The Union Cabinet has greenlighted the execution of an externally supported initiative—known as the National Rural Economic Transformation Project (NRETP). This project falls under the broader banner of the Deendayal Antyodaya Yojana – National Rural Livelihoods Mission (DAY-NRLM), and it will be implemented through financial backing from the World Bank.
Initiated by the Indian Government’s Ministry of Rural Development (MoRD) in 2011, DAY-NRLM undertakes the immense task of assisting approximately 7 crore rural impoverished households across the nation. This spans over 600 districts, 6000 blocks, 2.5 lakh Gram Panchayats, and 6 lakh villages, and it is carried out by self-regulated Self Help Groups (SHGs), federated institutions, and livelihood collectives, all within a time span of 8 to 10 years.
DAY-NRLM’s Mission and Target
The mission’s primary objective is to form effective and efficient institutional platforms for the rural poor. These platforms focus on increasing household income via sustainable livelihood enhancements and improved access to financial services. DAY-NRLM lays particular stress on targeting the direst poverty-stricken and vulnerable communities while ensuring their financial inclusion.
Innovation Under the NRETP
The NRETP sets in motion groundbreaking projects that aim at diversifying channels for financial inclusion, creating value chains around rural products, and establishing unique models for livelihood promotion and financial access. Digital finance and livelihood initiatives are expected to be escalated under this scheme.
Working Relationships and Convergence
DAY-NRLM also stipulates a mutually beneficial professional relationship and establishes formal discussion forums between Panchayati Raj Institutions (PRIs) and Community Based Organizations (CBOs). Furthermore, NRLM has formulated an activity map to facilitate convergence in different areas of interventions where NRLM institutions and PRIs can collaborate. This map has been circulated to all state Rural Livelihood Missions.
Key Facts
| Initiative Name | Launched by | Launch Year | Target Population | Geographical Reach |
|---|---|---|---|---|
| National Rural Economic Transformation Project (NRETP) | Ministry of Rural Development, Govt. Of India | 2011 | 7 Crore rural impoverished households | 600 districts, 6000 blocks, 2.5 lakh Gram Panchayats, 6 lakh villages |
Benefits of the NRETP
The technical support provided by NRETP, along with the higher-level interventions it facilitates, will boost livelihood promotion and increase accessibility to finance. Additionally, it is designed to fast-track initiatives on digital finance and various livelihood interventions, offering a comprehensive solution for the economic development of India’s rural poor.
