chapter – iv non governmental organizations and...

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142 Chapter – IV NON GOVERNMENTAL ORGANIZATIONS AND DEVELOPMENT OF WOMEN IN KARNATAKA – AN OVERVIEW The preceding chapter deals with the performance of NGOs in India, the present chapter analyses the NGOs and development of women in the State of Karnataka. The analysis starts with the category index of NGOs in Karnataka. 4.1 Introduction The profile of government-voluntary organization partnership followed much the same path in Karnataka. The recognition of the role of voluntary agencies in partnering government initiatives by the centre may have had some influence in the initiatives taken by the Government of Karnataka by bring several Non Governmental Organizations into major government sponsored programmes. Though this experience has been a mixed one, there is ample evidence that, on the whole, this collaboration between the public and voluntary (Non Governmental Organizations) sectors in development has helped to raise the ownership of people of these programmes and the quality of people’s institutions that subsequently emerged. Karnataka enjoys the distinction of fostering a healthy relationship between the government and Non Governmental Organizations. Such partnerships are established in the hope of greater synergy and even though they may bring conflicts in their wake, Karnataka has chosen to manage these tensions, rather than abandoning Non Governmental Organizations partnerships altogether. Non Governmental Organizations are usually categorized according to their main activity. However, the history of Non Governmental Organizations shows that many Non Governmental Organizations start with a particular activity, but broaden their portfolio as they progressively respond to people’s concerns, which are not compartmentalized. Most Non Governmental Organizations however, are mobilisers

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Chapter – IV

NON GOVERNMENTAL ORGANIZATIONS

AND DEVELOPMENT OF WOMEN IN

KARNATAKA – AN OVERVIEW

The preceding chapter deals with the performance of NGOs in India, the

present chapter analyses the NGOs and development of women in the State of

Karnataka. The analysis starts with the category index of NGOs in Karnataka.

4.1 Introduction

The profile of government-voluntary organization partnership followed much

the same path in Karnataka. The recognition of the role of voluntary agencies in

partnering government initiatives by the centre may have had some influence in the

initiatives taken by the Government of Karnataka by bring several Non Governmental

Organizations into major government sponsored programmes. Though this

experience has been a mixed one, there is ample evidence that, on the whole, this

collaboration between the public and voluntary (Non Governmental Organizations)

sectors in development has helped to raise the ownership of people of these

programmes and the quality of people’s institutions that subsequently emerged.

Karnataka enjoys the distinction of fostering a healthy relationship between

the government and Non Governmental Organizations. Such partnerships are

established in the hope of greater synergy and even though they may bring conflicts

in their wake, Karnataka has chosen to manage these tensions, rather than

abandoning Non Governmental Organizations partnerships altogether. Non

Governmental Organizations are usually categorized according to their main

activity. However, the history of Non Governmental Organizations shows that many

Non Governmental Organizations start with a particular activity, but broaden their

portfolio as they progressively respond to people’s concerns, which are not

compartmentalized. Most Non Governmental Organizations however, are mobilisers

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of people and providers of services. From this basis, they move to catalyzing social

and economic change and influencing gender relations. An analysis of the Directory

of Voluntary Organisations in Karnataka, which brought out profiles of 530 Non

Governmental Organizations, indicates that of the 530 Non Governmental

Organizations surveyed, the largest numbers are engaged in development, followed

by social service and health. Table – 4.1 presents the data about the category index

of Non Governmental Organizations in Karnataka. As per table – 4.1 we may say

that 530 NGOs are functioning mainly for development of the rural community.

Table – 4.1

Category Index of Non Governmental Organizations in Karnataka

Main Category No. of Non Governmental

Organizations Development 154 Social Service 118 Health and Rehabilitation 97 Law and Advocacy 47 Education 44 Environment 28 Support Organizations 27 Religion 1

Total 530

Source: Karnataka Human Development Report 2012,GOK.

Graph – 4.1

Category Index of Non Governmental Organizations in Karnataka

Source : Table – 4.1

30%

23%19%

9%

9%

5%5% 0%

Development Social Service Health and Rehabilitation

Law and Advocacy Education Environment

Support Organizations Religion

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In Karnataka the profile of government voluntary organization partnership

followed much the same path. The recognition of the role of voluntary agencies in

partnering government initiatives by the centre may have had some influence in

the initiatives taken by the Govt. of Karnataka to bring several Non Governmental

Organizations into major government sponsored programmes. Though this

experience has been a mixed one, there is sample evidence that, on the whole, this

collaboration between the public and voluntary (Non Governmental

Organizations) sector in development has helped to raise the ownership of people

of these programmes and the quality of people’s institutions that subsequently

emerged.

One interesting feature of this process is that the government itself has

promoted a number of Non Governmental Organizations registered under the

Societies Registration Act. These institutions registered under the Societies Act.

Almost all of these government sponsored societies have been promoted in the

context of bilaterally and multilaterally funded programmes. Such organizations

tend to further blur the profit of a voluntary organization. In reality, they are part

of the implementing structure of government. It we add to these organizations set

up by government, other charitable societies and trusts set up by business houses

as well as educational institutions and hospitals, the character of a voluntary

organization becomes further indeterminate. As a result, several of the problems

that Non Governmental Organizations as commonly understood continue to face,

arise from decision taken by government relating to taxation and other forms of

control that are actually more appropriate to profit making societies like certain

hospitals and educational institutions, but which by default, extend to all

institutions, since they all fall under the umbrella category of “registered

societies”.

4.2 The Government Approach to Non Governmental Organizations

The Government of Karnataka’s approach to voluntary agencies is

conditioned very much by the position taken by the central government, mainly in

the plan documents. Most of the plans focus on a board spectrum of voluntary

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involvement. The Sixth Fiver Year Plan was the first to include a reference to the

voluntary sector, even if it was only in the context of distinguishing such

organizations from cooperatives and Panchayat Raj institutions, which are

government sponsored. In the Tenth Plan Non Governmental Organizations are

described as intermediary, not-for-profit institutions but they are referred to only

twice; the space and attention given to the voluntary sector and really minimal. If

is only in the 7th Plan that there is an extensive discussion of the voluntary sector

and ‘Non Governmental Organizations’ which are generally understood to be not-

for-profit, professional intermediary institutions which manage programmes in the

area of economic and social development, engage in advocacy, welfare,

rehabilitation and training. There Non Governmental Organizations are generally

not membership institutions. They form one set of institutions, which are part of a

broader portfolio, which include institutions like trade unions professional

associations which are largely membership institutions. There is another category

of institutions generally called community based organizations. Many Non

Governmental Organizations are involved in building these community based

institutions. Non-government is part of the long tradition of voluntarism in the

country. Many voluntary organization received grants from the central and state

governments to run orphanages homes for destitute women, hostels for working

women’s, primary and secondary schools and colleges. The focus of government

of voluntary agency partnership was the management of institutions.1

The recognition of the role of voluntary agencies in partnering government

initiatives by the centre may have had some influence in the initiatives taken by

the government of Karnataka to bring several Non Governmental Organizations

into major government sponsored programmes. The details of the status of

defaulting NGOs in Karnataka are presented in table – 4.2.

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Table –4.2

Status of Defaulting Non Governmental Organizations in Karnataka

(as on May, 2013)

Sl. No

Name of the NGOs Amount Released

No. of Beneficiaries

Repayment Status (as on 06.05.2013)

Overdue Amount

1. B.R.Patil Education

Society R.Gound gaon Rs.2,25,000/- 15 Rs.33,000/-(13.71) Rs.2,07,785/-

2. Bhagya Jyothi Rural Development Society

Rs.2,25,000/- 15 Nil Rs.2,54,522/-

3. Chinthalu Education

And Rural Development Society

Rs.5,00,000/- 20 Nil Rs.5,58,928/-

4. Grama Vikas Society

(GVS) Rs.4,40,000/- 30 Rs.39,000/-(7.94%) Rs.4,51,955/-

5

Shri Sharanabasaveshwara

Vidya Varddaka Sangha

Rs.5,00,000/- 20 Rs.83,751/-(15.03%)

Rs.4,73,403/-

6.

Society for Healt Activities &

Development of Education(SAADE)

Rs.2,00,000/- 10 Rs.10,000/-(4.57%) Rs.2,08,891/-

7. Sri Ramakrishna Parama Hamsa

Education Society Rs.1,00,000/- 10 Rs.10,000/(8.85%) Rs.1,02,958/-

8. Suray Rural

Development Society Rs.50,000/- 5 Nil Rs.55,838/-

Source: NABARD.

Over the years there have been many significant changes in the spectrum of

Non Governmental Organizations activities. Their traditional roles in welfare and

service programmes are being strongly supplemented with many developmental

activities. However, there are some apparent shortcomings evident in the Non

Governmental Organizations strategies. The challenges are, therefore, to identify

these shortcomings that would enable one to bridge the gap between the current

crisis and sustainable development. The details of country-wise foreign

contribution received by NGOs in Karnataka during 2012-13 are presented in

table– 4.3. During 2012-13 NGOs in Karnataka received Rs. 13,352.29 lakhs from

different countries. Out of this the major share received from United States of

America. i.e., Rs. 3059.01 lakhs followed by Germany Rs. 2434.73 lakhs.

