The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) is a social welfare scheme enacted by the Indian government in 2005 to provide livelihood security in rural areas. It aims to enhance the economic well-being of the rural population by guaranteeing at least 100 days of wage employment in a financial year to every rural household that demands work. The scheme is considered one of the world’s largest social safety nets, addressing rural poverty and unemployment while promoting inclusive growth.

MGNREGA provides unskilled manual work, primarily focusing on building durable assets like roads, canals, ponds, and wells. It emphasizes sustainable development by supporting activities related to water conservation, drought proofing, irrigation, and afforestation. The act mandates equal wages for men and women and prioritizes employment opportunities for marginalized communities, including Scheduled Castes, Scheduled Tribes, and women. It also includes provisions for timely wage payments, worksite facilities, and transparency measures such as social audits.

The scheme is implemented at the grassroots level through Gram Panchayats (village councils), with funds being directly transferred to the beneficiaries' bank accounts. MGNREGA has been praised for its role in reducing rural distress, improving rural infrastructure, empowering women, and preventing migration to urban areas. It has also been a critical lifeline during crises, such as droughts, economic downturns, and the COVID-19 pandemic.

Despite its successes, MGNREGA faces challenges like delayed wage payments, corruption, and inadequate funding. Efforts are ongoing to enhance digital monitoring, increase transparency, and ensure better implementation of the scheme to maximize its impact.