The integration of NREGA in the Rural Economy –The Success and the Challenges

The legal measure is the NREGA that was passed in 2005 to offer at least 100 days of wage employment every year for rural households. However it has yielded positive results especially to rural people and it also has challenges.

Major Successes:

1. Employment Generation:
It has opened a source of income for millions of people and women, Scheduled Castes, Scheduled Tribs who are considered socially inferior in India.

2. Reducing Rural Distress: –
– NREGA has provided remedy to rural poverty and migration by giving employment nearer to the place.

3. Asset Creation:
Commissioned works like water conservation, irrigation canals, roads etc have built up physically as well as productivity improvement of rural areas.

4. Women Empowerment:
It has provided the women of this country with economic opportunity and social status as more than fifty per cent participation is of women.

Main Challenges:

1. Delayed Payment of Wages:
Employers also take time to pay the wages that is questionable for the whole concept.

2. Corruption and Mismanagement:
Challenges like ghost beneficiaries, fake job cards and fund embezzlement are some of the benchmarks which hinder the right implementation.

3. Inadequate Work Distribution:
– Some states actually offer less than the expected 100 days of work to contractors which leads to underemployment.

4. Lack of Awareness:
Many of them have no clue as to what the Act enshrines for their benefits.

Conclusion:
Despite the increased employment and developments in rural physical infrastructures required by NREGA, the Act still requires challenges like corruption, payment delays, and lack of awareness so that the Act would not need them in future.