MGNREGA
India
C
CNBC TV1815-12-2025, 16:47

MGNREGA Out, VB-G RAM G In: India Overhauls Rural Employment with New Bill

  • The government proposes replacing MGNREGA with the Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB-G RAM G) Bill, 2025.
  • The new Bill increases guaranteed workdays from 100 to 125 per rural household and introduces a 60-day pause during peak agricultural seasons.
  • VB-G RAM G shifts focus to durable rural infrastructure, including water security and climate resilience, moving away from MGNREGA's broader scope.
  • The funding model changes from full Central funding for unskilled wages to a 60:40 (Centre:State) cost-sharing, with 90:10 for special states.
  • Budgeting will move from demand-driven to state-wise "normative allocations" determined annually by the Centre.

Why It Matters: India's new rural employment law will reshape livelihoods and infrastructure.

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