achieving the sdgs in india: ensuring no state falls behind

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Achieving the Sustainable Development Goals in India: Ensuring no state falls behind Shiladitya Chatterjee 99 th Annual Conference of Indian Economic Association, Tirupati, 27-29 December 2016 1

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Page 1: Achieving the SDGs in India: Ensuring no state falls behind

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Achieving the Sustainable Development Goals in India: Ensuring no state falls behind

Shiladitya Chatterjee

99th Annual Conference of Indian Economic Association, Tirupati, 27-29 December 2016

Page 2: Achieving the SDGs in India: Ensuring no state falls behind

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Contents of Presentation

I. Introduction to the SDGsII. India’s performance on the MDGs and its lessons for the SDGsIII. Eight policy priorities for lagging states

Page 3: Achieving the SDGs in India: Ensuring no state falls behind

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The SDGs: Three pillars - economic, social and environmental GOAL 1. End poverty in all its forms everywhereGOAL 2. End hunger, achieve food security and improved nutrition and promote sustainable agricultureGOAL 3. Ensure healthy lives and promote well-being for all at all agesGOAL 4. Ensure inclusive and equitable quality education and promote lifelong learning opportunities for allGOAL 5. Achieve gender equality and empower all women and girlsGOAL 6. Ensure availability and sustainable management of water and sanitation for allGOAL 7. Ensure access to affordable, reliable, sustainable and modern energy for allGOAL 8. Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for allGOAL 9. Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovationGOAL 10. Reduce inequality within and among countriesGOAL 11. Make cities and human settlements inclusive, safe, resilient and sustainableGOAL 12. Ensure sustainable consumption and production patternsGOAL 13. Take urgent action to combat climate change and its impactsGOAL 14. Conserve and sustainably use the oceans, seas and marine resources for sustainable developmentGOAL 15. Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification, and halt and reverse land degradation and halt biodiversity lossGOAL 16. Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levelsGOAL 17. Strengthen the means of implementation and revitalize the global partnership for sustainable development

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India’s final performance on the MDGs was mixed

Source: S. Chatterjee, N.Kumar, M. Hammill and S. Panda (2016) [see References Slide 19]

Page 5: Achieving the SDGs in India: Ensuring no state falls behind

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Many states fell behind on the MDGs – this has to be avoided for the SDGs

GoaKerala

Tamil Nadu

Sikkim

Delhi

Tripura

Maharashtra

Himach

al Pradesh

Andhra PradeshPunjab

Manipur

Karnataka

Jammu & Kash

mir

Mizoram

Gujarat

West Bengal

Haryana

Uttarakhand

Meghalaya

Nagaland

Chhattisgarh

Rajasthan

Odisha

Assam

Madhya Pradesh

Uttar Pradesh

Arunachal P

radesh

Jharkhand

Bihar0.00

0.10

0.20

0.30

0.40

0.50

0.60

0.70

0.80

0.90

0.8130.790

0.7360.719

0.6940.659 0.658 0.650

0.627 0.626 0.616 0.609 0.603 0.592 0.585 0.584 0.577 0.5650.530

0.506

0.466 0.464 0.452 0.4510.426

0.398 0.396

0.3420.313

Final ranking of states by MDG performance

Median

Source: S. Chatterjee et. al. (2016)

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5 Main factors responsible for poor performance on MDGs – these are relevant for SDGs as well

• Lack of growth• Insufficient prioritization of resources for human development • Inefficient use of resources – poor service delivery• Lack of basic infrastructure• Lack of gender empowerment

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Growth and MDG Performance

2.0 3.0 4.0 5.0 6.0 7.0 8.0 9.0 10.00.2

0.3

0.4

0.5

0.6

0.7

0.8

0.9

AP

BR

CG

GA

GJHR

JH

KA

KL

MP

MH

OR

PB

RJ

TN

UP

WB

AR

AS

HP

JKMN

MLNL

SK

TR

UK

f(x) = 0.0458113271163345 x + 0.340237402112469R² = 0.293410355769989

Per Capita NSDP Average Growth Rate (1993-94 to 2012-13, constant prices)

