MGNREGA, other rural schemes to be linked

New Delhi: In a bid to optimise the quantum and outcome of public spending in rural India, the Narendra Modi government is planning an innovative synergy between the flagship rural employment guarantee scheme under MGNREGA and other rural development programmes.

After the government recently indicated in Parliament that the MGNREGA is up for review and revamp, the finance ministry, in its note to the rural development ministry, has suggested a slew of measures, which include an “innovative way of expanding quantum and outcome” of all other rural development schemes by synergising funds allocated to programmes like the Indira Awas Yojna, micro-irrigation projects and the Swachh Bharat Abhiyan with that of the rural employment scheme.

Sources said, “The finance ministry, in its note, asked the rural development ministry to divide the entire funds made available for a range of schemes and programmes for villages under two heads —material and wages. It has also been asked to put the entire MGNREGA fund under the wages head and the money available for other schemes under the material head.”

Sources said that once this scheme of funding is put in place, all programmes, including employment, aimed at uplifting the lives of the poor in villages will get a boost, as schemes like the Indira Awas Yojna, micro-irrigation projects or Swachh Bharat Abhiyan will not need to keep funds for wage disbursement and, similarly, under MGNREGA, the material component would be taken care of by the money available for other schemes.