Union Cabinet Greenlights DA Hike and Agriculture Initiatives

The Union Cabinet, under Prime Minister Narendra Modi's leadership, has sanctioned a 3% hike in Dearness Allowance (DA) for Central Government employees and Dearness Relief (DR) for pensioners, effective from July 1, 2025. This adjustment will elevate the existing rate from 55% to 58% of the basic pay or pension, as outlined in a Cabinet release.

This adjustment, aimed at counterbalancing inflation, is set to benefit approximately 49.19 lakh Central Government employees and 68.72 lakh pensioners. The move is anticipated to have a considerable financial impact, with an estimated cost of Rs 10,083.96 crore annually on the exchequer.

The DA revision adheres to the 7th Central Pay Commission's recommendations. In parallel, the Cabinet has greenlit the 'Mission for Aatmanirbharta in Pulses', intending to bolster domestic pulse production and self-sufficiency. Spanning six years from 2025-26 to 2030-31, the mission will see a financial allocation of Rs 11,440 crore. Furthermore, the Cabinet Committee on Economic Affairs (CCEA), presided over by PM Modi, has endorsed the increment in Minimum Support Prices (MSP) for all mandated Rabi Crops for the 2026-27 marketing season.

The government has enhanced the MSP for Rabi Crops of the 2026-27 Marketing Season to ensure growers receive fair prices for their produce. The most notable MSP increase is for Safflower at Rs 600 per quintal, followed by Lentil (Masur) at Rs 300 per quintal. Increases of Rs 250, Rs 225, Rs 170, and Rs 160 per quintal have been set for Rapeseed & Mustard, gram, barley, and wheat, respectively.