Why does Jairam Ramesh believe that the budget deficit in MGNREGS indicates deepening rural distress
Budget deficit in MGNREGS an indicator of the deepening rural distress: Jairam Ramesh
Jairam Ramesh believes that the budget deficit in the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) indicates deepening rural distress due to the following reasons:
- Falling allocation: The budget deficit suggests that there is a lack of funds allocated to the scheme, reflecting a reduced commitment by the government towards employment generation in rural areas.
- Insufficient employment generation: The deficit implies that fewer people are being provided with employment opportunities under the scheme. This leads to increased unemployment and poverty in rural areas.
- Reduced rural income: The deficit hampers the ability to pay wages on time, depriving rural workers of their entitled income. This further exacerbates the financial distress and adds to the burden on rural households.
- Inadequate infrastructure development: The budget shortfall limits the capacity to invest in rural infrastructure projects, such as water conservation and flood control. This negatively impacts agricultural productivity and worsens the agrarian crisis.
- Widening rural-urban divide: The deficit signals a lack of government efforts to bridge the rural-urban divide, as it fails to provide equal opportunities for rural development and employment creation.
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