E-Paper
5 states spend more under MGNREGS than in pre-pandemic year
Bihar, where the largest number of migrant workers returned during the first wave of the Covid-19 pandemic in 2020, spent ₹5,771 crore under the scheme compared to ₹3,371 crore in 2019-20
NEW DELHI: A surge in the demand for jobs in five big states, including four that contribute to a high volume of migrant workers, has led to spending of more money this year under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) compared to the pre-pandemic year.
₹73,000 crore was allocated this year to MGNREGS, the world’s largest guaranteed employment scheme under which at least 100-day work is annually provided to every rural household. ₹94,994 crore has already been spent under the scheme, which has been provided a supplementary budget.
Bihar, where the largest number of migrant workers returned during the first wave of the Covid-19 pandemic in 2020, has spent ₹5,771 crore under the scheme compared to ₹3,371 crore in 2019-20.
Madhya Pradesh spent ₹4,949 crore in 2019-20 under MGNREGS. This year, it has spent ₹7,354 crore so far, a 32% jump. Odisha has spent ₹5,375 crore this year compared to ₹2,836 crore in 2019-20. West Bengal spent ₹7,480 crore in 2019-20 while the spending this year has been ₹10,118 crore. Tamil Nadu has spent ₹8,961 crore this year compared to ₹5,621 crore in 2019-20.
The rural development ministry has limited funds left for this year after the unexpected surge for MGNREGS jobs this year. Experts have largely attributed the demand to the slower-than-expected rebound of the economy and the second wave of the pandemic at the beginning of this financial year.
The authorities expect the situation to stabilise and more people to return to the big cities for better jobs. “MGNREGS has provided solid support to rural poor during very challenging times. But the scheme should not be the permanent solution. It is the last resort in distress situations. We all want rural people to earn more and work in better places that provide higher wage rates,” said a government official, who did not want to be named.
To be sure, no state has reached the unusually high levels of spending under MGNREGS when millions of migrant workers returned to their homes amid the first wave of the pandemic in 2020. The government then spent ₹1.1 lakh crore on the scheme, the last resort for employment or rural poor, apart from other welfare packages.