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Table –4.3

Country wise Foreign Contribution Receied by Non Governmental

Organizations in Karnataka During 2012-2013

Country Amount (in lakhs)

India 3966.13

United States of America 3057.01

Germany 2434.73

Netherlands 794.86

United Arab Emirates 516.22

Italy 408.59

Indonesia 386.80

United Kingdom 363.76

Canada 223.37

France 186.47

Spain 175.02

Hong Kong 143.85

Switzerland 95.60

Austria 67.59

Sweden 66.71

Australia 50.81

Others (Tibet) 47.65

Netherlands Antilles 40.72

Chile 39.19

Singapore 38.74

Taiwan 34.38

Liechtenstein 33.89

Ireland 32.25

Denmark 25.12

Hungary 21.54

Nigeria 16.25

Swaziland 15.00

Bangladesh 11.88

Belgium 11.73

Philippines 9.39

Portugal 7.47

Finland 7.21

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Kenya 4.96

Kuwait 3.40

Barbados 2.80

Japan 1.94

Thailand 1.89

New Zealand 1.71

Afghanistan 1.17

Mauritius 0.99

Malaysia 0.81

Brazil 0.58

Bhutan 0.56

Saudi Arabia 0.48

China 0.45

Norway 0.39

Jamaica 0.13

Qatar 0.05

Poland 0.05

Total 13,352.29

Source: Karnataka Human Development Report ,GOK.

4.3 Social Marketing and Types of Non Governmental Organizations

Social marketing is a relatively new discipline that is still evolving. It deals

with the application of marketing principles and practices to social development

issues involving behavioural changes among communities towards better health

and improved economic status. The origins of social marketing can be traced to

1969, when marketing scholars, notably Philip Kotler and Sidney Levy, conceived

the idea of applying commercial marketing principles to non-commercial

organizations. Prior to this, marketing was perceived as a pure economic activity,

which provided goods and services to consumers for generating profit. However, it

also led to some confusion regarding the true identity of marketing. While one

school of thought represented by Kotler and Levy defined marketing as a

technology, others defined it in terms of the class of behaviour towards which it

was directed (Luck & Bartels1974).

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This broadened view of marketing was termed by Kotler (1972) as

“Consciousness”, to describe the progression of marketing to a field that included

an “organization’s relationship with all its stakeholders and not just its

consumers.” Kotler described“ consciousness 1” as a view of marketing that was

restricted to market transactions as a business subject and “Consciousness 2” as a

slightly broader view that perceived marketing as comprising non-monetary

organization-client transactions. The coinage of the term “social marketing” was

suggested by Kotler and Gerald Zaltman (1971), when they examined the

possibility of applying the “technology” of marketing to social issues. At the same

time, Kotler and Levy, who first conceived the idea, proposed doing away with the

term “market” altogether, on the grounds that there had been a “furthering”, rather

than a broadening of the field. However, the idea of “furthering” did not catch on

in marketing academic circles and the term “social marketing” came to be

accepted without much debate. Social marketing has gained popularity ever since

has been widely researched and taught, especially in the west.

Social marketing has been carried out by commercial and non-profit

organizations alike. In recent years, Non Governmental Organizations have grown

not only in numbers, but also in terms of the sheer54diversity of activities in

which they are involved. Different criteria for classifying Non Governmental

Organizations have been suggested by researchers and scholars.2

4.4 Grassroots Non Governmental Organizations

As the name suggests, grassroots Non Governmental Organizations are

those that work closely with sections of society. They vary both in size and

geographical spread and may cover a single programmes location, or multiple

programmes locations at the district, state or regional level. Based on their

orientation, grassroots Non Governmental Organizations in turn may be divided

into the following sub categories. These sub categories are similar to the types of

Non Governmental Organizations suggested by Cousins William.

a) Charity and welfare Non Governmental Organizations include those

that provide food, clothing, medicine, etc. to the poor, education, health

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and drinking water facilities and relief work during natural disasters

such as floods and earthquakes.

b) Development Non Governmental Organizations are those that are

involved in providing development services such as micro credit,

fertilizers and technical knowhow.

c) Social action groups are Non Governmental Organizations that focus on

mobilizing and increasing the awareness of marginalized sections

regarding various social, political and economic issues. For example,

the Young India Programmes in Andhra Pradesh is involved in

mobilizing agricultural labourers for the effective implementation of

land reforms.

d) Empowerment Non Governmental Organizations are similar to social

action groups, except that they also undertake development activities

such as provision of savings and credit for the empowerment of the

poorer sections of society. For example, MYRADA utilizes credit

management groups for social and political empowerment. Grama, a

Karnataka based Non Governmental Organizations provides savings

and credit, and enables the people they work with to obtain resources

from the government. It also mobilizes them around issues such as anti-

arrack.

While the first two sub categories of Non Governmental Organizations

receive the full support of the government, the last two – namely, the social action

groups and the empowerment Non Governmental Organizations do not. This is

because their efforts to mobilize underprivileged groups and enable them to assert

their rights by raising their awareness of social and political issues sometimes do

not synchronize with the aims and policies of the government.3

4.5 Globalization and Non Governmental Organizations

The advent of globalization has triggered the worldwide growth of civil

society organizations in general and Non Governmental Organizations in

particular (Brown, David et al, 2000). However, their impact in different countries

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has not been uniform and has been influenced to a large extent by the degree of

openness to globalization and its implications. International Non Governmental

Organizations and civil society alliances have been actively involved in disaster

relief, service delivery and policy analysis. They have also been playing an

increasing role in international policy debates that affect the institutions for

international governance.

Omana, Julius (2005)4 has emphasized the importance of the role played by

Non Governmental Organizations in an environment of conflict where traditional

systems such as the government break down. He cites the case study of civil

society organizations in war-ravaged Gulu District of Northern Uganda. He argues

that the situation in Northern Uganda is representative of war torn environments in

other developing countries, notably Afghanistan, Sudan, Somalia and Congo. He

points to the failure of the government as well as the private sector in such

environments in providing services to the people and to the potential of the “third

sector” to fill the breach. Omana visualizes a role for civil society organizations,

including Non Governmental Organizations in such environments, in three major

areas –

a) In providing essential goods and services

b) In restoring peace and in advocating human rights and c) in developing

infrastructure. Civil society organizations, according to him, are more

visible than the government, due to their “participatory” methods of

intervention. This approach implies working closely with beneficiaries,

building trust, creating transparency and making Non Governmental

Organizations more recipient-friendly. Omana calls upon governments

in such conflict environments to support the efforts of Non

Governmental Organizations and to create a favorable policy

environment that will facilitate their growth. At the same time, civil

society organizations need to strengthen themselves by building co-

operation and partnerships among themselves and with the government.

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The table – 4.4 depicts the member of SHGs formed by selected NGOs in

Karnataka from 2005-06 to 2012-13. During 2005-06 NGOs formed 713 SHGs,

after 2006-07 it has been gradually increased 2420 SHGs in Karnataka. At present

there are 9243 SHGs formed by NGOs.

Table- 4.4

Number of SHGs formed by Selected NGOs (in Nos.)

District 2005-2006

2006-07

2007-08

2008-09

2009-10

2010-11

2011-12

2012-13

Total Average

Belgaum 123 238 227 217 198 248 302 331 1884 236 Bijapur 12 6 40 21 10 9 21 10 129 16

Chickmagalur 75 49 61 75 75 55 65 85 540 68 Chitradurga 251 251 251 251 251 272 272 272 2071 259 Davangere 100 35 212 72 82 0 100 25 626 78 Dharwad - - - 7 7 119 402 1393 1928 241 Haveri 38 - - - 61 61 16 28 204 26 Koppal 50 58 90 162 280 200 254 203 1297 162

Shimoga 64 64 111 64 57 57 74 73 564 71 Total 713 701 992 869 1021 1021 1506 2420 9243 1155.37

Source: NABARD, Bangalore

Graph – 4.2

Number of SHGs formed by Selected NGOs (Average)

Source : Table – 4.4

4.6 Non Governmental Organizations and Social Capital

Non Governmental Organizations are an important part of the social capital

of any community. Non Governmental Organizations are primarily engaged in

236

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241

26

162

71

y = -5.4x + 155.5R² = 0.0230

50

100

150

200

250

300

Average Linear (Average)

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community driven development, which involves working closely with the poor

and empowering them with a view to facilitate poverty reduction. According to

Poteete, Amy (2003), community driven development brings about empowerment

by building effective social institutions, which form the social capital of the

community.

Poteete, Amy (2003) uses the term social capital to refer to dimensions of

social organization that generate multiple horizontal linkages and foster the

development of social trust, collective reciprocity and tolerance. High levels of

social capital are expected to facilitate provision of public goods and services and

contribute to community well being.

4.7 Non Governmental Organizations in Micro Finance

Micro finance operations of Indian Non Governmental Organizations

began in a small way and later grew into a large-scale operation. Initially, only the

savings of members of the Self Help Groups were used to meet the credit

requirements of the other members. Since this was sufficient only to meet

consumption credit needs, the Non Governmental Organizations gradually began

to raise funds from outside donors through agencies such as NABARD. With the

SHG linkage programme introduced in 1992, the Non Governmental

Organizations sector has been recognised as a crucial partner. Recognising the

strengths of the Non Governmental Organizations in organising the community

and the potential in savings and credit programmes, NABARD also started

associating with them increasingly. Micro finance programmes, introduced and

extended by Non Governmental Organizations in several parts of India have the

potential to minimize the problems of inadequate access to the poor. The Indian

government formulated several schemes to support micro finance programs

initiated by Non Governmental Organizations through NABARD, Rashtriya

Mahila Kosh (RMK) and SIDBI. The Non Governmental Organizations became

prominent, especially after 1970s. This was because of the limited success in

development policies pursued by the government. After independence, a change

in the perception on development and also the role of Non Governmental

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Organizations in rural development took place. In 1950s and 1960s, it was

assumed that the economic growth through state investment in social sector was

the answer to poverty. This was accompanied by welfare programme for poor

people. Non Governmental Organizations were approached by different state

governments and aid agencies to assist in the implementation of these community

development and welfare programmes, especially in the rural areas.During the

1960s, it was found that economic growth combined with welfare activities at the

micro level was not adequate to alleviate poverty. Hence, the Indian government

initiated small and marginal farmer development programmes with a view to

alleviate poverty. The government wanted to enlist support of the local population

for these programmes and called up many Non Governmental Organizations. By

1990s, significant developments started taking place in India and across the world.

