Only the 6% of the total fund which is allocated in the Mnrega is used for the administrative purpose. It is one of the lowest administrative expense for a program in our Country. The recent Government initiative to block this employment Yozana which is functional all around the Country and their priority for a different kind of development model which is lead by the big corporate house will not only destroy the rural economy but will lead to economy stagnation. The recent condition of drought which are forcing the people to find employment opportunity outside agriculture are making the thing more worst and will lead to large scale migration towards the urban belt.
The decentralization of the monetary power at the village level with the help of the Panchyati raj institution and the drastic change which comes in the village economy through the transfer of the Mnrega fund can be observed everywhere. It boosted the confidence level in millions of the Panchyati raj representative all across the country and gives them a chance to have a say in the developmental process and democratize the financial system to the lowest level in the Governance.
The taste of real financial liberty at the Panchyat level comes through the Mnrega in most of the Rural India. It transfer huge amount of money directly in the economy of the village market and boosted the spending power of the millions of people who are living at the bay of the society, but the focus of the Government has shifted in last two year. The pumping of the money in the rural economy has totally stop and its bad impact can be seen everywhere these days.