Page 33 - PDI_Report

Index framework: accounting of aggregation of developmental performance
Index number, a vital statistical tool, often described as a parameters/indicators based on the LSDG linked to relevant
Barometer of socio-economic health, particularly economic sectors/SDGs. Indicators have to be selected not for relevance
health or activity, primarily provides a single value/score for only but also for regular availability of updated information so
comparing magnitudes of aggregates of related variables to each that such indices are constructed regularly, analyzed and
other and to measure the changes in these magnitudes over publicized for understanding the developmental performances.
time.
The PDI and related measures are basic disaggregated data
In the context of developmental indices, the aggregate mechanism, for Gram Panchayats (GPs), and in particular are to
assessment of the performance of a sector or more than a sector play a pivotal role in planning, implementation and monitoring
is measured by index to help the planners, policymakers and of development in their GP. The PDI would be a vital statistical
above all the change seekers to evaluate the performance of tool to evaluate a base score of each Panchayat to measure
various parameters in social, economic, infrastructural and development at grass root level. The PDI will keep the
environmental related activities. In this context, the SDG stakeholders viz. elected representatives, PRI functionaries
Indices at Global, National levels, Human Development Index, and frontline workers of line departments motivated towards
Hunger Index etc. are a few socio-economic developmental to monitor progress through PDI.
complex indices worth citing. However, the need of a
VIII. Formation of PDI Committee :
developmental index at the local level, the fundamental local
unit of self-governance, Gram Panchayat in the Indian context Government entrusted the task of development of Panchayat
is increasingly felt as necessary to as a measure to monitor and Development Index (PDI) to a Committee vide its order M-
nd
assess the progress of their development both inter-temporal 11015/66/2022-CB, dated: 2 March, 2022 with the terms of
and at cross-section level over the time on a regular basis to references, inter alia, to recommend the methodology, local
indicators framework, data source for construction of PDI. The
further identify the gaps and improve the situation.
PDI based on 9 Themes of LSDG is expected to throw light on
each Theme and indicators thereunder. The first of its kind
“An index number is a statistical measure exercise at National level may set a new benchmark and
designed to show changes in a variable or a group baseline for working at Panchayat level, self-assessments,
of related variables with respect to time, progress and planning, while also ranking the Panchayats for
geographical location or other characteristics such
all purposes, which may include providing inputs for
as income, profession, etc.” - Murray R. Spiegel
consideration of statutory bodies like Central Finance
Commission which may consider it as one of the factors in
determining the financial devolution to the PRIs, and also for
Objectives and Significance:
planning and monitoring by Ministries and States.
Accordingly, it is envisaged to evolve an index framework to
assess the ground realties of status of development in To evolve this comprehensive mechanism, that would take
Panchayat and the efforts made by the local Governments in forward the initiative of LSDGs and as a measure to monitor the
implementing the Programme and in realizing the progress of implementation on periodic and regular basis,
developmental targets. Panchayat Raj Institutions also have MoPR has taken a giant step of exploring the mammoth
an extent of flexibility in undertaking activities as per the local exercise of assessing the developmental status of the Gram
priority. It is proposed to begin with a baseline work in the Panchayats based on their performance by taking into account
form of compact developmental indicators like the Panchayat holistic developmental variables or parameters at local level and
Development Index (PDI) at Gram Panchayat level taken from constructing thereby.

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PDI Committee Report - 2023: Introduction