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LARR
An Independent Evaluation done in April and May 2014 of the Performance of

Carried out for the

National Skill Development Agency by Saurabh Kumar Singh and Kumar Devashish
Chandragupta Institute of Management, Patna
Under the guidance of
Meghna Sharma, Consultant, NSDA
1

CONTENTS
Particulars

Page

1

Salient Features of the Star Scheme

3

2

Methodology

5

3

Analysis of Secondary Data Derived from SDMS*

9

4

Findings of Primary Survey conducted through telephonic interviews

20

a) Of Sample of Candidates taken from SDMS

21

b) Of sample from NSDC provided list of Reward Money Recipients

31

c) Of Training Providers

37

5

Comparison of Findings of Secondary Data with Primary Survey

43

6

Discussions with Sector Skill Councils

51

7

NSDC Comments

56

8

Findings and Conclusions

63

*SDMS refers to the Skill Development Management System, an online data management and ERP system adopted by NSDC to record and monitor the Scheme
2

Salient Features of the STAR Scheme
The STAR scheme was proposed by the Finance Minister of India in his Budget Speech of
2013, to encourage skill development for youth by providing monetary rewards for successful completion of approved training programs followed by certification.
The aim was to benefit 10,00,000 youth during the span of one year, and an amount of Rs
1,000 crores was provided for the same
The scheme is being implemented by the NSDC through Public- Private and Public- Public partnerships. National Skill Development Fund (NSDF) Trust is to monitor the implementation of the
Scheme.
Assessment and Training bodies under the Scheme are to be separate entities and there is to be no overlap of roles.
The monetary reward (average Rs. 10,000/-) is funded by the Ministry of Finance, GOI. The amount is to be paid to the successful candidates through direct bank transfer to the beneficiaries’ accounts.
For this purpose,

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