Non Governmental Organizations have become popular with government and aid

agencies in response to certain developments in socio- economic and political.5

4.8 Non Governmental Organizations Participation in SHG-Bank Linkage

in Karnataka

In Karnataka Non Governmental Organizations are playing predominant

role in promoting SHGs. Non Governmental Organizations helping SHGs

bygiving proper traing to the SHG members regarding account maintenance

conducting meetings, framing by laws and bank linkage etc. The details of NGOs

participation in SHG Bank Linkage in Karnataka are presented in Table – 4.5.

Table – 4.5

Non Governmental Organizations Participation in SHG-Bank Linkage in

Karnataka (in Percentage)

Name of the NGOs

District 2003-

04 2004-

05 2005-

06 2006-

07 2007-

08 2008-

09 2009-

10 2010-

11 2011-

12 2012-

13 Outreach Bagaltot 1 1 1 1 1 1.63 1 2 2 1.77

Scord Bangalore

Urban 1 1 1 1 1 1.16 1 2.9 3 3.17

Dhan Foundation

Bangalore Rural 1 1 1 1 1 0.97 1 2 2 2.11

RDS Belgaum 1 1 1 1 1 0.48 1 1.9 1 0.53 Sahayog Bidar 1 1 1 1 1 1.94 4 4.9 5 6.33

NAFARD Bijapur 2 2 2 2 2 1.65 2 1 1 0.53 IDMPS Chamarajnagar 1 1 1 1 1 0.97 2 2.5 2 1.06

Navodaya Chikkaballapure 1 1 1 1 1 0.06 4 4.9 5 4.22

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Help & Gram

Chitradurga 1 1 1 1 1 2.58 5 6.8 6 7.20

GVS Dhavanagere 1 1 1 1 1 1.59 2 2 2 1.58 IDS Dharwad 1 1 1 1 1 1.38 2 2 2 2.11

SKDRDP D.Kannada &

Udapi 58 58 58 58 58 57.38 30 26 23 24.27

Parvathi Gadag 2 2 2 2 2 2.91 2 2 1 1.06 NKRDS Gulbarga 3 3 3 3 3 3.88 3 3 4 4.22

Prachodana Hassan 1 1 1 1 1 0.19 8 9 10 11.25 Parivarthana Haveri 1 1 1 1 1 - 2 1 1 1.06 Prachodana Kodagu 1 1 1 1 1 - 2 1 2 1.06

SIRDS Kolar 6 6 6 6 6 7.50 8 8 8 7.39 Olekar Koppal 1 1 1 1 1 0.09 1 1 2 1.06

Vikarana Mandya 1 1 1 1 1 0.23 3 2 3 2.74 Prerana Raichur 1 1 1 1 1 1.24 4 4 5 4.22

Parivarthana Shivamoga 7 7 7 7 7 7.21 6 5 5 5.80 BAIF,

BIRDS, 6 6 6 6 6 6 4.96 6 5.1 5 5.26

Total 100 100 100 100 100 100 100 100 100 100 100

Source: NABARD, Bangalore.

Graph – 4.3

Non Governmental Organizations Participation in SHG-Bank Linkage in

Karnataka (in Percentage for the Year 2013)

Source : Table – 4.5

As per the above table 4.4 from 2003-2013 the majority of Non

Governmental Organizations are concentrated in Dakshina Kannada that is 58

Percent in 2003-04, 57 percent in 2008-09 and 24 percent in 2012-13 respectively.

This is efficient work of resource Non Governmental Organizations namly

SKDRDP (Sri Kshetra Dharmastala Rural Development Programme). Apart from

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D.Kannada such as Hassan, Mandya, Mysore, Tumkur and Shivamoga also have

achieved good progress in Karnataka, hence the percentageof Non Governmental

Organizations were decreased from 58 to 24.27 Percent in the year 2003 to 2013.

4.9 Non Governmental Organizations Poverty Alleviation Strategies

Indian Non Governmental Organizations have been playing a prominent role in

the empowerment of poor women, livelihood security and capacity building. However,

the efforts of Indian Non Governmental Organizations to reduce poverty have had

limited success, since they have been unable to tackle the root causes of poverty,

namely lack of assets and unemployment. The same is true of local organizations, such

as schools, banks, co-operatives and gram panchayats.

A study by Rajasekhar, D (2004) revealed the constraints within which

Non Governmental Organizations have had to work - lack of technical and

political capacity, managerial expertise, trained staff and infrastructure. It was also

found that the main obstacle faced by Non Governmental Organizations in their

efforts to alleviate poverty was the fact that they have had to work in isolation, due

to weak support from local organizations.

Non Governmental Organizations have been successful in persuading members

of the SHGs to take up creative activities, supported by micro credit. However, they

have not been able to derive the benefits because of poor marketing effort. For example,

one Non Governmental Organizations in Karnataka encouraged its members to take up

basket making, with the objective of getting them to market the finished products. This

affected their incomes from the activity and their ability to repay their loans.6

Rajasekhar, D (2000) has listed out the advantages and disadvantages of Non

Governmental Organizations. Empowerment and development Non Governmental

Organizations undertake activities based on studies to determine who the poorer

sections are, the reasons for poverty and the strategies to be adopted to reduce poverty.

Based on these studies, they help the poor to articulate their concerns and address their

problems. They are also more flexible in terms of their functioning, methods and

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practices, since they are small in size and have local coverage. A few surveys among

Karnataka based Non Governmental Organizations revealed that a majority of them

covered only one or two taluks in a district (Rajasekhar, D, 2000). This makes it easier

for them to implement and monitor their programs, respond quickly to local needs and

change their working styles according to the needs of the local community. The small

staff strength also enables better coordination. Empowerment and development Non

Governmental Organizations use innovative and participatory approaches, whereby

they involve the local communities with which they work. A good example is that of

the Grameen Bank in Bangladesh, whose innovative credit program is implemented by

both developed and developing countries. Another example worthy of mention is the

Credit Management Program of MYRADA, whose innovative approach inspired other

Non Governmental Organizations, as well as the NABARD to introduce similar

programs. Similarly, MYRADA and the Centre for Appropriate Technology (CAT),

based in Tamil Nadu also adopted innovative approaches to watershed and dry land

development. Regarding the use of participatory approaches, several Non

Governmental Organizations have successfully adapted participatory methods such as

Participatory Rural Appraisal and Participatory Learning and Action and used them for

their own benefit. As a result of people’s participation, they have been able to make

their programs more cost effective. Development and empowerment Non

Governmental Organizations enjoy greater autonomy than other Non Governmental

Organizations, since they have independent governing boards. People’s participation in

their programs also makes the development and implementation of their programs

independent of the local power structures.7

According to Rajasekhar (2000), Non Governmental Organizations have

comparative advantages over the government and government agencies. For example,

they have shown their potential to reach out more effectively to the poorer sections,

compared to government programs. They have been especially successful in increasing

the productivity of assets and labor, creating greater marketing opportunities for milk,

handicrafts and other products and providing greater access to basic amenities such as

food, water, health and education facilities.

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Rajasekhar diagnoses that Non Governmental Organizations are more

motivated and committed than most government agencies. His view is based on a

comparative study of programs undertaken by the government and an Non

Governmental Organizations to benefit small farmers in Mangalore district in

Karnataka (Kothai, 1994). The Non Governmental Organizations program scored over

the government program in terms of problem definition, design, implementation and

evaluation, training given to farmers, coordination and follow up activities. Other

similar comparative studies in Karnataka have also led to the same conclusion.

4.10 The Karnataka Watershed Development Programmes (KWDP)

The Karnataka Watershed Development Programmes (KWDP), known locally

as Sujala, ran from 2001–2009, and was implemented in seven districts of Karnataka at

cost of $US79m of which $US4.1m was funded through Non Governmental

Organizations to develop SHGs. The programmes covered 516,000 hectares of land

spread over 77 sub-watersheds, 1270 villages benefiting nearly 400,000 households.

The programmes objective was to improve the productive potential of selected

watersheds and their associated natural resource base.

It is also to strengthen community and institutional arrangements, promote

participatory involvement of primary stakeholders/beneficiaries and offer

assistance to women, landless and other vulnerable groups by supporting

investments in income generation activities to accelerate their entry and expand

their participation (Milne 2007; World Bank 2009).8

There were 53 Non Governmental Organizations used as implementing

partners, responsible for the local community mobilizing of SHGs and also ensuring

that some of the local infrastructure work was completed on schedule. This work

typically involved arranging community meetings to agree on work plans and most

importantly the payment of labour costs to communities on the completion of work.

Given that the programmes, though ostensibly participatory, was planned with very

tight output schedules and plans, for which Non Governmental Organizations were paid

against (World Bank 2009), these Non Governmental Organizations were under much

pressure to meet targets and provide detailed reports on output.

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The programmes also had an accelerated implementation schedule between

each of the three phases over the life of the programmes. As the volume of work

expected to be undertaken increased with the second phase of the programmes,

tensions emerged with the Karnataka government, who felt that they should have

closer control of the process. The result was a dispute in which many of the Non

Governmental Organizations were not reimbursed for the work undertaken. For

some this was up to a year while they covered the staff costs pending

reimbursement. In 2009 many of the 53 Non Governmental Organizations were

still owed money for the staff and other costs they had incurred. While the World

Bank saw the performance-based contracting system as a success (World Bank

2009), the local Non Governmental Organizations were the main losers.

