The Bihar cabinet has approved significant Dearness Allowance increases for state employees and pensioners, with rates varying based on different Central Pay Commissions. According to Cabinet Secretariat Department Additional Chief Secretary Arvind Kumar Chaudhary, employees and pensioners under the 6th Central Pay Commission will receive a 5 percentage points hike, raising DA from 257% to 262%. For employees under the 5th Central Pay Commission, DA has been increased by 9 percentage points, from 474% to 483%. Those under the 7th Central Pay Commission will receive a 2 percentage point hike, raising DA from 58% to 60%. The revised DA will be effective from January 1, 2026, as reported by Mint.
The new DA hike will be effective from January 1, 2026, as reported by Mint. This marks one of the first major financial decisions taken by the Samrat Choudhary government, which assumed office on April 15 after former Chief Minister Nitish Kumar resigned to contest the Rajya Sabha elections. The meeting was chaired by Chief Minister Samrat Choudhary at the state secretariat in Patna and attended by all 34 ministers. Choudhary is the first BJP leader to hold the chief minister's post in Bihar. The decision will benefit nearly nine lakh government employees under the revised pay structure.
The cabinet meeting approved 18 significant proposals in total, covering various sectors and initiatives. As reported by United News of India, the cabinet cleared a private investment proposal to set up a dairy plant at the Industrial Area in the Sikandarpur Bihta cluster in Patna district, with an estimated investment of ₹97.17 crore. The project will produce 84,000 litres per day of full cream milk, 36,000 litres of toned milk, 60,000 litres of curd, 20,000 litres of buttermilk and 1,980 litres of butter daily, generating employment for 170 skilled and unskilled workers. The cabinet also approved the transfer of 100 acres of land to the Government of India's Food Processing Industries ministry for setting up the National Institute of Food Technology, Entrepreneurship and Management (NIFTEM) in Vaishali district.
The cabinet approved the establishment of the Bihar Artificial Intelligence Mission, marking a significant step in the state's digital transformation. As part of the initiative, Singapore-based Global Finance and Technology Network (GFTN) has been selected to help develop Bihar's AI ecosystem, skill development and innovation initiatives. With support from GFTN and the National University of Singapore-Asian Institute of Digital Finance (NUS-AIDF), a five-month advanced AI certification programme will be launched to train around 7,000 undergraduate and postgraduate students over the next five years. The initiative will also include the establishment of an AI and quantum-enabled digital sandbox platform named the Aryabhata Technology Observatory, involving over 100 start-ups. The government said Bihar would be showcased before global investors, technology firms and policymakers through international platforms organised by GFTN, including the Singapore FinTech Festival and Point Zero Forum in Zurich.
The cabinet approved significant expansion in higher education infrastructure, including creation of 132 new posts in colleges and strengthening of the higher education system across the state. These decisions are expected to improve teaching capacity and academic infrastructure. Additionally, the cabinet approved creation of rural SP posts in five districts to strengthen law and order capabilities. Major infrastructure and land-related decisions include land allocation for CISF training centre in Kishanganj (110 acres+) and approval of a large-scale borrowing plan worth ₹72,901 crore for FY 2026–27. The latest cabinet meeting reflects Bihar government's focus on a multi-sector development strategy combining economic reforms, industrial growth, digital transformation, clean energy adoption, and social welfare measures.
