Traditionally, development meant the capacity of a national economy whose initial economic condition has been more or less static for a long time, to generate and sustain an annual increase in its Gross National Product (GNP) at rates perhaps 5% to 7% or more (Thirwall 1994; UNDP 2001).In most of developing countries economic growth rate has not really translated in to economic development for the majority of the people. There is growing trend of poverty gap widening between the rich and the poor. Development within this context was seen almost as purely an economic phenomenon, thus the major index of development has been a growth of income per capita or per capita GNP. It was believed that the benefits of growth will invariably extend to all segments of society. Accordingly, development is the process by which people create and recreate themselves and their life circumstances to realize higher levels of civilization in accordance with their own choices and values. The concept of 'development' is so controversial, especially in circles that see it as a way of perpetuating the domination of the developing countries by the developed world