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Indian Economic Policy



                  Notes          People’s Participation In Panchayati Raj Activities
                                 For our purpose, people’s participation in the development process means active cooperation and
                                 involvement of the general masses in the process of development administration. People’s active
                                 interest, enthusiasm and cooperation in planning, implementation and evaluation of development
                                 programmes at all levels, particularly at the grass-root level is required. India’s participatory local
                                 self-governance has a feasible and institutional status that can be harnessed to implement people’s
                                 programmes at the grass root. Eventually, local self governance will be the final route of
                                 decentralisation of fund, function and functionaries specially the 29 subject/departments under 73rd
                                 CAA, However, this dream of local self governance needs informed and responsible decisions at
                                 village level by the electorate in Gram Sabhas. We must not only be aware of the possibility & potential
                                 of PRI’s but should also be very conscious that we have a long way to go to strengthen the PRI’s in
                                 Rural India. It is possible if all of us who are involved in rural development take the building of PRI’s
                                 as a very important tool for developing rural India which constitutes 71% of India’s populations. It
                                 requires active and responsible participation by the Gram Sabha. This is a big challenge in a country
                                 with 34.97% illiterate people and where the literate are either indifferent or driven by vested interests.
                                 In his article, “Good Governance through Transparency” (1999), M. Ariz Ahmed has strongly
                                 advocated the following :
                                 It may be noted that transparency and people’s participation in regulatory and development
                                 administration is very important not only in bridging the gap between the administration and the
                                 public but also in nation-building, by way of reducing the corruption and complaints against the
                                 system. Rural body should not function as machinery but in a humane and purposeful way. Moreover,
                                 the strengthening of democracy in its social and economic aspect has to be attained through the
                                 participation on the part of the people. At the international level, the UNDP framework for Copenhagen
                                 Implementation (1996) outlines the basic goal as sustainable human development, eradication of
                                 poverty, job creation and sustainable livelihood, and environment protection and regeneration and
                                 advancement of women.
                                 Delivery Mechanism at Local Level by Panchayats
                                 To address different aspects of rural poverty, the Government has brought poverty alleviation
                                 programmes. Micro-credit-linked programmes provide a package of services including credit and
                                 subsidy to set up micro-enterprises. Apart from this, the scheme of infrastructure development and
                                 provision of basic services contribute to the well-being of the rural people. For a successful
                                 implementation of these programmes, an appropriate policy framework, adequate funds, and an
                                 effective delivery mechanism is needed. Further, an effective delivery system has to ensure people’s
                                 participation at various stages of the formulation and implementation of the programmes, transparency
                                 in the operation of the schemes and adequate monitoring. The following suggestions are made to
                                 improve the qualitative impact of these programmes :
                                 1.   Organising the Poor for Greater Participation : Farmers “co-operatives, Manila Mandals and
                                      other institutions should perform intermediary functions like awareness generation, credit
                                      extension, and so on.
                                 2.   Unity of Plan and Policy : All over the country, a national plan of action supported by national,
                                      regional and block level policies should be evolved and adhered to uniformly.
                                 3.   Emphasis on Coordination Rather than Control : The PRIs should report their progress and
                                      Central/State level co-ordinators should use this feedback to analyse the problems/short
                                      comings to suggest necessary policy-changes which means the flow of information should be
                                      two-ways.
                                 4.   Schemes to Originate from PRIs and not State/Centre : The PRIs should be sufficiently equipped
                                      to collect their own database, analyse their problems and priorities and formulate their own
                                      schemes and programmes to develop their areas.
                                 5.   Simplification of Procedures/Norms : We should make project planning more scientific and
                                      simplified, properly understood and implemented at GP level. Excessive paper work in the
                                      name of monitoring should be avoided because it alienates the elected representatives and


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