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GIST OF KURUKSHETRA

August 2016

“Empowering Rural Youth”

Empowering Youth through Financial Inclusion Schemes

- Sunita Das

1. Pradhan Mantri Jan Dhan Yojana

Connect youth of country with banking system.

Universal access to banking facilities, at least one banking account per

household.

The main aim is to promote financial inclusion, financial literacy, insurances,

and pension facilities.

The beneficiaries will also get Rupay debit card with accident insurance cover of

` 1 lakh.

Channeling benefits of Union Government schemes to the beneficiarie‟s account

through DBT (Direct Benefit Transfer).

2. NABARD and SIDBI have brought in various programmes in order to empower rural youth

NABARD

Availability of Rupay Kisan Credit Cards at farmer‟s level.

Rural Entrepreneurship Development Programs (REDPs) through NGOs to grant

support for generation of employment generation & income.

NABARD supports SHG through Micro Enterprise Development Programme

(MEDP).

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Sanctioned pilot project in 2009-10 „-(PANIT Alumni Reach For India‟, to set up

20 gurukuls, to promote skill building and placement of dropouts from rural

households.

NABARD supports skill entrepreneurship programmes of Ministry d Rural

Development.

SIDBI

Promote culture of entrepreneurship through various schemes.

Microfinance (an alternative to formal banking for rural and urban poor).

Website launched to promote entrepreneurship; among youths.

Under “A Scheme for Promotion of Innovation, Rural Industry and

Entrepreneurship” (ASPIRE), a „Fund of Fund‟ of ` 60 crore created.

SIDBI in collaboration with DFID, UK implements PSIG (Poorest States Inclusive

Growth ) project in four states, Bihar, Madhya Pradesh, Odisha and UP.

Young Women SHG (YWSHG) programme supported by SIDBI. (Financial literacy

and women empowerment (FWLE) initiatives are also being undertaken).

Financial Literacy and Women Empowerment (FILE) initiatives.

Rural Entrepreneurship Challengers & Way Forward

- Dr. S. Vijay Kumar

Problems faced by rural entrepreneurs.

1. Financial Problems

Lakh of funds.

Low risk bearing ability due to lack of financial resources & support.

Poor infrastructural facilities.

2. Marketing Problems

Lack of market information.

Limited scale and scope of local market opportunities.

Competition from large scale entrepreneurs.

Dependency on middle men to market products.

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3. Management Problems

Lack of IT knowledge & technical skills.

Non availability of skilled labours.

Legal formalities cumbersome due to illiteracy & ignorance by concerned officials.

4. Steps to Improve

Credit information of entrepreneurs have to be improve to enable them to avail

loans at reasonable rate.

SWOT (Strengths, Weakness, Opportunities and Threats) analysis of small

business.

Improve marketing and management skills.

Set up agro based units.

Efficient regulated markets.

Promotion of grading, standardization.

5. Various Government Initiatives

Rajiv Gandhi Udyami Mitra Yojana (RGUMY).

Provision of Urban Amenities to Rural Areas (PURA)

Stand up India.

Marketing assistance scheme.

Empowering Rural Youths Challenges and Opportunities

- Swadesh Singh

India is the youngest country in the world with - maximum number of working

population.

India has an edge over countries in West, Japan, China, who have an aging

population.

Demographic potential of India can contribute 2% to GDP growth rate.

By 2020 developed countries will face a shortage of over 57 million semi-skilled man

power.

India expects to have a surplus of 47 million which will help to address domestic

industry problems and global man power demands.

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Challenges Faced

1. There are regional disparities in the pattern of youth development - largest share

of youth with formal skills in Kerala followed by states like Maharashtra, Tamil Nadu,

Himachal Pradesh, Gujarat.

2. Unequal access to opportunities, skill development, education.

Between urban and rural areas.

Rural areas – youth unable to complete in modern market (lack of formal skills)

Between male and female youth.

Between rich and poor households.

Steps Taken By Government

To reap benefits of demographic dividend by converting youth population to

human resource with skill development, education etc.

1. Pradhan Mantri Mudra Yojana

To provide financial assistance to micro/small business units (especially in rural

area, to SC/ST category, OBC who have little access to get credit.

Provides 3 types of loans, Shishu (` 50,000), Kishor (` 50,000 to ` 25,00,000),

Tarun (` 500000 to ` 10,00,000).

2. Stand up India

Promote entrepreneurship among SCs, STs and women.

1.25 lakh bank branches will offer loans to these groups (promote financial

inclusion).

