Industry & Economy
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Budget
Tackling unemployment
The National Rural Employment Guarantee Scheme (NREGS) was launched on February 2, 2006. The pace of implementation varies from State to State. Since NREGS is a demand-driven scheme carrying a legal guarantee of employment, the Budget allocation would have to be supplemented according to need. I, therefore, propose to make an initial allocation of Rs 12,000 crore (including NER component) for NREGS. I am also happy to announce that NREGS will be expanded from the current level of 200 districts to 330. In addition, I have provided Rs 2,800 crore for Sampoorna Gramin Rozgar Yojana (SGRY) for rural employment in the districts not covered by NREGS. Swaranjayanti Gram Swarozgar Yojana (SGSY) is intended to promote self-employment among the rural poor through self-help groups (SHG). I propose to strengthen this programme by increasing the allocation from Rs 1,200 crore in the current year to Rs 1,800 crore (including NER component) next year. The issue of urban unemployment and poverty alleviation is equally critical. Hence, I propose to increase the allocation for Swarna Jayanti Shahari Rojgar Yojana from Rs 250 crore in 2006-07 to Rs 344 crore next year.
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