Jammu Kashmir Left Out 23 Per Cent Households from Rural Livelihood Mission, Says CAG | Kashmir Life

SRINAGAR: The Comptroller and Auditor General (CAG) has found that the National Rural Livelihood Mission (NRLM) in Jammu and Kashmir has fallen short of its core objective of universal mobilisation of rural poor, with nearly one-fourth of targeted households left uncovered, alongside gaps in funding, staffing and monitoring.

The audit revealed that against a target of nine lakh rural households to be mobilised by 2023, only about 6.95 lakh were covered, leaving a shortfall of roughly 2.05 lakh households, or 23 per cent of the target population. This gap, the report notes, reflects deeper structural issues in how beneficiaries were identified and the programme executed.

At the heart of the problem is the absence of a clear, data-backed framework for identifying poor households. Instead of using measurable indicators such as income levels or deprivation metrics, mobilisation was largely driven by field-level processes, raising questions about whether the scheme has systematically reached the most vulnerable.

The uneven rollout of the programme further compounded the shortfall. While some blocks exceeded their targets, others remained either partially covered or entirely excluded in the initial phases. The audit noted that even in later stages, expansion efforts were not consistently directed towards these uncovered areas, leading to persistent regional imbalances.

Financial management under the scheme also showed stress. Although funds flowed from both the Centre and the Union Territory, delays in release of shares were frequent, affecting implementation timelines. At the same time, utilisation patterns indicated inefficiencies, with instances of unspent balances, irregular deductions and issues in loan repayments within community institutions.

The audit also highlighted a declining progression in financial inclusion. While a large number of self-help groups accessed initial rounds of funding, the number of groups receiving subsequent credit linkages dropped significantly, indicating that the programme’s objective of sustained financial empowerment was not being fully realised.

Institutional capacity constraints added to the implementation challenges. A substantial number of sanctioned posts, particularly at district and block levels, remained vacant, weakening on-ground execution. In parallel, governance mechanisms were found lacking, with mandatory meetings of oversight bodies not held regularly, and no functional system of social audits in place.

Liquidity and credit facilitation structures also remained incomplete. The audit pointed out that dedicated NRLM banking cells had not been established, limiting oversight of credit flow to self-help groups and affecting the depth of financial inclusion.

The National Rural Livelihood Mission, launched in 2010 and implemented as UMEED in Jammu and Kashmir, is designed to mobilise rural poor, especially women, into self-help groups and link them to sustainable livelihoods. However, the CAG findings suggest that implementation in the Union Territory has been constrained by gaps at every stage, from identification and coverage to funding and monitoring.

With over two lakh eligible households still outside the programme’s fold, and systemic issues persisting across financial and institutional frameworks, the audit underscores the need for a more targeted, data-driven and accountable approach to rural livelihood interventions in Jammu and Kashmir.