Government SchemesRural Development
News 9 of 29

VB-G RAM G Act 2025 Takes Effect: 125 Work Days, 60-Day Agri Pause, States to Fund 40% Wages

Target:UPSC GS-IIMPSCSSC GATeachingPrelims HighMains MediumStatic GK Link
01 Jul 2026
~2 min
Source: Indian Express
Key Data:125 days60 days pause40% state share₹95,692.31 crore₹300-₹450 wage₹450 Sikkim
Bodies:Ministry of Rural DevelopmentSixteenth Finance CommissionGram Panchayat
Practice MCQs from today's news ▸
What This Article Covers

1.VB-G RAM G replaces MGNREGA from July 1, 2026, increasing guaranteed work days from 100 to 125 and introducing a 60-day pause during peak agriculture seasons.

2.States now bear 40% of the wage bill (except NE/Himalayan states and UTs with legislature where Centre pays 90%, and UTs without legislature fully funded by Centre).

3.New wage rates range from ₹300 to ₹409 across states (₹450 in parts of Sikkim); Gramin Rozgar Guarantee Cards replace job cards with 3-year validity and special cards for vulnerable groups.

The Big Picture
Prelims · HighMains · Medium

India's two-decade-old rural job guarantee MGNREGA has been replaced by VB-G RAM G from July 1, 2026. The new scheme increases guaranteed work days to 125, introduces a 60-day pause during agriculture season, and shifts 40% of wage funding to states. This revamp is crucial for UPSC as it tests federal finance, social welfare, and scheme design.

Exam Lens

Quick Exam Facts From News

Allocation FY 2026-27₹95,692.31 crore
Guaranteed Work Days125 (up from 100)
Agriculture Season Pause60 days
State Share of Wages40% (exceptions for NE/Himalayan/UTs)
Wage Range (Daily)₹300 – ₹409 (₹450 in Sikkim)
New Card Validity3 years
Allocation Basis16th Finance Commission horizontal devolution

1-Minute Revision

  • ›Allocation FY 2026-27: ₹95,692.31 crore
  • ›Guaranteed Work Days: 125 (up from 100)
  • ›Target this Data: 125 guaranteed days, 60-day agri pause, 40% state wage share, ₹95,692.31 crore allocation for FY 2026-27.
  • ›Target this Nodal Body: Ministry of Rural Development (implements VB-G RAM G).
  • ›Target this Legal Point: VB-G RAM G Act, 2025 replaces MGNREGA, 2005; new wage rate notified under Section 10 of the Act.

Mastered this topic? Test your knowledge with a full MCQ quiz.

Practice exam-style questions, track your score, and strengthen your recall.

Q1Static LinkageEasy

Which ministry is primarily responsible for implementing the VB-G RAM G scheme?

Q2Statement-basedHard

Consider the following statements regarding VB-G RAM G scheme:

1. It replaces the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), 2005.

2. Under the new scheme, the central government bears 100% of the wage cost for all states.

3. Special Gramin Rozgar Guarantee Cards will be issued to vulnerable groups like single women and persons with disability.

Which of the statements given above is/are correct?

Q3Data-centricMedium

What is the number of guaranteed wage employment days per household under the VB-G RAM G scheme?

Q4Application/ImpactMedium

What is the primary objective of the 60-day pause provision introduced in the VB-G RAM G scheme?

All 15 MCQs ▸
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