President gives assent to VB-G RAM Bill 2025 replacing MGNREGA

Current Context: On 20 Dec 2025, President Droupadi Murmu gave assent to the VB–G RAM G Act, 2025, notified on 21 Dec 2025.

• It replaces Mahatma Gandhi National Rural Employment Guarantee Act (2005), marking a major rural employment reform.
• Workdays increased: households now guaranteed 125 days of wage employment per year.
• Funding pattern revised: Centre–State sharing (60:40), special ratios for NE/Himalayan States (90:10), and full Centre funding for UTs.
• States may declare an agricultural pause of up to 60 days during sowing/harvesting seasons.
• The scheme shifts from demand-driven to budget-capped allocations, with excess costs borne by States.
• Focus narrowed to four verticals: water security, rural infrastructure, livelihood infra, and climate resilience, backed by digital monitoring tools.

Question:

Q.1 The VB–G RAM G Act, 2025 replaced which earlier legislation?
a) National Rural Livelihood Mission Act, 2011
b) Mahatma Gandhi National Rural Employment Guarantee Act, 2005
c) Rural Infrastructure Development Act, 2006
d) PM Gram Sadak Yojana Guidelines

Answer: b) VB–G RAM G Act is a statutory replacement of the Mahatma Gandhi National Rural Employment Guarantee Act, 2005, not just a modification.