VB-GRAM G Scheme
VB-GRAM G will replace MGNREGS from 1 July 2026, providing 125 days of guaranteed rural employment, performance-linked funding, spatial planning, and rural infrastructure creation. Learn key features and UPSC facts.
VB-GRAM G Scheme
Why in News?
The Union Government has announced an interim allocation of ₹95,692 crore for the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission Gramin (VB-GRAM G) to facilitate a smooth transition from MGNREGS. The scheme will come into force from 1 July 2026 and will become India’s primary rural employment guarantee programme.
What is VB-GRAM G?
VB-GRAM G (Viksit Bharat Guarantee for Rozgar and Ajeevika Mission Gramin) is a rural employment and livelihood scheme that replaces the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS).
The scheme aims to combine:
- Rural employment security
- Livelihood enhancement
- Rural infrastructure creation
- Climate-resilient development
- Spatially planned asset creation
Key Features of VB-GRAM G
Enhanced Employment Guarantee
| Feature | MGNREGS | VB-GRAM G |
|---|---|---|
| Guaranteed Employment | 100 Days | 125 Days |
| Wage Payment Timeline | Varies | Within 15 Days |
| Focus | Employment | Employment + Livelihood + Infrastructure |
- Every rural household whose adult members volunteer for unskilled manual work will be entitled to 125 days of wage employment annually.
60-Day Agricultural Pause
- States can declare a combined 60-day no-work period during peak sowing and harvesting seasons.
- Objective:
- Prevent shortage of agricultural labour.
- Balance farm productivity and employment generation.
Viksit Bharat National Rural Infrastructure Stack
The scheme links employment generation with the creation of durable rural assets such as:
- Water conservation structures
- Irrigation facilities
- Rural roads and connectivity
- Livelihood infrastructure
- Climate-resilient projects
New Funding Framework
One of the biggest changes is the shift from demand-driven funding to a normative allocation model.
Cost Sharing Pattern
| Category | Centre | State |
| General States | 60% | 40% |
| Northeastern & Himalayan States | 90% | 10% |
| UTs without Legislature | 100% | Nil |
Allocation Formula
The draft rules propose using the 16th Finance Commission’s horizontal devolution criteria.
Major Weightages
| Parameter | Weight |
| GSDP Distance | 42.5% |
| Population | 17.5% |
| Other Indicators | 10% each |
The formula prioritizes poorer states by assigning the highest weight to GSDP Distance, which measures the gap between a state’s per-capita income and that of the wealthiest states.
Performance-Linked Funding
From the second year onwards, part of the Central allocation will depend on state performance.
Performance Indicators
- Timely wage payments
- Social audit compliance
- Completion of public works
- Transparency and accountability standards
This aims to improve efficiency and outcomes.
Governance Structure of VB-GRAM G Scheme
National Level Steering Committee
- 16-member committee.
- Chaired by the Union Rural Development Secretary.
- Includes:
- Representatives from States
- NITI Aayog
- Relevant Ministries
Central Gramin Rozgar Guarantee (GRG) Council
- Headed by the Union Minister for Rural Development.
- Advises the Government on implementation and policy issues.
Decentralised Planning
VB-GRAM G emphasizes scientific and technology-based planning.
Spatial Planning Tools
Yuktdhara Portal
- GIS-based planning platform.
- Developed for natural resource management and rural asset planning.
PM Gati Shakti
- National infrastructure planning platform.
- Integration will improve project selection and coordination.
Viksit Gram Panchayat Plans
Every Gram Panchayat will prepare local development plans based on:
- Resource mapping
- Infrastructure needs
- Livelihood opportunities
- Climate resilience requirements
Transition from MGNREGS
Job Cards
- Existing e-KYC verified MGNREGS Job Cards will remain valid temporarily.
- New Gramin Rozgar Guarantee Cards will be issued during the transition.
Significance of VB-GRAM G
Rural Employment Security
- Increases guaranteed employment from 100 to 125 days.
Infrastructure Creation
- Focuses on durable assets rather than temporary works.
Climate Resilience
- Promotes water conservation and climate adaptation projects.
Better Fiscal Management
- Introduces objective allocation criteria and accountability mechanisms.
Technology-Driven Governance
- Integrates GIS planning and digital monitoring systems.
Related Institutions and Initiatives
Ministry of Rural Development
- Nodal ministry for implementation.
16th Finance Commission
- Recommended horizontal devolution criteria forming the basis of allocations.
PM Gati Shakti National Master Plan
- Integrated infrastructure planning framework.
Yuktdhara Portal
- GIS-based planning platform for MGNREGS and natural resource management.
VB-GRAM G Scheme Prelims Facts
- VB-GRAM G will replace MGNREGS from 1 July 2026.
- Guarantees 125 days of rural wage employment.
- Interim allocation: ₹95,692 crore.
- Funding pattern: 60:40, 90:10, and 100% Central funding for certain UTs.
- Uses the 16th Finance Commission formula for fund allocation.
- GSDP Distance receives 42.5% weightage.
- States can declare a 60-day agricultural pause.
- Yuktdhara is a GIS-based planning portal.
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