MDG

Per

form

ance

Inde

x

Source: S. Chatterjee et. al. (2016)

Page 8: Achieving the SDGs in India: Ensuring no state falls behind

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More priority to human development yielded better outcomes – Example: investments in public health infrastructure and health outcomes

0 1000 2000 3000 4000 5000 6000 7000 8000 90000

10

20

30

40

50

60

70

80

90

KL

KAMH

TNHP APJKPBGJ

OR HR

ASCGWB

RJ MP

JH

BRUP

f(x) = − 0.0072104711718191 x + 64.8628569468434R² = 0.507788948904213

Persons per government hospital bed

Heal

th O

utco

me

Inde

x

Source: S. Chatterjee et. al. (2016)

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Efficiency of public services delivery (proxy MNREGA performance) and overall MDG performance

0 50 100 150 200 250 300 350 400 450 5000.25

0.35

0.45

0.55

0.65

0.75

0.85

Andhra Pradesh

Arunachal Pradesh

Assam

Bihar

Chhattisgarh

GujaratHaryana

Himachal Pradesh

Jammu & Kashmir

Jharkhand

Karnataka

Kerala

Madhya Pradesh

Maharashtra

Orissa

Punjab

Rajasthan

Tamil Nadu

Uttar Pradesh

Uttarakhand

West Bengal

f(x) = 0.000514788830303113 x + 0.444893227047285R² = 0.374307821019278

Performance of states on MNREGA 2012-13 and the MDG Performance Index

Proportion of rural households provided work as proportion of rural poor households (%)

MDG

Per

form

ance

Inde

x

Source: S. Chatterjee et. al. (2016)

Page 10: Achieving the SDGs in India: Ensuring no state falls behind

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Basic infrastructure crucial for MDGs – example: access to roads and attendance at births

0 5 10 15 20 25 30 3525

35

45

55

65

75

85

95

105

AP

AS

BR

CG

GJ

HR

JK

JH

KA

KL

MP

MH

OR

PB

RJ

TN

UP

WB

R² = 0.581436720196355

Kilometres of roads per 10,000 population

Proportion of births at -tended by skilled health

personnel

Source: S. Chatterjee et. al. (2016)

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Dilemma of lagging states - daunting SDG challenges with large resource gaps for meeting them: example - Assam School Education Sector

Resource requirements and gaps (Rs. ‘000 crores)2016-2019 2019-2022 2022-2025 2025-2028 2028-2030

Total budget requirement 68.4 55.4 58.0 60.9 47.5

Resource gap 23.5 18.9 21.0 23.2 18.5

Selected school education indicators of AssamBaseline

2016-17 Target

2019-20 Target

2023-24 Target

2030-31Net Enrol. Rate (Upper Primary) 67.54 72.54 100.00 100.0Learning outcomes (Upper Primary) L-I Math Science

53.061.051.0

65.057.060.0

100.0100.0100.0

100.0100.0100.0

Net Enrol. Rate (Secondary) 53.5 66.3 76.3 100.0

Learning outcomes (Secondary) NAS 2015 Score (core subjects) 38.0 55.0 100.0 100.0

Source: Department of Education, Government of Assam. Preliminary estimates in draft Strategy Paper & Action Plan

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Policy options of lagging states for catching up on SDGs

1. Focus on all of these constraints which affected MDG performance as they will also be relevant for SDGs —However, many of these will take time to be achieved (e.g. growth, basic

infrastructure, women’s development etc.)—What then are their policy options, in the medium term?

