Nearly 60% of MGNREGS budget spent in first five months, raising allocation concerns
Nearly 60% of the budget allocated for the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) for 2025-26 has been spent within the first five months of the financial year, with a month still remaining in the second quarter. Out of ₹86,000 crore earmarked, ₹51,521 crore has been utilized. A significant portion (38%) of this budget went to cover pending liabilities from the previous financial year (2024-25). The Finance Ministry had capped spending at 60% for the first half, leaving limited funds. Ministry of Rural Development officials have sought a revised allocation, but no indications of additional funds have been received from the Finance Ministry.
Key Points
- Almost 60% of the MGNREGS budget for 2025-26 has been expended within the first five months of the financial year.
- A substantial portion (38%) of the current budget was used to clear pending liabilities from the previous financial year.
- The Finance Ministry had capped spending for the first half of the financial year at 60% of the annual allocation.
- The Ministry of Rural Development has requested a revised allocation due to the rapid expenditure, but no additional funds have been indicated.
- The scheme supports 12.15 crore active workers, highlighting its importance for rural livelihoods.
Exam Facts
- The scheme is Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS).
- ₹51,521 crore out of ₹86,000 crore allocated for 2025-26 has been spent.
- 38% of the budget allocated for 2025-26 went into covering pending liability from 2024-25.
- There are 12.15 crore active workers who rely on the scheme.
Read it. Retain it. Recall it.
Get spaced-repetition flashcards, daily quizzes and offline access — free on Android.