The Hindu : New Delhi News : Rs. 10,500 crore more allocated for NREGA

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Thursday, Oct 23, 2008
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Rs. 10,500 crore more allocated for NREGA

Special Correspondent

NEW DELHI: In view of the growing popularity of the employment scheme under the National Rural Employment Guarantee Act (NREGA), the Centre has increased the allocation for the scheme by a whopping Rs. 10,500 crore for the current financial year.

In addition to the budgetary provision of Rs. 16,000 crore, the United Progressive Alliance (UPA) government made an emergent allocation in its supplementary demand tabled in Parliament — an increase of over 65 per cent for the scheme. The official note said that the allocation had been made to meet additional requirements under the scheme.

The Union Rural Development Department had sought additional funds in the wake of State governments’ clamour for more money to provide the 100-days employment guaranteed to below poverty level families each year. The department virtually ran short of money and found it difficult to sanction the funds demanded by the States.

‘Uplift of rural poor’

As a matter of fact, the UPA government not only agreed to the department’s demand of Rs. 8,000 crore but allocated Rs. 2,500 crore more, sources said, underlining the UPA’s commitment to uplift the rural poor and, at the same time, thwart any impact of the global financial crisis on the economy.

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