G-RAM-G Act 2025
 
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G-RAM-G Act 2025

Sun 21 Dec, 2025

Reference:

  • The Lok Sabha passed the "Developed India – Employment and Livelihood Guarantee Mission (Rural) Bill, 2025" (abbreviated as G-RAM-G or Ji-Ram-Ji) on 18th December 2025, followed immediately by its passage in the Rajya Sabha.

Key Points:

  • President Droupadi Murmu gave her assent to this bill on 21st December 2025, making it a law.
  • According to the
  •  central government, the new law has been introduced to strengthen rural India and fulfill the vision of 'Developed India 2047.'
  • This bill replaces the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA, 2005).
  • MGNREGA has been completely repealed.
  • MGNREGA was a major program aimed at providing unskilled willing rural households with a guaranteed minimum of 100 days of work per year, thereby enhancing livelihood security.
  • In recent years, several administrative and technological reforms strengthened its implementation, improving participation, transparency, and digital governance significantly.
  • Between the financial years 2013-14 and 2025-26, women’s participation gradually increased from 48% to 58.15%, Aadhaar seeding accelerated, Aadhaar-based payment systems were widely adopted, and electronic wage payments became nearly universal.
  • Monitoring of works also improved, geo-tagged assets increased significantly, and the share of various assets created at the household level rose.

Key Features of the Bill:

  • Guarantees 125 days of wage employment per financial year to rural households whose adult members are willing to do unskilled work.
  • This increases income security beyond the previous 100-day entitlement.
  • To ensure the availability of labor during busy sowing and harvesting seasons, a 60-day no-work period will be observed. During the remaining 305 days, workers will continue to receive guaranteed employment for 125 days, benefiting both farmers and laborers.
  • Daily wages will be paid within 15 days of the work date, whether weekly or in any other cycle.

Employment creation will be linked with infrastructure development across four priority sectors:

  1. Water-related works for water security
  2. Core rural infrastructure
  3. Livelihood-related infrastructure
  4. Special works to mitigate climate change impacts

MGNREGA vs Developed India – G-RAM-G Bill, 2025:

Feature MGNREGA Developed India – G-RAM-G
Wage employment 100 days per rural household 125 days per rural household
Fragmented with limited strategic focus Focused on 4 clear priority areas: water security, rural infrastructure, livelihood, climate resilience  
Central government bears unskilled wage costs, states cover unemployment allowance Wage cost shared by states: 60:40, for special category areas: 90:10  
No statutory "no-work window" States can notify up to 60 days of no-work period per financial year  
Demand-based funding, unpredictable allocation Standardized funding ensures predictable budget with employment guarantee  
Central role of Gram Panchayats in planning Institutional convergence and integration with infrastructure planning  

Financial Framework:

  • Total estimated annual fund requirement for wages, materials, and administrative costs: ₹1,51,282 crore, including the state share.
  • Estimated central share: ₹95,692.31 crore.
  • This structure does not place an undue financial burden on states.
  • Financing is tailored to the state’s capacity to implement infrastructure.
  • Fund-sharing between the central and state governments:
    • States: 60:40
    • Northeastern and Himalayan states: 90:10
    • Union Territories (without legislative assembly): 100% central funding
  • Includes biometric authentication, AI-based fraud detection, and integration with PM Gati Shakti’s 'Developed Gram Panchayat Plan.'
  • States were already bearing a part of material and administrative costs under the previous framework. Predictable allocations strengthen budgets.
  • Provisions for additional support during disasters and a robust monitoring mechanism help reduce long-term losses due to misuse, enhancing accountability and fiscal stability.

Four Priority Domains (Thematic Domains):

  • Employment generation will now focus on creating sustainable assets across four distinct areas rather than just “digging pits”:
    1. Water Security: Ponds, check dams, etc.
    2. Core Rural Infrastructure: Rural roads, access routes
    3. Livelihood Assets: Warehouses, market sheds, animal shelters
    4. Climate Resilience: Works mitigating extreme weather events

Implementation and Monitoring Authorities:

  • Central and State Rural Employment Guarantee Councils provide policy guidance, review implementation, and strengthen accountability.
  • National and State Operational Committees provide strategic direction, coordination, and performance review.
  • Panchayati Raj institutions lead planning and implementation, with Gram Panchayats implementing at least half the works by cost.
  • District Program Coordinators and Program Officers manage planning, compliance, payments, and social audits.
  • Gram Sabhas play a strong role in social audits and ensuring transparency through access to all records.

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