Budget 2026: Viksit Bharat-G RAM G Gets Rs 95,600 Crore, States Face Higher Costs
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News18•01-02-2026, 14:30
Budget 2026: Viksit Bharat-G RAM G Gets Rs 95,600 Crore, States Face Higher Costs
- •Union Budget 2026-27 allocates Rs 95,600 crore to the new Viksit Bharat-G RAM G rural employment scheme, an increase of Rs 10,000 crore from MGNREGA's previous allocation.
- •The new scheme shifts the cost-sharing structure, with the Centre funding 60% and states now contributing 40%, a significant change from MGNREGA's model.
- •This revised funding model applies to most states, except for northeastern and Himalayan states, which retain a 90:10 Centre-state split.
- •States anticipate additional annual liabilities running into thousands of crores due to the increased financial burden.
- •Concerns arise that the new framework, unlike MGNREGA's rights-based guarantee, may lead to tighter caps on work generation, especially in fiscally constrained states.
Why It Matters: Viksit Bharat-G RAM G receives increased central funding, but states now bear a significantly larger financial burden.
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