IIED is supporting the world’s largest works-based social protection scheme, the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), to deliver climate resilience impacts for vulnerable rural communities in India
January 7, 2021
Rejected payments continue to hamper the Mahatma Gandhi National Rural Employment Guarantee (MNREGA) program due to authentication failures or bank/payment system problems, a report by LibTech India said. In the last five years, at least ₹5,000 crore payments to MNREGA beneficiaries were rejected due to fundamental issues in how the government has implemented digital payments and Aadhaar authentication for the scheme, it said.
The survey covering 1947 respondents across four blocks in three states, Andhra Pradesh, Rajasthan and Jharkhand, found that issues with Aadhaar seeding has lead to the exclusion of many MNREGA from accessing their wage
. The report found that 30% of all the surveyed people experienced at least 3 biometric failures in the last 5 transactions they made to withdraw their MNREGA wages whether through banks, ATMs, Banking Correspondents (BCs) or Customer Service Points (CSPs).
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