Two excellent Schemes from current Govt.of India that forced me to appreciate them.

Following up from my previous blog, once again I want to share my thoughts on two recently released schemes/policies to improve the Indian micro economic condition. 

Under both schemes I covered a section what it holds for a common Indian please do read that attentively 

In past we have seen how the current ruling Government of India has brought many policies/schemes, that just ended to be namesake and failed miserably to create any value for the countrymen.

 However as of this month till June 16th, 2020, 2 policies have been launched by the Govt. which made me to appreciate Govt's thought process towards the welfare of people, hence I thought to draft a blog so that information can be shared on these policy details with larger people specially in India.

Disclaimer: I am not a marketing agent of current Govt of India or any political party so please refrain to think me as boasting any political party, infact am a very national person who love to appreciate anything for the good of India.

1. Pradhan Mantri Street Vendor's Atmanirbhar Yojna (PM SVANIDHI Yojna, Date of Launch: June 1st, 2020)

PM Tweets to announce the scheme

The scheme is launched by Ministry of Housing and Urban Affairs (though I am still suffering to understand why it is being market in the name of PM). Sometimes it feels as if in a game of cricket does not matter who takes the 5 wicket haul or makes a century the Man of the Match award will always go the Team Captain, anyways lets not be sarcastic.

Why I love this scheme very simple reason I can understand this scheme and I feel it has the careful craftsmanship done by the govt. to meets its potential, though there is nothing new innovation in this scheme, in India micro credit schemes were prevailing for decades e.g. MNREGA, but still I find this cheme beautiful due to fact of empowerment it creates for all Indians. 

 Key Features of the ¨PM SVANIDHI Scheme:

• Micro Credit Facility for Poor People to enable their livelihood. 
• The scheme enables street vendors to avail a one time affordable loans of upto INR 10,000/-
• The borrower does not require any collateral to avail the loan. The repayment can happen in monthly installments of upto one year. 
• In case of disciplined re-payment the Govt will also give 7% annual interest subsidy using Direct Benefit Transfer.
• Once a borrower completes the re-payment, he/she can avail higher amount of upto INR. 20,000/-   
• There is no fee for pre-closure of the loan.
• Entire application can also be done online. 

Key people who qualify to  avail this scheme are as listed below:

• Vegetable & fruit Vendors
• Ready to eat street food vendors
• Hawkers
• Thele wala and Rehri wala.
• Cobblers
• Panwari
• Handicraft vendors 
• Any other street vending Seller.

Learning from the failure of previous policies specifically in the area of execution, this time the Govt. had ensured special care is taken for the execution Small Industries Development Bank of India (SIDBI) is the official implementation partner of the Scheme. Further the lending institutions also includes Commercial Banks like PNB, SBI, ICICI, HDFC, Axis etc, Rural Banks, NBFCs, and others. 

Street vending is an excellent mechanism to combat poverty, unemployment and  ill treatment. Street vendors are truest micro entrepreneurs of India for ages and both the Govt and citizens needs to uplift them.  Also the street vendors are First line of defense in the Indian economy, during the lock down street vendors ensured essential food supplies reach all, so the success of Street Vedors is also good for the consumers. The scheme will also bring crores of informal street vendors to the formal section of the economy and will help the nation in a wider spectrum. 

Critical Analysis  

Many people might think the blogger is a fool to appreciate the policy, the Govt is wrong its wasting Tax Payers money by senselessly giving the Loan to any one with zero guarantee of return. 

Well the straight forward remark is 'No'. This scheme has enabled Atmanirbhar (Self reliable) in truest sense, let me explain how, so lets have a look at few stats:

Source of Data: https://tradingeconomics.com/india/unemployment-rate

From the adjacent data its clearly visible that as of May 2020 the unemployment rate in India was 23.50%. This means the employment rate in India is 76.5%.

Now lets look at another stat
Literacy Rate in India as of May 2020 74%, that means 26% is the illiteracy rate. 

Now here is the catch how this scheme is useful or real reason why I loved it and has to appreciate the Govt. 


In India more than 60% population has a fixed monthly income and lives a comfortable life, happily manage three meals a day. Good so what is the big deal why is this blogger talking all this, answer is simple. Data shows only one thing the good portion/section citizen of India don't execute their responsibility for the upliftment of the country. Such a pity 74% educated people fail to educate 26% uneducated people. I think the govt has to enable a workable platform  in form of PM SVANIDHI Scheme.

