Business Standard

Will extra funds for rural housing, drinking water create enough jobs?

While cutting down the allocation for MGNREGA in the budget of FY24, the Centre has raised it for Pradhan Mantri Awas Yojana-Grameen, and Jal Jeevan Mission

A labourer repairs a road under Mahatma Gandhi National Rural Employment Guarantee Scheme in Kolkata	(Photo: PTI )
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(Photo: PTI)

Sanjeeb Mukherjee New Delhi
The annual allocation for the Centre’s flagship rural jobs scheme Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) has been drastically cut this year, while the funds for rural housing and rural drinking water schemes have been hiked substantially. This has triggered a wave of reactions from both advocates of the former to those who feel that extra spending on rural homes and drinking water will create durable assets and generate employment.

The official explanation comprises two points. First, that being a demand-driven scheme, MGNREGS has been and will be funded adequately as and when the demand emerges.

The second

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