Poverty Alleviation Policy – Extirpating Poverty to the Core
Poverty Alleviation Policy aims to reduce poverty by providing access to food, monetary help, and bare essentials to the households/individuals belonging to the below poverty line.Approximately two-thirds of India’s people live in extreme poverty. About 68.8% of the Indian population lives on less than $2 a day.
More than 30% even have less than $1.25 per day available, due to which they are considered extremely poor. The whole scenario makes India a country with a maximum indigenous population; women and children, the weakest members of Indian society, suffer the most.
About Poverty in India
India is the second-most populous country after China, with about 135.26 crores people, and is the seventh-largest country in the world. The highly contrasted Nation has enjoyed growth rates of up to 10% over many years and is one of the world’s largest economies, with a gross domestic product (GDP) of 2.72 lakh crores US dollars. Despite all this, only a small percentage of the Indian population has benefited from the impressive economic growth. Most people in India are still living in absolute poverty and lack essential means.
India is a wealthy nation, but its people are not well equipped and inadequate. It is an ironic statement. India, as a Nation, shall be perfect. Let us understand the irony of the situation. From ancient times, India has been considered a geographically and culturally rich nation. Here natural resources are in abundance. India’s geographical area is vast; natural resources are adequate, the climate is favorable, forest wealth is sufficient, essential resources of energy are also enough, and human power is also enough. In these surging situations, proper plans and policies are necessary to alleviate the emerging poverty issue from its core.
In support of the same several Government policies and various NGOs are making efforts to mitigate poverty. Poverty alleviation policy and programs can act as a savior in these crucial times. Also, the coronavirus pandemic has triggered the rate of poverty around the globe. Thus, the only way out is to introduce and implement a poverty alleviation policy. Our poverty oriented NGO, Hindrise Foundation, is taking all possible steps to eradicate the issue through Poverty Alleviation Policy.
Poverty Alleviation Policy: Ensuring the Growth of the Nation
Poverty is a never-ending issue in India. Since time immemorial, poverty and population have been acting as the foremost hurdle to its economic development. No matter how stringent the policy is, eradicating the issue became a tedious task in these testing times. To ensure the growth of the Nation, the Poverty Alleviation Policy plays an active role.
Poverty Alleviation Policy is the measures taken in an economic and humanitarian way for eradicating poverty from the core. According to the World Bank, if a person is living on $1.90 a day or less, he/she is living in Extreme Poverty. Currently, approximately 800 million people in India fall under that category. Various Programmes and Poverty alleviation policy is initiated under India’s Government to eradicate poverty and provide basic amenities to indigenous households.
Various Schemes like Pradhan Mantri Awas Yojana and Housing for All by 2022 provides housing to the rural and urban poor. The latest government schemes like Start-up India and stand-up India focus on empowering people to earn their livelihood. Most of those belonging to below poverty live in the countryside and keep afloat with odd jobs. The lack of employment that provides a livable wage in rural areas drives many Indians into rapidly growing metropolitan like Bombay, Delhi, Bangalore, or Calcutta. In these cities, most of them suffer a life of poverty and despair in the mega-slums, without sufficient food, sufficient drinking water supply, garbage disposal, and electricity. Poor hygiene conditions cause cholera, typhus, and dysentery, especially when children suffer and die.
There arises a need to alleviate poverty and related issues. During these challenging times, the Poverty alleviation Policy comes into action and acts as a blessing in disguise.
What is the Below Poverty line?
Below Poverty Line or BPL can be defined as an economic benchmark to identify economically weaker people and households. The Government of India sets BPL based on a threshold income. The families or individuals having an income below this threshold value fall below the poverty line.
How is BPL Measured in India?
Under BPL, the poverty line significantly depends on India’s per capita income rather than the price level. The poverty line is known as the minimum income required in purchasing the necessary goods and services essential to satisfy the basic human needs. The proportion of the population below this poverty line is called the poverty ratio/headcount ratio. Most countries and international institutions follow these similar approaches to determining BPL.
In India, the first official rural & urban poverty lines were introduced in 1979 by the Y. K. Alagh Committee. However, the criteria for the measurement of BPL are different for the rural and urban areas.
- The families with 17 marks or less (formerly 15 marks or less) out of a maximum of 52 marks are classified as BPL.
- Every five years, the poverty line is calculated. As per the recent estimation based on inflation, the threshold income must be more than Rs. 962 a month for urban areas & Rs 768 a month in rural areas, i.e., above Rs. 32 a day in a metropolitan area and above Rs. 26 a day in a rural area.
