UN RC Annual Report

Summary

The Indian economy continued to make a strong recovery in 2010, almost returning to pre economic crisis levels, achieving an estimated real GDP growth rate of 8.9% in the first half of the fiscal year 2010-2011. Inflation, however, has been a matter of concern and remained in double digits for the most part of the year. The effects of the financial crisis have been weathered by India through cautious banking policies, low dependence on exports and large domestic demand.

India continues to present a dichotomy, achieving high growth rates and gaining increasing global standing on the one hand, and having disparities and less than satisfactory progress on key social development indicators (particularly health, nutrition, sanitation and gender) on the other. The challenges are compounded by the fact that a large part of the working population is in the informal economy with decent work gaps, insufficient social protection coverage, increasing casualization and skills development challenges.

The slow growth of the agricultural sector and the limited employment opportunities in the formal economy add to the complexity of the situation.

The Government of India’s 2008 report on “Development Challenges in Extremist Affected Areas” recognizes that inequalities across regions and social groups raise the potential for tremendous unrest. According to the report, the Naxalite (left wing extremism) movement is now active in about 125 districts across 12 states in India.

Against this backdrop, a Mid Term Review (MTR) of the UNDAF carried out in 2010 in collaboration with the Planning Commission, revalidated the value of the UN’s role in supporting national development efforts, and suggests an opportunity for concerted UN support to India in its role as an emerging global partner. The Planning Commission initiated the preparation of the Government of India’s XIIth National Five Year Development Plan, and the UN System’s engagement in the process too commenced during the year.

Two key exercises launched in India during the year were Census 2011, to enumerate the country’s population, and the preparation of the first-ever National Population Register (NPR) to create a biometric national database; and “Aadhaar” – an initiative to issue a unique identification number to each citizen, with a view to providing an identity and facilitating access and inclusion.

The Women’s Reservation Bill that proposes to provide for reservation of thirty three per cent of all seats in the Lower House of Parliament of India and State Legislative Assemblies for women, was passed in the Upper House of Parliament on 9 March 2010, and is pending with the Lower House. Civil society mobilization has been supported by UN Agencies working with the women’s movement.

The legislation, once enacted, would raise women’s representation in national and state legislatures from current low level of less than 10 percent to 33 percent, creating a huge space for women’s political leadership and voice for gender equality. The Right of Children to Free & Compulsory Education Act, passed in 2009 came into force on 1 April 2010. The Food Security Bill is on the anvil.