Bridging The Divide—The Shyama Prasad Mukherjee Rurban Mission

Policy Update

Sreyoshi Mitra

Introduction

The rural population in India currently stands at 909 million (almost 68.8% of the total population) and has shown a growth rate of about 11%. Large parts of rural areas in the country are parts of clusters of settlements, in relative proximity to one another. These clusters typically demonstrate growth potential, have certain economic drivers, and have the ability to leverage locational and competitive advantages. These clusters are now classified as ‘Rurban’ areas. A “Rurban” cluster is a cluster of geographically contiguous villages with a population of about 25000-50000 in plain and coastal areas and a population of 5000-15000 in desert, hilly, or tribal regions.

Background of the Scheme

Keeping this in mind, the Government of India proposed the Shyama Prasad Mukherji Rurban Mission (SPMRM), aimed at developing such rural areas by provisioning economic, social, and physical infrastructure facilities. Prime Minister Narendra Modi launched the National Rurban Mission from Kurubhat, in Rajnandgaon district of Chhattisgarh on February 21, 2016. The Shyama Prasad Mukherji Rurban Mission (SPMRM) follows the vision of “Development of a cluster of villages that preserve and nurture the essence of rural community life with focus on equity and inclusiveness without compromising with the facilities perceived to be essentially urban in nature, thus creating a cluster of “Rurban Villages”. The proposed outcomes of this Mission include bridging the rural-urban divide, stimulating local economic development, thereby reducing poverty and unemployment, and attracting investment to rural areas.

Key Objectives of the Mission

The overarching objective of the Shyama Prasad Mukherji Rurban Mission (SPMRM) is to stimulate local economic development, enhance basic services, and create well-planned Rurban clusters.

Local Economic Development: The SPMRM aims to stimulate local economic growth by promoting skill development and entrepreneurship within Rurban clusters.

Provision of Enhanced Basic Services: It focuses on providing and improving essential services like infrastructure, education, healthcare, and sanitation to make these clusters more liveable and accessible.

Well-planned Clusters: The mission aims to create well-planned Rurban clusters that offer a combination of rural and urban amenities, ensuring balanced and sustainable regional development.

Bridging the Urban-Rural Divide: The Mission seeks to reduce the disparities between urban and rural areas by promoting economic and technological development in rural areas.

Investments: The SPMRM aims to attract private investment in rural areas, further boosting economic growth and job creation.

The following components are envisaged as desirable in each cluster:

Skill development training linked to economic activities
Agro Processing, Agri Services, Storage, and Warehousing
Fully equipped mobile health unit
Upgrading school/higher education facilities
Sanitation
Provision of a piped water supply
Solid and liquid waste management
Village streets and drains
Street lights
Inter-village road connectivity
Public transport
LPG gas connections
Digital literacy
Citizen Service Centres (CSCs) – for electronic delivery of citizen-centric services/e-gram connectivity. Components pertaining to agriculture and allied activities would be given special emphasis while developing these clusters.

Functioning of the Mission

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Source: National Rurban Mission (NRuM) – IndiaFilings

To guide the development of the Rurban clusters and to facilitate the Mission, the preparation of an Integrated Cluster Action Plan is recommended for each cluster. This has two components: a socio-economic and infrastructure planning component, and an initiation of spatial planning. The socio-economic and infrastructure planning component of the ICAP will essentially identify the socio-economic and infrastructure requirements of the cluster, converge various government schemes, and implement the project-level interventions in the cluster as per the process indicated in this framework. The spatial planning component of the ICAP will result in a structure plan/land use plan for the Rurban cluster, along with an enforcement mechanism for it.

Selection of the Rurban Clusters: There are two categories of clusters: Tribal and Non-Tribal. The process of selection varies for each of these categories. While selecting the cluster, the State may identify large gram panchayats that are growth centers with resources available in the area that could potentially lead the economic transformation of the region.

Non-Tribal Clusters– For the selection of non-tribal clusters, the government provided a list of leading sub-districts to each state, within which the clusters would be identified. Proportional weightage would be assigned to each performance parameter, which includes,but is not limited to, decadal growth in rural population, rise in land values, enrollment of girls in secondary schools, and good governance by Gram Panchayats.

Tribal Clusters– For the identification of the tribal clusters, the government selected the leading sub-districts falling within the top 100 tribal districts of the country, based on the Scheduled Tribes population. Similar to Non-Tribal clusters, appropriate weightage is assigned to parameters like decadal growth in tribal population, growth in tribal literacy rates, and growth in non-farm workforce participation.

Delineation and Notification of Planning Area: The cluster boundary needs to be clearly delineated following the process specified in the respective State/UT statutes. Due processes of notification are to be followed subsequently. The declaration of the planning area will be widely published in at least 2 local newspapers with wide circulation, as well as by a public notice affixed at prominent places, government offices, local authorities, and public places situated within the planning area.

Cluster Profiling: The existing profile of the cluster will then need to be detailed out at 2 levels (i) General Profile, which includes demography, socio economic, and administrative profiling (ii) Component Profiling. For proper planning, it is important to understand the socio-economic characteristics of the GPs constituting the cluster. This will enable identification of the most appropriate needs for the cluster as well as understanding the latent potential of the cluster, which can be further developed or given impetus under this Mission.

Identification of Needs: In this step, a comprehensive assessment will be made of the economic profile of the cluster. The assessment will aim at understanding the reasons for the growth in the economy of the region, identifying key economic growth drivers, assessing the basic strengths of the cluster, and identifying the opportunities for stimulating the economic growth of the cluster.

