Monday 14 October 2019

Education for the Privileged in India

An eye opener article "The Good Life" in Outlook Business threw me a surprise.

I was aware about Doon School and Woodstock School. But was not aware that it was in lush green hills where the elite and the privileged send their children to ensure the following:

“At Woodstock, we ensure that students live a clean, healthy life in an inspirational environment, where they’re cared for and supported,” 

In other words they are cut off from the harsh realities of life and will never know i.e.:

  • What poverty is?
  • What hardship is?
  • What it takes to rise out from the struggles of day to day life?
Yet these institutions, Woodstock School, do the following for the state:


However, a field expert with no compassion is ineffective. To learn the importance of “service to humanity and the planet,” students have to collaborate with local businesses or NGOs and pick real responsibility tasks, such as in animal husbandry with the local community or solving the water shortage problem in Mussoorie with the help of researchers in the field.

Despite the above social contributions to the Mussoorie (Himachal Pradesh)  by the elite Woodstock School , its worth reading excerpts from an article Unemployment Haunts Himachal Youth:

The number of unemployed workforce in the state is a staggering 8, 92,988, as per the data of the Department of Labour and Employment, (Figures as on 31.03.2017, aged 15-45); it constitutes about 13% of the states total population.

The cardinal question, however, is: What, thus, is the way forward? The manufacturing sector in the state is bad shape for obvious reasons: The hilly terrain, harsh weather conditions, geographical location of the state, lack of adequate infrastructure, non-availability of railways, limited availability of land for industrial use, over dependence on roads for transportation, the cartel of transporters and botched up industrial policy. Consequently, only a handful of jobs were created in this sector-that too, mostly, on the shop floor.

Further , the unemployment rate in Uttarakhand (Doon School is situated in Dehradun) has doubled i.e. from 2.1% in 2004-05 to 4.2% in 2017. Also, in Dehradun unemployment stood at 30.2%.

The question is what have these great alumnus of Woodstock and Doon have contributed for these states in creating employment and infrastructure.

It is important to know that the school fees at Woodstock is :

Fees for 2019-2020 Academic Year
Grade 6 15,90,000 INR
Grade 7 15,90,000 INR
Grade 8 15,90,000 INR
Grade 9 16,46,000 INR
Grade 10 16,46,000 INR
Grade 11 17,65,000 INR
Grade 12 17,65,000 INR

For Doon School it is approx. Rs.10 lacs.

The article in outlook business in the end states the truth:

These schools may seem like paradise but they are not open to all. Only about 100 new kids are taken in each of these schools every year. But, it is worth elbowing your way into them since they send out well-rounded individuals, who are sharp and kind in equal measure.

The students who have not seen the hardships, struggle of common men to stand in queue for a bus or a train or for a basic service first hand will never be a well rounded individual.

This is as good as a man saying i understand labour pain of a women delivering a child.

Saturday 5 October 2019

Wake Up - Maharashtra Depositors

Thanks, Ms Sucheta Dalal, i decided to look into how many claims were settled by Deposit Insurance and Credit Guarantee Corporation (DICGC).

DICGC helps in insuring the depositors money. Presently the limit is upto Rs.1,00,000. I will reproduce what the DICGC website says:

Each depositor in a bank is insured upto a maximum of 1,00,000 (Rupees One Lakh) for both principal and interest amount held by him in the same right and same capacity as on the date of liquidation/cancellation of bank's licence or the date on which the scheme of amalgamation/merger/reconstruction comes into force.

Due to curiosity , after watching Ms Dalal (Moneylife foundation video), i visited the DICGC website to find out claims paid or settled since August 2006 to December 2017. 

Computing the data available , state wise claim settled, below table displays the State and the number of claims settled:

For the years in 2000

State
06
07
08
09
10
11
12
13
14
15
16
17
T
Maharashtra
2
5
5
17
11
10
10
4
2
1
2
5
74
Gujarat
14
6
6
5
7
2
3
1
1
45
Karnataka
2
1
4
7
6
4
1
25
M.P.
2
4
1
1
1
9
A.P.
4
1
1
1
1
8
U.P.
2
3
1
6
Assam
1
1
1
1
4
Bihar
2
1
3
Rajasthan
1
1
1
3
West Bengal
1
1
1
3
Telangana
1
1
2
T.N.
2
2
Chattisgarh
1
1
2
Odisha
1
1
2
Jharkhand
1
1
Manipur
1
1
Total (T)
25
22
20
34
28
18
16
4
5
4
5
9
190
M.P. - Madhya Pradesh, U.P - Uttar Pradesh, A.P. - Andhra Pradesh, T.N.- Tamil Nadu.

Lessons (since 2006 and especially since 2013)
  • Depositors in Maharashtra should be careful in keeping their life time of savings with Co-operative Banks.
  • Since 2013 Maharashtra had the maximum claim settled i.e. 14.

Table since 2013 displayed below shows depositors from Maharashtra in a very risky position:
State
2013
2014
2015
2016
2017
T
Maharashtra
4
2
1
2
5
14
Assam
1
1
2
Telangana
1
1
2
Rajasthan
1
1
2
Gujarat
1
1
2
West Bengal
1
1
2
Odisha
1
1
A.P.
1
1
Manipur
1
1
Total
4
5
4
5
9
27
Concerns

All the claim settled pertain to Co-Operative Banks, not a single Public Sector or Private Sector Banks are there. Hence, it is safe to deposit with Public Sector and Private Sector banks.

Plea to Government

We know Public sector banks have to improve services and its very time consuming occasionally. Prime Minister of India, please, do not close public sector banks.

Reason for not referring to Private Sector Banks is due to high minimum deposit to be maintained as compared to Public Sector Banks.

Please protect the interest of small depositors. 

Maharashtra Depositors

Depositors, please wake up post PMC Bank failure. This news has been reported in all Television News Channels, Newspapers, Social media. It is time to safeguard your savings. Do not keep your savings in the custody of Politician, Businessmen, Community controlled Co-Operative banks.

06 October 2019
There was an error in the numbers presented in the table above. This was corrected on 06 October 2019.