Review of World Bank funded projects:

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• Review of World Bank funded projects
• APDPIP and APRPRP

T. VIJAY KUMAR, I.A.S. C.E.O. Society for
Elimination of Rural Poverty Dept. of Rural
Development, Govt. of A.P 24-10-08
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Rural poverty reduction projects

• 1. Andhra Pradesh District Poverty Initiative
  Project (A.P.D.P.I.P) from the year 2000 to Dec
  2006 (completed)
• 2. Andhra Pradesh Rural Poverty Reduction
  Programme (A.P.R.P.R.P) from the year 2002 to
  Sept 2009 (ongoing).
• Implementing Agency
• Society for Elimination of Rural Poverty (S. E.
  R. P), an autonomous society under the Rural
  Development Department
• Indira Kranthi Patham
• In the year 2005, the scope of the 2 projects
  was expanded to cover all mandals and all
  villages of the state and the comprehensive
  programme was named as Indira Kranthi Patham
  (IKP).

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Indira Kranthi Patham Objectives

• to enable the rural poor in the State,
  particularly the poorest of the poor, to improve
  their livelihoods and quality of life through
  building their own institutions

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A.Ps Vision

• each family in the state should be out of
  poverty and enjoy
• Life with dignity
• Equity within the family
• Freedom from hunger
• Decent Income gtRs.5000 per month, 3 - 4 sources
• Planned household expenditure
• Risk management - life, health, assets and
  incomes
• Shelter, sanitation, drinking water, good health
• EDUCATION

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Poverty Eradication Core Beliefs

• Poor have a strong desire and innate ability to
  come out of poverty
• Poor have a strong sense of self-help and
  volunteerism
• Poor can come out of poverty only through their
  own institutions
• Social mobilization process not automatic,
  needs to be induced
• Hence, need for sensitive support structure for
  poor S.E.R.P

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Indira Kranthi Patham Conceptual Framework
GOALEmpowering Integrating Poor
Voice of the Poor
ltltltRipple EFFECTS Plannedgtgtgt
Economic Integration Markets/Institutions (E.g.
Banks, Dairy Fedn., etc.)
Mapping Needs vs. Actions3-5 Years
Social Safety Net
Livelihoods Menu
Pensions
Insurance
Gender
NREG
Jobs/Skills Imparting
Land
Dairy
Marketing
Basic Institution/Trust Building Platform
Trust Building2/3 Years
Microfinance
Community Investment Fund
Food Security
Key Success Metric Extent of reduction in the
number of people below economic, social,
institutional and economic poverty
Institutional Architecture
SHG
VO
Mandal/Block
District
State
Function Focus
Mapping Needs vs. Actions Implementation
Operational skill support Coordination
Monitoring Replicability Strategy
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Role of S.E.R.P

• Sensitive support organization for the poor
• Autonomous society set up by Government in 2000
• firm conviction in the capability of poor, and,
  in organizations of the poor
• To induce social mobilization
• To provide facilitation support to institutions
  of poor
• To sensitize line departments to be inclusive of
  the needs of the poor

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Implementation Arrangements

• Society for Elimination of Rural Poverty (SERP)
  is an overall implementing agency.
• At the State level, there is State Project
  Management Unit, consisting of C.E.O, assisted by
  functional specialists.
• At the district level, there is District Project
  Management Unit, headed by a Project Director,
  assisted by functional specialists. The P.D,
  D.P.M.U is also the P.D, DRDA. Functional
  specialists drawn from open market or Govt.
• There are Area Coordinators for 4-5 mandals, who
  are supporting the MSs in implementation of their
  programs

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Implementation at grassroots
Self help groups (10 to 15 members 1 SHG

• All SHGs, federate at village level into Village
  Organisaton (VO).
• VO registered as cooperative under MACS
• All VOs federate at mandal level into Mandal
  Samakhya (M.S.).
• All MSs federated at dist. Level called Zilla
  Samakhya (ZS)
• M.S.s and VOs implement key project components.
• ZS is implementing complex programmes like
  insurance

Village organization (15-20 SHGs 1 VO) 150
250 members
Mandal Samakhya (20-40 VOs 1 MS) 6,000 10,000
members
Zilla Samakhya (All MSs in the district) 2-5 lakh
members
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Implementation arrangements at grassroots

• Mandal Samakhyas and the Village Organisations
  implement various project components
• Each Mandal is divided into three Clusters of
  10-15 habitations. Each cluster is assisted by a
  development professional, called Community
  Coordinator (C.C) and a master bookkeeper
  (M.B.K). MS is also assisted by Community
  Facilitators, mostly drawn from the members, to
  support VOs in bookkeeping and strengthening
  SHGs. Each MS is having MS Accountant
• MS and VOs implement various programs like food
  security, marketing, pension distribution etc.
• Micro credit plans are evolved by the S.H.Gs.
  These are financed by banks and C.I.F. V.Os
  assisted by para professionals
• Zilla Samakhyas implement larger programs like
  insurance and also monitor the performance of
  MSs. It is supported by its own staff recruited
  for the specific needs.

