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DA Hike: THIS state govt announces increase in Dearness Allowance by 4%, to focus on rural development
A significant portion of the budget was allocated to infrastructure and agricultural projects, including rural connectivity, river erosion control, and agrarian support measures.
The Trinamool Congress (TMC) government in West Bengal presented a ₹3.89 lakh crore budget for 2025-26 on Wednesday, announcing a 4 per cent hike in Dearness Allowance (DA) for state government employees. The budget emphasised rural development, prioritising infrastructure and welfare initiatives ahead of the 2026 Assembly elections.
A significant portion of the budget was allocated to infrastructure and agricultural projects, including rural connectivity, river erosion control, and agrarian support measures.
This marks the last comprehensive budget of the Mamata Banerjee government before the upcoming state elections. Finance Minister Chandrima Bhattacharya tabled the ₹3.89 lakh crore budget, reflecting an 8 per cent increase from the previous year’s ₹3.67 lakh crore allocation for 2023-24.
Bhattacharya also announced that the DA hike would take effect from April 1, 2025.
With this revision, the total Dearness Allowance (DA) for over 10 lakh state government employees and pensioners will rise to 18 per cent.
The decision seeks to address the concerns of employees who have been demanding improved compensation.
"With this 4 per cent increase in DA, we are reaffirming our commitment to the welfare of our employees," Bhattacharya said, underlining the state's focus on the well-being of its workforce.
During the budget speech, Bhattacharya announced that ₹44,139.65 crore has been earmarked for rural development, making it the highest allocation among all sectors in this year's budget.
Additionally, ₹13,381.68 crore has been allocated to the Urban and Municipal Development Department.
In the 294-seat West Bengal Assembly, rural constituencies hold a majority, with approximately 170 to 180 seats in these areas often playing a crucial role in election outcomes.
Bhattacharya emphasised the rise in funding for several rural-focused initiatives, including the 'Pathashree' road construction scheme and the 'Banglar Bari' housing programme.
For the upcoming fiscal year, ₹1,500 crore has been designated for the Pathashree project, while the Banglar Bari scheme has received an increased allocation of ₹9,600 crore.
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Business NewsNewsIndiaDA Hike: THIS state govt announces increase in Dearness Allowance by 4%, to focus on rural development
First Published:13 Feb 2025, 05:21 PM IST
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