Digital India

To upgrade digital infrastructure of the country.

Better connectivity especially with untapped population in rural areas.

Help boosting e-commerce.

Technological advancements can be attained.

Banking, providing subsidies etc, become easy and efficient for rural people.

Conclusion

More focus on rural youth from marginalized community. Eg: Dalit girls in rural areas.

Empower adolescent dropouts in rural areas.

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Incentivize schools and colleges to ensure young population in their area have

completed their education.

Urban Migration & Empowerment Opportunities

- Dr. Harender Raj Gautham & Er. Rohitahw Kumar

Why migration takes place?

49% of workforce in rural areas engaged in agriculture.

Agriculture gradually losing attraction due to lower profitability (income not

sufficient for survival).

Low level of education & skills lack of access to training in rural area.

Approx. 2 million people are shifting from rural to urban areas annually.

Problems after Migration

Migration can have direct consequences on agricultural productivity in rural

areas.

Lack of housing language barriers and skill deficiency. This will land youth in

underpaid jobs that will hamper their growth.

Solution to these Problems

Establish youth hostels in main cities to cater to needs of migrants for initial 6 to

12 months of migration.

Government can create job opportunities in rural areas/ rural peripheries.

Employment Opportunities Creation In Agriculture

Agro based industries important for creating value addition in agricultural

produce and create job opportunities.

Food Processing Sector

It is Employment intensive.

Important to economy at it has a share of 9 to 10% in GDP in agriculture.

Employs 16% in manufacturing sector, 32% in unorganized sector.

Other Solutions

Adopt new technologies to make farming more profitable.

Eg: protected cultivation is high technology cultivation; which result in 5 to 12

times higher outputs.

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In India, protected cultivation under poly houses approx 25,000 hectares;

negligible compared to other leading countries.

Production and supply of inputs required in agriculture farm implements/tools

provide employment scope.

Nonfarm employment opportunities

Productivity and profitability higher than farm sector.

Combination of farm and nonfarm activities produce more income and

employment.

Promotion of Agri-tourism in rural areas which will open up more opportunities

in non-farming sectors.

How to Check Migration?

Emphasis on programs like PURA (Provision of Urban Amenities to Rural Areas).

Introducing of industries to rural areas, and also outsourcing some of their works

to adjoining rural areas will help.

Better education and skill training.

Development of Education and Skill for Rural Youth

- Dr. Sayantan Mandal

Problem Faced By Rural Youth Diverse local, economical, lingual and cultural variation between urban and rural

youth.

Variation in gender representation.

States of northern and central India have more gender inequality in literacy in

rural areas.

In North-Eastern and Southern states, the gender gap is less.

Among Below Poverty Line (BPL) population, awareness about education is

missing.

Secondary education in rural areas is less.

Lesser for girls (restrictions due to stigmas and prejudices).

Inaccessibility to education.

Lack of awareness and guidance in society about importance of educating a

girl child.

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Rural youth are restricted from pursuing life goals due to above mentioned

factors.

Lack of guidance & awareness result in degradation of values (alcohol, drug

addiction in rural youth).

Lower literacy rates and formal skills leads to lesser employment and they are

pushed into unorganized sector.

Girls find it difficult to more out of villages for higher education.

Development of Rural Youth

The main target of government schemes are rural peoples, tribals, dropouts,

females, disabled etc.

Education

Main attempt is to improve schooling and reduce dropouts i.e., make rural

youth functionally literals.

Rural Functional Literacy Project (RFLP) focuses on this. National Literacy

Mission (NLM) and Total Literacy Campaign (TLC) under NLM created base for

it.

Saakshar Bharat Abhiyan – impart functional literacy to new literate youth

and adult.

Ministry of Rural Development started a scheme “Himayat” or Skill

Empowerment and Employment in J & K (SEE J & K) that aims for inclusive

education and capacity building of youth in J & K.

National Rural Livelihood Mission (NRLM) aims to organize rural poor into SHGs

and make the, capable of self employment.

Skill development and employment, Rural Self Employment Industries (RSETIs)

under NRLM to promote skill development.

It is necessary to integrate agriculture with main stream education in order to

prepare them for higher studies in field of agriculture; this will enable them to be

agri-based entrepreneurs.

Conclusion

Integrated approach by various ministries such as MHRD, Ministry of Tribal

Affairs, Ministry of Labour, Ministry of Health, for effective implementation of

polices.

Inclusion of private players into rural youth development.

