Lok Sabha Question No. 470 (STARRED), answered on 2022-04-05
Subject: Utilization of Funds under MGNREGS
Ministry: RURAL DEVELOPMENT
Asked by: Asaduddin Owaisi

## GOVERNMENT OF INDIA MINISTRY OF RURAL DEVELOPMENT DEPARTMENT OF RURAL DEVELOPMENT

## LOK SABHA STARRED QUESTION NO. 470

ANSWERED ON 05/04/2022

## UTILIZATION OF FUNDS UNDER MGNREGS

## *470.   SHRI ASADUDDIN OWAISI:

Will the Minister of RURAL DEVELOPMENT be pleased to state:

- (a) whether it is a fact that the total expenditure of Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) in 2020-21 was Rs. 1,11,443 crore and the Government decided to slash the budget for the scheme around Rs. 71,000 crore for 2021-22 and has not increased the funds in the current year;
- (b) if so, whether it is a fact that MGNREGS budget was fully utilized during 2021-22;
- (c) if so, the details thereof and if not, the reasons therefor along with the details of less allocation while expecting demand of the scheme on the same lines as of 2022-23;
- (d) whether the fund is likely to be infused by supplementary demands in the coming days or States are to empty their coffers for this scheme; and
- (e) if so, the steps taken or being taken by the Government to give grants to States till the alternative arrangements are made to fund the scheme?

## ANSWER

MINISTER OF RURAL DEVELOPMENT (SHRI GIRIRAJ SINGH)

- (a) to (e):       A statement is laid on the Table of the House.

## Statement in reply to Parts (a) to (e) of Lok Sabha Starred Question No. 470 for 05.04.2022

(a)to(e): Mahatma Gandhi National Rural Employment Guarantee Scheme (Mahatma Gandhi NREGS) is a demand driven wage employment programme which provide for the enhancement of livelihood security of the households in rural areas of the country by providing at least one hundred days of guaranteed wage employment in every financial year to every household whose adult members volunteer to do unskilled manual work.

The Central Government had enhanced the financial allocation under Mahatma Gandhi NREGS for  previous  financial  year  2020-21  from  Rs.  61,500  crore  at  Budget  Estimate  (BE) stage to Rs.1,11,500 crore at Revised Estimate (RE) stage.

In  the  current  financial  year  2021-22,  the  budget  provision  at  Budget  Estimate  (BE) stage was Rs. 73,000 crore. The Ministry had requested for additional budget allocation which has been enhanced to Rs. 98,000 crore at the Revised Estimate (RE) stage as per the requirement of funds. The Ministry seeks additional funds under Mahatma Gandhi NREGS from Ministry of Finance as and when required for meeting the demand for work on the ground.

Under Mahatma Gandhi NREGS, States submit fund release proposals to Government of India. Fund release to the States is a continuous process and Central Government is committed to making fund available to States  for  the  implementation  of  the  Scheme.  The  Ministry  releases funds  periodically  in  two  tranches  with  each  tranche  consisting  of  one  or  more  installments, keeping in view the 'agreed to' Labour Budget, demand for works, opening balance, pace of utilization  of  funds,  pending  liabilities,  overall  performance  and  subject  to   submission  of relevant documents by the State.

During  the  current  financial  year  2021-22  (as  on  29.03.2022),  an  amount  of  Rs. 95,433.37  crore  has  been  released  by  Central  Government  to  the  States/UTs  under  Mahatma Gandhi NREGS.

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