Press Esc to close
Monday 01 May 2017
News updated at 2:49 AM IST

Those calling them pushovers will eat humble pie

Bangalore:Nov 8, 2012 DH News Service 1:06 IST

Slumdwellers contribute significantly to Citys economy, finds study

The City’s slumdwellers are often seen as the cause for many of the ills dogging it and a drain on its resources. But a recent study shows that they contribute 3.5 per cent to its economy, despite being handicapped due to poor infrastructure facilities in their dwelling places.

Significantly, 48 per cent of the children in the slums go to private schools, a pointer to the fact that parents fund their children’s education from their savings, the prohibitive costs notwithstanding.

The survey of households and enterprises, conducted in Bangalore and Chennai by NGO Public Affairs Centre (PAC), puts their contribution to the City’s economy at Rs 16 billion (1,600 crore) to Rs 20 billion (2,000 crore), out of the total of Rs 581 billion (58,100 crore) in 2011. The poor, living in slums constitute nine to 11 per cent of the City’s population.

Research Group in PAC, said, “With 30 per cent of the urban poor having bank accounts, in the aggregate the poor households earned Rs 15 billion, spent a total of Rs 12 billion and contributed a savings of Rs three billion to the City in 2011.”

The urban poor offer services to the City as drivers, domestic helps, construction workers and through small enterprises. More than half (53 per cent) their services are in the organised sector, contrary to popular belief, she said.

Based on interactions

The survey results are based on interactions with members of 1,000 households and 200 informal enterprises. The study estimates that there are about 65,000 drivers, 9,000 cooks and 73,000 domestic workers from the slums.

“There were an average of 21 self-managed enterprises in each slum. Despite the nominal contribution from the poor to the economy, the City managers do not have proper data on them. As per BBMP statistics, there were 589 slums in the City. But NGO Centre for Policies and Practices put the number at 733,” said Venugopala Reddy, a fellow researcher with PAC.

Kala said despite their contribution to the city’s economy, slumdwellers were deprived of services such as public toilets, to which only 29 per cent of them had access. “Only 12 per cent of the poor claimed they were beneficiaries of government schemes. Poor drainage connections and garbage collection are their other problems. It is high time we make them respected citizens,” she said.

However, the silver lining is that access to public services such as water supply (88 per cent), electricity (98 per cent), streetlights (94 per cent) and roads (93 per cent) is much better for them. PAC’s study was supported by the Centre’s programme ‘Support to national policies for urban poverty reduction’.

Go to Top

Photo Gallery
Laborers carrying bricks at a brick factory on the eve of International labour day on the outskirts.

Laborers carrying bricks at a brick factory on the eve of International labour day on the outskirts.

A laborer carries a sack of grain at a market on the eve of International labour day, in Bikaner...

A laborer carries a sack of grain at a market on the eve of International labour day, in Bikaner...

Roger Federer, of Switzerland, left, and Microsoft founder Bill Gates, right, celebrate...

Roger Federer, of Switzerland, left, and Microsoft founder Bill Gates, right, celebrate...

A decorated home at Bhilar village, India's first 'village of books' where Around 15,000 books...

A decorated home at Bhilar village, India's first 'village of books' where Around 15,000 books...

Bollywood actor Ranveer Singh during a promotional event, in Mumbai on Saturday...

Bollywood actor Ranveer Singh during a promotional event, in Mumbai on Saturday...

An elephant calf gets a shower on a hot summer day at Anna National Zoological Park, in Chennai...

An elephant calf gets a shower on a hot summer day at Anna National Zoological Park, in Chennai...

Indian team celebrates their win over New Zealand in their second match at the 26th Sultan Azlan...

Indian team celebrates their win over New Zealand in their second match at the 26th Sultan Azlan...

An albino peacock displays its feathers on a hot summer day at Anna National Zoological Park...

An albino peacock displays its feathers on a hot summer day at Anna National Zoological Park...

A helicopter carrying the body of famed Swiss climber Ueli Steck arrives at Teaching Hospital...

A helicopter carrying the body of famed Swiss climber Ueli Steck arrives at Teaching Hospital...

A security person keeps tight vigil as the vehicles loaded with official documents moving toward...

A security person keeps tight vigil as the vehicles loaded with official documents moving toward...

Like us on Facebook

Copyright 2017, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bengaluru - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523
Powered by Yodasoft Technologies Pvt. Ltd.