Centre announces interim allocation under VB-G RAM G scheme

PTI, June 9, 2026, New Delhi: The Centre on Tuesday announced an interim allocation of Rs 95,692 crore under the newly introduced Viksit Bharat - Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB-G RAM G) scheme for a seamless transition, with Union Rural Development Minister Shivraj Singh Chouhan asserting that no state would face any reduction in funds.

(Ed KN: (Note : The VB-G RAM G is a historic rural employment law that replaced MGNREGA. It guarantees 125 days of wage employment per rural household, while aligning with the vision of Viksit Bharat 2047.)

Addressing a press conference after a meeting with the state rural development ministers, Chouhan said the interim allocation had been made as the draft rules of the new scheme were still being finalised and to ensure that rural employment and development activities continue uninterrupted after June 30.

"Without causing any inconvenience to workers, we are moving from the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) to the Viksit Bharat - Guarantee for Rozgar and Ajeevika Mission (Grameen) (VB-G RAM G). There will not be a gap of even a single day in the availability of work," he said.

According to the Rural Development Ministry, Uttar Pradesh has been allotted the highest interim allocation of Rs 9,721.48 crore, followed by West Bengal at Rs 8,508 crore, Tamil Nadu at Rs 7,585.49 crore, Rajasthan at Rs 7,581.87 crore, Andhra Pradesh at Rs 7,707.21 crore and Bihar at Rs 6,715.83 crore.

The total allocation for states stands at Rs 92,550.17 crore, while Union Territories have been allocated Rs 1,291.52 crore.

Chouhan said that after adding the mandatory state contribution, the total annual outlay under the scheme would be around Rs 1.51 lakh crore.

Seeking to allay concerns raised by opposition parties and labour groups, the minister said no state's allocation had been reduced and that the interim allocation had been worked out on the basis of expenditure under the MGNREGA scheme in the previous year.

He said 26 states have completed the procedural requirements necessary for implementing the new scheme, while four states — Jharkhand, Karnataka, Telangana and Mizoram — are yet to complete all formalities.

However, the representatives of these states attended the meeting and assured the Centre that they were preparing for implementation.