The reason for the dispute, which had adversely affected many Non

Governmental Organizations, can be explained in terms of the institutional politics

of these loan programmess whereby funds are lent to the central government,

which are then lent on to the state government. As these programmess are loan

programmess for a social or environmental purpose, and will not generate direct

revenue that can be used to repay the loans themselves, the government has to find

the funds for repayment from other sources. As there is no financial benefit, the

incentive then is for the government to gain political capital from these

programmess in the form of control and prestige. This, however, may not accord

with sustainability and equity goals underpinning the programmess, or most

importantly, having Non Governmental Organizations involvement in them

(Fernandez 2004). Non Governmental Organizations, many of whom had a

tradition of community consultation and longer-term approaches, could therefore

be put under pressure from either the World Bank or the government to meet

unrealistic expenditure and output targets that have limited outcomes, certainly in

the short term, with poorer communities. For example, in the KWDP, while the

original objective was for 70 per cent of the beneficiaries to be poor and marginal

farmers, at programmes completion the figure was less than half that (World Bank

2009).

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These poorly planned donor requirements created conflict for the Non

Governmental Organizations concerned, particularly with their values and the aid

recipients, and ultimately it soured the relationships Non Governmental

Organizations had, both with the World Bank and the partner governments. The

effect of these fundamental institutional changes being faced by Indian Non

Governmental Organizations was that their role changed from that of being

development organizations supported by Non Governmental Organizations with a

more hands-off approach, to being social welfare agents for the government where

the Non Governmental Organizations were expected to be implementers of

government programmes on more or less a fee-for-service basis with high levels of

government control (Baruah 2007). While the demands of INon Governmental

Organizations to some extent involved compromises or small shifts in local Non

Governmental Organizations’ values, the domestic government programmes

presented much greater challenges. While there were still opportunities for local

activities and rights-based work or work aimed at the very poor, the resourcing of

these programmes required a greater level of innovation and skills that was beyond

the capacity of many local Non Governmental Organizations.9

Karnataka, located in southern India, in 2005 had a population of 53

million and, along with its neighbouring states, is where most of the dynamic

growth of India is located. There had been substantial changes in the social

indicators for India as a whole, and Karnataka and Southern India in particular,

since the 1990s. The figure for poverty in 2005 for Karnataka was 25 per cent,

which was below the national average of 27.5 per cent, and the poverty level for

rural areas was 21 per cent (Planning Commission 2007a). This level of poverty

represented a sharp fall from a high of 30 per cent in the mid 1990s (Census

Commissioner 2002; Chelliah and Sudarshan 1999). This shift in the level of

poverty also represented a shift in the poverty demographic from rural areas to

urban areas. It should be noted, though, that the urban poverty line was at the time

65 per cent higher than the rural poverty line, and there was some debate about the

relevant price movements and calculation of the indices that were used to validate

that result (Murgai et al. 2003). Regardless of these debates, two-thirds of the

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population was in rural areas and this was where most of the poor were until the

early 2000s.

The sharp fall in the poverty levels can, however, hide higher levels of

poverty among certain groups in rural areas, and a relatively high level of

inequality and depth of poverty across the state. For example, the income level of

the average poor person was a full 8 per cent below the poverty line, a statistic that

points to a high level of marginalization and poor prospects of many of the poor

that were coming out of poverty, without focused interventions (Directorate of

Economics and Statistics 2009). Dalits and agricultural labourers were the largest

groups of rural poor, and represented 25 per cent of the poor in rural areas. The

poverty figure for dalits in rural Karnataka showed the effect of marginalization

and caste, with poverty levels for dalits being around double those of the general

population when their share of the overall population was taken into account. On

top of this 20 per cent of the rural population did not have access to safe water,

and 54 per cent of children were undernourished (Chelliah and Sudarshan 1999;

Das 2005; Filmer et al. 1998; PRIA 2005).

Women in Karnataka, as in the rest of India, were significantly

disadvantaged relative to men on any measure of poverty or marginalization.

Women had a low workforce participation rate of 35 per cent (Das 2005) and were

found largely in unskilled low-end jobs such as agricultural labour, where they

constituted 60 per cent of the agricultural labour force, but only 30 per cent of

cultivators (that is, being able to own the harvest either as a farmer or

sharecropper) (Das 2005). In agriculture there had been a feminization of

agricultural labour, with casual labour (mainly undertaken by women) rising from

39 per cent in 1994 to 45 per cent in 2000. The Indian government had for some

time recognized that women were a particularly disadvantaged group and had been

targeting them through government programmes since the 1970s and 1980s,

focusing on the underlying causes of women’s disadvantage (Viswanath 1993).

Taking a lead from government at that time, Non Governmental Organizations

also started to focus more on women’s programmes, and in the 1980s and 1990s

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women’s empowerment programmes sponsored and supported by Non

Governmental Organizations emerged. 10

4.11 Non Governmental Organizations and Wide Range of Activities

Karnataka has an active and heterogeneous voluntary sector that is

involved in a wide range of activities. It also has a large number of rural

development oriented Non Governmental Organizations. As of1995, the number

of active Non Governmental Organizations engaged in rural development was

estimated to be around 500 (Rajasekhar, 2005128). One of these, the Mysore

Resettlement and Development Agency(MYRADA) is one of the largest rural

development Non Governmental Organizations in India with an estimated budget

of around Rs. 200 million and staff strength of 400.5.31. According to the

Planning Commission Non Governmental Organizations Database, Karnataka also

has a large number of Non Governmental Organizations that work in the areas of

social justice and empowerment and a number of NGO headquarters and urban

oriented Non Governmental Organizations, based mostly in Bangalore. A number

of international donors also have their regional offices in Bangalore. Some Non

Governmental Organizations are part of State and District level networks, both

formal and informal.

According to Non Governmental Organizations Database during 2004,

Planning Commission, Government of India, 33%of the total numbers of Non

Governmental Organizations in Karnataka were involved in rural development,

followed by30% in social justice and empowerment, as of December 2004. With

the decentralization of government and greater power given to the Panchayati Raj

in Karnataka, Non Governmental Organizations’ relationship with the government

has changed. During the Panchayati Raj elections in 2003, Non Governmental

Organizations in Karnataka were actively involved in spreading information about

the Panchayati Raj system, voter education, encouraging their beneficiaries to vote

in the elections and training PR functionaries. The details of state funded NGO

distribution by sector in Karnataka and India are presented in table -4.6.

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Table – 4.6

State Funded NGOs Distribution by Sector, Karnataka and India

2012 Karnataka

Rural

Development

Human Resource

& Development

Social Justice &

Empowerment

Health &

Family Welfare

Environment &

Forests

Youth Affairs

& Sports

State & UT

funding

Tribal Affairs

NABARD Others TOTAL

Total Number 232 107 212 50 20 22 15 11 - 10 679 Percent of

Total 34 16 31 7 3 3 2 2 - 1

India Total Number 6,467 2,074 2,944 1,038 649 589 795 262 - 627 15,445

Percent of Total

42 13 19 7 4 4 5 2 - 4

2013 Karnataka Total Number 232 107 212 50 20 41 15 24 13 11 725

Percent of Total

32 15 29 7 3 6 2 3 2 2 100

India Total Number 6,541 2,074 2,944 1343 649 853 795 509 367 722 16,797

Percent of Total

39 12 18 8 3 5 5 3 2 4 100

Source: NGO Database, Planning Commission,Government of India,

Notes:

1. Includes NGOs funded by the state. Not preclude organizations receiving funding from several sources, including foreign donors

2. "Others" includes Labour, Nonconventional Energy production, Textiles, Science and technology, Agriculture, Road Transport and Highways, Statistics and Program Implementation in February 2004. By

December 2004, it included three other categories: small scale industries, computer & IT.

142

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The profile of government-voluntary organization partnership followed

much the same path in Karnataka. The recognition of the role of voluntary agencies

in partnering government initiatives by the centre may have had some influence in

the initiatives taken by the Government of Karnataka by bring several Non

Governmental Organizations into major government sponsored programmes.

Though this experience has been a mixed one, there is ample evidence that, on the

whole, this collaboration between the public and voluntary (NGO) sectors in

development has helped to raise the ownership of people of these programmes and

the Karnataka enjoys the distinction of fostering a healthy relationship between the

government and Non Governmental Organizations. Such partnerships are

established in the hope of greater synergy and even though they may bring conflicts

in their wake, Karnataka has chosen to manage these tensions, rather than

abandoning NGO partnerships altogether. Non Governmental Organizations are

usually categorized according to their main activity. However, the history of Non

Governmental Organizations shows that many Non Governmental Organizations

start with a particular activity, but broaden their portfolio as they progressively

respond to people’s concerns, which are not compartmentalized. Most Non

Governmental Organizations however, are mobilisers of people and providers of

services. From this basis, they move to catalyzing social and economic change and

influencing gender relations. An analysis of the Directory of Voluntary

Organisations in Karnataka, which brought out profiles of 530 Non Governmental

Organizations, indicates that of the 530 Non Governmental Organizations surveyed,

the largest numbers are engaged in development, followed by social service and

health. The some of the main Non Governmental Organizations in Karnataka are;

4.12 Chinyard

Chinyard (Chaitanya Institute for Youth and Rural Development) was

established in 1990 and by 2008 it was working with 2537 active SHGs with

48,000 members (CARE 2009), with 200–300 new groups being added each year.

In the 1990s the support for Chinyard’s establishment came first from another

local Non Governmental Organization, Indian Development Service, and then the

Hyderabad office of an InternationalNGO with offices in India provided funding

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to support Chinyard being reorganized and registered under the FCRA to receive

foreign funds. Despite the success of its earlier work, Chinyard had to deal with a

number of institutional setbacks in the early 2000s, which are to do with the

problem that many small locally based Non Governmental Organizations have,

and that is their dependency on one funding source for their core costs and the

high level of vulnerability this can bring. In this case the sole INGO funder ceased

funding Chinyard in 2000 as a result of a policy to move its work to concentrate

on the poorer northern states of India. This left Chinyard having to seek other

supporters.

