‘Urban poor need new social protection nets’, says World Bank economist

The World Bank unveiled a US $1-billion bundle to introduce a social security system for the city poor. In an interview to Zia Haq , Shrayana Bhattacharya, senior economist, World Bank, discusses its nuts and bolts. Edited excerpts:

At a conceptual stage, are you able to inform me what’s the $1-bn funding all about?

Given the continuing pandemic, the federal government wants to offer money and in-kind help to the susceptible. The programme envisages social safety as a bridge that may carry the poor and susceptible to a part of restoration. Half of India’s inhabitants is between the poverty line and twice the poverty line. Ninety per cent of workforce is casual. Our programme not solely helps speed up Indian govt’s try and help the poor, additionally it is attempting to create strategic shifts that may not solely assist India cope with Covid-19 but additionally any future shocks or disasters.

What are the important thing shifts being envisaged by the Bank’s programme?

There are three crucial shifts. First, the programme will assist India transfer from 460-plus fragmented social safety schemes to a quick and extra versatile built-in system. Second, it’s going to allow geographic portability of social advantages that may be accessed from anyplace in nation, making certain meals, social insurance coverage and cash-support, together with for migrants and concrete poor; and eventually, it’s going to transfer social safety from a predominantly rural focus to pan-national one which recognises city poor.

Essentially, the Bank has talked about making social security nets equally geared for city poor as they’re for rural India. How do you rebalance?

Nearly 70% of social safety beneficiaries are in rural India. But there’s a rising city financial system and likewise honest quantity of mobility between rural to city India. The wants of a extra cellular and concrete India haven’t been addressed. For instance, for Covid disaster, the federal government was capable of rapidly use pre-existing schemes like PM-KISAN, out there solely in rural India. There is not any city equal of a MNREGA or PM-KISAN.

What should we do to design an excellent security web for the city poor then?

You want to have the ability to present meals in a direct and a conveyable approach throughout states. Scaling up One Nation, One Ration is important and our programme will help that. The second is about making a cash-delivery system so revenue transfers can attain city India and belongings exist — like financial institution accounts and Aadhaar.