MP: The Ram Ji scheme will put a burden of ₹2,500 crore on the state.
Madhya Pradesh: The provisions included in the revamped MNREGA scheme, now called the G. Ram Ji Yojana, will increase the financial burden on the state government. Previously, the central government provided 100% of the wages and 75% of the material costs.
Under the MNREGA scheme, the state government contributed 25% of the material costs and also provided unemployment allowance if someone was unemployed. However, under the new G. Ram Ji Yojana, the central government will contribute 60% of the expenditure, and the state will bear the remaining 40%.
The G. Ram Ji Yojana guarantees 125 days of work. If a person does not get a job within 15 days of submitting an application under the new scheme, the state government will provide an unemployment allowance every week.
According to sources, the state government received ₹6,343 crore under the old scheme. Now, the government will have to allocate an additional ₹2,500 crore in its budget to meet the expenses under the new scheme. The state’s financial situation is not strong. Therefore, the new scheme is likely to put a strain on the state’s finances.
