VB–G RAM G Bill 2025: What is set to change in rural jobs, wages, infra? 10 key points to know

The government has introduced the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission (Gramin) Bill, 2025 in the Lok Sabha, proposing the biggest reset of India’s rural employment framework since MGNREGA was launched nearly 20 years ago. Branded as VB–G RAM G, the Bill seeks to expand guaranteed work, sharpen accountability and redirect public spending towards durable rural infrastructure, in line with the Viksit Bharat 2047 vision. Below are the 10 key changes behind the proposed law.

1. A new law to replace MGNREGA

VB–G RAM G is meant to take the place of the Mahatma Gandhi National Rural Employment Guarantee Act, 2005. According to the government, rural India has changed a great deal since the law was introduced. Poverty levels have come down, access to banking has expanded, and digital services now reach far deeper into villages. In this changed landscape, the government believes the older scheme no longer reflects today’s realities or requirements.

2. Guaranteed workdays rise to 125

The Bill raises the statutory guarantee from 100 to 125 days of wage employment per rural household each year. Any adult willing to perform unskilled manual work will be eligible under the new framework.

3. Shift from demand-driven to planned employment

Unlike MGNREGA, which largely responds to demand for work, VB–G RAM G takes a more planned approach. Jobs will be created around pre-identified projects, with the idea of tying wage employment to long-term development goals instead of short-lived, fragmented works.

4. Focus on durable, productivity-enhancing assets

The proposed law prioritises works that create long-lasting value for villages. These include water conservation, irrigation systems, rural roads, storage facilities, and infrastructure linked to livelihoods and climate resilience.

5. Four priority sectors identified

All projects under VB–G RAM G will fall under four core themes:

• Water security
• Core rural infrastructure
• Livelihood-supporting assets
• Climate mitigation and adaptation works

6. National digital stack for rural assets

All assets created will be digitally mapped and recorded in a central repository called the Viksit Bharat National Rural Infrastructure Stack. This is intended to bring transparency, coordination and long-term tracking of rural development spending.

7. Flexibility during peak agricultural seasons

States will be allowed to notify up to 60 days of pause during peak sowing or harvesting periods. The objective is to prevent labour shortages in agriculture and avoid artificial wage pressure during critical farming cycles.

8. Stronger accountability and monitoring

The Bill builds oversight directly into the scheme. It provides for central and state-level steering committees, stronger social audits, GPS-based monitoring, weekly public disclosures, and mandatory audits at the Gram Panchayat level to ensure transparency and accountability.

9. Technology-driven fraud checks

The scheme will also use AI-based systems to spot irregularities, track misuse of funds, and monitor projects in real time. The government says this could help tackle long-standing problems such as leakages and the creation of poor-quality assets.

10. New funding structure with greater state role

VB–G RAM G moves away from being a purely central scheme to a centrally sponsored one, with costs generally shared between the Centre and states in a 60:40 ratio. North-eastern and Himalayan states, along with Union Territories, will continue to receive higher central support. The shift is aimed at giving states greater ownership while keeping national standards intact.

Why does this Bill matter?

According to official data, rural India today is very different from when MGNREGA was introduced. Poverty levels have fallen sharply, financial inclusion has expanded, and digital systems now allow real-time monitoring at scale. At the same time, audits and investigations over the years revealed persistent misuse of funds, bypassing of attendance systems and creation of assets that did not match expenditure. The government says VB–G RAM G addresses these gaps by embedding accountability into planning, execution and monitoring, rather than relying on incremental fixes.

Costs will typically be shared in a 60:40 ratio between the Centre and states, with higher central support for north-eastern Himalayan states and Union Territories. Officials say this model gives states greater ownership while maintaining national standards.