MGNREGS demand continues to be robust even as funds dip, shows data

Almost 80 per cent states have negative balance; all India deficit stands at over 9619 crore

Demand for work under the flagship Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) continued to remain robust despite a seasonal slowdown in the month of October, data showed. The demand is high despite funds going dry.

According to the latest financial statement, almost 80 per cent of states of the country have a negative financial balance.
 

Till October end, the expenditure on the scheme has been around Rs 77,634 crore while the total available funds were to the tune of Rs 68,014 crore, reflecting a shortfall of around Rs 9,619.53 crore.
 

The Centre had allocated a sum of about Rs 60,000 crore for MGNREGS in the 2023-24 Budget Estimates (BE).
 

To run the scheme smoothly for the rest of the financial year, an infusion of about Rs 25,000-30,000 crore is expected to be made into the scheme through supplementary demand for grants, reports show.
 

The MGNREGS website shows that 18.37 million households sought work under the scheme in October, which was marginally lower than September, but almost 18.5 per cent higher the same month last year. Also, the demand in October remained among the highest since 2014-15, barring the two pandemic years of 2020-21 and 2021-22.