The central government is preparing to introduce a major change in India’s rural employment system.
A new scheme called VB-G RAM G is expected to replace the Mahatma Gandhi National Rural Employment Guarantee Act (MNREGA) from July 1, 2026.
According to the government, the new program will focus on improving employment opportunities, transparency, and rural development across the country.
The Ministry of Rural Development has informed the Parliamentary Standing Committee that 25 states have already released their share of funds for the implementation of the new scheme.
The full name of the scheme is “Vikas Bharat – Guarantee for Employment and Livelihood Mission (Gramin)” or VB-G RAM G.
Rural Families May Get 125 Days of Employment
One of the biggest changes under the new scheme is the increase in guaranteed workdays.
Currently, MNREGA provides 100 days of employment to rural families every year.
Under the proposed VB-G RAM G scheme, this limit may increase to 125 days.
The government believes this move will help improve the income of poor and rural households and provide better financial support to workers.
Smart Employment Cards to Replace Old Job Cards
The government is also planning to modernize the system with the help of technology.
Under the new scheme, traditional job cards will be replaced with smart employment cards.
These cards may include features like:
Face recognition
Digital verification
e-KYC integration
Officials say this step is aimed at reducing fraud and increasing transparency in the employment process.
People who have already completed e-KYC may continue using their old cards for a limited time.
Villages Will Decide Development Projects
The new scheme will focus heavily on local development needs.
Priority areas under VB-G RAM G include:
Water conservation
Rural roads
Livelihood projects
Climate disaster prevention work
Each village will prepare its own Gram Panchayat development plan, which will later be approved by the Gram Sabha.
Based on these local plans, development projects will be selected and implemented.
Centre and States Will Share the Cost
The financial burden of the scheme will be shared by both the central and state governments.
The funding formula will be:
60:40 for general states
90:10 for northeastern and hilly states
According to government estimates, the new scheme could cost around ₹1.51 lakh crore every year.
Existing MNREGA Work Will Continue
The government has clarified that ongoing MNREGA projects will not stop suddenly after the new scheme is introduced.
Incomplete projects under MNREGA will be transferred into the new system and completed gradually.
The government also said new projects will continue to be launched whenever needed so that rural workers do not face difficulties in getting employment.
The proposed VB-G RAM G scheme is being seen as one of the biggest rural employment reforms in recent years and could significantly change how rural job programs work across India.