As the poverty oriented NGO, Hindrise Foundation is doing its best by focusing on Poverty and related issues. We have been adamant about implementing the Poverty alleviation policy of the Government and introducing some of our own. We want zero Poverty in India, and to fulfill the same, we are working rigorously.
Reasons for Poverty in India
The prime reasons for the increased poverty and significant hindrance on the way of poverty alleviation policy of the Government include:
- Increasing Population: India’s population has risen steadily over the years. During the past years, the population has grown at a rate of 2.2% per year. This rise in population is majorly due to a fall in death rate & more birth rate. The increased rate of the population also increases the demand for consumption goods tremendously.
- Low-Agricultural Productivity: A prime reason for poverty in low productivity in the agriculture sector. The reason for low productivity is manifold. Mainly, it is because of fragmented and subdivided landholdings, lack of capital, illiteracy, lack of awareness regarding new technologies in farming, traditional cultivation methods, etc.
- Inefficient resource utilization: There is underemployment and disguised unemployment in the country, particularly in the farming sector. The same has resulted in low agricultural output and led to a dip in living standards.
- The slow growth of Economic Development: Economic development has struggled in India. Due to several issues like population, poverty, etc., economic growth has seen a massive downfall.
- Increasing expenses: Price rise and expenses has been steady in the country, which has added to the poor carrying burden. Although many people have benefited, the lower-income groups have suffered because of it and cannot satisfy their basic needs and wants. As an NGO, we try to make available goods at affordable prices through poverty alleviation policy.
- Rising Unemployment: Unemployment is a significant factor for recurring Poverty in India. The unstoppable population has led to a higher number of job-seekers and unemployment. Also, there has not been enough expansion in job opportunities to match this demand for jobs. As an NGO, we are trying to co-operate with the poverty alleviation policy to secure employment for the unemployed.
- Lack of Capital & Entrepreneurship: The shortage of capital and entrepreneurship results in a low level of investment and job creation in the economy. We are trying to create jobs by implementing the poverty alleviation policy of the Government.
- Social Factors: Apart from economic factors, social factors hinder the goal of eradicating poverty in India. Some of the biggest obstacles in this regard are inheritance laws, caste systems, certain traditions, etc. As a social welfare NGO, we believe in equality and serve equally to all sections of society. We aim at removing poverty and disparities in one go through the Poverty alleviation policy.
- Colonial Exploitation: The British colonization and rule over India for about two centuries de-industrialized India by ruining its traditional handicrafts and textile industries. Colonial Policies transformed India into a mere raw-material producer for European enterprises.
- Climatic changes: Most of India’s poor belong to states like Bihar, UP, MP, Chhattisgarh, Odisha, Jharkhand, etc. Natural calamities such as frequent floods, disasters, earthquakes, and cyclones cause massive damage to agriculture in these states. Apart from all this, the Covid-19 pandemic has taken the lead and has massively hit society’s poor sections. In these testing times, we are doing our best to implement the poverty alleviation policy and uplift the people’s impoverished lives.
Why is Employment Generation an Essential Component in Poverty Alleviation Policy in India?
The emerging issue of unemployment in India is considered one of the piping causes of India’s elevating poverty. The point of poverty is controllable with significant economic growth and reduced unemployment problems.
The poverty alleviation policy launched under the Indian Government aims to eradicate poverty by providing employment and specific guaranteed wage employment schemes.
The generation of jobs is an essential factor in poverty alleviation policy due to the reasons stated below:
- It will help increase the poor household families’ income level and reduce the country’s poverty rate. Hence, there is a correlation between unemployment and poverty. Poverty alleviation policy plays a significant role in this regard.
- It will help decrease the rural-urban migration through the generation of employment programs under the Poverty Alleviation Policy.
- An increase in the income level through employment programs under the Poverty Alleviation policy will help the poor access necessary facilities, including education, health facilities, and sanitation.
Role of Poverty Alleviation Policy
Poverty Alleviation Policy is a strategic measure taken by the Government of India and implemented by NGOs like us to mitigate poverty’s surging issue. The Government has taken innumerable steps since time immemorial to guard the Nation against Poverty. Poverty Alleviation policy has taken a toll over all the measures taken in the past. Today, we have before us multiple Poverty Alleviation Policy. As an NGO, our role is to walk hand in hand with the Government policies and implement the same. We dedicate ourselves to bringing maximum benefit to the households through these policies. They make the policy we serve it to the public at large.
- Control of population– To remove poverty, controlling the population is essential. It increases the per capita income. India started family planning in 1951. However, it must be made more aware of the people.
- Increase in employment opportunities– The employment opportunities created for people in rural areas is a leading factor. Employment in small scale & cottage industries should be encouraged through Poverty Alleviation Policy.
- Reduce economic inequality– Through this more job and education opportunities provided to the poor, poverty would reduce.
