MGNREGA vs VB-G RAM-G: Rajasthan LoP Jully questions scheme replacement
Synopsis
Even BJP-ruled Bihar and Madhya Pradesh have reportedly objected to the Centre's proposed VB-G RAM-G scheme that would replace MGNREGA — and now Rajasthan's LoP Tika Ram Jully is demanding Chief Minister Bhajan Lal Sharma explain why his government would accept a 40% state cost-share that his own party's states have resisted.
Key Takeaways
Rajasthan LoP Tika Ram Jully (Congress) on 2 July questioned the state government's reported plan to replace MGNREGA with the proposed VB-G RAM-G scheme.
The new scheme reportedly requires states to bear 40 per cent of costs, making the promised 125 days of rural employment financially difficult to deliver.
BJP-governed Bihar and Madhya Pradesh , along with Jharkhand , have reportedly raised objections to the funding pattern.
Jully cited MGNREGA's role during the Covid-19 pandemic in protecting rural livelihoods as evidence against weakening the scheme.
The previous Congress government in Rajasthan had increased MGNREGA workdays from 100 to 125 in the 2022-23 budget .
The Rajasthan government is yet to formally respond to the LoP's questions.
Rajasthan's Leader of Opposition (LoP) and Congress leader Tika Ram Jully on Thursday, 2 July questioned the Rajasthan government's reported move to replace the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) with the proposed Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission-Gramin (VB-G RAM-G) scheme, raising pointed concerns over its funding structure and financial viability for the state.
The Core Objection: Funding Pattern
Jully demanded that Chief Minister Bhajan Lal Sharma clarify the state government's position, noting that even Bharatiya Janata Party (BJP)-ruled states had reportedly expressed reservations about the proposed replacement. According to Jully, three major states — including BJP-governed Bihar and Madhya Pradesh, alongside Jharkhand — have raised serious objections to the new scheme's cost-sharing model.
'The requirement for states to bear 40 per cent of the expenditure makes it financially difficult to provide the promised 125 days of rural employment,' Jully said, quoting the objections raised by those state governments. He pressed Sharma to explain why Rajasthan would accept what he called an 'additional financial burden' when governments led by the Chief Minister's own party had pushed back.
MGNREGA's Track Record Under Scrutiny
The LoP underscored the historical significance of MGNREGA, which was introduced by the Congress-led United Progressive Alliance (UPA) government as a statutory rural employment guarantee. He pointed to the programme's role during the Covid-19 pandemic, when urban employment had virtually collapsed, arguing that the scheme had shielded the rural economy and ensured continued livelihoods for millions of families.
'Attempting to weaken such a successful programme merely for the sake of renaming schemes would be detrimental to rural India,' Jully said. He also recalled that the previous Congress government in Rajasthan had raised the guaranteed workdays under MGNREGA from 100 to 125 in the 2022-23 state budget, framing it as a deliberate effort to expand rural support.
Political Dimension: BJP's Internal Contradictions
Jully alleged that the current BJP administration in Rajasthan was 'blindly following' what he described as an incomplete and impractical model being pushed by the Centre. He argued that the proposed changes could place an additional financial burden on both rural labourers and the state exchequer. This critique gains traction given that the objections to VB-G RAM-G's funding formula have reportedly come from within the BJP's own state governments, not just the opposition.
The Congress leader urged the state government to engage with the economic and technical concerns surrounding the proposed scheme rather than prioritising publicity and the rebranding of welfare programmes.
What Happens Next
The Rajasthan government is yet to formally respond to Jully's questions. The Centre has not officially announced a timeline for rolling out VB-G RAM-G, and the scheme's final funding structure remains under reported deliberation. With multiple BJP-ruled states reportedly pushing back, the political and fiscal calculus around replacing MGNREGA is expected to remain contested in the weeks ahead.
Point of View
It signals a genuine fiscal stress point, not merely political posturing. Rajasthan's silence on its own position is conspicuous. MGNREGA has survived multiple attempts at dilution precisely because no state government — regardless of party — has found a credible substitute for a demand-driven, legally guaranteed employment floor. The rebranding impulse is understandable politically, but the 40% state cost-share, if confirmed, would represent a structural shift that poorer states are poorly placed to absorb. The Centre's ability to push VB-G RAM-G through will depend less on opposition from Congress and more on whether it can square that fiscal circle with its own allies.
NationPress
3 Jul 2026
Frequently Asked Questions
What is the VB-G RAM-G scheme and how does it differ from MGNREGA?
VB-G RAM-G stands for Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission-Gramin, a proposed Central scheme that reportedly aims to replace MGNREGA. Unlike MGNREGA, which is a statutory demand-driven entitlement, VB-G RAM-G reportedly requires states to bear 40 per cent of costs — a significant departure from the current funding model.
Why is Rajasthan LoP Tika Ram Jully opposing the scheme?
Jully argues that the 40% state cost-share makes it financially unviable to guarantee 125 days of rural employment, and that replacing a proven programme like MGNREGA amounts to weakening rural social security for rebranding purposes. He has also pointed out that BJP-ruled states have reportedly raised similar objections.
Which states have objected to VB-G RAM-G's funding pattern?
According to Jully, three states — BJP-governed Bihar and Madhya Pradesh, and Jharkhand — have reportedly raised serious objections to the scheme's requirement that states bear 40 per cent of expenditure. The Rajasthan government has not yet stated its position publicly.
What was MGNREGA's role during the Covid-19 pandemic?
MGNREGA provided a critical employment safety net during the Covid-19 pandemic when urban jobs collapsed, enabling millions of rural families to earn a livelihood. Jully cited this track record as a key reason against replacing or diluting the scheme.
What did the previous Congress government in Rajasthan do with MGNREGA?
The previous Congress government in Rajasthan increased the number of guaranteed workdays under MGNREGA from 100 to 125 in the 2022-23 state budget, providing additional financial support to rural households.
