At current pace, MGNREGA will need minimum Rs 1 trillion budget next fiscal

Work demand has been unusually high the past two years and front-loading expenditure helped in generating adequate demand while installing confidence in the system

The continued strong demand for MGNREGA despite a resumption of normal economic activity, as seen from the latest data, has triggered calls for adequately funding the scheme in the upcoming Budget to kick-start rural recovery.

The common argument against the front-loading MGNREGA Budget is that it is a demand-driven scheme. As and when the demand arises, the Centre funds it so that wages are not kept pending for long while material expenses are cleared in time. However, the civil society claims that front-loading expenditure helped in generating adequate demand while instilling confidence in the system. It also helps in avoiding sudden