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'G Ram G will curb disparity in inter-state fund flows', say officials

A new rural employment law, VB-G RAM G, will soon replace the current program. It guarantees 125 days of work, an increase from 100 days. Fund allocation to states will now follow objective central government parameters. This aims to reduce disparities and pilferage. The central government plans to increase the budget for the new scheme.
New Delhi: A new scheme under the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB-G RAM G) law, which will replace the extant rural employment guarantee programme, will remain a demand-driven one and won't curtail the right to seek work, senior government officials said on Thursday.
However, the allocation to states under the new scheme will now be subject to certain objective parameters set by the Centre. This provision in the new law aims to address both inter-state and intra-state disparity in fund deployment and any pilferage in the extant system, among other things, the officials underscored.
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Such disparities have remained among the biggest lacunae under the extant Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS).
Opposition parties and activists have expressed concern over the provision that the Centre will determine state-wise "normative" fund allocation for each fiscal and that the states will bear any expenditure in excess of this allocation. This will eventually curtail demand for work placed by workers, they have alleged.
The officials, however, countered the allegations, saying the central allocation under the new scheme will rise to over ₹95,000 crore next fiscal, against the ₹86,000 crore budgeted for the MGNREGS for this fiscal.
The new scheme will provide for a guaranteed 125 days of employment in a fiscal to every rural household whose adult members volunteer to undertake unskilled manual work, against 100 days under MGNREGS, they said.
Rules soon
The Centre will likely put the VB-G RAM G law, approved by Parliament last month, into effect before the end of this fiscal, the officials said.
The rural development ministry will firm up rules and advisory for the implementation of the law through the new scheme soon, they said.
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Source: EconomicTimes
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