The Narendra Modi-led Union Cabinet approved several major proposals at its meeting on July 31, 2026, including the extension of the PM-KISAN scheme for five years and the launch of the Pradhan Mantri Surya Sarovar Yojana. However, there was no decision or discussion on the pending Dearness Allowance (DA) hike for central government employees for the July-December half-year, according to the supplied report.
Central Employees DA Hike: No Decision in July 31 Cabinet Meeting
Central government employees are currently awaiting the government’s decision on the DA revision for the July-December period. The report states that the Cabinet meeting held on July 31 did not include any decision or discussion regarding the DA increase.
Typically, the government announces DA revisions around September or October. The report suggests that the DA hike could also be announced in October this year.
At present, central government employees are receiving DA at 60%. A hike of around 3% to 4% is being expected, although no official decision on the increase was announced at the July 31 Cabinet meeting.
PM-KISAN Scheme Extended Till 2030-31
The Union Cabinet approved the extension of the PM-KISAN scheme for another five years, up to financial year 2030-31. The extension involves an expenditure of ₹3,15,614 crore.
Launched on February 24, 2019, the Pradhan Mantri Kisan Samman Nidhi provides assured income support to eligible farmer families across the country.
Under the scheme, each eligible farmer family receives ₹6,000 annually through Direct Benefit Transfer. The amount is paid in three equal instalments of ₹2,000 each into Aadhaar-linked bank accounts.
Pradhan Mantri Surya Sarovar Yojana Approved
The Cabinet approved the Pradhan Mantri Surya Sarovar Yojana with an estimated expenditure of ₹5,070 crore.
The scheme aims to develop solar power projects installed on reservoirs along with energy storage systems. It will support the development of 5,000 MW of floating solar projects with at least two hours of energy storage capacity, equivalent to 10,000 MWh.
Projects under the scheme will be approved between financial years 2026-27 and 2030-31, while financial assistance will continue to be disbursed until 2032-33.
The scheme is expected to reduce carbon dioxide emissions by around one crore tonnes every year and generate approximately 16,000 to 17,000 employment opportunities across the project value chain.
Samudra Manthan Scheme Gets Cabinet Approval
The Union Cabinet also approved the ₹84,084 crore Samudra Manthan national offshore exploration scheme.
The scheme is aimed at partially supporting oil and gas exploration in deep-sea areas, drilling of wells and the development of shared infrastructure for new discoveries. It will be implemented under the Ministry of Petroleum and Natural Gas.
Under the scheme, financial assistance of up to ₹650 crore can be provided for drilling each well in deep-sea and ultra-deep-sea areas. The objective is to increase domestic oil and gas production and reduce dependence on imports.
Khelo India Scheme to Get ₹29,054 Crore
The Cabinet approved an overall expenditure of ₹36,441 crore over the next five years for the expansion of the Khelo India scheme and assistance to National Sports Federations (NSFs).
Of this amount, ₹29,054 crore has been allocated to the Khelo India scheme. The programme aims to identify talented athletes at the grassroots level and help develop them for international competition.
The government intends to use the programme to strengthen India’s position as a global sporting hub, including in the context of its bid to host the 2030 Commonwealth Games and the 2036 Olympic Games.
Another ₹7,387 crore has been earmarked over the next five years as assistance for National Sports Federations.
8th Pay Commission: No Decision Yet on Fitment Factor
The issue of DA comes amid continued interest among central government employees in the recommendations of the 8th Central Pay Commission.
According to the supplied report, the government recently clarified in Parliament that the 8th Central Pay Commission is independent and that no decision has been taken on the fitment factor so far.
Minister of State for Finance Pankaj Chaudhary said in the Rajya Sabha that the government had notified the constitution and terms of reference of the 8th Central Pay Commission on November 3, 2025.
He said the resolution dated November 3, 2025, specifies that the 8th Central Pay Commission will determine its own procedure.
The fitment factor is the multiplier used to revise the basic pay of central government employees when recommendations of a new Pay Commission are implemented.
What Central Government Employees Should Know About DA
For now, there has been no DA hike announcement from the July 31 Cabinet meeting. The current DA rate remains 60%, while expectations of a 3% to 4% increase have been reported.
The next possible announcement is generally expected around September or October, but the supplied material does not establish a confirmed date for the next DA decision.
