Disintegration and disharmony in local communities: Leading to lack of ownership and leadership in issues related to the community. Absence of value-based vocational skills, both soft and hard, leads to thwarted economic growth and growth at the cost of human values and damage to the planet.

Disillusionment in local government: The performance of Panchayati Raj Institutions has been adversely affected by political and caste factionalism often rendering developmental projects ineffective. Corruption, inefficiency, scant regard for procedure, political interference, parochial loyalties, motivated actions and others have stood in the way of the success of local governments.

Fragmented approach: Most efforts at capacity development remain fragmented, making it difficult to capture cross-sectoral influences and to draw general conclusions. Many capacity development activities are not founded on rigorous needs assessments and do not include appropriate sequencing of measures aimed at institutional change and individual skill building.