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MGNREGA Work Demand Declines in April 2025

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RBI Grade BNABARD ESISEBI

Work Demand Overview

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  • Demand Decrease: In April 2025, households demanding work under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) stood at 20.1 million, reflecting a 6.6% decrease compared to April 2024.
  • Historical Comparison: This figure is the lowest for April since 2020-21. However, it is still higher than pre-Covid levels, although the gap between current demand and pre-Covid demand is narrowing.

Year-on-Year and Sequential Trends

  • Year-on-Year Drop: The demand for work in April 2025 showed a decline compared to the same month in the previous year.
  • Sequential Growth: Despite the year-on-year decline, the demand in April 2025 was higher than in March 2025, indicating a sequential increase in work demand.

Financial Allocation and Labour Budget

  • Union Budget Allocation: The Union Budget for FY26 allocated ₹86,000 crore for MGNREGA, maintaining the same amount as the Revised and Budget Estimates for the previous year.
  • Approved Labour Budget: The approved labour budget for FY26 is around 199 crore person-days, which is 18.44% lower than the actual labour budget for FY25.

This reflects the ongoing trend of fluctuating demand for work under the scheme, despite consistent financial support from the government.

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