Abstract: MGNREGA is an ambitious scheme providing employment to rural people of India. The basic aim of Mahatma Gandhi National Rural Employment Guarantee Act is to enhance livelihood security of household in rural area. By this scheme Govt. gives assurance of employment to unskilled rural laborer for 100 days. With better implementation such type of scheme may be an effective weapon to fight against poverty. It also aims at transforming the rural areas by improving the socio-economic conditions of people. Rural economy is the back-bone of Indian economic development. Providing employment to rural households will certainly boost the economy. It increases demand for goods and services. In this article an effort has been made to analyses the socio-economic impact of MGNREGA scheme on the life of beneficiaries of Dungarpur district. The findings of the study revealed that the programme has brought the change in the lives of the beneficiaries. Though it is always a debatable issue that such changes, by MGNREGA are sustainable or temporary.