Govt notifies 375 permissible works under VB-G RAM G, expands scope by 41%

The government has expanded the scope of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) by notifying 375 permissible works, up from 334. This move increases the total permissible works by 41%, allowing states to undertake a wider variety of infrastructure and livelihood projects.
This policy shift is significant for the broader market as it aims to boost rural employment and stimulate local economies. By increasing the share of livelihood-related works to 26% from the previous 1.1%, the government is focusing on projects that provide direct income support to rural households. This could improve consumer demand in rural areas.
Investors should monitor the pace of implementation and the actual funds allocated to these new works. The success of this expansion in generating sustainable rural income will be a key factor in assessing its broader economic impact.
Excerpt from BusinessLine
The Centre has notified 375 permissible works under the new rural employment framework, with a greater emphasis on livelihood infrastructure, water security and disaster preparedness, expanding the list of works by 41 per cent over the previous scheme. The Ministry of Rural Development said the new schedule, under the…Read the original at BusinessLine
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