New Delhi: Rural employment scheme MNREGA is facing shortage of funds despite the highest ever budgetary allocation to the programme this year, and the Rural Development Ministry is now seeking an additional Rs 10,000 crore for its smooth functioning.

"In the budget about Rs 43,499 crore was allocated for Mahatma Gandhi National Rural Employment Guarantee Act (MNREGA) this year, out of which Rs 36,134 has been released so far to the states," a source said The Rural Development Ministry has also cleared about Rs 12,581 crore outstanding of the last year. For smooth operations of the programme this year, the ministry has sought additional Rs 10,000 crore over and above the budgetary allocation, the source added.