Inclusive Growth

Check out the details about Inclusive Growth.

Inclusive growth is economic growth that is distributed fairly across society and creates opportunities for all.
It is the growth that reduces disparities among per capita incomes in agriculture and non-agriculture, in rural and urban areas, and in different socio-economic groups.
The United Nations Development Programme (UNDP) has defined inclusive growth as “the process and the outcome where all groups of people have participated in growth and have benefited equitably from it.”
The result of inclusive growth is reduction in vertical inequalities (individual inequalities) and horizontal inequalities (group inequalities).

Features of Inclusive Growth

It is socially inclusive and regionally balanced economic growth. It focuses on both the pace and the pattern of growth.
Inclusive Growth focuses on productive employment rather than income redistribution. It is non-discriminatory and favourable for the excluded.
It reduces vertical as well as horizontal inequalities in incomes and assets.
It brings in our focus the concern for gender equality, upliftment and empowerment of women, improving their educational condition and social status.

Dimensions of Inclusive Growth

Equality: Equality of opportunity in terms of access to markets, resources, and an unbiased regulatory environment are the ends to the means of equality. To realize inclusive growth in its ultimate form, equality is the most fundamental criteria.
Good governance: Good governance results in effectiveness and efficiency. It upholds justice in the rule of law, and accountability and it encourages popular participation, consensus, and equality. It is the mechanism for integrating inclusive growth.
Accountability: Accountability is answerability towards performance of service delivery. It sets in the responsibility towards the assigned tasks in terms of results and outcome.
Transparency: It is necessary for efficient delivery of essential public service. It acts as an enabler for citizens in accessing information on demand which helps them in reinstating their claims on government endowments and entitlements meant for them.
Sustainability: Sustainability and inclusive growth cannot be achieved in isolation and they supplement each other. Without adopting a sustainable practice in inclusive growth, the implementation of inclusive growth policies is bound to falter.

Components of Inclusive Growth

Skill Development: To have growth with full potential development of skill is must. Some of the government schemes for skill development are Pradhan Mantri Kaushal Vikas Yojana (PMKVY), Pradhan Mantri Kaushal Kendras (PMKK) etc.
Financial Inclusion: Financial inclusion is the process of including everybody or giving financial services to everybody and at economical cost. Some of the government schemes for financial inclusion are Pradhan Mantri Jan Dhan Yojana (PMJDY), Pradhan Mantri Mudra Yojana etc.
Technical Development: Technical development is very important for inclusive growth. Some of the government schemes for technical development are Start-up India initiative, Make in India initiative etc.
Others: Economic growth and social development is also the key to achieve inclusive growth.