The effect on the staff was devastating, with staff numbers falling from a

high of 30 permanent staff in 2000 to seven in 2005, as the organization struggled

with one-off support from donors over many years, as well as involvement in the

Karnataka Watershed Development Programmes and the institutional vulnerability

that brought. It was not until Chinyard met the requirements for microfinance

accreditation in 2007 that staff numbers were able to increase, to the point when

there was 25 staff in 2009.

As a result of Chinyard’s loss of international donors to support its work,

from 2000 it adopted a strategy of increasing its microfinance work and diversifying

its funding sources. In 2002 Chinyard became a partner in the KWDP, with its role

programmes being to expand its SHG programme and engage them in specific

income generation and watershed management activities. At the peak of the

Programmes work there were 40 staff working for Chinyard, but due to the change

in policy of the Karnataka government in working with Non Governmental

Organizations and its failure to reimburse the programme after the change, the

programme collapsed as far as Non Governmental Organizations were concerned,

and Chinyard was still owed Rs 800,000 (US$20,000) in 2009. As a result Chinyard

accelerated its application for microfinance registration and was registered as a

microfinance institution in 2007. This enabled it to lend to self-help groups as an

agent to the State Bank of India, which was different from its previous work where

it facilitated the links with banks rather than act as an agent for them.

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The advantage of registration was that it was able to increase the scale of

the work considerably, and receive a commission for managing the loans. The loan

disbursement rates for Chinyard managed funds grew quite quickly, going from

Rs.395,000 (US$8,000) in 2006 when they had only provisional accreditation, to

Rs.3.2m (US$64,000) in 2008 when they were fully accredited. By 2009 they had

agreements to manage more than Rs.20m (US$0.4m) over three years from the

State Bank of India, and were expected to receive over time further Rs.200m

(US$4m) from the Department of Women and Children to lend for micro-

enterprise programmess for women. Details of NGOs own funds let to SHGs from

2005-06 to 2012-13 are presented in table-4.7. During 2005-06 NGOs lent funds

of Rs.22.41 lakhs to SHGs in Karnataka. After 2006-07 NGOs funds to SHGs are

gradually increased up to 2012-13. As on 2012-13 the amount of funds lent by

NGOs is Rs.334.94 lakhs.

Table- 4.7

Non Governmental Organizations Own Funds Lent to SHGs (Rs. in lakhs)

Districts 2005-

06 2006-

07 2007-

08 2008-

09 2009-

10 2010-

11 2011-

12 2012-

13 Total Average

Belgaum 5.70 6.70 5.65 6.63 5.73 6.50 6.48 7.56 50.95 6.36

Bijapur 0.20 0.21 0.20 0.22 0.20 0.18 0.21 0.29 1.71 0.21

Chickmagalur 0.20 0.32 0.71 1.06 1.07 1.08 1.08 1.03 6.55 0.81

Chitradurga 1.35 1.55 1.56 27.40 28.50 30.05 31.25 32.40 154.06 19.25

Davangere 13.44 13.82 11.58 11.58 11.58 11.58 11.58 11.58 96.74 12.09

Dharwad - - - - - 0.50 0.66 0.66 1.82 0.22

Haveri 0.30 - - - 1.50 1.70 1.65 1.75 6.90 0.86

Koppal 1.00 1.10 1.30 1.50 1.60 1.80 1.90 2 12.20 1.52

Shimoga 0.22 0.22 0.32 0.22 0.72 0.82 0.72 0.77 4.01 0.50

Total 22.41 23.92 21.32 48.61 50.90 54.21 55.53 58.04 334.94 41.86

Source: NGOs Accounting.

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Graph – 4.4

Non Governmental Organizations Own Funds Lent to SHGs (Average)

Source: Table-4.7

For the SHG programme, the criteria Chinyard had for recipients of the

microfinance programme was for a strong poverty focus, with a requirement that

SHG members be categorized as below the poverty line (BPL) in order to qualify

for assistance. In 2009 Chinyard had lent to Rs 15m to 257 SHGs, with Rs

500,000 being repaid and a repayment rate of 95 per cent. While Chinyard had an

established set of procedures for loan recovery, and up to 2009 this had worked

quite well with none of its loan portfolio classed as ‘at risk’ in 2008 (CARE 2009),

this type of operation still had considerable risks as any default had to be covered

by the NGO. The margin that Chinyard receives to cover their operational costs

from the Bank is 3 per cent on the loan with another 1 percent allowed as an

administration fee. This represented a very tight margin for which even a 5 percent

default rate would not be sustainable over time. In order to cover the institutional

costs to transform itself into a microfinance institution, Chinyard received Rural

Non Governmental Organizations 53 institutional support from a US Foundation

focused on India that supported entrepreneurship.

Chinyard had also set up a number of village forest committees as a part of

community-based management of natural resources and several vermin (worm based)

compost units – as a part of its sustainable agriculture programme (Wiserearth 2005).

They had also applied for support for a small-scale (irrigation) tank rehabilitation

6.36

0.21 0.81

19.25

12.09

0.22 0.86 1.52 0.5

y = -0.640x + 7.85R² = 0.067

0

5

10

15

20

25

Average Linear (Average)

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programme where they hoped to be able to tap into the village SHG resources, to

provide labour as a complement to their microfinance programme.

Up to the 2000s the work of Chinyard dealt primarily with microfinance and

resource management, total health, violence against women and micro-enterprise

development, with the largest programme by far being microfinance through the

SHGs. The challenge it had for the future was that as external funding had dried up it

had to secure a stable programme and avoid the institutional disruptions that occurred

in the early 2000s, which saw it both losing its main donors and being involved in the

rather insecure World Bank funded Karnataka Watershed Development Programmes.

This period saw staff numbers rise and then fall very sharply, leading to a very

insecure institutional environment. The other critical issue was the role a single donor

can play in programme development and programme strategy for a small Non

Governmental Organizations. While there is a place for donors in having a strong

dialogue and establishing joint priorities, the power relationship that funding brought

at that time left Chinyard in a weak bargaining position, with the feeling that it had to

take up the programmes of the donor. 11

4.13 India Development Service (IDS)

IDS located in Dharwad, it was started in 1974 by non-resident Indians

living in Chicago, USA to fundraise to support development work in India. In

1977 two members of IDS from Chicago, S. R. Hiremath and his wife Shyamala,

visited India to identify suitable programme areas, with the intention of developing

their own operations rather than funding other Non Governmental Organizations,

which they had been doing up to that time. They decided that Dharwad would be

suitable and settled there in 1979, registering IDS in India in the same year. Over

the following twenty years they built up IDS into a strong local Non

Governmental Organization, but then started to withdraw from the day-to-day

operations in the late 1990s to take on predominantly a governance role. The goal

of IDS has remained a commitment to the economic and social development of

India through the ‘development of people’. In 2009 IDS had a highly committed

and experienced staff complement of 43, somewhat down from the peak of 73

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staff in 2004. Like all of the Non Governmental Organizations in these case

studies, IDS’s work had changed quite a bit from 2000 to 2009, and to a large

extent this reflected the changes in funding that had occurred to Non

Governmental Organizations more generally in Karnataka. Up until 2002 the focus

of IDS was on SHG development when they worked in 100 villages with around

500 women’s self-help groups, targeting mainly landless labourers, artisans, and

small and marginal farmers. IDS facilitated SHGs usually have 10–15 members, a

little smaller than the 20 member average SHG that is promoted by government

and other Non Governmental Organizations. With a smaller group size IDS found

there was more opportunity for greater participation by all members. The SHGs

were usually grouped in villages into what they call a Village Development

Society, and these were in turn federated at sub-district level into Federations. IDS

found, however, that these Village Development Societies require ongoing

support, and IDS had to return to the original groups some years later to re-

invigorate these SHGs and provide them with further institutional support. One of

the reasons for this lack of sustainability may have been that IDS prefers to

promote what it refers to as collective leadership among SHGs members rather

than having the SHGs elects leaders from the outset. The intention was that over

time natural leaders would emerge to take on an informal role of ensuring the

groups were well led. The details of top foreign recipients by state and city during

2012-13 are presented in table-4.8.

Table-4.8

Top Foreign Funding Recipients by State and City, 2012-13

States Amount of Funding in

Crores (INR) Percentage of Total

Delhi 794.4 16.3 Tamilnadu 695.5 14.3

Andhra Pradesh 559.6 11.5 Karnataka 534.0 11.0 All India 4871.9 100

Cities Bangalore 362.2 - Chennai 313.6 - Mumbai 298.0 -

Source: AccountAid

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Graph – 4.5

Top Foreign Funding Recipients by State and City, 2012-13

Source: Table-4.8.

The IDS staff member was seen as having the role of catalyst, and as

responsible for developing a ‘sense of partnership’ between the beneficiaries and

IDS development workers. What happened in practice, which is common among

Non Governmental Organizations supporting SHGs, is that a level of dependency

emerged, with the Non Governmental Organizations staff taking on a quasi-

leadership role.

