The number of people demanding work every month on average under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) increased to a four-month high of 25.73 million in December, according to the latest data from the government.
This is despite a recovery in rural consumption during the first two quarters of the ongoing fiscal, driven by improved rainfall and the Centre's reliance on higher rural spending to offset declining urban consumption. Besides, the government aims to boost growth during the current fiscal year, which slowed to 5.4% in Q2 FY25, through higher state-backed capital expenditure.
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