New Delhi, Dec. 20 -- Earlier this week, the government proposed major changes to the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) through the introduction of a new bill in the Lok Sabha. The Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB-G RAM G) Bill, 2025, proposes to increase the employment guarantee under the rural employment guarantee scheme. In 2025-26, the central government allocated Rs.86,000 crore to MGNREGS, one of the biggest expenditure items in its budget. The new rules will reduce the scheme's availability. They will also dramatically alter its funding pattern, increasing the burden on states and giving the Centre more discretion in allocations.

Under current MGNREGS norms, the...