The work with SHGs was put into a difficult situation from 2002, as foreign

funding dried up. IDS became more involved in government programmes, the most

notable being the World Bank supported KWDP discussed above, where IDS was

both an implementing agency and a nodal agency in two districts for a number of

other Non Governmental Organizations. As seen earlier in this chapter, this

programme was complex, and the demands by the donor and Karnataka government

were such that the IDS as an agency was strained. By phase two of the programme,

like many other Non Governmental Organizations involved in the Programme, IDS

was unable to meet what were seen to be unrealistic demands in the rate of service

delivery. There was a lot of infrastructure work involved in watershed management,

16.3

14.3

11.511

y = -1.87x + 17.95R² = 0.943

0

2

4

6

8

10

12

14

16

18

Delhi Tamilnadu Andhra Pradesh Karnataka

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as well as facilitating and monitoring the work to be undertaken. The expectations

of the rate of work and the programmes expenditure rate were unrealistic, and IDS

took the decision to pull out of the programme, with a substantial number of

outstanding bills, leaving IDS with large debt. The other key issue with this

programmes that drove the decision to withdraw, was that it moved IDS away from

its focus on the poor and landless to those with land, who could implement and host

watershed infrastructure (Hilemath 2004). As a result of this experience and the debt

incurred from the KWDP, IDS had to scale back their work and in 2009 they were

involved in a small number of relatively small discrete programmess:

IDS Programmess 2012-13

1. Forest and bio-diversity programme with 173 village forest committees

with each having five SHGs;

2. A health and livelihoods programme supporting village health workers;

3. Organic farming supported by the Department of Agriculture;

4. Skill training programme for the poor funded by central government;

5. Capacity building programme under the National Rural Employment

Guarantee Scheme;

6. A small environment awareness programme to support local

communities in their campaign to clean up a local factory whose

expansion will lead to water contamination.

IDS had found that this new approach of being involved in a range of

programmes which were, to varying degrees, directed by government presented a

challenge, and so it was looking at ways of reconnecting with the SHG groups and

associated federations as way of keeping the links with its values on a firmer

footing. IDS had found that working with government had had some adverse

effects, ranging from the programme target communities moving away from the

poor, to the prosaic issue of being forced to have different categorizations of staff

depending on whether they were working on government programmes or not

(Hilemath 2004). This caused problems, as those working on government

programmes were required to be paid at a different rate to IDS staff.

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Despite these challenges, IDS maintained a strong commitment to its

values and it saw the strengths of the programme as due, in part, to a dedicated

staff, a low staff to group member ratio, smaller average group sizes, and an active

policy of targeting the landless and those with low literacy levels. However,

according to IDS’ own analysis in the early 2000s, in one of its programme areas

only around one-quarter of the groups were sustainable and had reached a strong

measure of empowerment after three years, and nearly 20 per cent of groups were

‘weak’. Following the loss of many of its external donors and the involvement in

government programmes in the early 2000s, IDS lost touch with these groups, and

in 2008 IDS was in the process of re-engaging with those groups through their

federations to re-invigorate them.

Accountability to the aid recipients was a priority for IDS, reflected by the

responsiveness of staff to community needs, the ambivalence to government

funding and the policy of having some direct consultation of the Board with the

groups. Likewise there was a strong degree of staff autonomy to be directly

responsive to community needs and to react to their priorities in how they

programmed and provided resources. Paradoxically, though, this fostered a high

level of dependency of groups and the Federation on staff. This raised the issue of

the right balance between providing support and fostering dependency. Despite

these challenges, IDS had a strong institutional base to continue to be effective in

empowering the poor and marginalized to engage with issues as they arose.

The challenge was whether a level of individual empowerment could be

translated into group autonomy at local level, which would strengthen the

collective role of women in local political, social and economic life. The changes

in the sources of support for Non Governmental Organizations in general, and IDS

in particular, make this a difficult challenge. 12

4.14 Jagruti

Jagruti is voluntary-based Non Governmental Organization with no

funding at all, and belongs to that group of Non Governmental Organizations that

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represent, in sheer numbers at least, the largest category of development Non

Governmental Organizations (Tandon 2002). Jagruti is a small Non Governmental

Organization, which in 2001 had been working for around 10 years with a handful

of volunteers organizing self-help groups in six villages with saving schemes and

facilitating the local community to deal with local issues such as access to

services.

Being volunteer-based it had the challenge of finding ways to keep the

volunteers engaged so they continued the work. So where it could Jagruti found

funds from local foundations for its small number of paid staff from time to time

for one-off activities, but by 2008 this funding had ceased. While the original

approach of working with SHGs was moderately successful, it was not being

resourced, and was little different to the work of larger Non Governmental

Organizations in the district. As a result the management and Board of Jagruti

decided in 2004 that there would be a change in direction, approach and focus,

with a sharp move to more clearly rights-based programmes. The focus was on

health rights and supporting people’s claims for better health services and ensuring

they were receiving what they were entitled to. Jagruti, with support from the

Child Rights and You (CRY) Foundation, was able to work with 400 existing

SHGs in 35 villages to train the members on their health rights, with a view to

improving the practices at the Primary Health Care centres at sub-district level.

Jagruti and Health Rights

In some Government run health clinics in Dharwad District, as in many

parts of India, poor people were being charged for treatment when it is meant to be

provided free of charge. In one case of direct action a community that had been

supported by Jagruti held a series of protests at the clinic. The District Health

Officer was petitioned by the people and Jagruti on a number of occasions to no

avail. The community then took the decision to lock up the health centre and stop

it operating. The threat of the Centre being unable to function forced the District

Health Officer to act, and he removed the corrupt staff and improved the service.

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The CRY supported programme came to an end in 2008, and left Jagruti

with some dilemmas. Jagruti was a small voluntary agency with few resources and

the challenge of where to allocate them. While Jagruti was quite effective in its

work, it did sap the energy of the volunteer workers and the leadership. In 2009

the range of activities Jagruti was undertaking on a voluntary basis included: work

against trafficking of young women – they had set up anti-trafficking

committeesin a number of villages; and promoting the Employment Guarantee

Schemein a number of villages, to ensure people were aware of it and could take

up thework on offer if they needed to – Jagruti had prepared a booklet on this

scheme.While these activities were important, they were time-consuming for

thevolunteers, who felt they had to commit a large amount of their time to

theorganization. There was no international funding without FCRA and it

wasunlikely that FCRA would be approved, or if it was, that funds from INon

Governmental Organizationswould be available for such a small operation. On the

other hand Jagruti was toosmall to take on government contracts, even if that was

the direction a smallvoluntary organization like Jagruti wanted to go. This is an

example of thedilemma that small voluntary Non Governmental Organizations

have; and that is, while they are effective,unless they can scale up they are

destined to fade away through the burnout ofvolunteers. It can be argued that it is

these small volunteer groups that are central tothe broader Non Governmental

Organization fabric, and they are the source of many of the values thatdrive Non

Governmental Organizations.KIDS. 13

KIDS (Karnataka Integrated Development Society) was a small Non

Governmental Organization that was started in 1994 by a small group of

concerned social work graduates with aparticular concern for women and children,

and it received full registration in1997 (KIDS 2000a). In 2009, KIDS had 16 staff

and its values were based on acommitment to women and children through

promoting their social and economic ‘upliftment’ and empowerment in both urban

and rural areas. KIDS does not have specific povertyocus, but rather works with

the socio-economically marginalized women whare vulnerable, such as sex

workers, and trafficked women andchildren.Traffickingwasand continues to be a

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problem in Karnataka, particularlyfrom the poorerdistrictstomajor transport

corridors and larger centres. The womenwere trafficked for prostitution, and the

children for labour in hotels and restaurants.The target population for the self-help

groups KIDS facilitated were women frombackgrounds including migrant

workers, scheduled castes, scheduled tribes, as well as widows and married girls,

all of whom are vulnerable to trafficking.

The focus was on the decision-making power of women and on

reproductive rights, as well associo-economic development.KIDS provided

services in family and HIV counselling, especially to sex workersand truck

drivers; a child labour programme which involved advocacy on children’srights,

as well as running special schools for child labourers; self-help groups for women;

HIV/AIDS awareness raising; and awareness-raising among women onproperty,

dowry and human rights. Also, KIDS had initiated a separate programme called

Manavi which included a domestic violence hotline and legal support for women

who were victims of violence (KIDS 2000b). Manavi had supported cases related

to dowry, sexual harassment, property, domestic violence and rape. The child

labour programme was among children in Dharwad who were engaged in waste-

picking, and focused on their education, providing them access to schooling and a

small stipend to partly reimburse their time away from work. KIDS had received

support from the state Education Department to assist their work with school drop-

outs. It was also involved in child labour advocacy such as bringing the attention

of the authorities to the prevalence of child labour in local hotels. They facilitated

a children’s forum across 30 villages, where the children met every two weeks and

discussed issues relevant to them; and from there issues went to a federation of

children forums, which lobbied government on issues of child labour and child

marriage. KIDS also worked with around 300 SHGs to facilitate human rights

awareness. In addition to this core work they had also received support from the

Clinton Foundation to support children affected by HIV/AIDS with ARV

treatment and counselling. They operated a women’s counselling centre funded by

the central government; and had a major campaign to raise public awareness

against child marriage, and lobbied the state government to regulate the practice of

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mass marriages in Karnataka, where up to 15 per cent of brides may have been

under age. For mass marriages KIDS lobbied the organizers of the weddings, and

the state administrators, to ensure all brides had a state-sanctioned proof of age for

marriage. They had also done work with devidasi (the traditional Hindu temple

prostitutes) for the Anti-Slavery Foundation, with the aim of freeing them.

KIDS, like the other case study Non Governmental Organizations, had issues

with the drop-off in donor funding but not to the same extent as the others. While

KIDS programmes had continued without major cuts, their institutional support had

always been precarious, based on a high turnover of both programmess and donors.

