The Hindu Business Line : World Bank keen on partnering for rural growth

THE World Bank is exploring the potential for expanding the scope of its role in partnering various States in bringing about change in the rural areas through linkages.

The Country Director of World Bank, Mr Michael Carter, said the Bank had committed funds of about $1 billion covering States of Andhra Pradesh, Chhattisgarh, Himachal Pradesh, Madhya Pradesh, Rajasthan, Uttar Pradesh and most recently Tamil Nadu, aimed at building business institutions at the grassroots level. "We are considering the possibility of partnering with Bihar and some other States while expanding the scope of work in States where the Bank is already engaged in empowering poor people and providing livelihood," he said addressing the `National Conference on Emerging Opportunities at the bottom of the Pyramid — Transforming the Indian Rural Economy Through profitability.'

The two-day event, with participation from Government representatives, corporate houses, among a host of others, is being co-hosted by the Confederation of Indian Industry. The effort is to forge linkages between producers, markets and the private sector, while empowering people to find livelihood.

The Director-General of CII, Mr N. Srinivasan, said "If the country's aspiration for 10 per cent growth in gross domestic product (GDP) is to be achieved, it cannot be without the participation of the rural areas.

"There is a huge market opportunity for companies in the rural areas and they could partner local entrepreneurs and spur development activity at the grassroots."

The Union Special Secretary for Rural Development, Mr V. Subramanian, said that the Rural Development Ministry budget is next only to the Defence sector.

As against Rs 26,000 crore, this would be Rs 40,000 crore this year, which reflects the importance accorded to the rural development by the Government.

Referring to the land reforms in West Bengal, he said that every landowner has turned an entrepreneur.

He owns the land and works hard for its success and this has resulted in increased agriculture produce that has shot up over the years.