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Universal Coverage of the Poor
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Key impact financial support to poor

• Seed capital support to Mandal samakhyas
• Project facilitated financial intermediation by
  federations M.S V.O S.H.G member
• Close to Rs.900.0 crores disbursed to 1097
  mandal samakhyas from 2001 2008
• C.I.F (World bank project) and S.G.S.Y funds
  channelled to federations
• Catalytic role of the fund
• Enable poorest of poor to get a sizeable loan and
  build their credit record
• Innovate and develop new financial products food
  security, marketing, health, education

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Financing model
Village Organization
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SHG Bank Linkages
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SHG-Bank Linkage in AP (Rs.crs)
50 of All India 2007-08
11000
5883
3064
2001
1018
753
454
198
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Performance in Key Areas outcome(Sep 2008)

• Cumulative Bank Linkage from 2001-02 Rs
  16,605. Crores
• No. of Households benefiting from Food Security
  21,77,641
• Community Marketing turnover(cumulative) Rs
  695 crores
• No. of acres under sustainable agriculture
  9.9 lakhs
• No. of Rural Youth provided jobs in the current
  year till Sep 2008 ----- 27,979
• No. of persons covered under life insurance -----
  80 lakhs

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Key impact S.H.G-bank linkage

• Bank loans to S.H.Gs Rs.5900 crs in 2007/08
• Per member linkage - Rs.11000
• Repayment rates gt 98.5
• From savings linked lending to lending based on
  micro credit planning by S.H.Gs
• Bank finance for debt swapping, social needs and
  income generation 3031 villages covered,
  balance 32000 villages in 4 years
• From 2004 interest subsidy for on-time
  repayment - Pavala vaddi scheme Rs.250.0
  crores outlay for 2008/09

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Prerequisites for a family to come out of poverty

• strong and self sustaining institutions of the
  poor
• 6 to 8 years of continuous nurturing and
  handholding by their S.H.Gs, V.Os and M.Ss
• A minimum investment of Rs.100,000/- per family
  ( by way of numerous small and big loans) 6
  8 years
• Repeat loans from the S.H.G and the bank to
  meet all priorities
• S.E.R.P focuses on building self sustaining V.Os
  and M.Ss, and, facilitating credit access to
  S.H.Gs

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A.P Roadmap for bank linkages

• Universal financial inclusion, adequate
  financing for poor and a bank in every village
• Mobilise Rs.100,000 crores, cumulatively, by
  2013/14
• Total Financial inclusion in all villages by
  2011/12 6000, 8000, 12000, 6000

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Monitoring and Evaluation S

• Process Monitoring
• Studies
• Mid-term project evaluation
• End- term evaluation

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Making state work - convergence

• Convergence with line departments on terms
  conducive to full participation by the
  institutions of the poor and ownership of the
  poor
• Economic agenda
• Rural development S.G.S.Y, NREGA, Watersheds
• Human development
• School education mid day meals programme
• Health and family Welfare community managed
  health in 45 mandals
• Rural water supply and sanitation dept
• Women Child welfare Nutrition centres in 45
  mandals

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Convergence

• Revenue land purchase, land access, and
  resolution of legal disputes
• Family counselling centres police and judiciary
• Social protection payment of pensions to old
  aged
• Housing department rural housing for the poor
• PRIs better participation and voice of poor in
  Gram sabhas and Gram panchayats
• Agriculture sustainable agriculture
• Animal Husbandry A.P.D.D.C.F partnership
• Forestry NTFP collection and marketing
• L.I.C death and disability cover

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Best Practices

• Community based targeting
• Focus on the poorest of the poor
• U.S.P power of scale bringing all the poor in
  the state into social networks
• Scaling up through community resource persons
• Institutional design SHG V.O M.S
• Large scale mobilization of bank finances for
  poor
• Large scale livelihoods promotion
• Community managed food security
• Social issues as an agenda for collective action
• Social risk management
• Convergence with all line departments
• S.E.R.Ps dynamic role

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A.P. Freedom from Poverty Project (2009-10 to
2013-14) Next Phase

• Project will build on the strong foundation of
  institutions of the poor
• Specific strategies focusing on the poorest of
  poor
• Interventions will focus on stabilising and
  deepening existing livelihoods and creating new
  livelihoods for the youth
• Convergence with all line departments
• Project addresses directly and significantly all
  the millennium development goals, from the
  demand side

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PROJECT COST
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A.P
free from poverty

• 
  Financial and managerial
• 
  self reliance of federations
• 
  Parity for ultra
• 
  poor in all initiatives
• 
  Younger generation skill upgradation, higher
  education, jobs
• Deepening key livelihoods and development of
  livelihoods based institutions
• Achieving millennium development goals by 2015