Why did human development fail to keep pace with economic development in India?

GS 1
Indian Geography
2023
15 Marks

Subject: Indian Geography/Economy

India's stark contrast between economic growth and human development metrics presents a complex developmental paradox where GDP growth of 6-7% hasn't translated proportionally into social progress, as evidenced by India's HDI rank of 134 out of 193 countries.

Structural Causes of Development Disparity

  • Income Inequality:

    • The top 1% holds 22.6% of national income and 40.1% of wealth, creating barriers to inclusive development.
    • Rural-urban divide perpetuates uneven access to development opportunities and basic services.
  • Social Infrastructure Gaps:

    • Inadequate investment in healthcare infrastructure leading to high out-of-pocket expenditure.
    • Educational disparities persist with varying quality between public and private institutions.
    • Limited access to quality education in rural areas affects skill development and employability.

Policy Implementation Challenges

  • Resource Allocation:

    • Insufficient budget allocation for social sectors compared to economic sectors.
    • Poor last-mile delivery of welfare schemes like PMJAY and Sarva Shiksha Abhiyan.
  • Governance Issues:

    • Limited coordination between central and state governments in implementing development programs.
    • Bureaucratic delays and corruption affecting scheme implementation.

Regional Disparities

  • State-level Variations:
    • As per NITI Aayog's MPI 2023, significant variations exist across 36 states/UTs and 707 districts.
    • BIMARU states continue to lag in human development indicators.

Way Forward

  • Targeted Interventions:
    • Focus on multidimensional poverty reduction through integrated approaches.
    • Strengthen implementation of schemes like Ayushman Bharat and PM Poshan.

In conclusion, bridging this development gap requires a balanced approach focusing on both economic growth and human development through targeted interventions like National Education Policy 2020 and National Health Policy 2017, while ensuring effective implementation of existing welfare schemes for inclusive growth.

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