Effective Implementation of MGNREGA in the Last Decade
ECONOMY & POLICY

Effective Implementation of MGNREGA in the Last Decade

The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), enacted in 2005, aims to enhance livelihood security in rural areas by guaranteeing at least 100 days of wage employment per year to willing adult members of rural households performing unskilled manual labour. 

Over the years, the government has significantly increased budget allocations for the scheme. From Rs 113 billion in 2006-07, the allocation rose to Rs 330 billion in 2013-14 and reached a record Rs 860 billion in 2024-25. During the COVID-19 pandemic in 2020-21, the government spent Rs 1,110 billion under MGNREGA, underscoring its commitment to providing rural employment. 

In terms of employment generated, 16.6 billion person-days were created between 2006-07 and 2013-14, while 30.29 billion person-days were recorded from 2014-15 to 2024-25—an 82% increase. Additionally, government spending on the scheme rose from Rs 2,132.2 billion in the earlier decade to Rs 7,813.02 billion in the last 10 years, leading to a 526% rise in the number of rural assets created (from 15.3 million to 80.7 million). With an emphasis on women’s participation, female worker representation increased from 48% in 2013-14 to over 58% in 2024-25. 

Currently, MGNREGA permits 266 types of works, including 150 related to agriculture, 58 focused on natural resource management, and 58 on rural infrastructure. Water conservation has been a key priority, contributing to a 35% reduction in water-stressed rural blocks (from 2,264 to 1,456). Additionally, the Mission Amrit Sarovar initiative has created over 68,000 water bodies nationwide, with Phase II now underway. The share of individual asset creation has also grown from 17.6% in 2013-14 to 56.99% in 2024-25, benefiting marginalised communities. 

Technological advancements like Aadhaar-Based Payment System (ABPS) and the National Mobile Monitoring System (NMMS) have improved transparency, ensuring timely payments and reducing fraud. Aadhaar seeding now covers 99.49% of MGNREGA workers, up from just 7.6 million in 2014. The introduction of the National Electronic Fund Management System (NeFMS) has enabled 100% direct benefit transfer (DBT) for wages, eliminating inefficiencies from the previous system, where only 37% of payments were electronic in 2013.
 
Further digitisation, including GIS-based planning, geo-tagging of assets, and the SECURE platform for project estimation, has enhanced accountability. Real-time attendance tracking via NMMS has curbed fake attendance, while tools like the JANMANREGA app and NREGASOFT have strengthened citizen oversight. Enhanced social audits and digital monitoring through the Area Officer App have further reinforced transparency in MGNREGA implementation. 

With these reforms, MGNREGA has evolved into a more efficient, transparent, and impactful program, driving rural employment and infrastructure development across India. 
(PIB)    

The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), enacted in 2005, aims to enhance livelihood security in rural areas by guaranteeing at least 100 days of wage employment per year to willing adult members of rural households performing unskilled manual labour. Over the years, the government has significantly increased budget allocations for the scheme. From Rs 113 billion in 2006-07, the allocation rose to Rs 330 billion in 2013-14 and reached a record Rs 860 billion in 2024-25. During the COVID-19 pandemic in 2020-21, the government spent Rs 1,110 billion under MGNREGA, underscoring its commitment to providing rural employment. In terms of employment generated, 16.6 billion person-days were created between 2006-07 and 2013-14, while 30.29 billion person-days were recorded from 2014-15 to 2024-25—an 82% increase. Additionally, government spending on the scheme rose from Rs 2,132.2 billion in the earlier decade to Rs 7,813.02 billion in the last 10 years, leading to a 526% rise in the number of rural assets created (from 15.3 million to 80.7 million). With an emphasis on women’s participation, female worker representation increased from 48% in 2013-14 to over 58% in 2024-25. Currently, MGNREGA permits 266 types of works, including 150 related to agriculture, 58 focused on natural resource management, and 58 on rural infrastructure. Water conservation has been a key priority, contributing to a 35% reduction in water-stressed rural blocks (from 2,264 to 1,456). Additionally, the Mission Amrit Sarovar initiative has created over 68,000 water bodies nationwide, with Phase II now underway. The share of individual asset creation has also grown from 17.6% in 2013-14 to 56.99% in 2024-25, benefiting marginalised communities. Technological advancements like Aadhaar-Based Payment System (ABPS) and the National Mobile Monitoring System (NMMS) have improved transparency, ensuring timely payments and reducing fraud. Aadhaar seeding now covers 99.49% of MGNREGA workers, up from just 7.6 million in 2014. The introduction of the National Electronic Fund Management System (NeFMS) has enabled 100% direct benefit transfer (DBT) for wages, eliminating inefficiencies from the previous system, where only 37% of payments were electronic in 2013. Further digitisation, including GIS-based planning, geo-tagging of assets, and the SECURE platform for project estimation, has enhanced accountability. Real-time attendance tracking via NMMS has curbed fake attendance, while tools like the JANMANREGA app and NREGASOFT have strengthened citizen oversight. Enhanced social audits and digital monitoring through the Area Officer App have further reinforced transparency in MGNREGA implementation. With these reforms, MGNREGA has evolved into a more efficient, transparent, and impactful program, driving rural employment and infrastructure development across India. (PIB)    

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