The number of creches under the National Creche Scheme dramatically decreased due to a combination of factors, including financial irregularities and changes in funding patterns. The scheme's fund utilisation worsened over time, leading to a slash in allocation from the centre. Several states, including Uttar Pradesh and Bihar, no longer have any creches. The scheme was renamed Palna Scheme under Mission Shakti, but it has struggled to get off the ground. The new scheme aims for 17,000 anganwadi cum creches by 2025-26, but there are concerns about meeting the demand and maintaining funding allocation.
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