The report, the first comprehensive review of India\u2019s social welfare and anti-poverty initiatives, said about 60 per cent of grains released by government under public distribution system did not reach households in 2004-05.
\u201cIndia spends over two per cent of GDP in social protection programmes, more than many other developing nations and there are pockets OF good performance but the overall returns in terms of poverty reduction and improvement in livelihood have not reached their full potential,\u201d WB lead economist John Blomquist said while presenting the new report here.
The study, commissioned in 2004 after request from the Planning Commission, said while poorer states get larger share of central budget, they spend relatively less per poor rural households, mostly due to capacity constraints like lack of staff and technological tools and implementation problems.
According to the report \u201cSocial Protection for a Changing India\u201d, the effect of PDS on poverty reduction is low due to \u201chigh leakages to non-poor\u201d and weak administrative features. \u201cOnly 41 per cent of the grain released by government reached households, as per 2004-05 figures,\u201d Blomquist said. While states like Tamil Nadu showed high level of purchase of PDS grains (80 per cent rural households and 50 per cent urban), it was below five per cent in Bihar and Punjab. Blomquist also pointed to new initiatives in some states like introduction of food coupons and smart cards to increase accountability and said in the long-term, the idea of moving towards cash transfers instead of grains can be toyed with.
On Mahatma Gandhi National Rural Employment Guarantee scheme, the report said it has significantly high coverage and impressive inclusion of scheduled castes (31 per cent), scheduled tribes (25 per cent) and women (50 per cent). But it also pointed to \u201cuneven implementation\u201d of MNREGA across states. While about 90 per cent rural household reaped benefits of the scheme in Rajasthan, the percentage was less than 20 per cent in Punjab, Haryana, Kerala and Gujarat.
\u201cLocalised studies point to some evidence of leakage of funds, delay in fund transfers to panchayats,\u201d Blomquist said.<\/p>\n","protected":false},"excerpt":{"rendered":"