VB-GRAMG Act to Replace MGNREGA from 1 July 2026

¨     Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025 will replace Mahatma Gandhi National Rural Employment Guarantee Act across India from 1 July 2026.

¨     The Act was officially notified on 11 May 2026.

¨     The VB-GRAMG Bill, 2025 received Presidential assent on 21 December 2025.

¨     Parliament passed the Bill on 18–19 December 2025.

¨     MGNREGA was originally enacted in 2005.

¨     The full form of MGNREGA is Mahatma Gandhi National Rural Employment Guarantee Act.

¨     The VB-GRAMG Act will function as a Centrally Sponsored Scheme.

¨     Funding will be shared between the Centre and the States.

¨     The funding ratio for most States will be 60:40.

¨     North Eastern States, Himalayan States, and Union Territories will have a 90:10 funding ratio.

¨     The new Act increases guaranteed wage employment from 100 days to 125 days per financial year.

¨     The scheme applies to eligible rural households.

¨     The framework of demand-based wage employment will continue under the new law.

¨     Existing e-KYC verified MGNREGA job cards will remain valid during the transition phase.

¨     New Gramin Rozgar Guarantee Cards will be issued under the scheme.

¨     The VB-GRAMG framework links employment generation with productive asset creation.

¨     The programme also focuses on climate resilience.

¨     It promotes convergence with other government schemes.

¨     The initiative is aligned with the Viksit Bharat @2047 vision.

¨  Viksit Bharat @2047 is India’s long-term national development framework for the centenary of independence in 2047.

¨     The estimated annual outlay of the programme is expected to exceed ₹1.51 lakh crore.

¨     The Central government has allocated around ₹95,700 crore for 2026–27 under the scheme.