What it holds for a common Indian

Inspiring Words to Indians

Next time when you see a poor person or a beggar on the road please go to him/her tell him/her that you can help them to arrange a capital of upto INR. 10,000 in the form of loan from govt he/she can start a livelihood, trust me if being guided and encouraged people can do it, a normal educated earning Indian in 60% bracket of happy population needs to facilitate with online application and bank account opening so that the loan can be transferred. If in your life you could do this for one person, trust me the Nation will thank you, specially the youth of India who is busy using their Cellphones on Tinder, Snapchat, TikTok please do it for one person at least lets put your contribution in eradicating poverty from the nation.

The Success of PM SVANIDHI Yojna lies on the shoulder of every educated Indian, please reach out to poor people on streets help at least one person change his life by the help of this scheme. 

From the concept of economics also lending money to masses is a way to eradicate depression in economy, USA also did same when USA suffered the greatest depression in the history of mankind from 1929 to 1939.

2. Bal Shramik Vidya Yojna (U.P Govt makes me proud), date of launch: June 12, 2020    
   
When I was doing the analysis of this Scheme by Govt of Uttar Pradesh, I was astonished by the high sense of correlation the Govt has made to encourage the kids to skip labour work and start enrolling in schools.

International Labour Organization (ILO), a UN body celebrates June 12th, as International Child Labour Prohibition Day  and what an excellent move by the Govt to launch this scheme on such a meaningful day. Let briefly see what this scheme is all about.


Key features of Bal Shramik Vidya Yojna: 

• As the name suggest, the scheme encourages children to migrate from child labour to School education. 
• The incentive in this scheme is very lucrative and has a strong potential to pull children from the web of labour works wages, below are the details on the financial assistance provided to kids. 
• Male Student: INR. 1000/- per month financial assistance if a kid passes the grade i.e. INR 12,000 per year
• Female Student: INR. 1200/- per month financial assistance if a kid passes the grade i.e. INR 14,400 per year
• On passing class 8th, 9th and 10th, both male & female students to receive additional INR. 6000 each year as an encouragement.
• This is a multi phase scheme, in the First Phase Govt to select 2000 children from UP's 57 district worst hit by Child Labour problem. (I personally feel, the number is very low but this is pilot phase, in coming phases the govt. is expected to increase the number exponentially).
• The best part of the scheme: this is over and above any other scheme so students can get multiple scheme benefits
• Identification of Students will be done by Labour Department, Panchyats and School. 
• E-Tracking Facility of the beneficiaries children. Online enrollment can also be done. 

Qualitative Analysis of the Scheme:

• As per ILO's report, in the year 2020 millions of children across developing and under developed nations will be pushed to Child Labour as a result of COVID19. 
• ILO's data suggest that Child Labour reduced by 94 million since 2000. However this year Child Labour will increase after 20 years of progress. 
• Most Vulnerable are kids of people working in informal economy and migrant workers.
• Pandemic wrecks havoc on family income of poor people so children can be pushed into labour works. 
• Children already in labour works may be working under worsen conditions
• Gender Inequalities will grow as girl kids will be forced to work in agriculture fields or domestic work specially with migrant workers returning to villages. 
• Schools are closed so kids might move back to Labour works as their parents can force them to be a workforce and earn some money for the family.    

  What it holds for a common Indian

Pretty much same to last one be a goodwill ambassador of the nation look for kids and help them to secure a position in such schemes run by govt. 

3 key initiatives that will help to eradicate child labour: 

• Quality Education 
• Social Protection Service
• Better Economic Opportunities.  

In the year 2017 I took a mission to ensure 3 kids of a labour worker are enrolled in school, I did managed to get admission of all 3 kids in Govt School in Lajpat Nagar area of Ghaziabad, U.P and  also ensured they are enrolled and taken care as per the Sarv Sikhsa Abhyaan Scheme. I did not mean to self applaud, the only point I want to make to fellow citizens of India please do something like this to ensure as a result of your efforts at least one child completes formal education.  

Hope you find this blog meaningful, if you like it please share it with others. 

न चोरहार्यं न च राजहार्यंन   भ्रातृभाज्यं न च भारकारी ।  व्यये कृते वर्धते एव नित्यं विद्याधनं सर्वधन प्रधानम् 
Neither it can be stolen not it can be divided knowledge  gets multiplied when shared


Cheers
Nishant