Challenges and Issues in Rural Development Economics YouTube Lecture Handouts

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Challenges and Issues in Rural Development

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Rural Development

  • Rural Development is a process of bringing change among rural community from the traditional way of living to progressive way of living or it means an action-plan for the economic and social development of rural areas.
  • It aims at improving the quality of life of people living in villages i.e.. , raising standard of living. Areas in which village is lagging are focused.

WHY Rural Development

  • Currently, 3/ 4th of India՚s population lives in rural areas which accounts for roughly 70 % .
  • Around 50 % of our country՚s population is depended on agriculture sector. Agriculture and allied sector is a key source for raw materials for industries. E. g. Jute, textile, paper, rubber etc. 60 % market of industrial good is in rural areas. E. g. consumer durables, clothing, machines, fertilizers, pesticides etc.
  • Growing disparity in income and standard can lead to political instability.

Key Issues

  • Lack of infrastructural facilities: There are huge infrastructural gaps like in availability of electricity RTC, irrigational facilities, credit, marketing, transport facilities etc. which needs to be addressed.
  • Most of the roads are narrow and are damaged which affects movement of goods.
  • Low net penetration: Cashless transaction is entirely dependent on internet but in rural areas, the availability of internet is weak and low.
  • Rampant power cuts: Survey of Ministry of Rural development (2017) stated that half of all the villages in country gets electricity supply for more than 12 hours and that with power cuts. This affects the development of industries in rural areas.
  • Poverty in rural areas: The income of rural households are less than income of urban households. Poverty rates are also high in rural areas. Thus, reduction of poverty is the key aim.
  • Lack Healthcare facilities: Most of the PHC/CHC/Sub centers don՚t have adequate staff. Sometimes, the centers are closed and facilities available are also not good. Thus, it becomes a major push factor which leads to migration.
  • Lack of human resources: Industries require skilled workforce and in rural areas, due to high illiteracy people are less skilled. Thus, industries don ′ t get labour and them don ′ t ′ set up their plants.
  • Poor banking service: In rural areas, the banking services are poorly managed as lesser branches are there with less ATM՚s. Also, for certain services, customers have to travel to semi-urban branches.
  • Lack of modern amenities/recreational sites: This has been one of the key factor which has affected establishment of new industries in backward areas. that՚s why most of the industries are located near urban areas.
  • Lack of educational facilities: Employees need modern educational facilities for their child. Absence of such facilities in rural areas has been a hindrance. Workers don՚t prefer to locate to such areas, which in turn affects labour availability.

Practice Question

Q 1 Human resource can be developed by

1) Improving educational facilities and providing skill development facilities.

2) Setting up of industries.

3) Providing free rations.

4) Building infrastructural facilities.

Answer: 1


0: 00 Challenges and Issues in Rural Development

0: 16 Rural Development

1: 21 Why Rural Development?

3: 48 Key Issues In Rural Development

12: 33 MCQ about Challenges and Issues in Rural Development

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