The Union Cabinet has approved a 2% increase in dearness allowance for central government employees and dearness relief for pensioners, aiming to cushion rising inflation. It has also extended the validity of PMGSY-III and increased funding, with an outlay of over ₹83,000 crore to accelerate rural road development and connectivity.
The Union Cabinet has extended the Pradhan Mantri Gram Sadak Yojana-III timeline to March 2028 for plain areas and March 2029 for mountainous regions. The revised outlay is set at Rs 83,977 crore, with the government citing improved market access and lower transport costs as key drivers to strengthen rural livelihoods and economic activity.
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