Analysing Acche Din: Part 3 (2016-17)

As a part of the series 'Analysing Acche Din', we try to evaluate the initiatives of the Modi Government in the third year in power.

2016-17 has been pretty eventful with the launch of numerous schemes and remarkable initiatives. The schemes were launched with an aim to revamp the socio-economic scenario of the country.

Here are the major initiatives and schemes put in motion in 2016-17:

Demonetization

Launched on 8th November 2016, the demonetization of the ₹500  ₹1000 notes took the country by storm. It was followed by the issuance of new  ₹500 and ₹2000 notes. This move, that sent shockwaves across the economy was reportedly made by the government to reduce the use of counterfeit currency and curtail the shadow economy. Economic growth took a hit and many small industries were shut.

The move initially received a positive response from several bankers. In the longer run, it would lead to increased growth and reduced instances of tax avoidance. But it also had its share of criticism for being poorly planned- there were prolonged cash shortages. There were accusations about information leaks prior to the announcement. According to a report by the RBI, 99.3% of the demonetized bank notes were deposited with the banking system, leading to conclusions that the effort had failed to remove black money from the economy.

Pradhan Mantri Ujjwala Yojana (PMUY)

Launched on 1st May 2016, the Pradhan Mantri Ujjwala Yojana is a social welfare scheme of the Ministry of Petroleum and Natural Gas that aims at providing LPG connections to women Below Poverty Line. The scheme was pretty successful with over 4.4 crore connections issued. And it's safe to say it contributed to BJP's victory in UP assembly elections in 2017. There were certain concerns with the implementation and the rise in the number of PMUY beneficiaries. But in a country that is the biggest emitter of greenhouse gases after the USA and China, it is very significant in helping India become a 'cleaner' country.

Stand Up India Scheme

The scheme was launched on 5th April 2016, with a vision to promote entrepreneurship among women and SC and ST communities. As a part of the launch, a web portal was opened providing information about various entities providing support to the borrowers. The scheme aims to facilitate bank loans between 10 lakh and 1 crore to at least one SC or one ST borrower and one woman per branch for setting up a greenfield enterprise. In the case of a non-individual enterprise, at least 51% of the shareholding stake and management control should be held by an SC/ST or a woman.

But are banks really giving loans under this scheme? Reports show only 6% of banks gave loans to Dalits and Adivasis and less than 25% to women, 17 months after the scheme was launched. So the scheme received widespread criticism for its implementation issues.

Insolvency and Bankruptcy Bill

Introduced by the Finance Minister Mr Arun Jaitley in the Lok Sabha on 21 December 2015, the Insolvency and Bankruptcy Code, 2016 aims to provide a single legal framework for insolvency and bankruptcy and to establish an Insolvency and Bankruptcy Board of India. It was introduced mainly to protect the interests of small investors and to ease the process of doing business. It was passed in May 2016 and became effective in December of that year.

Pradhan Mantri Surakshit Matritva Abhiyan (PMSMA)

As the country strives towards achieving Sustainable development goals, reducing maternal mortality rate becomes an important issue to be taken up. This scheme was launched on 9th June 2016 to provide better Ante Natal Care(ANC). The scheme aims at providing various healthcare services as part of ANC on the 9th day of every month. The scheme ensures that the target beneficiaries( pregnant women in the 2nd/3rd trimester) receive at least one checkup.

Other schemes implemented include Pradhan Mantri Fasal Bima Yojana, the Indian Railways Passenger Travel Insurance Scheme, Vidyalakshmi Scheme, the National Apprentice Promotion Scheme (NAPS), the Shala Asmita Yojana(SAY), Pradhan Mantri Garib Kalyan Yojana and various initiatives like National Rurban Mission(NRuM), Gram Swaraj Abhiyan, the khadi initiative, Mission Bhagiratha, Direct Benefit Transfer Scheme and the Setu Bharatam Program.

In a nutshell, with initiatives that served to provide opportunities for the youth, to ones which served to empower women and the less-privileged, the government left no stone unturned to improve the country's socio-economic scenario.

- Shreya Kotagiri