VB-G RAM G Bill, 2025
The
Viksit Bharat Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB-G RAM G)
Bill, 2025 is a subtle reorientation of India’s rural development strategy. The
Act is institutionally built on the learnings of the Mahatma Gandhi National
Rural Employment Guarantee Act (MNREGA), but it moves beyond employment
creation to productivity gains, asset quality management and local economic
integration.
What new does the VB-G RAM-G Bill Offers?
MNREGA
primarily was envisaged as an employment guarantee programme, providing income support
to rural population. On the measures such as water conversation, land development
was important but secondary. On the contrary, the VB-G RAM-G Bill repositions this
asset creation on the priority rather than providing standalone relief measures.
Also
Read: https://www.policyprism02.in/2025/11/additions-to-pmfby.html
Table 1 below provides a clear distinction of the two schemes in details-
Table 2 shows Key Features of VB-G RAM-G Bill and its economic significance
What is the need for VB-G RAM-G?
- Studies found that yearly spendings under MNREGA that provided around 3-billion-person days, weakly correlated with sustained income growth. (https://cag.gov.in/en/audit-report/details/704)
- Only a fraction of MNREGA assets were fully utilized. This gives very limited productivity gains in the longer term. (https://www.researchgate.net/publication/363654300_Impact_Assessment_of_MGNREGA_on_Income_Generation_and_Consumption_Expenditure_in_Himachal_Pradesh)
- Data suggests that agriculture absorbs around 50 per cent of the rural workforce while contributing just 10-15 per cent to GDP, emphasizing the need for productivity led growth.
What to look for under VB-G RAM-G to make it a success?
- Productivity gains - reduced volatility in yields, increased utilization rate of assets
- Employment and Labor - Growth in non-farm rural employment, reduction in distress migration and increase in average earnings per worker
- Market Realization - Increased farm-gate prices, increased share of yields entering organized value chains
Way Forward
From
employment generation to productivity led growth, the new VB-G RAM-G bill
provides a fresh new perspective of doubling farmer’s income besides creating a
long-term investment and infrastructural growth for the nation. If succeeded,
the new bill can mark a genuine shift from welfare-based spending to structural
rural transformation, eventually taking India’s growth to newer heights through
multiplier effects.
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