Skip to content
Free updates Login
SSCUPSC & State PSCNABARD / RBI

NREGS Wage Hike Likely Small in FY26

17 April 20251 min read
NATIONAL AFFAIRSNREGS Wage HikeLikely Small inFY2617 April 2025safalsetu.com

Why in the news

Reports said the government would keep the NREGS wage revision small in FY26, ignoring calls for a sharp rise.

Key facts

  • Expected hike: only the usual 2-7%; a big jump could fuel inflation and complicate fiscal and monetary management.
  • Most states pay under ₹300 a day; only Haryana pays ₹400.
  • FY26 allocation: ₹86,000 crore, same as FY25.

Recommendations

  • Rural Development panel (chair Saptagiri Sankar Ulaka): at least ₹400 a day and 150 workdays instead of 100.
  • Sinha committee 2023 (Amarjeet Sinha): substantial wage rise and more budget; not implemented.

Government stance

The Centre will not accept the panel’s proposals in full and may review implementation instead; NITI Aayog is evaluating the scheme.

Significance

NREGS wages benchmark rural pay; higher wages lift demand but add inflation risk.

Test yourself

1. Which state pays an NREGS wage of ₹400 per day, per the notes?

Only Haryana pays ₹400 a day.

2. What annual workdays did the parliamentary panel recommend under NREGS?

It sought an increase from 100 to 150 days.

3. What is the NREGS budget for FY26 mentioned in the notes?

The FY26 budget is ₹86,000 crore, same as FY25.

This topic is part of Daily Current Affairs 17 April 2025 (21 topics).

All topics of the dayDay quizApril 2025

Read more