With Rs 86,000-cr for FY25, MNREGS budget sees no change from 2023-24 revised estimate as polls loom

Total expenditure under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) - including states' contribution for materials used in the work - stood at Rs 1.05 lakh crore in 2023-24, against Rs 1.01 lakh crore in the previous year, showed preliminary data compiled by the rural development ministry. Erratic monsoon reduced the typical large-scale migration of workers to farm activities in the second quarter of the financial year, experts said.

About 93% of the FY24 budgetary allocation of ₹60,000 crore for the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) has been released, a person familiar with the details told ET. This has prompted the rural development ministry to seek substantial supplementary demands for funds to run the scheme throughout this fiscal year, he said.

No new taxes, 26% hike in allocation over last year as Punjab budget focuses on agriculture, education, health

The Union Minister said that under the Narendra Modi government, the revised estimate for the scheme exceeded the Budget estimate every year

The unusual move came after 95% of the FY24 budgetary outlay of ₹60,000 crore for the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) was exhausted well before the commencement of the winter session of parliament, thanks to a rise in work demand, the official told ET.

Budget News: In the upcoming budget for 2024-25, the government plans to increase dividend earnings significantly, targeting about Rs 70,000 crore from the Reserve Bank of India (RBI) and financial institutions (FIs). Find out more about the budget plans and the role of FM Nirmala Sitharaman.

The allocation is about Rs 3000 crore more than the previous year also the highest increase for any department

MGNREGS wages of about ₹35,000-40,000 crore are estimated to have gone into the construction of houses under the PMAY (Gramin) since the scheme was rolled out in November 2016 by revamping the erstwhile India Awas Yojana, said the person. House construction has picked up pace in the last two years, pushing up the MGNREGS wage costs on such an account.

Interim Budget 2024 key announcements for common man: The government plans to boost infrastructure spending by 11% in the upcoming fiscal year while keeping the fiscal deficit in check. Finance Minister Nirmala Sitharaman outlined initiatives for the next five years, including increased housing and enhanced medical care for women. The government aims to reduce the fiscal deficit to 5.1% in the next financial year. Sitharaman allocated Rs 11.1 lakh crore to capital spending, a notable 11.1% increase. She also announced the launch of the Housing for Middle Class scheme and the promotion of Cervical Cancer Vaccination for girls aged 9-14 years.

The revised estimates for the financial year 2022-23 amounted to Rs 31,528 crore, which had jumped sharply over the budget estimate of Rs 21,840 crore for FY'23.