployment rate based on the survey results. The survey was conducted in 28 States or Union Territories (UT s) across the country, in which about 99% of the country s population reside. The key findings are shown in Table 3. Table 3: Key Finding of the Employment- Unemployment Survey Key Indicators Finding Unemployment Rate (Overall) 94 Male Unemployment Rate 80 Female Unemployment Rate 146 Unemployment Rate (Urban) 73 persons per 1,000 population Unemployment Rate (Rural) 101 persons per 1,000 population Work Population Ratio (Overall) 325 persons per 1,000 population Work Population Ratio (15-59 years of age) 465 persons per 1,000 population Work Population Ratio (Rural Areas) 329 persons per 1,000 population Work Population Ratio (Females) 140 persons per 1,000 population Labour Force Participation Rate 359 persons per 1,000 population Labour Force Participation Rate (Urban) 340 persons per 1,000 population Labour Force Participation Rate (Rural) 365 persons per 1,000 population Sex Ratio of Labour Force 279 Females per 1,000 Males Sex Ratio of Labour Force (Urban) 222 Females per 1,000 Males Sex Ratio of Labour Force (Rural) 299 Females per 1,000 Males Main Category of Workers (for every 1,000 employed persons) Main Industry of Employment (for every 1,000 employed persons) 439 persons are Self Employed 168 persons are regular wage/salaried 393 persons are employed as casual labour 455 persons employed in agriculture, forestry and fisheries group 89 persons in the manufacturing group 88 persons in the wholesale and retail trade 84 persons in the community services group 75 in the construction group of industries 16 Government of India, Ministry of Labour and Employment Report on Employment and Unemployment Survey ( ).

12 7 23. In India, similar with other developing economies, a major part of the workforce is employed in the informal sector. The informal sector or the unorganised sector is usually the household sector with persons employed in enterprises owned by households. These enterprises operate on a small-scale at a low level of organization, with little or no division between labour and capital as factors of production. The First Indian National Commission on Labour ( ) defined unorganised sector workforce as workers who have not been able to organize themselves in pursuit of their common interest due to certain constraints like casual nature of employment, ignorance and illiteracy, small and scattered size of establishments. 24. The National Sample Survey Organization (NSSO) conducts surveys of un-organized enterprises at periodical intervals and adopts two criteria for identifying the unorganised sector. In manufacturing industries, the enterprises not covered under the Annual Survey of Industries (ASI) constitute the unorganized sector; and in service industries, all enterprises, except those run by the Government (i.e., central, state and local) and the corporate sector, are regarded as un-organized. 25. In , there are million workers of the estimated population of about 1.09 billion persons in India. Among these workers, 92.38% are informally employed. There are million informally employed persons, while only million are engaged in the formal sector. During , the number of formal employed persons in the country is million, while those in the informal sectors reached million. Recent studies in the country as well as past trends and evidence show that the bulk of future growth in employment will come from the unorganized sector. 26. It has been established through studies and researches that the majority of workers engaged in the urban unorganized sector are migrants from rural areas. They usually have poor educational background, training, and skills development. Consequently, these workers are employed in low-paying, semi-skilled, or unskilled jobs. Also, due to the lack of skills and training, they are employed in jobs with low productivity and earning levels, more often without provision for full time work. Furthermore, the working conditions are not conducive since these include long working hours, and lack of conditions of decent employment such as paid leave, pension, bonus, medical support and health insurance, maternity leave benefits, compensation against accident, etc. 27. Considering the volume of unorganized workers in the country, it is a challenge to ensure that employment in this sector consists of jobs with safe conditions of work, decent and growing earnings, and a measure of income and social security. Some of the positive measures include programs such as Rashtriya Swasthya Bima Yojana (RSBY) and acts such as the Unorganized Workers Social Security Act of F. Education 28. The Indian constitution provides the children of India their fundamental Right to free and compulsory education from ages The National Policy of Education (NPE) in 1986 is the first step in introducing elementary education and adult literacy. With the 86 th amendment of NPE in 2002, the Government has taken significant steps towards achieving the goal of Universal Elementary Education (UEE) with the program of Education for all or Sarva Shiksha Abhiyan. The mid-day meal scheme of providing one free meal to all children in school, providing free books, stationary, uniforms, scholarships etc. has helped improve the literacy rates in India.

