Prof. Vivek Pandey along with a team from World Bank recently made a presentation on the findings of the Impacts of the National Rural Livelihoods Mission (NRLM) on female labor force participation and household incomes in rural India. The presentation was made to the Development, Monitoring and Evaluation Office (DMEO), NITI Aayog.
The findings were based on his recently published World Bank Policy Working Paper titled, “Labor and Welfare Impacts of a Large-Scale Livelihoods Program: Quasi-Experimental Evidence from India”.
Improving the livelihoods of poor households and transitioning more women back to the labour force is a major challenge in South Asia. Self-employment promoted through women's groups has often been cited as a promising intervention towards this end. However, the evidence on the impact of such programs on labour outcomes and household income is limited, especially for government programs like NRLM in India. The study aimed to provide empirical evidence on the welfare impacts of an "intensive approach" adopted under this program. The data for the study come from 4,316 household surveys in 727 villages.
Results suggest that the program has been able to increase female Working Participation Rate (WPR) by 13.6%. This increase in WPR is for the entire village and not just for NRLM beneficiaries. The program could expand the access to credit, increased the proportion of savings, and reduced interest rates on credit for rural households.
This is the first study to estimate the annual income effects of a government-run rural livelihoods program in India, and it shows significant increases in the median income across the sample.
You can read the Policy Paper by clicking on the link here.
Prof. Vivek Pandey is an Associate Professor of Economics and heads the Verghese Kurien Policy Lab (VKPL) at the Institute of Rural Management Anand (IRMA).
Disclaimer: The information contained in this website is for general information purposes only. The inclusion of any links does not necessarily imply a recommendation or endorsement of the views expressed within them.