VB-G RAM G & PMAY-G account for 63% of Dept of Rural Development Budget: Report

New Delhi: VB-G RAM G -- the scheme set to replace MGNREGA -- got the highest share in the Budget for the Department of Rural Development this year, accounting for about 40 per cent of its total allocation, according to a report.

An analysis of the Budget for the rural development ministry done by the PRS Legislative research said the VB-G RAM G, which was allocated Rs 95,692 crore in the Budget, accounts for around 40 per cent of the total Budget for the Department of Rural Development.

The PMAY-G has a share of 23 per cent in the department Budget, followed by MGNREGS (12 per cent), NRLM (8 per cent), PMGSY (8 per cent), and NSAP (4 per cent).

In 2026-27, of the total allocation to the Department of Rural Development, VB-G RAM G (40 per cent) and PMAY-G (23 per cent) together accounts for 63 per cent of the ministry’s total gross expenditure. This is followed by MGNREGS (12 per cent), NRLM (8 per cent), PMGSY (8 per cent), and National Social Assistance Programme (4 per cent).

In 2026-27, the Ministry of Rural Development has been allocated Rs 1,97,023 crore, 4 per cent higher than the revised estimates of 2025-26.

The Department of Rural Development has been allocated Rs 1,94,369 crore, 4 per cent higher than the revised estimates of 2025-26. The Department of Land Resources has been allocated Rs 2,654 crore, which is 51 per cent higher than the revised estimates of 2025-26.

The allocation for the MGNREGS this year was Rs 30,000 crore, 66 per cent less than Rs 88,000 crore in the revised estimate last year. All other schemes have seen higher allocations compared to the last fiscal year, with PMAY-G seeing an increase of 66 per cent in allocation at Rs 54,917 crore.

PMGSY has seen a 73 per cent increase in allocations at Rs 19,000 crore compared to last year’s revised estimate.

The report also highlighted that under MGNREGS, in the last five years, wage payments accounted for around 70 per cent of the expenditure under the scheme.

Material cost accounted for 26 per cent of total expenditure, of which about 20 per cent has been borne by the Centre. Thus, the Centre has borne around 90 per cent of the total expenditure on the scheme.