13 8 29. Table 4 shows the provisional data based on the 2011 Census, detailing the number of literates among persons aged 7 years and above. According to the guidelines of the Office of the Registrar General and Census Commissioner of India, Ministry of Home Affairs, a person aged 7 years and above who can both read and write with understanding in any language is defined as a literate. Also, it is not necessary for a person to receive any formal education or pass any minimum educational standard to be treated as literate. People who are blind and could read in Braille are also considered literate. G. Health Table 4: Number of Literate above 7 Years Old No Detail Males Females Total 2. Males Females Total 3. Males Females Total million 224 million million Rural million million million Urban million 85.8 million million Source: million million million 288 million million 493 million million million million 30. According to the Economic Survey of India , considerable progress has been made in terms of crucial health indicators. However the improvement in the health status is uneven across the country. The health system in India is a mix of the public and private sectors, with the NGO sector playing a small role. 31. In India and other developing countries, health care expenditures are largely based on out-of-pocket payments. Lack of prepayment mechanisms such as insurance in cases of illness adversely impacts the welfare of the household and increases the risk of poverty due to high treatment expenditures. According to a paper published by the Planning Commission 18, 4.7% of total household expenditure in the country is spent on out-of-pocket expenses on health. Furthermore, it is shown that poverty increased as much as 3.6% and 2.9%, for rural and urban India, respectively if out of pocket health expenditures are considered in poverty estimates. 32. India has developed a well-structured three-tier public health infrastructure, comprising community health centres (CHCs), primary health centres (PHCs), and sub-centres spread across rural and semi-urban areas, as well as tertiary medical care comprising multispecialty hospitals and medical colleges located almost exclusively in urban areas. However, the inadequate health-related infrastructure, including shortages of doctors and paramedical professionals, has severely restricted the delivery of health services, particularly in rural areas. 17 Government of India, Ministry of Finance Human Development, Equity and Environment. In Economic Survey I. Gupta Out of Pocket Expenditures and Poverty: Estimates from NSS 61 st Round. Paper presented for consideration of the Expert Group on Poverty, Planning Commission. Delhi: Institute of Economic Growth.

14 33. In order to bridge the gap in existing health infrastructure and provide accessible, affordable, and equitable health care, the Government of India launched a large number of programs and schemes such as the National Rural Health Mission (NRHM) which provides affordable health services for the poor in rural areas and Janani Suraksha Yojana (JSY) which focuses on demand promotion for institutional deliveries in states and regions, integrating cash assistance with delivery and post-delivery care. 9

15 10 III. CURRENT SOCIAL PROTECTION PROGRAMS AND ACTIVITIES 34. This chapter presents an overview of the data collection process, objectives, and current social protection activities in India including challenges and difficulties encountered during the course of the study. The two-fold objective of this chapter is to present the main features of the social protection programs in the country and provide quantitative information that will serve as the basis for the formulation of the Social Protection Index (SPI). A. Data Collection 35. Data collection largely included visits to the offices of various Government agencies, NGO s and libraries. In addition, relevant data are gathered from the websites of the ministries and departments responsible for the implementation of various social protection programmes. Another key source of data collection are the annual progress reports. Some of the difficulties encountered include the lack of available data. B. Social Assistance Programs 36. Social assistance programs include the (i) Integrated Child Development Services (ICDS) Scheme; (ii) Indira Awaas Yojana (IAY); (iii) Scheme of Assistance to Disabled Persons for Purchase / Fitting of Aids and Appliances (ADIP Scheme); (iv) Pre-Matric Scholarships for the Children of those Engaged in Unclean Occupations; (v) Pre-Matric Scholarship for students belonging to Other Backward Classes; (vi) Assistance to State Scheduled Castes Development Corporations (SCDCs); (vii) Central Social Welfare Board Schemes; (viii) Beedi Workers Welfare Fund; (ix) Schemes for the Welfare of Construction Workers; (x) Janani Surakhsha Yojna or cash assistance to eligible mothers for delivery care; (xi) Integrated Housing and Slum Development Programme (IHSDP) and Basic Services to the Urban Poor (BSUP); (xii) Targeted Public Distribution System (TPDS); (xiii) Rashtriya Swastha Bima Yojana (RSBY); (xiv) Upgradation of Merit of Scheduled Castes Students; and (xv) Upgradation of Merit of Scheduled Tribes Students. 