Govt allocated 22% less funds for MGNREGA in RE for FY24: House panel

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CategoryYojana

Last Updated10/02/2024

According to a Parliamentary committee report, the Finance Ministry has allocated 22% less funds for MGNREGA in the revised estimates for the financial year 2023-24.

The Rural Development Ministry had initially sought Rs 1.1 lakh crore, but the Finance Ministry revised it downward to Rs 86,000 crore.
The Ministry of Rural Development proposed the increased amount based on the demand-driven nature of MGNREGA.
The committee observed that daily wages under MGNREGA are inadequate and vary across states, with the lowest wages in states like Madhya Pradesh and Chhattisgarh.
The parliamentary committee also acknowledged the demand for raising the guaranteed number of workdays from 100 to 150 and recommended a practical study on the matter.

It is one of the largest work guarantee programmes in the world launched in 2005 by the Ministry of Rural development.
Objective: To guarantee 100 days of employment in every financial year to adult members of any rural household willing to do unskilled manual work.
- Some households, particularly Scheduled Tribe households in forest areas, are entitled to 150 days of work.
- Additional work can be provided in areas affected by drought or natural calamities.
The act aims at addressing the causes of chronic poverty through a rights-based framework.
If any rural adult fails to get work within 15 days of demanding it, an ‘unemployment allowance’ is given.
The act mandates Gram sabhas to recommend the works that are to be undertaken and at least 50% of the works must be executed by them.
At least one-third of beneficiaries need to be women.
The Centre bears 60% of the cost of the materials used for MGNREGS work and the remaining 40% is provided by the State governments.
Data:
- As of 2022-23, there are 15.4 crore active workers under the MGNREGA.