In an attempt to bolster its aam aadmi image, the government is setting up the Aajeevika Development and Financial Corporation, a financial institution to ensure easily available funding for self-help groups under the National Rural Livelihood Mission. Problems in accessing credit for families below poverty line have been a major hurdle for the livelihood mission. The rural development ministry is in the process of inter-ministerial consultations on the proposed financial...

The flawed Bill on food security has not received the kind of publicity that the Lokpal Bill has, but that does not diminish its significance. “THIS government has divided everything and everyone. There are different cards for different sections of the poor. If my employer, taking pity on me, gives me an old television, I am not entitled to a yellow card [Below Poverty Line card]. My son who is...

The government will recast the Mahatma Gandhi National Rural Employment Guarantee Scheme, to give it a welfare edge, following criticism that it was disconnected from people's concern over corruption, high food prices and inflation. The attempt will be to make it more responsive to people's needs and increase earnings of the rural poor. The reform attempts to make the scheme truly demand-based, besides addressing issues of fraud, misuse of funds, corruption...

The Centre’s flagship welfare plan has failed to turn the tide on a key problem: rural migration. The disconcerting admission about the Mahatma Gandhi National Rural Employment Guarantee Act, or MNREGA, came in a paper released today by Union rural development minister Jairam Ramesh on the main challenges facing the programme and the reforms required. Checking distress migration is a key objective of the scheme, other than providing at least 100 days...

The Planning Commission has raised concerns over people migrating from the countryside to cities in search of jobs. The Plan panel says that this ‘distress migration’ is mainly due to delayed disbursement of wages under the Mahatma Gandhi National Rural Employment Guarantee Act, or MGNREGA. It has asked the rural development ministry to expressly strengthen the Business Correspondent model to make payments to workers under the flagship welfare scheme. In the...