SchemesTuesday, 12 May 2026·https://testbook.com/current-affairs/12-may-2026-daily-current-affairs
MGNREGA to be replaced by VB-G RAM G from July 1, 2026 with 125-day rural job guarantee
The Rural Development Ministry notified VB-G RAM G Act, 2025 on May 11, 2026 to replace MGNREGA from July 1, 2026.
Key highlights
Direct fact
In May 2026, the Ministry of Rural Development notified the Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025, which will replace MGNREGA across rural India from July 1, 2026.
Key specifics
- The statutory wage employment guarantee rises from 100 days to 125 days per financial year.
- The Central share for FY 2026-27 is ₹95,692.31 crore, with total outlay above ₹1.51 lakh crore.
- Administrative expenditure limit increases from 6% to 9% under the new framework.
- Wage payment must be made through DBT within 15 days of muster roll closure, with 0.05% daily delay penalty after the 16th day.
- States may pause works for an aggregate of 60 days during peak sowing and harvesting seasons.
Exam lens
Scheme and Act-based question, 100 days to 125 days, DBT within 15 days, Article 41 linkage; TNPSC may ask which rural employment law is being replaced from July 1, 2026.