Poverty and Social Exclusion in India

Book excerpt: It has been more than two decades since India embraced open market policies in the effort to align itself with the globalized world economy. The outcome has been quite significant in ushering high GDP growth, coupled with a gradual, but definite, shift from a predominantly agrarian economy to a service-led industrial economy. However, it has become increasingly clear that this unprecedented growth story is not illuminating the lives of the bulk of India's population and has actually exacerbated the divide between the haves and the have-nots, threatening social anarchy in the near future if the trend is not addressed immediately. Lack of quality education, basic facilities, suitable infrastructure, and abysmal penetration of basic banking services are identified to be some of the biggest impediments in this journey. Policy planners today are unanimous in their argument that unless this growth is made socially inclusive, the scourge of poverty will seriously threaten the sustainability of holistic development or social self-sufficiency for teeming millions in the country. Fortunately, government initiatives wield much needed hope in this battle for securing social and financial equality. The high correlation between social exclusion and poverty should be adequately represented at the highest policy making level and propel the right action plan in the near to the long term. This book examines the macro to micro views on poverty and social exclusion issues in India.