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Possible state strategies for the medium term

2. Maximize efforts at revenue augmentation

3. Prioritize expenditures towards SDGs—Develop outcome focused

budgets based on SDG outcomes

Karnataka TNKerala MP

Andhra

Chattisgarh

Punjab UP All

Maharashtra

GujaratGoa

Haryana

J&K

Rajasthan

Himach

al

OrissaAssa

m

Uttarakhand

Bihar

Jharkhand

WB

Meghalaya

Tripura

Sikkim

Manipur

Arunachal

Mizoram

Nagaland0

2

4

6

8

10

12

Ranking of states by own tax revenue as percent of Gross State Domestic Product

(Average 2009-14)

Source: Planning Commission Data Tables

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Possible state strategies for the medium term4. Tackle inefficiencies in service delivery

— Through knowledge of and adopting good practices

0.00 5.00 10.00 15.00 20.00 25.0055

60

65

70

75

80

85

90

95

100

Andhra Pradesh

Assam

Bihar

Chhattisgarh

Delhi

Gujarat, Haryana

Jammu & Kashmir

Jharkhand

Karnataka

Kerala

Madhya Pradesh

Maharashtra

Orissa Punjab

Rajasthan

Tamil Nadu

Uttar Pradesh

West Bengal

Arunachal Pradesh

Goa

Himachal Pradesh

Manipur

Meghalaya

Mizoram

Nagaland Sikkim

Tripura

Uttarakhand

Spending on elementary education and literacy outcome

Per pupil public expenditure in elementary education (Rupees thousand) 2009-10

Lite

racy

201

1

Source: Ministry of Human Resources Development

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Possible state strategies for the medium term5. Introduce policy,

organizational and institutional changes• Outcome focus rather than

sector focus—Requires new coordination

arrangements• Paying heed to

cross-cutting/thematic concerns—Effective decentralization of

service delivery—Heeding needs of poor, women,

deprived groups—Encouraging participation

• Private sector• Communities, civil society

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Possible state strategies for the medium term

6. Foster innovation—Example: use of ICT for telemedicine; virtual classrooms etc.

7. Expand partnerships—With private sector

• Through better use of Corporate Social Responsibility (CSR) funds—Communities and civil society

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Central Government support will also be critical for lagging states

8. Actively seek support from national level

• There is strong rationale for Central Government role—Unanimous commitment by all countries – including India - in the United

Nations to achieving SDGs by 2030• This implies responsibility of Centre to support states achieve SDGs also

—SDG Goal 10: Reduce inequality between and within countries• Inequality between states’ SDG achievements needs to be eliminated too

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Several instruments exist at National level to assist lagging states 1. Support lagging states through Centrally Sponsored Schemes and Missions

in critical SDG areas—Similar to national missions in the MDG period such as NHM which proved quite

successful

2. Finance Commission should consider equalizing SDG achievements in deciding allocation formula

3. More Central allocation of borrowings from international development institutions (e.g. ADB, BRICS Bank, AIB, WB etc.) for lagging states

4. Central policy incentives for greater private sector participation in lagging states

5. Central support in capacity development for lagging states —Statistical capacity—Knowledge and good practices

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References1. Shiladitya Chatterjee, Matthew Hammill, Nagesh Kumar and Swayamsiddha Panda. An Assessment of

India’s Aggregative and Comparative States’ Performance on the Millennium Development Goals and Identification of Key Drivers of Inter-State Variations. Indian Economic Journal 64 (1&2) 2016.

2. Shiladitya Chatterjee, Matthew Hammill, Nagesh Kumar and Swayamsiddha Panda. Assessing India’s Progress in Achieving the Millennium Development Goals: Key Drivers of Inter-State Variations. Development Papers 1502. ESCAP South and Southwest Asia Office, New Delhi. Sept. 2015.

3. Shiladitya Chatterjee. Achieving the MDGs in the Least Developed Countries of Asia and the Pacific: Importance of Cross-sectoral and Cross-thematic Impacts. United Nations Economic and Social Commission for Asia and the Pacific. Bangkok. 2015. (Report prepared for UN-ESCAP)

4. Shiladitya Chatterjee. Achieving the MDGs in the Least Developed Countries of Asia and the Pacific: Policies to Improve Cross-sectoral and Cross-thematic Synergies. United Nations Economic and Social Commission for Asia and the Pacific. Bangkok. 2015. (Report prepared for UN-ESCAP).

5. Shiladitya Chatterjee. Roadmap for Implementing the 2030 Agenda in the Asia-Pacific Region: Sub Regional Study for South and Southwest Asia, 2016. (Paper prepared for Economic and Social Commission for Asia and the Pacific, Bangkok).

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