The person-days under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) have increased from 208.74 crores in the previous fiscal year (up to 30th November 2022) to 221.60 crores for the same period in this fiscal year, according to a written reply by the Minister of State for Rural Development Giriraj Singh in a written reply to the Lok Sabha. 

Decline in active beneficiaries

Despite the number of active beneficiaries declining from 15.49 crore in the previous fiscal year to 14.33 crore in the present (till October 6), the person-days have increased this time. Stating the decline in the number of active beneficiaries, Giriraj Singh said, “If an adult member of a household in a rural area does not demand work during the last three previous financial years, that member will not be on the list of active beneficiaries. The change in the number of active beneficiaries is a continuous process.”  

Debate over Budget allocation

The government reduced the budget allocated for MGNREGA in the Budget 2023-24 to Rs 60,000 crore, 18% lower than the ₹73,000 crore budget estimates for the current year, and 33% lower than the ₹89,000 crore revised estimates for the scheme. However, the fund released in FY 2022-23 was Rs 90,810 crore. 

As per a report by the Ministry of Rural Development, the ministry had released Rs 56,105.69 crore from the budget estimate of Rs 60,000 crore by October 4 and planned to seek additional funds as and when required to meet the demand for work on the ground.