1. Integrated Child Development Services (ICDS) Scheme 37. The ICDS Scheme 19 launched in 1975, is India s response to the challenge of providing pre-school education; and breaking the vicious cycle of malnutrition, morbidity, and reduced learning capacity and mortality. ICDS is implemented by the Ministry of Women and Child Development throughout the country. 38. The Integrated Child Development Services (ICDS) Scheme is launched to (i) improve the nutritional and health status of children in the age-group of 0-6 years; (ii) create the foundation for proper psychological, physical and social development of the child; (iii) reduce the incidence of mortality, morbidity, malnutrition and school dropout; (iv) achieve effective coordination of policy and implementation among the various departments to promote child development; and (v) enhance the capability of the mother to look after the normal health and nutritional needs of the child through proper nutrition and health education. 39. The package of services include nutrition through supplementary feeding and prophylaxis against Vitamin A deficiency and nutritional anaemia; immunization; health check- 19 Government of India, Ministry of Women and Child Development. Integrated Child Development Services (ICDS) Scheme.

16 11 ups; referral services; Non-formal Pre-school Education (PSE); and Nutrition, Health and Education (NHED). 40. The ICDS team comprises the Anganwadi Workers, Anganwadi Helpers, Supervisors, Child Development Project Officers (CDPOs) and District Programme Officers (DPOs). The Anganwadi Worker is a lady selected from the local community and a community-based frontline honorary worker of the ICDS Programme. She is also an agent of social change, mobilizing community support for better care of young children, girls and women. Other members of the team include medical officers, Auxiliary Nurse Midwife (ANM) and Accredited Social Health Activist (ASHA) with the ICDS functionaries to achieve a convergence of different services. 41. ICDS is a centrally-sponsored scheme implemented through the state government. Prior to , 100% of the financial assistance for inputs other than supplementary nutrition, is provided by the Government of India. Since many States due to resource constraints were not providing adequately for supplementary nutrition, it was decided in to support states up to 50% of the financial norms or 50% of expenditure incurred on supplementary nutrition, whichever is less. 42. In , the Government of India modified the funding pattern of ICDS between Centre and States. The sharing pattern of supplementary nutrition in respect of North-eastern States between Centre and States is changed from a 50:50 ratio to 90:10. For other States and Union Territories (UTs), the existing sharing pattern of 50:50 continues. However, for all other components of ICDS, the ratio has been modified to 90:10. In , $743.5 million is spent to provide various services to million beneficiaries. 2. Indira Awaas Yojana (IAY) 43. The Indira Awaas Yojana (IAY) 20 is a flagship scheme of the Ministry of Rural Development, introduced to meet the housing needs of the rural poor. It was launched in 1985 as a sub-scheme of Jawahar Rozgar Yojana and implemented as an independent scheme in The Indira Awaas Yojana aims to help the rural people below the poverty-line (BPL) belonging to Scheduled Castes (SCs)/Scheduled Tribes (STs), freed bonded labourers, and non-sc/st categories in the construction of dwelling units and improvement of existing unserviceable kutcha houses by providing assistance in the form of full grants. 45. In , the IAY benefits are extended to widows or next of kin of defence personnel killed in action. Benefits are also extended to ex-servicemen and retired members of the paramilitary forces as long as they fulfill the normal eligibility conditions of Indira Awaas Yojana. Three per cent of funds are reserved for disabled persons living below the poverty line in rural areas. Since , IAY funds are earmarked for minorities. 46. IAY has the objective of providing dwelling units to people below the poverty line living in rural areas by providing them with a lump sum financial assistance. The guidelines provide for a house in the name of the female member of household or under the joint name of husband and wife. However, if there is no eligible living female member in the family, the house can be allotted to the male member of a deserving BPL family. 20 Government of India, Ministry of Rural Development.