Effective educational and skill related development in rural areas.

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Skill Enhancement Through Deen Dayal Upadhyaya Grameen Kaushalya Yojana

- Sabitha Kumari

It is a skill development scheme for rural poor youth implemented by Ministry of

Rural development.

It is an initiative under part of NRLM (National Rural Livelihood Mission).

Tight focus on rural poor youth, in order to build the capacity of rural youth, and to

address needs of global skill requirements by effective utilization of the skilled Indian

youth who have a potential to make up for the global deficit of skilled workers.

Implementation model

It has a decentralized approach, i.e., states have full power to asses, approve and

guide programs after achieving AAP states (Annual Action Plan).

In Non AAP states, the projects are processed by MoRD.

Funding support ranging from ` 25, 696 to ` 1 lakh depending on duration of

project and whether projects is residential or non residential.

Funding include training cost, boarding and lodging, transportation cost etc.

The only mandate is that skill training should be demand based and should lead

to placement of at least 75% of trainees.

DDU – GKY mandates third party assessment and certification by assessment

bodies.

Two types of training provided.

Generic training of soft skills, English and IT trade specific skills.

DDU-GKY works in PPP mode.

DDU-GKY uses technology for innovation.

Eg: CCTV cameras to image the training infrastructure, Geo Tagged Biometric

Attendance.

DDU-GKY is an implementing arm for several initiatives like Make in India,

Digital India.

Himayat

Scheme for skilling under DDU-GKY.

Youth in J & K from both BPL as well as non BPL categories.

100% centrally funded scheme.

Should produce atleast 75% placement of trainees.

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Roshani

Initiative under DDU-GKY.

Training and placement for youth in 27 most affected left wing extremist effected

districts.

40% should be women, Particularly Vulnerable Tribal Groups (PVTG) on priority

hairs.

Jointly funded by central and state government.

The scheme NIRD (National Institute of Rural Development) to coordinate and

monitor.

Rural Youth, Work and Employment

- Ela-R-Bhatt

SEWA (Self Employed Women‟s Association) Is A Self employment Women‟s

Association.

It began in response to work needs of poor, self-employed women in Allahabad.

Today, SEWA members are engaged in more than 65 different types of occupation.

SEWA members have built over hundred institutions mainly cooperatives aimed at

“full employment” where ensured food, income security, social protection, and

healthcare.

It aims to improve economic and social conditions of women.

SEWA has strength of around 1.8 million (2015) which around 2/3rd being rural

members from across country.

SEWA Cooperative Bank : Functional institution owned by members:

Responsive to special needs of the members.

Bank has over lakhs deposits and more than 261 crore as working capital.

Rudi Multi-Trading Company

It is a marketing network of rural farm produce procured directly from farmers &

processed, packed & marketed by rural women.

It links farmers directly to end consumer.

It will ensure fair returns, food security and employment opportunities.

Lokswasthya Mandali

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Health cooperative formed by the members of SEWA.

Centers equipped with genetic drugs purchased directly from producers.

Benefits of women participation

Making women self reliant and capable, it will make community stable.

Brings more constructive, creative and sustainable solution to community.

It will improve social and economic conditions of women.

Fostering Entrepreneurship, Innovation and Inclusiveness

- Dr. Amiya Kumar Mohapatra

Startup India

Promote entrepreneurship, innovation and inclusive development at all economics

levels by economic growth & social development process.

It will provide a forum to venture out the entrepreneurial dreams of youth.

Government will set up a fund with an initial corpus of ` 2,500 crore.

Govt. has liberated legal formalities, in order to promote entrepreneurship (i.e.,

provide ease of doing business).

Atal Innovation Mission (AIM) is launched - to foster entrepreneurship in India.

It has 2 main functions, entrepreneurship promotion through SETU (Self

Employment and Talent Utilization); wherein innovations are mentored and

supported by successful entrepreneurs.

Provide a platform to generate innovative ideas.

Stand up India

Promote entrepreneurship at grassroot level.

The Scheme is mainly meant to address challenges faced by SC/ST and women

entrepreneur in setting up enterprises and obtaining loans.

Apart from credit provision, also offer hand holding services to support the

entrepreneurs.

MUDRA Bank (Micro Units Development and Refinance Agency Ltd.)

To borrow less than ` 10 lakhs (amount prescribed by stand up India Scheme).

Promote non corporate small business sectors by intension of credit and support.

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Promotes inclusive development and financial inclusion.

