VB-G RAM-G Replaces MGNREGS Nationwide as Centre Launches ₹12,642-Crore Rural Employment Programme from July 1
New employment guarantee scheme promises minimum ₹300 daily wage, 125 days of work, enhanced transparency and stronger livelihood support for rural India
India’s rural employment landscape entered a new phase on July 1 as the Union Government officially rolled out the Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin), popularly known as VB-G RAM-G, replacing the two-decade-old MGNREGS across the country. The new statutory framework aims to expand employment opportunities, improve wage security and modernize rural livelihood generation.
The Centre has earmarked ₹12,642 crore for the initial rollout of the programme while making broader annual budgetary provisions for nationwide implementation. Officials describe the transition as one of the biggest reforms in India’s rural employment architecture since the launch of MGNREGS in 2005.
Unlike the previous scheme, which guaranteed 100 days of wage employment, VB-G RAM-G increases the statutory guarantee to 125 days per eligible rural household in every financial year. The programme also strengthens provisions relating to timely wage payments, accountability and technology-driven implementation.
One of the biggest highlights of the new framework is the revised wage structure. The Union Government has notified a minimum daily wage of ₹300, with state-specific rates ranging from ₹300 to ₹409, while select Gram Panchayats in Sikkim will receive ₹450 per day because of their special geographical conditions.
According to the Ministry of Rural Development, the revised wage rates have been notified for all states and Union Territories. Several northern and northeastern states have witnessed wage increases exceeding 15 percent compared to the previous MGNREGS rates, while southern states have recorded comparatively smaller revisions.
The government has clarified that existing e-KYC verified job cards will continue to remain valid until new Gramin Rozgar Guarantee Cards are issued. Ongoing works under the previous framework will continue without interruption to ensure a seamless transition for workers and local authorities.
Implementation will continue to be driven through Gram Panchayats, with emphasis on water conservation, natural resource management, agriculture, rural infrastructure, women-centric livelihood projects and the creation of durable community assets. Officials say technology-enabled monitoring and transparent fund management will remain central features of the programme.
Union Rural Development Minister Shivraj Singh Chouhan said the objective of the new law is to ensure that no eligible rural worker remains without employment while simultaneously accelerating the government’s long-term Viksit Bharat 2047 vision. He said the Centre and states have completed administrative, financial and technical preparations for nationwide implementation.
The national launch event is scheduled in Mukkavaripalle village of Andhra Pradesh’s Tirupati district, where senior Union ministers and state leaders are expected to formally inaugurate the programme.
The replacement of MGNREGS marks one of the most significant policy changes in India’s rural welfare ecosystem. While the government projects VB-G RAM-G as a more efficient, transparent and development-oriented employment guarantee programme, its success will ultimately depend on timely fund releases, effective state-level implementation, sustained employment generation and the programme’s ability to improve rural incomes over the coming years.
