Historic Transition: Viksit Bharat Guarantee Replaces MGNREGA

On May 20, a parliamentary committee will discuss the transition from MGNREGA to the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission-Gramin (VB-G RAM G), which increases guaranteed wage employment to 125 days annually. The new act aims to enhance India's rural development, beginning nationwide from July 1.

The Parliamentary Standing Committee on Rural Development and Panchayati Raj is set to organize a critical briefing on May 20, delving into the groundwork for the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission-Gramin (VB-G RAM G). This initiative is poised to overhaul rural employment dynamics in India.

Effective from July 1, the VB-G RAM G Act will succeed the long-standing Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), marking what the government dubs a 'historic transition'. The new law promises rural households 125 days of guaranteed wage employment annually, a notable increase from MGNREGA's 100-day provision.

The Centre has allocated Rs 95,692.31 crore for the programme in 2026-27, anticipating a total outlay with state contributions of over Rs 1.51 lakh crore. Despite the touted benefits, the announcement has sparked political debate, with critics arguing it might lead to greater centralization and diminish rural labor's bargaining power.