Parliament Question: Replacement of MGNREGA with VB-G RAM-G Act

O.I.H. GOVERNMENT OF INDIA MINISTRY OF RURAL DEVELOPMENT DEPARTMENT OF RURAL DEVELOPMENT LOK SABHA STARRED QUESTION NO. 251 ANSWERED ON 10/03/2026 REPLACEMENT OF MGNREGA WITH VB-G RAM-G ACT *251. Smt. Jyotsna Charandas Mahant: Will the Minister of RURAL DEVELOPMENT be pleased to state: (a) whether the Government has held any formal consultation with the States to replace Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) with Viksit Bharat Guarantee for Rozgar and Ajeevika Mission-Gramin (VB-G RAM- G) Act and put the financial burden of forty per cent of the wages onto the States, if so, the details thereof; (b) whether the Government has conducted any assessment regarding additional financial burden (about Rupees 4,000 crore annually) on States like Chhattisgarh due to the same and its repercussion on their other development budgets; (c) the details of average work days per household in the country during the last five years including Chhattisgarh; and (d) whether the Government proposes to achieve the target of 125 days without additional budgetary provision and restore the system of 100 per cent payment of wages by the Central Government? ANSWER MINISTER OF RURAL DEVELOPMENT (SHRI SHIVRAJ SINGH CHOUHAN) (a) to (d): A statement is laid on the Table of the House. Page 1 of 5STATEMENT REFERRED TO IN REPLY TO PARTS (a) to (d) OF LOK SABHA STARRED QUESTION NO. *251 TO BE ANSWERED ON 10.03.2026 REGARDING “REPLACEMENT OF MGNREGA WITH VB-G RAM-G ACT” (a) & (b): In the past twenty years, Mahatma Gandhi National Rural Employment Guarantee Scheme (Mahatma Gandhi NREGS) has contributed in providing guaranteed wage-employment to rural households ensuring wage income. However, further strengthening had become necessary in view of the significant socio-economic transformation witnessed in the rural landscape driven by widespread coverage of the social security interventions and saturation-oriented implementation of major Government schemes. Similarly, rural connectivity, rural housing, electrification, financial inclusion and digital access have deepened, the workforce has diversified, and aspirations have shifted towards better incomes, growth-oriented infrastructure, sustainable livelihoods and greater climate resilience. Wide consultations were held with all important stakeholders like the States, MGNREGA workers, functionaries, Civil society Organizations, experts etc to strengthen the implementation of the Mahatma Gandhi NREGS, resulting in notable improvements in participation, transparency and digital governance. A brainstorming session under the chairpersonship of the Union Minister of Rural Development was also held to seek suggestions and views of the stakeholders to improve the effectiveness of MGNREGA. A range of administrative and technological reforms have been introduced by the Ministry based on consultations and feedback obtained from the States. However, deeper structural issues persisted. Monitoring in several states revealed gaps, including work not being done on the ground, expenditure not matching physical progress, the use of machines in labour-intensive work, and frequent bypassing of digital attendance systems. Since the overall architecture of Mahatma Gandhi NREGS had reached its limits, it warranted reassessment in light of evolving rural realities. Against this backdrop and to cater to the changing aspirations, the need for stronger convergence was felt to establish an integrated, Whole-of-Government rural development framework covering several complementary Government schemes. Additionally, it was felt essential that rural infrastructure creation must transition from fragmented provisioning to a coherent and future-oriented approach which also necessitated that resources are distributed in a Page 2 of 5fair manner to reduce disparities and promote inclusive growth across all rural areas of the country based on objective parameters. With regard to the Centre–State financial sharing pattern under the new Act,it is stated that, historically, most of the major rural employment schemes in the country have operated on shared funding models between the Centre and the States. For example: I. The National Rural Employment Programme (NREP) followed a 75:25 sharing pattern. II. The Rural Landless Employment Guarantee Programme (RLEGP) adopted a 50:50 model. III. The Jawahar Rozgar Yojana (JRY) operated on an 80:20 basis. IV. Schemes such as SGRY, EAS, and JGSY were also implemented on a Centre–State sharing pattern, generally in the ratio of 75:25. Presently, almost all Centrally Sponsored Schemes (CSS) across sectors are