While the Odisha Government has approached the Union Government to conduct socioeconomic caste enumeration along with the general census, the Centre has decided to enhance financing of Other Backward Class (OBC) beneficiaries.
The Ministry of Social Justice and Empowerment (MoSJE) has informed the State Government about its decision to enhance financing of SC and OBC beneficiaries and Self Help Groups.
Chief Minister Naveen Patnaik has recently approached the Centre to go for socio economic caste census either by inserting suitable columns in the Census format or by prescribing separate format for a simultaneous enumeration of SEBCs/OBCs.
Union Secretary, Social Justice and Empowerment R Subrahmanyam has informed the decision of the Government of India for enhancing financing of SC and OBC beneficiaries and SHGs to ensure speedier economic improvement of these people who face multiple deprivation.
While SHG model with proper implementation has shown highest potential of poverty reduction, the Union Government is now showing interest in strengthening SHGs with enhancing finance to them.
Odisha has been in the forefront of promoting SHGs, especially women SHGs, which has made significant impact on the economical up-gradation of the people living in poverty.
In fact, the Odisha Government has decided to extend Government business worth Rs 5,000 crore through SHGs, which will improve the fiscal status of the members of these groups.
Now, the Government of India following the Odisha Government's footsteps is harping on scaling up of financing these organisations along with the other beneficiaries of SC and OBC.
The SHGs will be provided credit with 4-5 per cent interest, while beneficiaries will be given loan at 6-8 per cent interest, said a senior official of the
MoSJE.
Financing will be provided through National Scheduled Caste Finance and Development Corporation (NSFDC) and National Backward Classes Finance Development Corporation (NBCFDC).
The Government of India has decided to expand the operations of both NSFDC and NBCFDC significantly to bring more beneficiaries under coverage. More people will be able to take up economic activities so that within next five years they will be out of poverty, said the officer.
Now the State Government will have to identify the beneficiaries and SHGs who will reap the benefits of the Union Government decision. Systematic identification is needed to be carried out by both Urban Development and Panahcyati Raj Department to enable beneficiaries from both urban and rural areas, said sources.
The State Government will have to look at the market demand while finding out the projects that will be sustainable and beneficial for the beneficiaries.
Concessional financing to be routed through NSFDC and NBCFDC will be channelised through SC and OBC Finance Corporations of the State Government or Regional Rural Bank (RRB) as identified by the State administration, said sources.