Women waiting off the cliff to get old-age pension and MGNREGA wage in Peenjamandhai, Vellore in Tamil Nadu.
Women waiting off the cliff to get old-age pension and MGNREGA wage in Peenjamandhai, Vellore in Tamil Nadu. (File Photo | EPS)

Rs 80K crore earmarked for MNREGA, govt says ground situation sets demand

Though the Budget of FY24 had proposed an allocation for NREGA at Rs 60,000 crore, later it was revised to Rs 80, 000 crore.

NEW DELHI: In the interim Budget presented by Union Finance Minister Nirmala Sitharaman, rural job scheme Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) for the financial year 2024-25, has pegged at a higher budgetary allocation of Rs 86,000 crore compared to the previous year’s allocation of Rs 60,000 crore.

But in actual terms, activists point out that the interim budget offers no gain for the flagship scheme as the current outlay is the same as the revised estimates for FY 2024. Though the Budget of FY24 had proposed an allocation for NREGA at Rs 60,000 crore, later it was revised to Rs 80, 000 crore.

Sitaraman said that MGNREGA distribution is not determined by trends. It is determined by the demand from the ground. “NREGA allocation is done based on the demand coming from the ground. More than me commenting on it, the CAG has commented on the way the scheme is being operated on how some states where claims have reached a stage where it needs to be verified. It raised questions critical to the spirit of the scheme,” she said, adding, “The CAG has highlighted the areas in which certain governments need to make course corrections.”

The Centre has stopped funding the rural scheme in West Bengal since March 9, 2022, alleging corruption in the implementation process. The state is on a warpath demanding the payment of its dues.

According to West Bengal government’s figures, the Centre owes Rs 6,900 crore under the MGNREGA to the state. Activists and some opposition rules states alleges that “delayed” payments, “budget cuts” by the Centre, and “haphazard” introduction of new techniques like the Aadhaar Based Payment System and National Mobile Monitoring Service are “destroying” the scheme, which is a life line for the rural poor.

Centre’s dues to west bengal

The Centre has stopped funding the MGNREGA scheme in West Bengal since March 9, 2022, alleging corruption in the implementation process. According to West Bengal government’s figures, the Centre owes Rs 6,900 crore under the MGNREGA to the state.

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