Like many agencies KIDS did not have regular donors, but depended on a number of

different programmes to keep them going. KIDS’ only independent funding came

from the commissions they received from being an agent to provide insurance to poor

women. Apart from that KIDS were not engaged in other commercial or income

generation activities, as they felt it would take their time away from their programme

work. KIDS was able to survive in this almost ‘hand to mouth’ fashion, as funding for

child and gender rights short-term programmess was generally forthcoming, but it

was much harder to get longer-term institutional funding. This may be because

funding agencies did not see children and women’s rights as longer-term strategic

issues in quite the same way they saw poverty and livelihoods. 14

4.15 Grama Vikas

Grama Vikas was a medium sized Non Governmental Organization based

in Kolar district in Karnataka with a driving vision of social and economic

empowerment focusing particularly on dalit women and children. Its goal was to

empower marginalized rural women with stress on children and the environment,

and network with RuralWomen’s Associations to accomplish sustainable

development through food security (Grama Vikas 2000:1). It was established in

1980, following concern at the high levels of malnutrition among children in the

area, highlighted by a governmental report released the year before. Grama Vikas’

initial emphasis was a child development programme, however, this expanded into

a women’s empowerment programme relatively early on in the organization’s life.

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As Grama Vikas took the view that development was possible only when women

had an active role in development activities, however, a child development

programme remained an important focus in the organization’s work. The strategy

of Grama Vikas in working with dalit communities in villages was initially

through child development programmes by establishing balwadis or pre-schools.

The approach of having an entry point through children overcame local tension

between the higher caste community and dalits. After a level of village acceptance

was reached with the balwadi programme, Non Governmental Organizations were

developed with the most marginalized women in that community, most of whom

sent their children to the balwadi.

The slow and indirect approach through a children’s programme was

necessary as other Non Governmental Organizations encountered problems of

access if they attempted to work directly with dalit or other marginalized families.

The vast majority of Grama Vikas groups were made up of the dalit and tribal

groups in the community. The other key feature of Grama Vikas’ approach was

that the programme expanded at the rate of the capacity of the SHG to self-manage

the programme, that is, they did not work to a timetable. There was a strong

emphasis on self-management with GramaVikas staff moving out of direct group

management as soon as possible, but being in a position to provide support at all

times. The management of the SHG programme was in the hands of two

representative bodies: one that dealt with the children’s programme and was made

up of a parents’ committee; and the other was the main representative body

dealing with the women’s empowerment programme – the Grameena Mahila

Okutta, registered in 1997. These two bodies were responsible for the day-to-day

running of the programmes, income generation (including dealing with donors),

local-level advocacy, basic social sector work and SHG management. Gram Vikas

was also involved in higher-level advocacy and managing some local

environmental programmes. It also provided some secretariat support to the two

representative bodies, broader strategic work as it related to community needs, and

also in the strategic direction and support to the federations. Grama Vikas has an

all-women staff team apart from the General Secretary.

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It has been indicated as important for the effective organizing of groups. Of

the 40 staff in 2005, around 15 were involved in working with the SHGs, with

another three having an SHG audit role. The reason Grama Vikas had such a

successful programme in employing women is that it provided secure live-in

facilities with rooms attached to the balwadis, all within walking distance of the

groups the women were working with. At these facilities a couple of women lived

together and so provided support to each other. This strong reputation for catering

for the safety and security of women staff, and an all-women team, made Grama

Vikas an attractive place for young women to apply to work. The vast majority of

the women who worked for Grama Vikas were young and single so staff turnover

was high. This was not seen as a problem and was even an advantage as the staff

could not dominate the groups over time.

The fostered self-reliance in the groups, with the staff having a supporting

role. Gram Vikas was very clear in its empowerment policy and ensured the staff

had values in common with the organization. There was a one year orientation

programme, which involved regular training programmes and new staff being

placed with more experienced staff for mentoring: this way the new staff member

had to complete a form of apprenticeship. In 2007 there were over 300 women’s

SHGs in over 167 villages, with more than half having reached a level of self-

management that they can be linked directly with commercial banks. Grama

Vikas’ programme was committed not only to economic and social empowerment

among marginalized women in Kolar District, but also to self-run institutions for

the SHGs. The majority of the groups was sustainable and could largely manage

their own revolving funds. One problem for Grama Vikas was that its programme

was resource intense in that the women’s groups were not only responsible for the

SHG management, but had a role to play in other resource distribution to the

village, e.g. having a role in managing the children’s programmes. It was in part

the threat of losing some of these resources (such as the children’s programme)

that focused the SHG leadership energy on resolving issues within the group, to

avoid the group failing.

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The success of this programme meant that it attracted further funding from

donors and government to provide as credit to SHGs. An injection of large sums

into groups through government or donor subsidized schemes, however, meant

that the members’ equity in the group could possibly drop from a high of, say 90

or 100 per cent, to as low as 10 per cent. There was the risk of problems with

repayment rates, and given that even in the older groups not all members had

accessed loans for capital, the groups themselves could have easily divided among

themselves into a situation of ‘haves’ and ‘have nots’. The risk here was that it

could create conflict and fragmentation, and disempower some members within

the SHGs. Grama Vikas managed these risks well and did not have the same drop

in INGO support that the other Non Governmental Organizations this chapter

covers had. It managed the changes in funding by maintaining long-term

relationships with child sponsorship agencies, and had even expanded to the

neighbouring Raichur district in 2007. The advantage of child sponsorship funding

is that it does not use the programmess cycle approach that other INon

Governmental Organizations use with official back donors. This way Grama Vikas

can secure its funding in the medium to longer term.

4.16 MYRADA

MYRADA is a large NGO aimed at social and economic empowerment. It

operates in three states of southern India; Karnataka, Andhra Pradesh and Tamil

Nadu. MYRADA’s values were: justice, equity and mutual support for

marginalized communities through ‘fostering alternate systems of the poor

through which they mobilize and manage the resources they need [through]

institutions which form the basis for their sustained empowerment’ (Fernandez

2004: 3). MYRADA began in 1968 and was the oldest and largest organization of

the case studies. In its first decade it worked with Tibetan refugees in Karnataka

but in 1979 moved into broader development work. In 2009 MYRADAworked in

12 districts across three states, with over 10,000 SHGs (which MYRADA refers to

as self-help affinity groups – SAGs). This figure included 500 sex worker groups

and 400 watershed area groups. These were all women’s groups with the

exception of the small number of watershed groups, which had both men and

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women members (MYRADA 2009: 6). There was a staff complement of around

500. By 2009 MYRADA’s donor profile had changed markedly, with around 70

per cent of their funding coming from Indian federal and state governments. While

there was strong growth until the early 2000s, the two major INGO donors flagged

that they would be withdrawing their programme from southern India in around

2010, and so from 2005 MYRADA began a planned change in its approach to its

work. Over a four-year period (2007–2010) the various programmes within

MYRADA were set to become autonomous organizations within MYRADA, with

a greater setting of direction by the local staff and aid recipients, with a view to

them becoming independent Non Governmental Organizations in their own right.

The mechanism for the devolution was through the Community Managed

Resource Centres (CMRCs), of which there were 96 established in 2009. These

CMRCs would continue to provide support to the SHGs as well as watershed

associations and sex-worker groups, with each CMRC being responsible for

around 100–120 SHGs (MYRADA 2009: 6). This more decentralized structure

provided an opportunity for upward growth from the community organizations

directly, but with the centres taking a greater role in accessing resources

themselves. As the major source of resources was increasingly government funded

programmes, MYRADA felt that it would be more successful and sustainable if

the CMRCs directly accessed these programmes, as they were closer to the target

communities, which some government programmes preferred. In 2009 around

one-third of the 96 CMRCs were in a position to cover their own costs with over

half being able to cover 75 per cent (MYRADA 2009: 40). The CMRCs each had

their own Board on which MYRADA had two nominees. The plan was for all of

the CMRCs to become fully independent in the years following 2010, when the

first eighteen CMRCs became independent Non Governmental Organizations.

MYRADA saw itself as being no longer at the centre, but providing a mentoring

role and the ‘institution’ of last resort for the CMRCs (Fernandez 2004).

Following these changes MYRADA began to focus its work on more strategic

issues, and on engaging with government. In 2009 it was working with village

governments to improve their administrative capacity for the programmes they

implemented. It undertook training and capacity building for Non Governmental

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Organizations and SHGs and gram panchayats (Village Government), and it was

working with the central government to improve the management of government-

run SHG programmes. It also assisted the Indian Planning Commission in

developing district development plans in those districts whereMYRADA had

experience, but district administration lacked the capacity themselves. This shift of

focus for MYRADA meant that it was still able to have influence and

development impact, but from a much lower resource base that was derived from

their independent sources of income, such as consultancies, and a corpus of funds

that covered their head office expenses, rather than INGO donors.

Goals and Objectives of MYRADA

The goal of MYRADA is to facilitate social, political and economic

empowerment of rural women by developing self-managed and sustainable

people’s institutions. MYRADA introduced both income and employment

intensive activities through the following objectives:-

1. Developing SHG’s as gross-root institutions of rural poor women.

2. Promote savings and credit activities through SHG’s formation.

3. Linking SHG’s with banks to take up individual/ community based

activities.

4. Making awareness and skill building programmes so as to strengthen

their institutional capacity.

5. Dissemination of information of various governmental programmes.

6. Conducting training programmes and exposure visits.

7. Enabling effective participation of women in panchayat raj institutions.

Activities of MYRADA

MYRADA believes that empowerment of women is crucial for

development for their true empowerment need to know their rights. Awareness of

rights brings about involvement of people in developmental activities, there by

increasing in transparency accountability and enhanced quality of governance.

MYRADA conducts regular campaigns on issues such as alcoholism, voter

awareness, transparency, accountability and women’s participation and panchayat

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raj institutions and related process, violence against women. They are working on

improved PDS services, sustainable agriculture practices, restoration of traditional

water harvesting, public health care services in rural areas and quality of education

in rural areas, with focus on girl children, encouraging groups to approach

livelihoods as a fundamental right. Facilitating savings and credit activities by

SHG members, bank-SHG and linkage for group and individual income

generating loans, conducting advocacy for increasing employment for women

particularly during drought and women to avail government schemes for land

purchase and livestock are the mail activies.

