Role of Foreign sources of fund: Availability of adequate credit at the right time on appropriate terms has a bearing on production, productivity and diversification of economic activities. Foreign investment is also required for widening and deepening of rural credit. It is almost indispensable for promoting economic growth in developing countries because of their non available capital sources. If a developing country wants to bring economic development depending only on its own resources, it will have to wait for decades. The foreign aid which they need is the kind that would enable its citizens to utilize their own natural resources, accumulate their own capital, and operate the economy by themselves. Many people in developing countries believe that a huge flood of foreign capital is waiting to inundate their lands if the gates are opened. But it is not true because there is cut throat competition for capital amongst both the developed as well as developing countries.
The foreign funds are given in the form of grants and aids, loans and investments. The donors may be foreign governments, corporations, individuals, international organizations or private foundations. India requires foreign exchange to import modern technologies, heavy machinery and equipment, fertilizers, fighter planes, missiles, computers, fossil fuels etc. India gets funds through many foreign agencies like IBRD, IMF, ADB, EU, IDA, IFC, IFAD, ILO, UNICEF, UNDFW, UNICEF, UNDP, UNIDO, UNDF, WFP, WHO etc. It is better to carried out certain projects on a private basis, with assistance from foreign private investor. Other development projects which are highly beneficial to the country may be better handled through government, either on a bilateral basis or on a multilateral basis through an international agency like World Bank.
NABARD got ` 53.18 crore during 2011-12 as a grant under several projects associated with these International agencies. NABARD has been implementing UPNRM projects for the past 20 years under Indo-German collaboration with support from KfW and GIZ. This collaboration is also helping in the development of other sectors of the economy also.
Table 1.24: Inflow of Foreign Aid in India
(in ` crore)
Years
|
Foreign Loans
|
Foreign Grants
|
Total
|
1980-81
|
3771.20
|
75.80
|
3847.0
|
1990-91
|
7601.30
|
522.10
|
8123.40
|
1995-96
|
10833.20
|
1,330
|
12163.20
|
2000-01
|
17184.10
|
940.60
|
18124.70
|
2005-06
|
17309.10
|
1628.80
|
18937.90
|
2006-07
|
28271.0
|
3518.9
|
31789.9
|
2007-08
|
28988.4
|
4294.4
|
33282.8
|
2008-09
|
28283.4
|
1242.5
|
29525.9
|
2009-10
|
48968.8
|
957.6
|
49926.4
|
2010-11
|
18446.5
|
1165.2
|
19611.7
|
Source: Economic Survey of India 2011-12
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Chapter-2
Research Methodology
In planning and designing a research project, it is necessary to adopt procedure for conducting the research. It is important to anticipate all the steps that must be undertaken in the project so as to complete the objectives of the research. These steps are referred as ‘Research Methodology’, are not mechanically continued sequential of the independent steps, but consist of number of inter-related, frequently over-lapping activities. The function of designing a research project is to ensure that the required data are collected accurately and economically. Infact it is essential to understand the problem in order to identify the needed information for solving the specific problem. The identification of problem needed in the research project affect both the questionnaire and the sequence used in collecting the data. The elaboration of research methodology gives the researcher an opportunity to put forward the possibility/area of the study along with rolling out some allied areas with justification for its non-inclusion in the study. With this backdrop this chapter has been designed and is discussed in following action for the sake of convenience and study.
-
Main hypothesis
-
Objectives
-
Scope of study
-
Period of study
-
Research design
-
Sample design
-
Sample composition
-
Survey procedure
-
Method of survey
-
Survey experience
-
Sources of information
-
Data analysis
-
Pilot study
-
Research Instruments
-
Limitations of the study
-
Importance
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