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Assam Cabinet Approves 2% DA Hike and Creates Dibrugarh Second Capital Authority

The package pairs immediate pay relief for public workers with dedicated funding and an authority to accelerate planned urban development in Dibrugarh.

Overview

  • The cabinet approved a two-percentage-point rise in Dearness Allowance and Dearness Relief from 58% to 60%, a change announced after the June 5 cabinet meeting that will benefit more than eight lakh serving employees and pensioners.
  • The DA/DR increase takes effect immediately and will be reflected in June salaries and pensions with payments disbursed in the July payroll cycle.
  • The government created the Second State Capital Region for Dibrugarh covering a 20‑kilometre radius and set up the Second State Capital Region Development Authority, Dibrugarh (SCRDA‑D) to prepare regional plans and guide urban expansion.
  • A dedicated Rs 500 crore fund has been earmarked for the Dibrugarh region to be spent over five years through line departments and the Dibrugarh MLA Prasanta Phukan was named interim ex‑officio chair of SCRDA‑D with cabinet rank.
  • The cabinet raised the annual MLA Local Area Development fund to Rs 1.5 crore for 2026–27 and to Rs 2 crore from 2027–28 with up to 10% allowed for immediate community or welfare items, approved promotion rules for Grade IV school staff, and scheduled the Assembly Budget Session from July 6 so a full budget can be passed and schemes resume normal funding from August 1.