NationalThursday, 29 October 2026·The Hindu - National
Cabinet clears 3% DA hike for central employees, CMPS and Viksit Gram Swaraj funding
The Union Cabinet approved a 3% DA/DR hike effective from 1 July 2026, along with the ₹10,000-crore Container Manufacturing Promotion Scheme and ₹7,395 crore for PM Viksit Gram Swaraj Yojana.
Key highlights
Direct fact
In October 2026, the Union Cabinet headed by Prime Minister Narendra Modi approved a 3% hike in dearness allowance and dearness relief, effective from 1 July 2026, for 1.17 crore central government employees and pensioners in New Delhi.
Key specifics
- Beneficiaries: 48.54 lakh employees and 68.71 lakh pensioners, together crossing 1.17 crore.
- Effective date: 1 July 2026, though the approval was announced on 28 October 2026.
- Container Manufacturing Promotion Scheme (CMPS): ₹10,000 crore budgetary outlay up to FY40.
- Pradhan Mantri Viksit Gram Swaraj Yojana: ₹7,395 crore allocation approved by the Cabinet.
- Announcement was made by Information and Broadcasting Minister Ashwini Vaishnaw in New Delhi.
Exam lens
Question type: Economy and governance current affairs, key facts: 3% DA/DR hike, 1 July 2026, 1.17 crore beneficiaries, ₹10,000 crore CMPS, ₹7,395 crore PM Viksit Gram Swaraj Yojana. TNPSC may ask which scheme got the budgetary outlay or the effective date of the allowance revision.