Increased outlay may not cover NREGS dues as work demand grows unabated

This fiscal year also, of the amount allotted, around Rs 13,760 crore was spent on clearing the pending dues of the previous year

A significant amount of dues under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) is expected to be accounted for next fiscal year as demand for work continues unabated under the scheme in rural areas.

This is despite a hefty jump in the revised projection of spending to Rs 1.11 trillion for 2020-21.

Experts say this means from next year’s budget allocation of Rs 73,000 crore for the MGNREGA, 15-20 per cent could go in clearing the pending dues as has been the practice in the past as well.

“In the last five years, on average, 20 per cent