Tuesday, December 26, 2017

Promotion - Development of Informal Sector and Mudra Finance Scheme - Vital for India's Development and Inclusion



Around 93% of the Indian workforce is employed in the unorganized or informal sector.

Reaping India’s promised demographic dividend — industry in driving seat
http://www.ey.com/Publication/vwLUAssets/EY-Government-and-Public-Sector-Reaping-Indias-demographic-dividend/$FILE/EY-Reaping-Indias-promised-demographic-dividend-industry-in-driving-seat.pdf

To provide employment and reap the demographic dividend, informal sector needs to be promoted and developed with planned assistance by Government of India and other national development bodies. Government has initiated skill development programme and Mudra Finance Scheme. Mudra Finance scheme is successful in providing targeted credit in the first two years. It needs to be extended in year 2018-19 to Rs. 3.5 lakh crores with focus on employment. Prof. K.V.S.S, Narayana Rao provided the basis and the rationale for such an increase in budget allocation and focus.



Employment Potential of Mudra Finance - Employment to 2 Crore Persons per Annum 


Presentation of Prof K.V.S.S. Narayana Rao, NITIE in a research conference on employment
https://www.youtube.com/watch?v=DLTp7Y48PQQ


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Skill Development for Informal Sector - Need
Even though Around 93% of the Indian workforce is employed in the unorganized or informal sector, there is lack of  formal skill development system for persons getting employment in the sector.

Reaping India’s promised demographic dividend — industry in driving seat
http://www.ey.com/Publication/vwLUAssets/EY-Government-and-Public-Sector-Reaping-Indias-demographic-dividend/$FILE/EY-Reaping-Indias-promised-demographic-dividend-industry-in-driving-seat.pdf

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