Addressing Rural Unemployment through Policy Initiatives: A Critical Review of MGNREGA and PMEGP

This paper evaluates the effectiveness of two major government schemes aimed at tackling rural unemployment in Rajasthan: The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) and the Prime Minister’s Employment Generation Programme (PMEGP). MGNREGA primarily provides wage employment, offering immediate relief to rural households during off-seasons, while PMEGP encourages self-employment by promoting entrepreneurship and micro-enterprises. Despite the positive impacts of these schemes on rural economies, challenges such as bureaucratic delays, inadequate financial access, limited training programs, and social barriers hinder their full effectiveness. This paper analyzes the policy frameworks of MGNREGA and PMEGP, identifies their key strengths and limitations, and provides recommendations for improving their implementation and outcomes. The study highlights the importance of addressing gender disparities, enhancing financial support mechanisms, and incorporating technological solutions for better monitoring and transparency. Ultimately, the paper suggests that a more inclusive, efficient, and transparent approach will significantly enhance the potential of these schemes to reduce unemployment and foster sustainable rural development in Rajasthan.