The National Family Welfare Programme is a demographic as well as a Welfare Programme meant for stabilising population level and at the same time improving maternal and child health care. The programme is a cent percent Centrally Sponsored Scheme. A review of the programme through test check of records revealed that programme implementing department could not achieve the demographic goal in respect of birth rate, crude death rate, etc., during March ending 1995, 1996 and 1997 though expenditure on this account continued to be increased year after year. The couple protection rate during 1995-96 to 1999-2000 fell short of the target to a considerable extent. There was huge shortage of manpower in operation of the programme. The State Government did neither evolve any monitoring system nor any evaluation was ever conducted, thereby, the effectiveness of the programme remained unassessed. Main audit findings are stated below:

1. Against the grants of Rs. 809.66 lakh released by the Government of India for implementation of the scheme during the period from 1995-96 to 1999-2000, Rs. 958.59 lakh was spent by the State Government resulting in excess expenditure of Rs. 148.93 lakh over the grant.
2. There was short establishment of 23 SCs and 0.69 lakh population was deprived of the desired benefit of health services.
3. Couple protection during 1995-96 to 1999-2000 ranged between 3 and 14 per cent against target of 60 per cent set under National Health Policy.
4. Under MCH Services shortfall in coverage under DPT ranged between 36 and 67 per cent, OPV between 28 and 49 per cent, BCG between 32 and 47 per cent, measles between 49 and 64 per cent, T.T. for pregnant women between 52 and 76 per cent during the year 1995-96 to 1999-2000 (Upto October 1999) as against 100 percent immunisation targeted.
5. Rupees 41 lakh incurred by the SCOVA for the execution of the items of work which were not covered by their approved guideline was irregular.
6. No target for imparting training to Family Welfare Staff was fixed by the department. Out of 155 ANMs, only 78 ANMs were trained in IUD insertion during the period from 1995-96 to 1999-2000. Out of Rs. 47.08 lakh released by the GOI for training, Rs. 23.43 lakh was irregularly spent by the department for payment of salary of the ANMs of sub-centres and Urban Family Welfare Centres during 1995-2000.
7. As per GOI norm for carrying out IEC activities in a smaller State, maximum financial assistance was fixed as Rs.10.00 lakh per year. But due to inflated demand in the Annual Action Plan of the department, the GOI had released Rs.24.20 lakh in excess of the stipulated norm to the State Government during 1995-2000.