Essays for IBPS PO VII : Poverty Eradication Programs

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Poverty Eradication Programs

Main Points to Highlight : The simplest measure of poverty is the head count ratio (HCR) which is calculated by dividing the number of people below the poverty line by the total population. Simply speaking, this is the proportion of poor in the total population. Though easy to understand the formulation of policy on the basis of HCR leads to trouble, as it makes no distinction between people just below the poverty line and those much below the poverty line. The Swarnajayanti Gram Swarozgar Yojana, Sampoorna Grameen Rozgar Yojana, Pradhan Mantri Gamodaya Yojana, Anotodaya Anna Yojana, Indira Awaas Yojana, Swarna jayanti Shahari Rozgar Yojana, etc. are some of the poverty eradication and employment generation programmes. But these programmes would be oriented towards strengthening the productive potential of the economy and providingmore opportunities for involving the poor in the economic process. 

Calorie consumption expenditure level is an important method to determine poverty line in India.Per capita daily calorific minimum has been defined as 2,400 calories in villages and 2,100 calories in cities. If we consider this on the basis of sex, a very rough average for the required intake is 3,900 for working women. This method appears to be a foolproof method but there are some built in glitches. Since this particular measures of poverty is based only on consumption of food, access to innumerable other essentials is ignored. Adequate fuel, clothing, housing, drinking water, sanitation, health and education are just a few of the many essential goods and services that are not covered by this measure of poverty.

The simplest measure of poverty is the Head Count ratio (HCR) which is calculated by dividing the number of people below the poverty line by the total population Simply speaking, this is the proportion of poor in the total population. Though easy to understand, the formulation of policy on the basis of HCR leads to trouble, as it makes no distinction between people just below the poverty line and those much below the poverty line. Hence, the government can claim to have succeeded in eradicating poverty considerably by spending just enough on the least poor, and spending nothing on the most poor. However, despite this shortcoming, HCR is the official method to estimate poverty.

According to the latest survey by NSSO, the poverty in India is estimated at 26.10 percent for the country as a whole and 27.09 percent in rural areas whereas 23.62 percent in urban areas. Poverty eradication programs have been strengthened over the years to generate additional employment, create productivity assets, impart technical and entrepreneurial skills and raise the income level of the poor.For the year 2014-15, Ministry of Rural Development was allocated Rs 80,043 Cr for rural development, provision of drinking water supply, rural employment and poverty eradication programmes like the Swarnajayanti Gram Swarozgar Yojana, Sampoorna Grameen Rozgar Yojana, Pradhan Mantri Gamodaya Yojana, Antyodaya Anna Yojana, Indira Awaas Yojana, Swarna jayanti Shahari Rozgar Yojana, etc.The success of the poverty eradication programmes can be seen from the reduction of poverty from 54.9% in 1973-74 to 36% in 1993- 94. The poverty ratio declined by nearly 10 percent in the five years period between 1993- 94 to reach 26% in 1999-2000. Over the last decade, poverty has witnessed a consistent decline with the levels dropping from 37.2% in 2004-05 to 29.8% in 2009-10. The number of poor is now estimated at 269.3 million of which 216.5 million reside in rural area. 

Direct poverty eradication programmes are important and will continue on an expanded scale in the ninth and tenth plan.But these programmes would be oriented towards strengthening the productive potential of the economy and providing more opportunities for involving the poor in the economic process.Certain schemes concerning income generation the rough supplementary employment and targeted public distribution system (PDS) system to facilitate easy access to food grains could be successfully implemented to improve the lining condition of poor people.

shared by Nisheeta Mirchandani

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