Introduction
Anti-poverty Programmes have been a dominant feature of government initiatives in the rural areas. The Programmes have been reviewed and strengthened in the successive years in order to sharpen their focus on reduction of Rural Poverty. The results achieved, in the meanwhile, are worth noting. In percentage terms, rural poverty, has reduced from 56.44% of the country's population in 1973-74 to 37.27% in 1993-94. Some States have been more successful in reducing their poverty (rural) during this period. These States are Andhra Pradesh (48.41% to 15.92%), Goa (46.85 % to 5.34%), Gujarat (46.35% to 22.18%), Karnataka (55.14% to 29.88%), Kerala (59.19% to 25.76%), Rajasthan (44.76% to 26.46%), Tamil Nadu (57.43% to 32.48%), and West Bengal (73.16% to 40.80%). However, the cause of concern is that the estimated number of the rural poor is still about 244 million which has led to further review and restructuring of the anti-poverty Programmes. The Swarnjayanti Gram Swarozgar Yojana (SGSY) is the result of such latest review and restructuring of the Programmes. The Swarnjayanti Gram Swarozgar Yojana (SGSY) has been launched with effect from 1.4.1999 as a new Self-employment Programme. With the coming into effect of the SGSY, the earlier Programmes of Integrated Rural Development Programme (IRDP), Training of Rural Youth for Self-Employment (TRYSEM), Development of Women and Children in Rural Areas (DWCRA), the Ganga Kalyan Yojana (GKY) as well as the Million Wells Scheme (MWS) are no longer in operation. The brief details of the Programme are indicated in the following paragraphs:

Objective
The objective of the SGSY is to bring the assisted poor families (Swarozgaris) above the Poverty Line by providing them income-generating assets through a mix of Bank Credit and Governmental Subsidy.

Strategy
The SGSY is different from earlier Programmes, in terms of the strategy envisaged for its implementation, and has been conceived as a holistic Programme of self-employment covering all aspects of self-employment, viz., organization of the rural poor in to Self-Help Groups and their capacity building, training, planning of activity clusters, infrastructure build-up and technology and marketing support.

Activity Clusters - Planning and Selection
There are two key aspects of the SGSY, namely, Activity Clusters and the Group Approach. Each Block has to concentrate on 4-5 Key Activities based on local resources, occupational skills of the people and availability of markets so that the Swarozgaris can draw sustainable incomes from their investments. Selection of these activities has to be done with the approval of the Panchayat Samitis at the Block level and District Rural Development Agency/Zilla Parishad at the District level. These Key Activities should preferably be taken up in clusters so that the backward and forward linkages can be effectively established. The SGSY also focuses on organisation of the poor at grassroots level through a process of social mobilisation for poverty eradication. Social mobilisation enables the poor build their own organisations {Self-Help-Groups (SHGs)} in which, they participate fully and directly and take decisions on all issues that will help them in coming above the Poverty Line. A SHG may consist of 10-20 persons belonging to families below the Poverty Line and a person should not be a member of more than one group. In the case of minor irrigation schemes and in the case of disabled persons, this number may be a minimum of five (5).

Target Group
Below the Poverty Line families in rural areas constitute the target group of the SGSY. Within the target group, special safeguards have been provided to vulnerable sections, by way of reserving 50% benefits for SCs/STs, 40% for women and 3% for disabled persons.

Financial Assistance
Assistance under the SGSY to individual Swarozgaris or Self-Help-Groups, is given in the form of subsidy by the Government and credit by the Banks. Subsidy under the SGSY to individuals is uniform at 30% of the Project Cost subject to a maximum of Rs. 7500. In respect of SCs/STs, the subsidy is 50% of the Project Cost, subject to a maximum of Rs. 10,000. For groups of Swarozgaris, the subsidy is 50% of the cost of the Scheme, subject to a ceiling of Rs. 1.25 lakh. There is no monetary limit on subsidy for Irrigation Projects; subsidy is back ended.

Funding Pattern
The Swarnjayanti Gram Swarozgar Yojana (SGSY) is financed on 75:25 cost sharing basis between the Centre and the States.

Implementing Agencies
The SGSY is being implemented by the District Rural Development Agencies (DRDAs), with the active involvement of Panchayati Raj Institutions (PRIs), the Banks, the Line Departments and the Non- Government Organisations (NGOs) .