being implemented on the 60:40 sharing model. The 60:40 pattern adopted under this Act is therefore consistent with the broader framework of Centrally Sponsored Schemes. Here it is also stated that for the financial year 2026–27, a provision of ₹95,692.31 crore has been made for the Central share for Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin), representing the largest allocation ever for rural employment programme at budget estimate stage. With the inclusion of the corresponding estimated State share, the total programme outlay is likely to exceed ₹1.51 lakh crore, which is expected to significantly accelerate rural transformation, large-scale employment generation and income enhancement in rural areas. This model promotes cooperative federalism by making States active partners in rural development. Further, special protective provisions have been made for North- Eastern and Himalayan States and Union Territory (Himachal Pradesh, Uttarakhand and Jammu & Kashmir), where a 90:10 Centre– State sharing pattern applies. In addition, the Act clearly provides that in the event of natural disasters, pandemics, or other extraordinary circumstances, State Governments may recommend special operational relaxations to the Page 3 of 5Centre. The Central Government is empowered to allow expansion of permissible works, relaxation in documentation procedures, and temporary enhancement of employment provisions in such situations. The framework is thus responsive, flexible, and sensitive to emerging needs. Overall, the funding pattern is designed to balance fiscal responsibility, State participation and national rural development priorities. (c): State/Union Territory (UT)-wise, including Chhattisgarh, details of average days of employment provided per household under Mahatma Gandhi NREGS in the last five financial years from 2020-21 to 2024-25 are given at Annexure. (d): The primary objective of the Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin) VB-G RAM G Act, 2025, is to align the rural development framework with the national vision of Viksit Bharat @2047 by providing an enhanced statutory wage employment guarantee of one hundred and twenty-five days in each financial year to such rural households whose adult members volunteer to undertake unskilled manual work, thereby enabling them to participate more effectively in the expanded livelihood security framework. As Viksit Bharat G RAM G retains the demand driven nature of the program, the workers are entitled to avail the guarantee of 125 days given under the Act. The Ministry has also launched a large scale information, education and communication campaign to generate awareness about the provisions of the Act and to ensure that adequate employment opportunities are provided to rural households as per their demand. ***** Page 4 of 5Annexure Annexure referred to in the reply to part (c) of Lok Sabha Starred Question No. 251 dated 10.03.2026. State/UT-wise details of average days of employment provided per household under Mahatma Gandhi NREGS in the last five financial years. SI. State/UT 2020-21 2021-22 2022-23 2023-24 2024-25 No. 1 Andhra Pradesh 54.41 51.66 52.27 54.89 51.62 2 Arunachal Pradesh 56.72 61.18 55.76 59.52 67.9 3 Assam 36.32 33.48 34.22 38.92 37.16 4 Bihar 44.65 37.75 47.16 45.77 48.87 5 Chhattisgarh 60.15 59.29 51.48 51.54 51.68 6 Goa 26.28 28.56 25.5 20.68 24.73 7 Gujarat 42.52 49.67 45.29 49.55 47.53 8 Haryana 39.31 36.26 31.35 33.61 34.11 9 Himachal Pradesh 52.81 52.48 47.6 51.08 55.05 10 Jammu And Kashmir 54.32 56.06 43.69 54.63 55.91 11 Jharkhand 46.35 45.27 44.31 50.22 49.92 12 Karnataka 49.09 48.21 42.52 46.22 45.05 13 Kerala 63.25 64.41 62.26 67.7 66.17 14 Ladakh 65.7 59.78 57.86 62.34 66.92 15 Madhya Pradesh 61.84 57.95 50.02 48.85 49.14 16 Maharashtra 40.34 40.54 37.15 47.41 53.92 17 Manipur 60.4 54.5 20.72 30.57 46.56 18 Meghalaya 71.53 73.72 60.35 66.38 68.3 19 Mizoram 92.94 94.65 93.64 93.24 94.62 20 Nagaland 45.91 46.48 46.78 43.9 44.51 21 Odisha 55.51 56.91 55.5 55.9 51.02 22 Punjab 39.52 37.88 37.97 41.34 37.63 23 Rajasthan 61.06 59.92 56.28 58.75 53.79 24 Sikkim 57.6 54.09 54.06 56.58 56.57 25 Tamil Nadu 50.22 50.95 50.96 59.44 46.86 26 Telangana 50.77 50.31 44.56 47.72 45.82 27 Tripura 74.66 71.85 59.92 63.16 59.82 28 Uttar Pradesh 41.84 41.95 44.44 50.37 51.55 29 Uttarakhand 46.42 42.42 41.2 41.75 43.96 30 West Bengal 51.98 47.94 23.24 21.69 0 31 Andaman and Nicobar 33.77 23.57 27.64 28.73 28.97 Dadra and Nagar Haveli and 32 0 0 0 50.64 64.29 Daman and Diu 33 Lakshadweep 32.15 29.96 45.74 46.8 0 34 Puducherry 22.06 16.02 19.61 41.69 22.95 National 51.54 50.07 47.84 52.07 50.24 As per NREGASoft ***** Page 5 of 5