What changed
RBI consolidated all existing SRMS instructions into a single master circular dated July 1, 2011, superseding previous circulars. The Government of India stopped funding the older NSLRS scheme from 2005-06, and banks must now implement SRMS instead. The scheme targets rehabilitation of 3,42,468 remaining scavengers and dependents by September 2009, with spillover cases allowed until March 31, 2010.
What it means for you
Banks must prioritize SRMS implementation as a national priority, focusing on identifying and rehabilitating remaining scavengers and dependents through alternative dignified occupations. The scheme provides capital subsidy and concessional loans, requiring banks to monitor performance and recovery using prescribed reporting formats. Non-compliance or delays could attract regulatory scrutiny given the government's emphasis on time-bound execution.
What you must do
- Replace any ongoing NSLRS activities with SRMS henceforth, as government funding for NSLRS has ceased since 2005-06.
- Identify remaining scavengers and dependents (3,42,468 as per survey) and assess their aptitude for alternative trades by December 2009, with the scheme to be completed by September 2009 and spillover cases up to March 31, 2010.
- Use the reporting proforma in Annexure II (performance) and Annexure III (recovery) for monitoring and submission to RBI.
- Ensure effective participation and monitoring at all controlling levels, treating the scheme as a national priority.
Who it affects
All Indian Public Sector Banks (excluding Regional Rural Banks), Manual scavengers and their dependents yet to be rehabilitated, Ministry of Social Justice & Empowerment
What is the key difference between NSLRS and SRMS?
NSLRS was the earlier scheme funded by the Government of India until 2005-06, while SRMS is the new scheme approved to rehabilitate remaining scavengers and dependents with capital subsidy, concessional loans, and capacity building. Banks must now implement SRMS instead of NSLRS.
How many scavengers are yet to be rehabilitated under SRMS?
As per state-wise survey reports, 3,42,468 manual scavengers and their dependents remain to be rehabilitated, out of a total of 7,70,338 identified. The scheme aims to assist them by September 2009, with spillover up to March 31, 2010.
What reporting is required from banks for SRMS?
Banks must use the performance reporting proforma in Annexure II and the recovery reporting proforma in Annexure III, as provided in the master circular, to monitor and report on the scheme's implementation.