Business

PM Modi Government Allocates Record ₹86,000 Crore To Strengthen Rural Livelihoods Through MGNREGA

In a landmark step towards rural upliftment, the PM Modi government has allocated ₹86,000 crore to the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) for the financial year 2025–26 — the highest-ever budgetary support since the scheme’s launch.

This move underscores the Centre’s commitment to strengthening rural livelihoods and viewing villages not as dependent communities, but as engines of national growth.

By 23 July 2025, ₹45,783 crore had already been released, with ₹37,912 crore earmarked for wage payments.

These disbursals ensure workers receive timely and transparent payments — a sharp contrast to earlier delays — thereby preserving dignity and trust in the system.

High Employment and Women’s Participation

MGNREGA continues to act as a vital safety net during economic and climatic uncertainty.

In FY 2024–25, it created over 290 crore person-days of employment, supporting around 16 crore households. Impressively, 99.79% of those who demanded work received it.

Equally transformative has been the increasing participation of women, now making up over 58% of the MGNREGA workforce, compared to 48% in 2013–14.

Their involvement in projects like water harvesting, roads, and plantations is improving not just infrastructure, but also social outcomes such as child nutrition, education, and household decision-making.

Beyond employment, MGNREGA has facilitated large-scale asset creation.

In Assam, for example, a brick-lined irrigation canal both created thousands of workdays and enhanced agricultural output.

Projects like this exemplify how short-term employment can yield long-term development benefits for rural communities.

Promoting Sustainability through Water Conservation

The government has built over 68,000 water bodies across India under Mission Amrit Sarovar, surpassing the initial target.

These reservoirs are now critical for rainwater harvesting and groundwater recharge, especially in water-scarce areas — further aligning the scheme with the government’s sustainability goals.

The government has linked MGNREGA with skill-building through Project UNNATI, recognising that casual labour cannot be the end goal.

By March 2025, nearly 91,000 workers had received training in trades such as masonry, tailoring, carpentry, and food processing. The aim is to equip two lakh rural workers for skilled employment, entrepreneurship, and self-reliance.

Technological integration has greatly improved transparency. Over 99.94% of wage payments are Aadhaar-based, while more than 6.26 crore assets have been geo-tagged for public monitoring.

Tools like the JANMANREGA platform, Yuktdhara portal, and NMMS attendance app ensure accuracy, reduce fraud, and empower local communities.

MGNREGA, under the PM Modi government, has evolved into a multi-dimensional engine of rural empowerment — combining wage security, women’s empowerment, skill development, asset creation, and climate resilience.

With ₹86,000 crore allocated this year, the scheme is no longer just a job guarantee — it is a blueprint for building Atmanirbhar Bharat from the grassroots up.

Also Read: Adani Group Achieves Record ₹90,000 Crore EBITDA; Sets New Benchmark In Q1 FY26

Anamika Agarwala

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