- Land reforms policy: The Government introduces a land reform policy; land reforms help the small farmers get employment and remove poverty. Several measures are taken under the Poverty Alleviation Policy.
- Social security measures– Measures like provident fund, pension, free medical and health services, affordable housing, etc. should be provided to the rural and urban poor. The measures will improve the living conditions of people.
- Balanced regional development– Government must allocate more funds to the backward and rural regions through the Poverty Alleviation Policy.
Government Reforms in furtherance of Poverty Alleviation Policy
Several initiatives by the Government of India include:
National Rural Employment Guarantee Act
NREGA is the flagship program of the Government of India, directly benefitting and touching the lives of the oppressed people and promoting inclusive growth. The scheme aims at enhancing the general livelihood of the rural people by guaranteeing a minimum of 100 days of employment. Today NREGA is one of the most massive jobs generating schemes of the Government of India.
Sampoorna Grameen Rozgar Yojna
SGRY was initiated in 2001 by way of merging two ongoing schemes, i.e., EAS and JGSY. The project aims to provide additional food security and wage to the people of the rural sector. It has also helped in creating durable community assets for the rural people. The program targeted the poor with particular emphasis on women, SCs, STs, and parents of children withdrawn from hazardous industries.
National Food for Work Programme
This program got launched in November 2004 in 150 backward districts of the country that our Planning Commission identified. The project aimed to offer additional sources for rural employment apart from SGRY to these 150 districts. The Central Government entirely sponsored this scheme. The program got merged with NREGA since then.
Integrated Rural Development Program
It is one of the Poverty Alleviation policy of the Government to eliminate rural poverty by providing income-generated assets to the oppressed people. It started in the year 1978-79. The main aim is to create sustainable opportunities for self-employment in the rural sector. The assistance is given in the form of subsidy by the Government.
It is funded on a 50:50 basis by the center and the state.
Other Significant Initiatives
Jawahar Gram Samriddhi Yojna
Launched in 1999, JGSY aimed to create demand-driven infrastructure in the village for the village’s community. Also, it aimed at creating an additional source of employment for the rural populace.
Indira Aawas Yojna
Indira Aawas Yojana is the flagship rural housing scheme under the Poverty Alleviation Policy introduced by the Government. Under the plan, states must provide shelter to those belonging below the poverty line. The primary objective was to create new accommodation for the poor construction of new houses and convert the unserviceable kutcha houses into pucca and semi-pucca homes.
Credit-Cum-Subsidy Scheme for Rural Housing
The houses not covered under the IAY included in this scheme. Under the current project, the accommodations are constructed for families who cannot afford a specific repayment capacity. The families can easily apply for a loan at a highly subsidized rate and get a home under this scheme. All the indigenous people are covered in this scheme.
The objective behind initiating the Poverty Alleviation policy is to rid the fear of poverty gradually. The benefit offers financial health and employment to enable the poor to feed their family and raise their living standards.
The scheme aims at sustained development. While the policies have benefited many poor people and helped change the face of rural villages. There is still a long way ahead of us before our Nation can get rid of the poverty-related issue. Things will get better in the coming future, gradually.
Role of Hindrise Foundation in Alleviating Poverty
Our NGO dedicates itself to alleviating poverty from its source. Being an NGO for social welfare and poverty-stricken family in India, Hindrise Foundation strives to uplift the suppressed families living under the shackles of adverse situations heaps of difficulties. At the Hindrise Social Welfare Foundation, we are directing all our efforts in making this world a better place to live. We believe in moving ahead with our mission to bring significant social changes, especially in India’s economically and socially backward regions.
As an NGO for social welfare in India, we understand our duty to transform indigenous and vulnerable families’ lives in rural areas. After that, our motive would lead suppressed ones towards economic self-sufficiency and establishing their connection with those residing in developed communities. Pulling the miserable lives out of the well of poverty is something beyond everything for our NGO.
The organization has been on a determination-driven ride to work for the upliftment of those less privileged ones who got shivered and significantly damaged. In the hours of the worst humanitarian unfortunate events, our NGO for social welfare in India, Hindrise Foundation, serves the severely affected poor and helpless families to make them stand tall and walk with the heart full of hope and joy.
Being an NGO for social welfare in India, Hindrise Foundation has requested the Government to develop more Poverty Alleviation Policy and maintain a check on India’s increasing population rate. We are creating employment opportunities and rendering our helping hand to the Indian Government to implement a poverty alleviation policy. We believe that when there is the availability of employment opportunities, the gap between rich and poor shall get reduced, and people from those underserved societies will lead their life with full dignity. We aim to achieve zero poverty Nation.