17 Benefits provided under the IAY include ceiling construction of houses in plain areas ($930) and hilly or difficult areas ($1,002); construction of sanitary latrines ($12) and smokeless chulhas 21 ($2); loans for IAY beneficiaries; and subsidy for construction and upgrading of rural houses. The IAY expenditure is $1.45 billion. During the same period, 18,040 houses were sanctioned. 3. Assistance to Disabled Persons for Purchase / Fitting of Aids and Appliances (ADIP Scheme) 48. According to the 2001 Census, there are 21.9 million persons with disabilities in India or 2.13% of the total population. This includes persons with visual, hearing, speech, locomotors and mental disabilities. The Census data shows that 75% of persons with disabilities live in rural areas, 49% are literate and only 34% are employed. The estimated population of persons with disabilities in 2008, projected on the basis of figures of the last Census, is 24.4 million. 49. The main objective of the Scheme 22 is to provide grants in aid to the various implementing agencies (e.g., NGOs, District Disability Rehabilitation Centres, State Handicapped Development Corporation and other local bodies) to assist the needy and disabled persons in procuring durable, sophisticated, scientifically manufactured, and modern standard aids and appliances that can promote physical, social and psychological rehabilitation, by reducing the effects of disabilities and enhancing their economic potential. The scheme also envisages conduct of corrective surgeries, whenever required, before providing an assistive device. 50. From , a new approach for district-wise allocation of funds to organize disability camps for distribution of aids and appliance has been adopted to ensure coverage throughout the country. The scheme is implemented by Ministry of Social Justice and Empowerment throughout the country. 51. The following criteria are used to ascertain the eligibility of persons with disabilities to avail of the benefits of this scheme through authorized agencies: (i) he/she should be an Indian citizen; (ii) certified by a Registered Medical Practitioner that he/she is disabled and fit to use a prescribed aid or appliance; (iii) employed, self-employed, or receiving pension with a monthly income not exceeding $207 per month, or in the case of dependents, the income of parents or guardians should not exceed $207 per month; (iv) have not received assistance from the Government, local bodies, and non-official organisations during the last 3 years for the same purpose. 52. For children below 12 years of age, the limit would be 1 year. Furthermore, only those aids or appliances less than $124 are covered under the scheme. However, for visually, mentally, speech and hearing, or multiple disabled, the limit is $165 during the study period. The limits will apply to individual items of aid and if more than one aid is required, the ceiling will apply separately. The amount of assistance under the scheme is for the full cost of aid or 21 Chulha is the primary traditional cooking stove used for indoor cooking. The traditional method of cooking is on a three stone cooking fire. It usually requires three suitable stones of the same height on which a cooking pot can balance over a fire. 22 Government of India, Ministry of Social Justice and Empowerment. Disability. In Annual Report socialjustice.nic.in/pdf/chapter6.pdf

18 13 appliance if the total income of the person $134 per month or less and 50% if the income is $ The Scheme includes essential medical and surgical treatment for the fitness of aids and appliances. The cost could range from INR million for hearing and speech impaired, INR 1,000 for the visually disabled, and $62 for the orthopedically disabled. The types of aid or appliance allowed under the scheme include all types of prosthetic and orthotic devices; mobility aids like tricycles, wheelchairs, crutches, etc; surgical footwear; learning and writing equipment for the blind; low vision aids; special mobility aids; hearing aids and other devices for the deaf. In , $4.7 million was spent on implementing the scheme and the number of beneficiaries is 210,591 in Pre-Matric Scholarships for the Children of those Engaged in Unclean Occupations 54. The Government of India is implementing the Scheme of Pre-Matric Scholarship 23 through the Ministry of Social Justice and Empowerment to children engaged in 'unclean' occupations or dalits since Under the scheme, 100% central assistance is provided to State Governments or UT Administrations by the Government of India for the total expenditure under the Scheme, above their respective Committed Liability to implement this Scheme. The level of Committed Liability of respective State Governments or UT Administrations for a year is equivalent to the level of actual expenditure incurred under the Scheme during the terminal year of the last Five-Year Plan period. They are required make a provision in their own budget. 