NREGA-Opportunities and Challenges 2

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National Rural Employment Guarantee Act

Last chance to fight poverty?

•Poverty has increased


• More rural unemployed now than ever
• Schemes to generate employment have failed to retain
jobs
National Rural Employment Guarantee Act

Last chance to fight poverty?

•Focus on capital intensive schemes


• Clinical way of looking at wage schemes
• Local people had no roles to play
National Rural Employment Guarantee Act

Last chance to fight poverty?

•Natural resource bases like land and forest have shrunk


• They absorb less jobs than ever
• Triggers a BoP
National Rural Employment Guarantee Act

Last chance to fight poverty?

• Poverty is ecological in nature


• NREGA has the right orientation
• It can be used to create assets that contribute to local
livelihoods
• A change in approach needed
National Rural Employment Guarantee Act

Last chance to fight poverty?

•Backward districts are resource-rich but less governed


• They hold 60 percent of India’s poor
• Local bodies need to be empowered
• Implementation must focus on productive assets
National Rural Employment Guarantee Act

Last chance to fight poverty?

• NREGA is an effective way to eradicate poverty


• For this we need to understand the poverty in India
• Poverty is ecological in nature
• Thus NREGA needs to be an ecological Act

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