January 22, 2009 - Tamil Nadu has achieved significant development successes over the last 15 years. It is one of India's most industrialized states with economic growth rates well above the national average. The state's performance in social issues, such as life expectancy, gender equality, female mortality rate, and access to safe drinking water, are impressive.
Despite these achievements, the state has over 12 million people still living in poverty, the majority in rural areas. Rural poverty is concentrated among landless agriculture workers and small farmers who are often affected by drought, increasing their vulnerability due to income variations. There are also intra-state disparities in key poverty and social indicators. The social disparities of caste and gender have excluded the most vulnerable from the economic and social gains the state has achieved.
The Government of Tamil Nadu focused its priorities on reducing poverty among women, children and vulnerable people through empowerment and employment. To this end, the state spends about 30 percent of its budget on social welfare and rural development programs. One such successful program is Mahalir Thittam (A Program for Women) - which organizes Self Help Groups (SHGs) for social and economic empowerment of poor women. This program along with other social programs has shown good results in empowering women and providing them credit linkages. However, the success achieved in social empowerment has not translated into economic empowerment.
World Bank's Role
The goal of the World Bank assisted Tamil Nadu Empowerment and Poverty Reduction Project is therefore to improve the livelihoods and quality of life of the rural poor, particularly women and other disadvantaged groups. Building on the success of Mahalir Thittam program, this project, called “Vazhndhu Kaatuvom” in Tamil (meaning new life), supports the Government of Tamil Nadu in creating livelihood opportunities and building social capital in poor communities through both social and economic empowerment.
“This project builds on Tamil Nadu's existing programs and good practices using what we call the Community Driven Development approach,” says Meena Munshi, Senior Economist at the World Bank. “This puts poor people at the center of the planning and implementation of the changes that will affect their lives. The project focuses on reducing poverty through building social capital and a resource base in the poorest and most vulnerable communities. The approach emphasizes inclusion and strengthening local organizations and village governance.”
The project draws on the World Bank's experience from similar livelihoods development in India, South Asia and beyond. In India, the Bank is supporting six other similar programs in Andhra Pradesh, Madhya Pradesh, Chhattisgarh, Bihar, Orissa and Rajasthan.
Additional Resources
- Tamil Nadu: A New Way of Cultivating Rice
Some farmers in Tamil Nadu are using less water and fewer seeds to grow more rice. It is a new way of cultivating rice, and it is raising hopes that the rice yield could increase, without draining the country of scarce water and resources. (Read More »)
- World Bank in India
Launching pad to all information on World Bank activities in India. (Read More »)
- South Asia: Development Data
A wide range of social and economic measures on South Asia, including links to the World Bank's most important online development databases. (Read More »)
- South Asia: Analysis and Research
Compilation of all the World Bank's publications on South Asia, with 'search' options and links to analysis and research on other South Asian countries. (Read More »)
- World Bank Program in South Asia
Launching pad to all information on World Bank activities in Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, and Sri Lanka. (Read More »)