Panchayat

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Lesson learnt thru Implementing
Madhya Pradesh District Poverty Initiatives
Project
Panchayat Rural Development Department, Govt.
of MP, Bhopal
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Introduction

• Madhya Pradesh District Poverty Initiatives
  Project, a bilateral livelihood project, funded
  by the World bank.
• Aimed at alleviating poverty, strengthening local
  government and community institutions,
• Improving local governance

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PROJECT MISSION
The Mission of the project is EMPOWERING PEOPLE.
PROJECT VISION

• The Project envisages a poverty-free State of
  Madhya Pradesh, by improving
• opportunities for the poor and the vulnerable,
  especially women, to meet their own
• social and economic development objectives.

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• Project Districts 14
• Blocks 53
• Villages 2900
• Beneficiaries - 3.6 lakhs
• No. of CIGs - 56092

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1. Autonomous Project Management

PFT Level
District Level
State Level
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2. Multi-Sect oral Project Facilitation Team

• Professional with background of rural management,
  engineering, veterinary and agricultural.
• One NGO managed PFT in each district.
• Mobilization support organization (NGOs) for
  rapport building with women.
• Sector support organization for activity based
  federations.

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3. Unique recruitment and selection process

• Innovative recruitment and selection process for
  project staff
• Procedure assesses candidates on parameters like
  temperament, social maturity, ability to work in
  team and attitude.
• 121 PFTs with 700 professionals.

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4. Identification of Beneficiaries

• Wealth Ranking for identifying the real target
  group
• Wealth Ranking by PRA techniques
• Approval of Wealth Ranking by Gram Sabha

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5. Demand Driven

• Demand Driven approach
• Activity selection by the group
• Formation of CIG and A/c opening in the bank

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6. Decentralized Decision Making

• Administrative sanction of sub projects by Gram
  Sabha
• Technical sanction of sub project by PFTs
• Decisions on implementation, micro management,
  procurement taken by CIGs

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7. Single trench disbursement

• Appraisal and release of fund directly to the CIG
  account
• Placing funds at people's disposal.
• Trust in people and their wisdom

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8. Activity based CIGs

• CIG identifies the activity which the members
  would like to implement.
• Through livelihood activities, beneficiaries
  enhanced their income and start saving to get
  contribution together.
• Increased the capacity of CIG to negotiate the
  best deal in purchase and procure the assets and
  materials.

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9. Thrift Credit

• Village Development Committee is the village
  level federation of the CIGs
• Total 34,030 credit linkage of Rs. 58. 33 Crs
• VDC registered 2650
• Apna Kosh (Village Fund) Rs. 33.29 Crs

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10. Activity based Federation

• Membership
• CIG Members involved in similar activities
• Registered
• 17 Producer company registered under Company Act.
• 28 MACS registered under Mutually Aided
  Cooperative Society Act 137 Dairy cooperatives.
• Objectives
• Market linkage- input procurement marketing,
• Banklinkageconsumptive/productive loan,
  Insurance.
• Knowledge linkage training technical knowledge

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11.Creation of Social Capital

• Village Resource Person 1000
• Service Providers 900
• Para vet - 200

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Project Impact
I N C R E A S I N G
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Economic Analysis

• 89 activities functional
• Positive NPV for all the activities
• Higher IRR range of activities
• BCR greater than unity for all the activities
• Producer companies are having positive NPV
• The Producer company have IRR in the range of 35
  to 216
• All companies having BCR greater than one

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MPDPIP- 2nd Phase
Madhya Pradesh Integrated Livelihood Programme
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DPIP-Phase-II

• Introduction
• Looking at the success of phase 1, the project
  Phase -2 is proposed in all the 10,000 villages
  of existing 53 blocks of 14 districts for five
  years of about US 200 Million.
• Objective
• To strengthen existing livelihood and create
  sustainable opportunities
• for BPL families -
• By improving income generation capacity of their
  livelihood system including establishment of
  backward and forward linkages.
• By promoting market oriented production system,
  create new economic assets.
• By promotion of sectors with large employment
  potential, promote rural manufacturing hubs
  through a mission mode of delivery.

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Proposed Target-DPIP-II

• Proposed target during a span of 5 years
• Targeted BPL families 5.50 Lakhs
• Total Primary Groups (SHGs) 45,000
• Village Development Committee 7500
• Cluster Producer Organization (Livelihood) 10
• Community Financial Federation 255
• Ajeevika Kendra 2000
• Training placement
  1 Lakh

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Implementation / Federation in Primary /
Secondary sector
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Employment generation after training
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Micro-finance
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Policy adopted by GoMP

• 1. Integrated Livelihood Programme
• An Integrated Livelihood Programme in which all
  the livelihood schemes of Rural Development
  Department will be integrated and implemented
  through PFT model
• 2. SHG Strengthening Policy, 2007
• Under SHG Strengthening Policy, the
  activity-based federations of SHGs will be
  promoted by providing-
• Handholding Operational support
• Financial assistance for working capital
• Support for infrastructure development
• Employability Training Policy, 2007
• Under the Employability Trainings policy
  educated/un educated, skilled/un skilled
  members/youth will be registered and trained
  according to the existing demand of services in
  industry, tourism, hotel, construction etc. and
  placed.

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Thank You