With the Centre yet to notify the formula for determining State‑wise normative allocations under the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025, at least 24 States and Union Territories have nevertheless earmarked funds for the new rural employment programme.
Under the Act, States must bear 40% of the scheme’s expenditure, except in the northeastern and hilly States and UTs such as Jammu & Kashmir, which receive a relaxation.
VB-G RAM G: when a policy shift meets rural realities
Union Rural Development Minister Shivraj Singh Chouhan informed the Rajya Sabha on Tuesday (March 17, 2026) that 27 States and UTs are making provisions for the new scheme, though he read out allocations for only 24 of them, amounting to a little over ₹31,000 crore. The Union Budget for 2026‑27 has set aside ₹95,652 crore as the Centre’s share.
Responding to criticism that States may struggle to shoulder their share of the financial burden, Mr. Chouhan highlighted that even Congress‑ruled Himachal Pradesh, despite its opposition to the Act, has allocated ₹143 crore. Karnataka, he noted, is the only major outlier. “Many members asked where States will find the money. I am only addressing their anxiety,” he said.