55. The objective of the scheme is to provide financial assistance to children whose parents or guardian pursues pre-matric education or presently engaged in manual scavenging after 1997 or the date of enforcement of "The Employment of Manual Scavengers and Construction of Dry latrines (Prohibition) Act 1993, whichever is earlier. The scheme also includes children of tanners and flayers. 56. The salient features of the scheme include assistance in the form of a monthly scholarship for 10 months and an annual Ad hoc grant to cover incidental expenses such as school supplies and uniform. There is no income ceiling or caste restriction for eligibility. There are special provisions for students among target groups with disabilities. The scheme is implemented through state governments. An amount of $12.5 million has been released for this scheme and benefits are provided to 465,086 persons in Pre-Matric Scholarship for OBC Students 57. The Pre-Matric Scholarship for Other Backward Classes (OBC) 24 implemented by the Ministry of Social Justice and Empowerment aims to motivate children of OBCs studying at prematric stage. Scholarships are awarded to students belonging to OBCs whose parents or guardian s income does not exceed $919 per annum. 58. The scholarship is available in institutions for pre-matriculation courses, which have been duly recognized by the concerned State Government and Union Territory Administration. 23 Government of India, Ministry of Social Justice and Empowerment. Scheduled Castes. In Annual Report Government of India, Ministry of Social Justice and Empowerment. Other Backward Classes. In Annual Report

19 14 Under the scheme, 50% central assistance is provided to the State Governments above their Committed Liability; in case of UTs, 100% central assistance is provided. However, North-East States are exempted from Committed Liability under the Scheme. The States or UTs have been asked to distribute scholarships through the bank or post office. In , 0.9 million students benefited from this scheme while the expenditure for the scheme is $4 million in Assistance to State Scheduled Castes Development Corporations (SCDCs) 59. The scheme for assistance to Scheduled Castes Development Corporations 25 was introduced in as a centrally sponsored Scheme in States or UTs with a sizeable scheduled caste population. Currently, SCDCs are functioning in 27 States and UTs and playing an extremely useful role in mobilisation of economic development finances of the scheduled castes living below the poverty line. 60. SCDCs have been acting as promoters and catalysts for generating credit from financial institutions, providing missing inputs through margin money loans and subsidies to the target groups. SCDCs focused their efforts on identification of eligible SC families and motivating them to undertake suitable economic development schemes, sponsoring these schemes to financial institutions for credit support, and providing financial assistance in the form of margin money on low interest rates and subsidies. This reduces their repayment liability and provides the necessary links with other poverty alleviation programs. 61. This scheme is implemented by the Ministry of Social Justice and Empowerment. Persons belonging to scheduled castes and living below the poverty line are eligible for the scheme. The Government of India and State Governments have been participating in the share capital of the State Scheduled Castes Development Corporations in the ratio of 49: There are two nominees on the Board of Management of the State SCDCs one from the National Scheduled Castes Finance and Development Corporation (NSFDC) and the other from the Government of India. The nominees are professionals and not necessarily the officers of either the Central Government or NSFDC. 63. The SCDCs mainly take up employment oriented schemes in the areas of Agriculture and Allied including minor irrigation, small scale industry, transport, and trade and services. About $2.5 million have been spent on implementing this scheme, benefiting 653,776 persons in Central Social Welfare Board Schemes 64. The Central Social Welfare Board (CSWB) 26 was created by a resolution of the Government of India in 1953 with the objective of promoting social welfare activities and implementing welfare programmes for women, children, and the handicapped through voluntary organisations. 65. In 1954, the State Social Welfare Advisory Board was created in the States and Union Territories to implement the programs of the Board and assist the Central Social Welfare Board 25 Footnote Central Social Welfare Board.

