Rural Employment Guarantee: From MGNREGA to VB-G RAM G
Funding and Who Pays
The Centre paid most costs, with states sharing some, and annual budgets often fell short of demand, leading to rationing of work.
A demand-driven scheme needs flexible money.
Cost sharing
The Centre bore the wage bill and much of the material cost, with states paying a smaller share.
Budget limits
If the budget ran out, work was slowed even though the law promised it on demand.
Pending liabilities
Unpaid dues sometimes rolled over into the next year.
Scale
Annual spending was of the order of ₹60,000 to ₹90,000 crore.
A dry budget
By late in the year, a district's funds are exhausted and new work is not sanctioned.
Believing a legal right cannot be limited by money
Budgets shape delivery.
Key takeaways
- The Centre funded most costs.
- Budgets can run short.
- Dues carry over.
- Spending was tens of thousands of crores.
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