4.17 Prakruthi

Prakruthi is a small organization aimed at social and economic

empowerment working in Mulbagal Taluk in Kolar District in Karnataka. It had its

origins as a small village group within Grama Vikas 1982, but as it grew in size

and influence it slowly developed its own identity until it reached a stage where it

could be independent. Prakruthi was also an intermediate service organization

supporting 35 other Non Governmental Organizations in Karnataka Tamil Nadu

and Karnataka on behalf of a local network of former partners funded by a major

INGO in the early 2000s. Prakruthi worked in 70 villages with 150 women’s

SHGs covering some 2,200 families. As well as the SHG programme, Prakruthi

was involved in a natural resource management programme, child development,

health, and strengthening village assemblies. It saw itself as a non-political body in

the civil society. The values of the organization were based on the premise that

‘sustainable development can only take place in the context of an organized

committed groups or society.

Like the other Non Governmental Organizations mentioned in this study,

from 2005 Prakruthi had the challenge of a sharp drop-off in donor funding, when

the last international donor ended its support in 2009. Prakruthi was also involved

in the KWDP programme and as with the Non Governmental Organizations in

Dharwad, the changes in policy within the programme saw Prakruthi not being

reimbursed for one year’s expenditure that it incurred as part of that programme.

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As a result of the issues with KWDP and the move of INGO donors away from

Karnataka there has been no expansion, and Prakruthi had to cut back their staff

from a peak of 73 people in 2004, to 33 by 2010. Overall Prakruthi had a

programme committed to economic and social empowerment among marginalized

women in Kolar District; however, one of the schemes that was being considered

by Prakruthi was a government-supported microfinance scheme that would see an

injection of Rs 150,000 into each SHG and also provide a fee to be able to cover

some of Prakruthi’s costs. As for IDS, the challenge for Prakruthi was that the

members’ equity in the group would drop from 90 or 100 per cent to a mere 10 per

cent, leading to the problem of insufficient attention being given to addressing

social issues in the group and fostering an atmosphere for empowerment. The

danger was that this could cause problems with repayment rates and a feeling of

reduced ownership, which could in a worse case disempower the groups. As with

the similar microfinance programme taken up by Chinyard there are quite a lot of

risks for the organization as it goes forward, both in terms of maintaining values

and being viable. Of the organizations in this set of case studies Prakruthi has been

the most affected by both the loss of INGO donors and the issues of the debt from

KWDP. In 2009 there was no clear plan to manage the funding issues.

4.18 RORES

RORES (Reorganisation of Rural Economy and Society) was a small NGO

aimed at social and economic empowerment that worked in Kolar District, but

also had a small programme across the border in Chittoor district in Andhra

Pradesh. It started in 1989–90 but spent the first three years establishing it and

making contact with local communities. Initially it worked in 15 villages, but

through the 1990s RORES expanded its programme reach to 60 villages. From

this work in the 1990s a federation of SHGs facilitated by RORES supported the

SHGs, and by 2009 it was largely independent. In the early 2000s RORES had a

number of separate programmes, such as a watershed programme supported by the

Andhra Pradesh government in Chittoor district in AP; a government of Karnataka

State Women’s Development Corporation supported programme, with 40 villages;

and the Integrated Sustainable Development programme working in 60 villages in

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Srinavasapura taluk (sub-district of 500 villages) supported by a number of INon

Governmental Organizations. RORES was also involved in the KWDP but did not

incur losses as many of the other Non Governmental Organizations did. Since

2005 most of these programmes had been wound back as INon Governmental

Organizations withdrew, and the fall in INGO donor funding had seen the RORES

programme reduce so that in 2009 it was involved with only 146 SHGs, and this

number was unlikely to change. Their staff numbers had fallen from a high of 30

people in 2005, to 12 in 2009.

In 2009 RORES was involved in a school lunch programme, a horticulture

programme funded by the state Department of Forestry, and organic farming

programmess supported by the state Department of Agriculture. Most importantly,

however, was that RORES had become more strategic in its approach, with their

most important programme being an information campaign in one taluk on the

Right to Information Act. Under the Right to Information Act all levels of

government – federal, state and local – had to provide information on government

programmes if requested. RORES published a bi-monthly broadsheet newsletter

with details of government programmes available and their details. The newsletter

included information on: infrastructure programmess, such as the winning of

tenders and their details; the school lunch programme, to which schools, and what

was included; and the welfare programmes including the ration shops, the food

that was available and details of which ration shops had their scales certified by

the Weights and Measures Board. Making this information more widely available

ensured that people knew their entitlements, and at the same time made it harder

for providers to skim off benefits for themselves, or engage in corruption. RORES

managed and implemented this programme with only one staff member, and the

information provided had a direct and ongoing benefit to these communities,

especially the marginalized.

The other issue was the sustainability of RORES as an organization. In 2009

it was reducing its presence in the core programme area, and at the same time it was

also engaging in income generation activities through the production of spirolum, a

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dietary supplement made of processed blue-green algae, which it marketed through

its NGO network. It was also supported by funding generated from the executive

director’s commercial microfinance programme for the middle class that operated in

local urban areas. The profits these commercial activities generated were sufficient

to support the Right to Information newsletter and covered the core costs of the

organization. The strategy of RORES, to overcome the drop in funding, was to

develop independent commercial sources of income and take on only a few

government programmes. This has enabled it to continue some of its core

programmes, and ensured that it was able to have a major focus on the marginalized

in the district. The cost was a narrower focus of their programme.

4.19 Maitri Institute of Rural Development (MIRD)

MIRD NGO is working in Mandya district with head quarter at Mandya city.

It was established in 1988. It is a registered trust with a vision to mainstream of

socio-economic development of rural poor especially weaker sections of the society.

Since 1988 it is working as a NGO covering in 3 taluks in Mandya district namely

Mandya, Maddur and Pandavapura. Its focus is on sustainable development of rural

people, women’s through developmental initiatives. MIRD is providing training for

rural youths and women for self-employment activities with maintaining some

programmess and programmes availing income generation activities. MIRD is a

growing NGO in the state, which has formed 130 SHG’s in Mandya district, which

comprises 2000 members.In last 20 years it has grown and recognized as NGO with

a team of specialists in education, technology, councilors for children and women

problems, research methodologies to tackle a variety of socio-economic problems.

Goals and Objectives of MIRD

The goal of MIRD is making better life of poor people through providing

all types of basic needs of their life. And it is also aimed to provide promotion and

strengthening of rural women unemployed youths and economically weaker

sections of the society. The main objectives as follows:-

1. Provide relief to poor people through promotion and formation of self-

help groups in rural areas.

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2. Promote and strengthening self-help groups through capacity building.

3. Implementation of watershed development programmes in rural areas

through community participation.

4. Conducting health, sanitation and hygiene education classes to poor

people.

5. Organize intervention activities to access livelihood support services,

credit, and social securities schemes to achieve self-dependency.

6. Making awareness in women and her status in the present society

through active participation of panchayat raj institution and socio-

economic programmes without discrimination and fear.

7. Providing self-employment training for rural youths for their better

future.

Activities of MIRD

MIRD is involving actively in rural development, irrigation programmes,

forestry, agriculture activities, formation and promotion of self-help groups. In

addition, educational awareness and micro entrepreneurship, participatory

planning, non-formal education, environmental sanitation also in their agenda.

MIRD is also conducting advocacy for increasing employment opportunities for

women and providing basic support for formation of SHG’s and their linkages

with banks.

Coverage of MIRD

MIRD is a rural Non Governmental Organization working for providing

different level supports for economically socially weaker sections of the society.

There are 16 permanent staff and 20 part-time employees with graduation. It

covers more than 75 villages in Mandya district. MIRD is working with women,

children and men from landless and poor people.

4.20 Conclusion

This chapter has looked at the rapidly changing circumstances in the

districts of Karnataka, and how Non Governmental Organizations have responded

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to the changes brought about by rapid economic development, and as a result the

withdrawal of many INGO (International Non Governmental Organisations)

donors from the Karnataka. The focus has mainly been on the smaller Non

Governmental Organizations and the strategies they have adopted to survive.

Three points have emerged: the first is that level of poverty and marginalization in

Karnataka was still serious in the poorer districts, despite the rapid economic gains

made at the state level; the second is that the Non Governmental Organizations in

the case study had all continued their work, but with serious disruption and

restructuring required; and third, they adopted a range of different strategies for

survival. These strategies ranged from expanding commercial operations to

provide core support, in the case of RORES; splitting off local operations so that

they can better access state resources, as was the case with MYRADA; operating a

microfinance operation as was the case with Chinyard; to establishing new long-

term donor linkages, which Grama Vikas undertook. While there was no uniform

solution to the challenges, it was the resilience and ingenuity of these local Non

Governmental Organizations that saw them through periods of rapid change and

uncertainties. The other key feature of the experience of these local Non

Governmental Organizations was the role of International Non Governmental

Organizations, and also multilateral donors such as the World Bank. While it was

expected that International Non Governmental Organizations and their funders

would pull out of economically successful states such as Karnataka to put their

limited resources in areas of greatest need in the north of India, it was the process

of withdrawal that is worth examining. With the exception of the MYRADA

donors, there did not seem to be a process of withdrawal and adjustment from the

donor over a longer time frame. Given the extent of the work for many of these

Non Governmental Organizations and the communities they reach, a three to five

year process of withdrawal would seem reasonable. Related to this were the

management processes of the World Bank KWDP, where the Bank saw the move

to results-based contract management as a strength. In effect it resulted in the

failure to reimburse the Non Governmental Organizations for work completed and

effectively shut down some of the Non Governmental Organizations’ ongoing

programmes that were outside the scope of the KWDP. More work was required

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by the Bank and government agencies in their results-based management

approaches as the search for quick results often left ineffective programmess and

reduced Non Governmental Organizations infrastructure in their wake.

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