On the Implementation of Vidya Lakshmi Yojana in Gujarat

Introduction

We present results from an exploratory assessment of the implementation of a Conditional Cash Transfer (CCT) scheme in Gujarat, the Vidya Laxmi Yojna (VLY). As part of the scheme, eligible girls receive a bond of Rs. 2000 at the time of entry (in the first grade) into a government school. This bond matures once the child finishes grade 8. Conditional on the girl completing 8th grade, the bond amount with accrued interest is to be handed over to the child’s family.

Despite being in existence for over 15 years, we surprisingly find no earlier independent assessment of the program. The limited secondary data available to us raises several unanswered questions about the program’s implementation. Our field interactions suggest an acute lack of awareness among potential beneficiaries in the studied area. Interviews with senior school administrators as well as principals indicate multiple challenges related to identifying beneficiary households, ensuring timely issuance of bonds, tracking bondholders till maturity and disbursing promised bond amount to households.

While the need to increase efforts in ensuring that potential beneficiaries and program implementers are informed about the program details is true across programs, CCTs necessitate that the enrolled participants be continuously kept informed about it beyond the enrollment stage. CCTs also need to build in mechanisms that ensure that beneficiaries are tracked over time as they migrate across geographies and schools.

Suggestions given in the study are motivated by the need to ensure that the most disadvantaged households are included, increased transparency in the utilization of public funds and improved attainment of outcomes, in terms of higher schooling achievement for targeted girl children.