Rural Development Ministry: Key Scheme Renamed, Funds Cut




The “key initiatives”  claimed by the Ministry of Rural Development, one year after Prime Minister Narendra Modi took charge, includes renaming an existing scheme, a 37% cut in funds for skill programmes and a 62% decline in rural candidates placed during the past one year.


We emailed our findings to the ministry last week, requesting comment. There was no response.


1. Deen Dayal Upadhyay Grameen Kaushalya Yojana (DDU-GKY): Old scheme, new name


Claim: DDU-GKY launched in September 2014 to train rural youth for jobs




Check Revealed: The placement-linked skills (known as Aajeevika skills) scheme of the National Rural Livelihood Mission (NRLM) was renamed DDU-GKY on September 25, 2014. DDU-GKY is not a new scheme but the new name of an existing scheme.


2. Outlay for skill development and self-employment programmes cut by 37%


Claim: Projects to reach 0.8 million youth at a cost of Rs 2,682 crore approved.




Check Revealed: The previous government, under the 12th Plan, approved an outlay of Rs 29,006 crore for NRLM with an aim to skill 5 million rural youths, now known as DDU-GKY.


Since May 2013, 25% of NRLM funds have been set aside for the skills and placement project (or DDU-GKY scheme).


The annual plan outlay for the skills programme, which till 2012-13 was known as Swarna Jayanti Gram Swarozgar Yojana (SGSY), has been increasing since 2005-06.  However, there is a significant decrease in allocation in the 2015-16 Budget.


Financial Year Plan Outlay for Skills Development and Self-Employment Programs under Ministry of Rural Development (in Rs crore)
2005-06 1000
2006-07 1200
2007-08 1800
2008-09 2150
2009-10 2350
2010-11 2984
2011-12 2914
2012-13 3915
2013-14 4000
2014-15 4000
2015-16 2505

Source: Outcome Budgets from 2005-06 to 2015-16


3. 86,120 candidates trained and employed–true, but this is the least in two years


Claim: 86,120 trained during 2014-15, of whom 52,286 got jobs.


Check Revealed: Between 2004-05 and January 10, 2014, 920,101 candidates were trained and 729,547 got jobs. Fewer candidates were trained during 2014-15 compared to the previous two years.


Year Candidates trained Candidates placed
2012-13 2,17,997 1,62,552
2013-14 2,01,019 1,37,417
2014-15 86,120 52,286

Source: Ministry of Rural Development


4. Saansad Adarsh Gram Yojana (SAGY): Similar to older scheme


Claim: SAGY launched; MPs to develop a model village.




Check Revealed: A similar scheme of developing model villages had been launched some time back.


A pilot scheme, “Pradhan Mantri Adarsh Gram Yojana” (PMAGY), meant to develop 1,000 villages with a mostly scheduled caste (SC) population in Bihar, Rajasthan, Tamil Nadu, Uttar Pradesh and Assam over three years was launched during FY 2009-10.


The objective of PMAGY was to ensure:


(i) physical and social infrastructure for socio-economic development.


(ii) removal of disparities between scheduled caste and non-scheduled-caste populations (literacy rate, completion of elementary education, infant mortality /maternal mortality, ownership of productive assets etc) and:


a. raising all below-poverty-line (BPL) families, especially those belonging to SCs, above the poverty line and providing them secure jobs.


b. ensuring all children complete at least eight years of education.


c. eliminate malnutrition, especially among children and women; and


(iii) eliminate untouchability, discrimination, segregation, and atrocities against SCs and discrimination against girls/women.


Source: Rajya Sabha, Unstarred Question No 424, answered on 15.03.2012


S. No. State No. of Villages selected for Pilot Phase of PMAGY
1 Himachal Pradesh 225
2 Bihar 225
3 Rajasthan 225
4 Tamil Nadu 225
5 Assam 100

Source: Lok Sabha


State Amount released to States under PMAGY (in Rs crore)
Assam 20.1
Bihar 45.225
Himachal Pradesh 45.225
Rajasthan 45.225
Tamil Nadu 45.225

Source: Lok Sabha


The key aspects of SAGY are not different from the plans of PMAGY. The common points:


  1. Personal Development
  2. Human Development
  3. Social development
  4. Economic development
  5. Environment sustainability
  6. Basic Amenities
  7. Social Security
  8. Good Governance


You can read the earlier stories in our series below:

1) Overblown, Misleading Claims By 14 Modi Ministries

2) Agriculture Ministry: Old Schemes Renamed, Other Misleading Claims

3) Health Ministry: New Claims, No New Programmes

4) Power Ministry: Marginal Improvements

5) Railway Ministry: 8 Achievements That Really Aren’t

6) Road Transport Ministry: Continues UPA’s Work, Contradicts Own Data

7)  Telecom Ministry: Wrong Claims, Bad Maths

8) Sanitation Ministry: Old Wine, New Bottles

9) Department Of Posts: Old Plans On Track

10) Textiles Ministry: Achievements, Carried Over

11) Tourism Ministry: Unexceptional Claims

12) Ganga Rejuvenation: Many Attempts Over 30 Years

13) Food Processing Ministry: Government Claims More Projects Than Sanctioned


(Manoj K is a graduate of the Indian Institute of Technology, Delhi, and the founder of the Centre for Governance and Development. He has a special interest in transparency and accountability in governance and has spearheaded several projects on these subjects. He can be contacted at


Fact Check 1
1. Ministry of Rural Development
Fact Check 2
1. Ministry of Rural Development
Fact Check 3
1. Lok Sabha:
2. Ministry of Rural Development:
Fact Check 4
1. Rajya Sabha: Unstarred Question No 424, answered on 15.03.2012
2. Lok Sabha:
3. Lok Sabha:
4. Lok Sabha:



  1. Apneesh Kumar Singh says

    Yes, there have been cut in fund allocation for various projects but I favor these cuts w.r.t DDU-GKY projects as I worked for this project under various training partners from the time it was MoRD till it transformed as DDU-GKY. I was the regional Quality Manager(RQM) till yesterday for one company which operates from kolkata, which has been assigned the task of training and placement but it will be a jolt to you to know that placement status shared with GOI is totally fake. Being RQM, I was assigned the task of tracking placement status of various placed candidate asper SF7.1B2 but the real report presented by me cost me my job. How can you expect transparency in the system? The main objective of this project is to train and place them in various company after which a % of fund is released PPS but the practice has become so unethical that just in order to meet their selfish needs, these companies are cheating GOI by producing fake offer letters, statement of bank which as per SOP says that atleast 15k should be earned by candidate during 3 months of working after which the candidate is considered working and the fund is approved there on. This company opened bank accounts for each candidate as per SOP but retained candidate’s passbook and ATM, and now since PPS is approaching, they have started depositing the money and withdrawing at the same moment and this is happening for appreciable number of unemployed trained youth of DDU-GKY. So, finally, the purpose of these projects do not reach its destiny.

    The name of that prestigious company is ORION EDUTECH PVT. LTD and I was RQM for UP and under unethical guidance of Regional manager Mr. Deb Prasad Saha, this practice is under process.

    I am going to expose the truth with facts and figures very soon. Being a responsible citizen of my country, it is my duty to reveal the truth to GOI and various associated concerns like nabcons, NIRD etc so that others following the same practice stop working this practice and start working ethically towards betterment of society as whole.

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