Centre announces Rs 95,692 crore interim allocation under VB-G RAM G
Speaking at the press conference after a meeting with state rural development ministers, Chouhan said that the provisional allocation was made while the draft rules of the new plan are still being finalized and to ensure that rural employment and development activities continue uninterrupted after June 30.
“Without any inconvenience to the workers, we are moving from Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) to Viksit Bharat – Rozgar and Ajeevika Mission (Grameen) (VB-G RAM G) (VB-G RAM G). There will be no gap in job availability even for a day,” he said.
According to the Ministry of Rural Development, Uttar Pradesh was allocated the highest provisional allocation of Rs 9,721.48 billion, followed by West Bengal with Rs 8,508 billion, Tamil Nadu with Rs 7,585.49 billion, Rajasthan with Rs 7,581.87 billion, Andhra Pradesh with Rs 7,707.21 billion and Bihar with Rs. 6,715.83 crore. The total allocation for states was 92,550.17 billion rupees, while 1,291.52 billion rupees were allocated to Union territories.
An additional 1,850.62 billion rupees were allocated for central government and social audits, making the total 95,692.31 billion rupees.
After adding the mandatory government contribution, the total annual expenditure under the scheme will be around Rs 1.51 lakh crore, Chouhan said.
Trying to allay concerns raised by opposition parties and labor groups, the minister said there was no reduction in the allocation of any state and the interim allocation was determined on the basis of expenditure under the MGNREGA scheme in the previous year. He said 26 states have completed the procedural requirements for implementation of the new scheme, while four states (Jharkhand, Karnataka, Telangana and Mizoram) are yet to complete all the formalities. However, representatives of these states attended the meeting and assured the Center that they were preparing for implementation.
The minister said states have been asked to notify the state scheme, declare peak farming seasons, frame state rules, complete e-KYC of beneficiaries and carry out awareness and capacity building at district and block level.
In West Bengal, which has been at odds with the Center over rural development funds for several years, Chouhan said the newly elected state government had conveyed in writing that it was willing to abide by all the conditions set by the Centre.
When asked whether the Rs 8.508 billion allocation for West Bengal included pending dues under the MGNREGA scheme, Chouhan said disputes regarding past dues remained unresolved.
“Until these disputes are resolved, this question will not arise. During the remaining period, the West Bengal government has stated in writing that it is ready to accept all the rules and conditions of the central government,” he said.
He added that an interim allocation of around Rs 700 billion has been made to West Bengal under the existing framework for the remaining period till June 30 and the new allocation under VB-G RAM G will come into effect from July.
The minister also said that provisions similar to those existing under the MGNREGA scheme to provide additional employment during drought or other exigency will continue under the new scheme as required.
The BJP-led NDA government had announced the replacement of MGNREGS with VB-G RAM G as part of its broader rural development agenda. The Center has maintained that the new program will provide greater flexibility in building rural assets and infrastructure while retaining the employment guarantee component.
Opposition parties, including Congress and Left parties, criticized the move, claiming it would dilute legal guarantees under MGNREGA and reduce protections for rural workers. The government rejected the criticism, insisting that workers’ interests would be fully protected during and after the transition.
