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Constructing the Panchayat Development Index (PDI) as to construct separate index for each theme with the intent to
identify the broad areas to focus for taking initiatives.
It is therefore felt necessary to evolve an index framework to
assess the ground realties of status of development in Panchayat Review of Literature
and the efforts made by the local Governments in implementing
Research on status incentives by World Bank in 2014 has
the Programme and in realizing the developmental targets.
shown that ranking schemes which confer feelings of pride or
The proposed developmental indicators to be known as shame may be a cost-effective way to shift state actions. India’s
Panchayat Development Index (PDI) at Gram Panchayat level strong federal structure provides a wider scope for
is derived from accounting of aggregation of developmental experimenting with the use of rankings to incentivize better
performance parameters/indicators based on the LSDG linked performance on development programs. Although there are
to relevant sectors/SDGs. Indicators for PDI are selected not for many initiatives for state ranking based on performances in
relevance only, but also for regular availability of updated India, this is the first central initiative to assess Gram
information so that such indices are constructed regularly, Panchayats on their progress and to achieve targets as
analyzed and publicized for understanding the developmental mentioned in SDG.
performances.
A systematic review of literature was conducted to
The Panchayat Development Index is constructed on the basis conceptualize the methodology for PDI calculation. The
of numerous indicators representing various dimensions of
development of the region and the population living therein.
Inclusion criteria Exclusion criteria
The indicators varies in nature, types and scope. Taking
indicators as part of developmental initiatives, these can be  It should be the report  Research article, thesis,
categorized as output or outcome values. Indicators can also be published by the owner of working papers are not
categorized as direct, proxy or neutral with reference to the index (Central or state included in the review
Government programmes. Indicators can also be categorized by government, research process.
types of values like quantifiable, qualitative and binary. The institute)
basket of indicators being used for constructing the PDI consists
 It should be the latest  Previous version of
of all types of indicators.
version of the report report on any Index
The Indicators chosen for PDI are primarily taken from Local
 The literature must be in  Reports in other language
Indicator Framework (LIF) that was part of the Report of the
English language except English
Expert Group on Localisation of SDGs with PRIs, and
developed further in consultation with Ministries and
Departments concerned of Government of India, States,
inclusion and exclusion criteria for a literature to be included in
Panchayats, and other stakeholders. LIF have strong
the review process were:
concordance with National Indicator Framework (NIF) and
Sustainable Development Goals (SDG). The basket of Considering above mentioned criteria, twelve indices have been
indicators selected for PDI have been divided into 9 themes so included for review. Out of these 14 indices, 7 indices are at
global level whereas 7 indices are at national level. States have
developed the State Indicator Framework with guidance of NITI
Aayog and MoSPI, on the lines of the SDGII. And some have
developed the District Indicator Framework, on the lines of SIF
or Aspirational Districts.

PDI Committee Report - 2023: Panchayat Development Index 53