20 15 in the expansion and development of welfare services. The Board is under the Ministry of Women and Child Development. 66. The main schemes of the Board include short-stay homes for women and girls; temporary shelter to needy women and girls from 6 months to 3 years; case work and counselling services; medical care and psychiatric treatment; occupational therapy, skill development training and rehabilitation services; and educational, vocational, and recreational activities. 67. An annual schematic grant to a Short Stay Home varies from $14,461 and above for recurring items like maintenance, honorarium of staff, rent of building, contingencies, medical, rehabilitation and a one-time grant of $1,033 for non-recurring items such as office furniture, bedding and other skill development equipments. 68. Under the FCC scheme, counselling, referral, and rehabilitative services to women victims who are in moral danger within the family or society at large, including those affected by disputes, marital discord, or maladjustment, is provided free of charge. The Family Counselling Centre works in close collaboration with local authorities (e.g., police and institutions such as the Short Stay Homes) and is expected to intervene in crisis cases and cases of atrocities against women. 69. The scheme of Condensed Courses of Education was initiated by CSWB in 1958 to cater to the needs of adult girls or women or school dropouts who could not join the mainstream educational system. The scheme aims to provide educational opportunities to women and girls above the age of 15 years along with additional skills development and vocational training. The scheme is implemented through Voluntary Organisations and educational institutions, having requisite infrastructure and experience in the field of women, social development, and education across the country. 70. The CSWB is also implementing an Awareness Generation Project program with the aim of creating awareness in the community on issues relating to the status, rights, and problems of women. Its main objectives are to identify the needs of rural and poor women, increase their active participation in decision making both in the family and community on development issues, including atrocities on women and children. 71. In addition, the CSWB provides assistance to organisations, enabling them to provide safe and secure hostel facilities for working women. A working woman whose consolidated income does not exceed $331 per month in a Class A city or $310 per month in any other city, town, or place, will be eligible for accommodation in working women s hostels operated through grants provided by government and the Central Social Welfare Board. 72. Lastly, the CSWB is also responsible for the Rajiv Gandhi National Creche Scheme, which provides assistance to NGOs for running crèches for infants (0-6 years) and the Mahila Mandal Scheme, a decentralised program of the CSWB operated by State Boards that functions like an NGO, providing an entry point to discuss comprehensive welfare services for women and children at the grass-roots level.

21 16 8. Beedi Workers Welfare Fund 73. Beedi 27 rolling is done in almost all major states of India and mainly operates in the home-based, unorganised sector. The Beedi Workers Welfare Fund (BWWF) 28 is an important measure legislated by the Government for the benefit of the beedi workers. It is administered through the Labour Welfare Organisation, headed by Director General, Labour Welfare, Ministry of Labour and Employment. 74. The BWWF is created under the Beedi Workers Welfare Fund Act in 1976, which aims to provide welfare schemes for beedi workers and their families related to health, education, maternity benefits, group insurance, recreation, housing assistance etc. Under the fund, there are also other special schemes to encourage education of children of beedi workers, especially for the female child. 75. In , expenditure on various schemes of the Beedi Workers Welfare Fund Act 1976 is $52.2 million and there are 5.5 million beneficiaries for the same year. 9. Schemes for the Welfare of Construction Workers 76. Construction workers are one of the most numerous and vulnerable segments of the unorganised sector in India. The building and other construction works are characterised by their inherent risk to the life and limb of the workers. The work is also characterised by its casual nature, temporary relationship between employer and employee, uncertain working hours, lack of basic amenities and inadequacy of welfare facilities. Although the provisions of various labour laws (e.g., Minimum Wages Act 1948, Contract Labour Act 1970 and Inter-State Migrant Workmen Act 1979) are applicable to building and other construction workers, there is a need for a comprehensive central legislation for this category of workers. 