Notwithstanding apprehensions expressed by rural development minister Jairam Ramesh on the proposal of giving grain as part payment of wages under the National Rural Employment Guarantee Act, food minister KV Thomas  on Sunday continued to support the idea. Thomas said, “There is enough surplus grain to be given to poor families.” In a recent letter to the Jairam Ramesh, Thomas had made the proposal, which he said would also help ease...

A Comptroller and Auditor-General of India report has expressed dismay over the rising share of funds disbursed by various ministries to local bodies and NGOs in 2010-11. The CAG report on the accounts of the Union government was tabled in Parliament on Tuesday. "An analysis of plan expenditure revealed that 77% of the total plan expenditure was in the form of grants-in-aid payment,'' the report stated. "In five of the ten...

Difficult times call for difficult measures. Pushed into a corner by an unsustainable fiscal deficit and various sectors and programs (including the proposed food security legislation) screaming for a greater share of the budget pie, the Congress-led United Progressive Alliance (UPA) government in India has been forced to do what it might not have otherwise—reduce its marquee job guarantee scheme’s allocation in a big way for the first time.  In one...

Central bank sold its majority stake in Oct 2010; change will ensure entire equity  is held by the govt The government will amend a law governing the National Bank for Agriculture and Rural Development (Nabard) to allow the Reserve Bank of India (RBI) to sell its 1% stake in the development lender. The central bank sold its majority stake in the lender to the government in October 2010. The government owns 99%...

-The Economic Times The rural development ministry has deepened its engagement with the Comptroller and Auditor-General. After the performance audit of NREGA, CAG will take up an audit of the Indira Awas Yojna. The audit of the Mahatma Gandhi National Rural Employment Guarantee Scheme which has an annual budget of 40,000 crore covers the period between 2007 and 2011. Rural development minister Jairam Rameshwill submit the report this winter session. "Every year, CAG...