Identification and Detailing of Mission Components: Based on the economic profiling and deficiency, and needs analysis, the next step is to develop a vision for the cluster. The vision for the cluster, along with the needs and economic assessment, will be validated with a stakeholder consultation across the various levels.

Scheme Convergence: After finalization of the desirable components for the cluster, we need to identify possible schemes that can be converged for each of the components. Each of the identified mission components would need to be mapped with an existing Centrally Sponsored, Central Sector, State Government scheme for fund convergence as per the principle of scheme convergence in the Rurban Mission to meet the total cost previously estimated.

Investment and Phasing: The components and the investment required will then be phased out over a construction period of three years, based on the costing requirements estimated, allowing for escalation.

Arriving at Critical Gap Funding Estimate: Based on theiInvestment requirement estimated and the identification of resources through convergence, the balance amount would be the amount requiring Critical Gap Funding under this Mission.

Implementation and O&M Strategy: The implementation strategy shall identify the key implementing agencies and the convergence strategies for ensuring implementation within the construction time frame. The next step is to identify the O&M of the project components by the Gram Panchayats, State Government agencies, or private partners.

Performance of the Mission

Out of 300 Rurban clusters, 298 clusters have been approved, 291 Integrated Cluster Action Plans (ICAPs) and 282 Detailed Project Reports (DPRs) have been developed by States /UTs with a total approved investment of Rs. 27716.19 crore (Critical Gap Fund plus Convergence Fund).

Out of 75,999 total projected works under the Mission, a total of 39,554 works have been completed, and a total of 13932 works are ongoing (as on Feb 20, 2023).

Aibawk cluster in the Aizawl district of Mizoram became the first cluster to be completed under the Shyama Prasad Mukherji Rurban Mission. It completed all 48 projects planned under SPMRM. Agri-link road, pedestrian footpaths, and inter-village road connectivity projects were undertaken to improve market access. The infrastructure created includes roads, footpaths, drains, water supply, and car parking, and social infrastructures like a conference center, sports infrastructure. The interventions undertaken to improve livelihoods are making an impact on the economic well-being of the local populace.

Challenges to the Mission

Critical Gap Fund (CGF) Issues: Insufficient and delayed funding hampers project implementation. States also face difficulties in optimal utilization due to limited capacity and unclear guidelines.
Limited Role of PRIs: Panchayati Raj Institutions (PRIs) are often sidelined, with weak capacity and unclear roles reducing local ownership and decentralized planning.
Convergence Challenges: Poor coordination between departments, misaligned priorities, and bureaucratic delays make it difficult to integrate schemes like MGNREGA, PMGSY, and NRLM.
Cluster Identification: Selection often lacks uniform criteria and community involvement, with some clusters chosen based on political factors rather than developmental need.
Monitoring and Evaluation: Ineffective tracking systems, underused Management Information Systems and a lack of third-party evaluations hinder transparency and performance review.
Delays in Implementation: Slow progress due to land issues, procurement delays, and a shortage of skilled manpower at the state and cluster levels.
Low Community Participation Rates: Minimal public awareness and engagement affect the sustainability and local relevance of projects.

Way Forward

To strengthen the Shyama Prasad Mukherji Rurban Mission, a more decentralized and participatory approach is essential. Empowering Panchayati Raj Institutions with greater decision-making authority and capacity-building support can enhance local ownership. Improved convergence mechanisms with clear guidelines and timelines across schemes will ensure better resource utilization. Strengthening the CGF, adopting real-time monitoring tools, and conducting regular third-party evaluations can boost transparency and accountability. Last but not least, sustained community engagement and awareness campaigns are key to ensuring that interventions are locally relevant and sustainable in the long run.

References

Ramesh, R. (2022). Rurban Mission: A Study of Smart Villages In the Making. Journal of Rural Development, 41(1), 28–35. https://doi.org/10.25175/jrd/2022/v41/i1/172460
Shyama Prasad Mukherji Rurban Mission. (n.d.). Shyama Prasad Mukherji RURBan Mission : Ready REcKoNeR. In Shyama Prasad Mukherji Rurban Mission : Ready ReckoneR (pp. 1–8).
Shyama Prasad Mukherji Rurban Mission : INTEGRATED CLUSTER ACTION PLAN (ICAP). (n.d.). In INTEGRATED CLUSTER ACTION PLAN (ICAP).
SHYAMA PRASAD MUKHERJI RURBAN MISSION (SPMRM) | Rural Development Department | India. (n.d.-a). https://haryanarural.gov.in/shyama-prasad-mukherji-rurban-mission-spmrm/
Shyama Prasad Mukherji RURban Mission| National Portal of India. (n.d.). https://www.india.gov.in/spotlight/shyama-prasad-mukherji-rurban-mission
Shyama Prasad Mukherji RURban Mission | India Science, Technology & Innovation – ISTI Portal. (n.d.). https://www.indiascienceandtechnology.gov.in/st-visions/national-mission/shyama-prasad-mukherji-rurban-mission

About the author

Sreyoshi Mitra is a research intern at the Impact and Policy Research Institute. She is currently pursuing a one-year course in Public Policy, Design and Management from the Indian School of Public Policy in Hauz Khas, New Delhi. She has a Master’s in Sociology and is equipped with critical thinking and research skills, focused on applying sociological insights to policy advocacy and passionate about contributing to impactful policy research and policy development.