3 loan windows – Shishu, Kishor, Tarun.

Conclusion For success of schemes, requirements are:

Effective and efficient governance.

Timely implementation.

Close monitoring of various schemes.

Accountability.

Transparency.

Importance of Skill Development among Rural Youth

- P. Srivastsa

Why is it Necessary to develop skills of Rural Youth?

72% of Indian population (12% of world population) live in Indian villages.

It is necessary to reap benefits of demographic dividend (By 2020, India will

become the youngest country - 500 million citizen less than 25 years age).

Check paradoxical situation in India i.e., youth looking for jobs, and industry

facing shortage of skilled workers. This is due to mismatch between

qualifications, demand in market (skill mismatch).

What Makes Youth Unemployable?

Excusive increase in population there by making it difficult to meet demands of

the population and maintain balance between supply and demand in industries.

Limited land and great pressure on it due to more dependence on agriculture.

Seasonal nature of agriculture.

Ignorance about modern methods in agriculture.

Lack of education skills.

Solutions

It is necessary to

Control rising population.

Job oriented courses should be incorporated into curriculum.

Courses should be as per the requirement of industry.

Agro based industries in rural areas have to be setup.

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Development of rural areas will stop migration of rural people to urban areas.

Initiatives

National Skill Development Mission: It aims to consolidate and coordinate skilling

efforts & expedite decision making across various sectors to achieve skilling.

Shyama Prasad Mukherjee Urban Mission: This scheme includes development of

economic activities and skill development; it will check rural migration.

USTTAD

Upgrading Skills and Training in Traditional Arts/Crafts for Development.

Skill training of minority communities to preserve their ancestral arts and crafts.

Road Way to Accomplish Sustainable Development of Rural Youth

- Utsav Kumar Singh

India has around 1.8 billion young people between age group of 10-24 years which is

the world‟s highest; followed by China.

In order to reap the demographic dividend; education and skills of youth are vital.

Large selection of Indian population lives in rural areas (72.18% rural; 27.82%

urban).

Why is sustainable development more necessary in rural areas?

Rural Indian youth are behind the national average on all socio-economic factors.

Literacy rate in rural areas 64% compared to 84% in urban areas (national average

71%)

Graduates: 4.5% rural males 2.2% rural females.

Rural people are involved in works that has low productivity. Unemployment in rural

areas in relatively low i.e., everyone is involved in some other work. (disguised

employment is very common is agricultural sector) but the productivity is low.

Dropouts from school due to.

Engagement in economic activities.

Lack of interest in education.

Financial constraints.

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For girl students-lack of female teachers, lack of toilets for girls, apart from

patriarchal mindsets and prejudice.

Lack adequate number of teachers.

Quality of education in rural areas is not satisfactory.

Steps Taken By Government

MGNREGA

One of the milestone social protection measure in the world - ensure sustainable

development (economic, social and environmental sustain ability). Around 5 crore people every year on average are employed under this scheme. 40% from SC/ST and 57% woman have been employed. Ministry of Rural Development launched „SAMARTHYA‟ - a set of 10 technical

training programs to train the MGNREGA Technical functionaries for all

permissible work under scheme.

Rural Self Employment Framing Institutes

To impart technical and skill training for rural youth – paves way for self

employment. Ministry of Rural Development has set up one institute in each district of country

– managed and run by public/private sector banks with support of state and

central governments Credit linkage after training. A priority given to rural BPL youth.

Startup Villages Entrepreneurship Programme

Entrepreneurial opportunities – self employment. TARGET – creation and strengthening about 1.82 lakh villages enterprise in 125

blocks, 24 states in years (2015-2019).

Deen Dayal Anthrodaya Yojana - National Rural Livelihoods Mission (DAY-NRLM)

Replaced NRLM and NULM in 2019. To organize rural poor households and continuously nurture and support them

till they came out of poverty.

50% SC/ST, 15% minority groups and 3% disabled people.

Provides umbrellas cover to help women farmers (Mahila Kisan Sashaktikaran

Pariyojana (MKSP).

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A placemnt cell – to bridge gap between industries and skilled labour (Deen Dayal

Upadhyaya Grameen Kaushalya Yojana)

Conclusion

Manufacturing sector offers many job opportunities for youith who have limited

schooling also.

Setting up of argi based industries (56% of population dependent on agriculture).

Lesson to be learnt from experiment in China (In 1995, villages enterprises

contributed more than state owned enterprises to China‟s GDP) (around 37% to

GDP).