Union Minister Shri Shivraj Singh Chouhan launches nationwide ‘Viksit Bharat – G-Ram G Act’ from Andhra Pradesh with Chief Minister Shri Chandrababu Naidu and Deputy Chief Minister Shri Pawan Kalyan

1. At a Glance

• VB–G RAM G Act, 2025 (Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin)) repeals and replaces MGNREGA, 2005, raising the statutory wage-employment guarantee from 100 to 125 days/year per rural household [S3][S6].
• Nationally launched on July 2, 2026 from Mukkavaripalli village, Tirupati district, Andhra Pradesh by Union Rural Development Minister Shivraj Singh Chouhan, with CM Chandrababu Naidu and Dy. CM Pawan Kalyan [1][S2].
• Relevant for GS-II (welfare schemes, Centre-State relations) and GS-III (rural employment, poverty alleviation) — a live legislative replacement of a landmark rights-based Act.
• Tests continuity/discontinuity with MGNREGA — a classic "old scheme superseded by new Act" trap area.

2. Why in the News

• Act came into force nationwide from July 1, 2026; MGNREGA stood repealed the same day [S3][S6].
• National launch event held July 2, 2026 in Andhra Pradesh, accompanied by an AP-specific package announcement [1][S2].

3. Background & Evolution

• VB–G RAM G Bill, 2025 introduced in Lok Sabha on December 16, 2025 by Shivraj Singh Chouhan [S4][S5].
• Bill passed by Parliament; President's assent given to the VB–G RAM G Bill, 2025 [S5].
• Notified to come into force from July 1, 2026, with simultaneous repeal of MGNREGA, 2005 [S3][S6].
• Predecessor: Mahatma Gandhi NREGA, 2005 — India's flagship rights-based rural employment guarantee (100 days/household/year), now subsumed and enhanced under VB–G RAM G [S3][S6].

4. Core Static Facts

Item	Detail
Implementing Ministry	Ministry of Rural Development [1][S2]
Enabling law	Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025 [S3]
Predecessor Act repealed	MGNREGA, 2005, effective 01.07.2026 [S3][S6]
Guaranteed employment	125 days/financial year per household (unskilled manual work) [S3][S6]
Wage delay safeguard	Interest payable if wages delayed beyond stipulated period; unemployment allowance if work not given within 15 days [1][S2]
Interim Central allocation	₹95,692.31 crore to States/UTs for smooth transition [S6]
5-year target outlay	₹7.5 lakh crore [1]
Per-panchayat annual average	Over ₹2 crore across ~2.86 lakh panchayats [1]
Andhra Pradesh special package	₹7,707 crore over 9 months [1][S2]
Launch location	Mukkavaripalli village, Obulavaripalle Mandal, Tirupati district, Andhra Pradesh [S2]
Key dignitaries at launch	Shivraj Singh Chouhan, Chandrababu Naidu, Pawan Kalyan, MoS Chandrashekhar Pemmasani, MoS Kamlesh Paswan [1]
Vision alignment	Viksit Bharat @2047 [S3][S6]

5. Multi-Dimensional Analysis

• Economic: Scales up rural wage-employment financing (₹7.5 lakh crore/5 years) versus MGNREGA's annual budgeting model; introduces per-panchayat development benchmarking (~₹2 crore/year) [1].
• Social: Extended workdays (125 vs 100) aim to address underemployment; legal interest on delayed wages strengthens worker protection versus MGNREGA's weaker enforcement record [1][S3].
• Legal/Constitutional: Enacted via ordinary Parliamentary legislation (Bill introduced Dec 2025, assented, notified effective 01.07.2026); explicitly repeals MGNREGA, 2005 rather than amending it [S4][S5][S6].
• Administrative/Governance: Rollout involves interim central allocation (₹95,692.31 crore) to ensure "uninterrupted implementation" and "seamless transition," signaling anticipated Centre-State coordination challenges during changeover [S6].
• Federalism: State-specific packages (e.g., AP's ₹7,707 crore) alongside the national scheme indicate a hybrid national-framework-plus-state-package implementation model [1][S2].

6. Recent Developments (last 12-18 months)

• Dec 16, 2025: VB–G RAM G Bill, 2025 introduced in Lok Sabha by Shivraj Singh Chouhan [S4].
• Bill passed by Parliament; President's assent granted to VB–G RAM G Bill, 2025 [S5].
• May 2026: Text of VB–G RAM G Act, 2025 published by PIB/PRS [S7].
• July 1, 2026: Act comes into force nationwide; MGNREGA, 2005 repealed [S3][S6].
• July 2, 2026: National launch event held in Tirupati district, Andhra Pradesh [1][S2].

7. Prelims Hooks

• VB–G RAM G Act, 2025 repeals MGNREGA, 2005, effective July 1, 2026 [S3][S6].
• Statutory employment guarantee raised from 100 days to 125 days/year [S3][S6].
• Nodal ministry: Ministry of Rural Development [1].
• VB–G RAM G Bill, 2025 introduced in Lok Sabha on December 16, 2025 [S4].
• National launch venue: Mukkavaripalli village, Tirupati district, Andhra Pradesh [S2].
• Union Minister who launched it: Shivraj Singh Chouhan [1].
• Interim Central allocation for transition: ₹95,692.31 crore [S6].
• Five-year financial target under the scheme: ₹7.5 lakh crore [1].
• Andhra Pradesh received a special package of ₹7,707 crore over 9 months [1][S2].
• Provision for unemployment allowance if work not provided within 15 days [1].
• Provision for interest on delayed wage payments [1][S3].
• Scheme aligned with the vision of Viksit Bharat @2047 [S3][S6].
• Per-panchayat average annual funding target: over ₹2 crore, across ~2.86 lakh panchayats [1].

8. Mains Relevance

• GS-II: Government policies and interventions for development in various sectors; welfare scheme design/implementation.
• GS-III: Employment; rural poverty and employment guarantee schemes.
• Sample stems: 1. "Examine how the Viksit Bharat – G RAM G Act, 2025 addresses the structural limitations of MGNREGA." 2. "Discuss the significance of repealing MGNREGA via a new Act rather than amending it." 3. "Critically evaluate administrative preparedness for the MGNREGA-to-VB–G RAM G transition."

9. Related Topics to Study Next

• MGNREGA, 2005 (predecessor comparison)
• PM Awas Yojana – Gramin (linked housing sanctions in AP)
• Panchayati Raj Institutions & 73rd Amendment (fund devolution)
• Right to Work debates in India
• Rural wage rate/minimum wage policy
• Viksit Bharat @2047 vision
• Centrally Sponsored vs Central Sector Schemes (funding classification)

10. Common Errors / Trap Areas

• It's a repeal-and-replace Act, not an amendment to MGNREGA.
• Guarantee is 125 days, not 100.
• Ministry is Rural Development, not Panchayati Raj/Agriculture (Chouhan holds both RD and Agriculture — don't conflate).
• Distinguish dates: Bill introduced Dec 2025 → assent → in force July 1, 2026 → launch event July 2, 2026.
• AP's ₹7,707 crore package (state-specific) ≠ national ₹7.5 lakh crore 5-year target.