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India : Reducing Poverty, Accelerating Development


  • World Bank


Reducing poverty, and providing for minimum needs, is the ultimate yardstick against which to measure development. To this end, the study outlines India's growth rate, improved social indicators, and poverty reduction since the 1970s, but specifies that, despite this progress, poverty is a serious concern, where social indicators remain below comparator countries. Human development is examined, focusing on social indicators, stating the delivery of health and education is fraught with limited accountability for performance and with low management capacity. Governance is critical to development, but the country's inadequate and adverse factors hinder the development of public administration, instead, performance incentives, and accountability within a downsized civil service, effective financial management, and decentralization should be pursued. Infrastructure should attract private investments, but the perverse impact of subsidies preclude the provision of private services. However, regulatory agencies are imperfect alternatives to competition, but corporatization would be an essential step in attracting the private sector. The study further reviews deregulation to increase trade growth and improve labor market flexibility. Conclusions call for reforms, arguing it would lead to higher growth, favorable balance of payments, and further capital inflows, including foreign direct investments.

Suggested Citation

  • World Bank, 2000. "India : Reducing Poverty, Accelerating Development," World Bank Publications, The World Bank, number 15185.
  • Handle: RePEc:wbk:wbpubs:15185

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    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Satoshi Miyamura, 2012. "Emerging Consensus on Labour Market Institutions and Implications for Developing Countries: From the Debates in India," Forum for Social Economics, Taylor & Francis Journals, vol. 41(1), pages 97-123, April.
    2. Kochar, Anjini, 2005. "Can Targeted Food Programs Improve Nutrition? An Empirical Analysis of India's Public Distribution System," Economic Development and Cultural Change, University of Chicago Press, vol. 54(1), pages 203-235, October.
    3. Motkuri, Venkatanarayana, 2003. "Child Deprivation: An Extended Approach to Child Labour," MPRA Paper 53052, University Library of Munich, Germany.
    4. World Bank, 2004. "Stabilization and Fiscal Empowerment : The Twin Challenges Facing India's States, Volume 2. Detailed Report," World Bank Other Operational Studies 16775, The World Bank.
    5. Fujita, Koichi, 2012. "Development strategy in Bihar through revitalizing the agricultural sector : a preliminary analysis," IDE Discussion Papers 332, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    6. Ranjula Bali Swain & Maria S. Floro, 2010. "Reducing Vulnerability through Microfinance: Assessing the Impact of Self-Help Groups in India," Working Papers 2010-19, American University, Department of Economics.


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