Monitoring
A comprehensive system of monitoring has been adopted under the SGSY. The programme is monitored from the Central level down to the grass-roots level. At the Central level, the Central Level Co-ordination Committee (CLCC) monitors and reviews the implementation of the Programme and lays down Policy Guidelines for all aspects related to credit linkages for the SGSY. The Performance Review Committee of the Department of Rural Development also reviews the implementation of the SGSY. At the State level, a State Level Coordination Committee (SLCC) monitors the Programme. In addition, the progress under the SGSY is monitored periodically through Reports and Returns submitted by DRDAs/States. Detailed monitoring formats for reporting progress of the Programme have been circulated to all the DRDAs. Implementation of the Programme is monitored and reviewed through the Project Directors` Workshops and periodic Meetings with the State Secretaries. At the Block/DRDA level, monitoring is done through field visits and physical verification of assets. Efforts are underway to bring all the DRDAs of the country within online networks for smooth flow of information from the Districts to the Centre and the States/UTs.

Salient Features
The salient features of the Swarnjayanti Gram Swarozgar Yojana (SGSY) are given below:
The Swarnjayanti Gram Swarozgar Yojana aims at establishing a large number of micro enterprises in the rural areas, building upon the potential of the rural poor.
The SGSY emphasis on the cluster approach for establishing the micro-enterprises. For this, 4-5 Key Activities have to be identified in each Block. The major share of the SGSY assistance has to be in activity clusters.
The SGSY adopts a Project approach for each Key Activity. Project Reports are to be prepared in respect of each of the identified Key Activities. The Banks and other financial institutions have to be closely associated and involved in preparing these Project Reports, so as to avoid delays in sanctioning of loans and to ensure adequacy of financing.
The existing infrastructure for the cluster of activities should be reviewed and gaps identified. Critical gaps in investments have to be made up under the SGSY, subject to a ceiling of 20% (25% in the case of North Eastern States) of the total allocation made under the SGSY for each District. This amount is maintained by the DRDAs as 'SGSY - Infrastructure Fund'.
In the planning of the Key Activities, care has to be taken to ensure that the maximum numbers of Panchayats are covered without jeopardising the quality of the Programme.
The assisted families may be individuals or groups (Self-Help Groups). The SGSY, however, favours the group approach.
The Gram Sabha authenticates the list of Below the Poverty Line families identified in the BPL Census. Identification of individual families suitable for each Key
Activity is to be made through a participatory process.
The group approach involves organization of the poor into Self-Help Groups (SHGs) and their capacity building. Efforts have to be made to involve women members in each SHG. Besides, exclusive women groups are also to be formed. At the level of the Block, at least half of the groups should be exclusively women groups. Group activities are given preference and progressively, majority of the funding should be for Self-Help Groups.
The SGSY is a credit-cum-subsidy Programme. However, Credit is the critical component of the SGSY, subsidy being a minor and enabling element. Accordingly, the SGSY envisages greater involvement of the Banks. They are to be involved closely in the Planning and preparation of Project Reports, identification of activity clusters, infrastructure planning as well as capacity building and choice of activity of the SHGs, selection of individual Swarozgaris, pre-credit activities and postcredit monitoring including loan recovery.
The SGSY seeks to promote multiple credit rather than a one-time credit 'injection'. The credit requirements of the Swarozgaris need to be carefully assessed; the Swarozgaris are allowed and, in fact, encouraged to increase credit intake, over the years.
The SGSY seeks to lay emphasis on skill development through well-designed training courses. Those, who have been sanctioned loans, are to be assessed and given necessary training. The design, duration of training and the training curriculum is tailored to meet the needs of the identified Key Activities. DRDAs are allowed to set apart upto 10% of the SGSY allocation on training. This may be maintained as 'SGSY- Training Fund'.
The SGSY attempts to ensure upgradation of technology in the identified activity clusters. The technology intervention seeks to add value to the local resources, including processing of the locally available material from natural and other resources for local and nonlocal market.
The SGSY provides for promotion of marketing of the goods produced by the SGSY Swarozgaris, which involves provision of market intelligence, development of markets and consultancy services, as well as institutional arrangements for marketing of the goods including exports.
The SGSY is implemented by the DRDAs through the Panchayat Samitis. The process of planning, implementation and monitoring integrate the Banks and other financial institutions, the Panchayati Raj Institutions (PRIs), Non-Government Organisations (NGOs), as well as Technical Institutions in the District.
15% of the funds under the SGSY are set apart at the national level to try new initiatives for self-employment of the rural poor through "Special Projects", in conjunction with other Departments or Semi-Government/ International Organisations, which includes initiatives to be taken in individual Districts or across the Districts.