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Backward Region Grant Fund – An Analysis of Expenditures, Processes and Capacities in BRGF Districts of Karnataka

28 Jul 2015


Author: Surashree Shome, Madhusudhan BV Rao, Srinivas Alamuru

Funding Partner: State Institute of Rural Development (SIRD), Karnataka

Abstract

In 2006-07, Government of India launched the Backward Region Grant Fund (BRGF) with the objective of redressing persistent regional imbalances in development by providing financial resources for supplementing and converging existing development inflows into the identified 272 backward districts across 27 states. This report reviews the planning, implementation and capacity building process under BRGF programme in Karnataka with the overall objective of understanding its impact by assessing the change in relative positioning of the districts where BRGF is implemented in respect of various development parameters; analyzing the pattern of fund release and expenditure across the districts and examining the plans and planning processes. Davanagere and Bidar districts were selected for the study out of six BRGF districts. Two taluks from each of the selected districts were taken up for detailed analysis.

The study finds, amongst other results, that districts with smaller population benefit most with the current criteria for fund distribution. Per capita allocation to Chitradurga (the lowest population among the BRGF districts) was Rs 50 more than that of Gulbarga (with highest population). Across 10 indicators (5 indicators each under economic and social indicators each) , an assessment of relative position of BRGF districts for two time periods (2007 and 2013) by calculating the cumulative index of social and economic indicators showed that the performance of the BRGF districts had improved only by 1 or 2 ranks between 2008 and 2013. It was found that while BRGF Scheme helped set up the District Planning Committee as it was mandated under the scheme, the planning process itself remained devoid of any participation from people at grass root level.

CBPS. (2015). Backward region grant fund - an analysis of expenditures, processes and capacities in BRGF districts of Karnataka. Mysuru: Abdul Nasir Sab State Institute of Rural Development, Mysuru; Government of Karnataka.

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