Will negatively effect rural economy: Karti Chidambaram slams G RAM G law

The law guarantees 125 days of wage employment per rural household, up from the existing 100 days, for adult members willing to undertake unskilled manual work

Karti Chidambaram, Karti, Chidambaram
This will have a very negative effect on the rural economy, and it will also reduce the income of the average person: Karti Chidambaram | (Photo: PTI)
ANI
3 min read Last Updated : Dec 22 2025 | 7:06 AM IST

Congress MP Karti Chidambaram ripped into the Centre's newly passed VB-G RAM G law, calling its name "a very bad alphabet soup" and warning that the revamped scheme will "negatively impact" the rural economy and slash the average citizen's income.

Speaking to ANI, Karti Chidambaram said, "They have come up with a bizarre name called the Viksit Bharat G RAM G. I don't even know the expansion of it. Neither do I understand its meaning. It's a very bad alphabet soup. That is what it is. And further, they have changed the entire architecture of this program. Previously, only 25 per cent of the material component was paid by the states. The central government paid the wages for all the people... This will have a very negative effect on the rural economy, and it will also reduce the income of the average person. So this clearly shows the anti-people mentality of this government and the Congress party will take this message to the people."

Earlier, Congress President Mallikarjun Kharge slammed the Centre over the VB G RAM-G law, accusing it of turning farm labourers and impoverished villagers into "slaves" of the rich.

He condemned the new VB G RAM-G law, claiming it serves only the interests of the Union Government. According to Kharge, the government's goal is to shift costs to state governments while offloading its own financial responsibilities.

"MGNREGA is a lifeline for the poor. They are purposely destroying that and they want to make the poor villagers and farm labourers slaves of the rich. That's why we fought to retain the MNREGA law, and all its provisions should remain as they are. I condemn the new law, which is only helping the government. Earlier, it was 90 per cent from the central government and 10 per cent from the state government, but now they have changed it to 60-40. This means they don't want to help the states. They want money from the state governments, and they want to reduce their own contribution. This clearly shows that they have no interest in the development of the poor," Kharge stated.

During the recently concluded winter session, the Parliament passed the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB--G RAM G) Bill, with the Rajya Sabha approving the legislation hours after the Lok Sabha passed it.

The law guarantees 125 days of wage employment per rural household, up from the existing 100 days, for adult members willing to undertake unskilled manual work.

As per Section 22 of the law, the fund-sharing pattern between the Central Government and the State Governments will be 60:40, while for the North Eastern States, Himalayan States, and Union Territories (Uttarakhand, Himachal Pradesh, and Jammu and Kashmir), it will be 90:10. Section 6 of the law allows the state governments to notify in advance, a period aggregating to sixty days in a financial year, covering the peak agricultural seasons of sowing and harvesting.

While for the North Eastern States, Himalayan States, and Union Territories (Uttarakhand, Himachal Pradesh, and Jammu and Kashmir), it will be 90:10.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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Topics :Karti ChidambaramMGNREGACongressIndian National Congress

First Published: Dec 22 2025 | 7:06 AM IST

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