77. This resulted in the creation of two Acts in 1996 Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Act 29, and Building and Other Construction Workers Welfare Cess Act. The law aims to provide regulation of employment and conditions of service of building and other construction workers, including their safety, health, and welfare measures in every establishment, which employs or employed during the preceding year, ten or more workers. 78. These acts are implemented by the Ministry of Labour and Employment. In , $586.2 million is spent and 5.9 million persons benefited from the program. 10. Janani Surakhsha Yojna 79. Janani Suraksha Yojana (JSY) 30 is a safe motherhood intervention under the National Rural Health Mission (NRHM), implemented with the objective of promoting institutional delivery 27 Beedi is a thin, South Asian cigarette filled with tobacco flake and wrapped in a tendu leaf tied with a string at one end. 28 Government of India, Ministry of Labour and Employment. The Beedi Workers Welfare Fund Act Government of India, Ministry of Labour and Employment. The Building and Other Construction Workers Act, Government of India, Ministry of Health and Family Welfare Janani Suraksha Yojana: Features and Frequently Asked Questions and Answers. New Delhi.

22 17 among poor pregnant women. Launched in 2005, JSY is implemented in all States and UTs and integrates JSY benefits with delivery and post-delivery care. 80. The scheme focuses on poor pregnant woman with special dispensation for states having low institutional delivery rate (e.g., the States of Uttar Pradesh, Uttrakhand, Bihar, Jharkhand, Madhya Pradesh, Chattisgarh, Assam, Orissa, Rajasthan and Jammu and Kashmir). While these states have been classified as Low Performing States (LPS), the remaining states have been named as High Performing States (HPS). 81. Besides maternal care, the scheme provides cash assistance to all eligible mothers for delivery care. The Accredited Social Health Activist (ASHA) acts as an effective link between the Government and poor pregnant women. ASHA s role is to facilitate maternal care services and arranged referral transport for pregnant women. JSY is implemented by the Ministry of Health and Family Welfare. The number of JSY beneficiaries is recorded at 10 million in and the expenditure is $305,086, Integrated Housing and Slum Development Programme (IHSDP) and Basic Services to the Urban Poor (BSUP) 82. The Valmiki Ambedkar Awas Yojana (VAMBAY) and the discontinued National Slum Development Programme (NSDP) are subsumed in the IHSDP. This scheme is launched with the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) in The IHSDP is launched with the objective of achieving holistic development in slums, and creating a healthy and enabling urban environment by providing adequate shelter and basic infrastructure facilities to slum dwellers in identified urban areas. The scheme is implemented in small and medium towns. The sharing of funds under IHSDP is a ratio of 80:20 between Central Government and State Government/Urban Local Bodies/Parastatals. For special category States, the funding pattern between Centre and States is a ratio of 90:10. The Central fund is released as Additional Central Assistance or in the form of grant. 84. The Integrated Housing and Slum Development Programme (IHSDP) and Basic Services to the Urban Poor (BSUP) 31 focus on improving the living conditions of the urban poor, especially those residing in slums and low income settlements. These projects aim at integrated development of slums for shelter, basic services, and other related civic amenities to provide basic entitlements and amenities to the urban poor. 85. The targeted beneficiaries under BSUP and IHSDP are slum dwellers or urban poor. The Ministry of Housing and Urban Poverty Alleviation is the implementing Ministry for BSUP and IHSDP. A total of $224 million has been spent as project cost for both schemes and the total number of beneficiaries is 25,184 households. 12. Targeted Public Distribution System (TPDS) 86. The Targeted Public Distribution System (TPDS) 32 started with the Public Distribution Sytem (PDS). The Public Distribution System (PDS) evolved as a system of management for 31 Government of India, Ministry of Housing and Urban Poverty Alleviation. Review of Past Performance of Program/Scheme-Urban Development Government of India, Ministry of Consumer Affairs, Food and Public Distribution.