Parliamentary Panel Challenges Static MGNREGA Funding Amid Rural Employment Concerns

A parliamentary committee questioned the stagnant funding for MGNREGA, highlighting its crucial role in providing rural employment. The panel urged the government to reassess and increase fund allocations, emphasizing the need for collaboration between ministries to ensure the scheme’s effective implementation.

On Monday, a parliamentary panel expressed concerns over the government's decision to maintain the funding for the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGA) at a static level. The scheme, designed to boost rural employment, has seen its budget remain unchanged since the revised 2023-24 estimates.

The Department Related Parliamentary Committee on Rural Development and Panchayati Raj emphasized that MGNREGA's success hinges on timely and adequate financial allocations. It criticized the lack of increased funding, arguing that the scheme's demand-driven nature requires a flexible approach to allocations.

The panel called for improved coordination between the Ministry of Rural Development and the Ministry of Finance to ensure uninterrupted implementation of MGNREGA. Despite continued engagement with the Finance Ministry for additional funds, the panel deemed the ministry's response as inadequate to address the pressing issues.

(With inputs from agencies.)