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March 10, 2026

Madhya Pradesh Cabinet Approves Rs 33,240 Crore for Welfare Schemes

The CSR Journal Magazine

In a significant decision, Madhya Pradesh Chief Minister Mohan Yadav presided over a cabinet meeting at the Mantralaya on March 10. The council of ministers approved an investment of approximately Rs 33,240 crores aimed at ensuring the continuation of essential schemes and programs spanning seven departments over the next five years. The decision underscores the government’s commitment to sustaining crucial welfare initiatives in the state.

Civil Court Establishment in Singrauli

During the meeting, the Cabinet sanctioned the creation of seven new positions, including a Junior Division Civil Judge, to establish a Civil Court in Chitrangi, located in the Singrauli district. Additionally, six support positions, designated for third- and fourth-class administrative staff, were approved to facilitate the court’s operations.

Funding for Governance Internship Program

The council allocated approximately Rs 190 crores towards the Chief Minister Young Interns for Good Governance Program. This funding is intended to support the initiative over a three-year period. The Department of Public Service Management has been tasked with implementing the program, which includes developing procedures and issuing necessary guidelines to execute its objectives effectively.

Tax Exemption for Persons with Disabilities

The Cabinet approved the continuation of professional tax exemptions for individuals with disabilities as stipulated under the Madhya Pradesh Vritti Kar Act, 1995. This exemption will remain in effect until March 31, 2030, reflecting the government’s commitment to supporting marginalized communities in the state.

Support for Local Products Initiative

Within the scope of the “One District-One Product” initiative, the council approved an allocation of Rs 37.50 crores over the next five years. This funding is designated for financial assistance aimed at the preservation, enhancement, and marketing of unique traditional products across seven selected districts. Notable products include dari and carpets from Sidhi, jaggery from Datia, Chanderi handloom from Ashoknagar, Zari-Zardozi and jute items from Bhopal, Bagh print from Dhar, wooden toys from Sehore, and batik print from Ujjain.

New ESIC Dispensaries for Improved Healthcare

The Cabinet decided to establish three new Employees’ State Insurance Corporation (ESIC) dispensaries located in Maihar, Kaimor (Katni district), and Nimrani (Khargone district). The government will also create 51 positions for doctors and paramedical staff in these facilities. With this initiative, healthcare services will be enhanced for approximately 15,686 registered workers and their 62,744 dependent family members.

Power Sector Funding Initiative

The Cabinet addressed the Revamped Distribution Sector Scheme (RDSS), deciding that the state government will provide the State Goods and Services Tax (SGST) owed on the central share intended for bolstering power distribution infrastructure as equity capital for power distribution companies, rather than as a grant. The amount of Rs 887.91 crores, previously allocated as a loan until November 2024, will transition into equity capital.

Financial Provisions for Multiple Departments

Further financial measures include the provision of Rs 63.76 crores for ongoing public programs and schemes under the Finance Department, applicable for the duration of the 16th Finance Commission (from April 1, 2026, to March 31, 2031). The Cabinet also sanctioned Rs 6,090.12 crores for the continuation of the “Transfer of Mineral Surcharge to the Reserve Fund” program, which will prioritize rural infrastructure and drinking water supply schemes.

Continued Support for Rural Development and Scheduled Tribe Areas

The Cabinet approved Rs 7,127.38 crores to ensure the operation and persistence of schemes under the Panchayat and Rural Development Department until March 31, 2031. Additional provisions include Rs 2,064.62 crores for ten schemes under the Directorate of Planning, Economics, and Statistics, and Rs 1,645 crores for development initiatives and post-matric scholarships in Scheduled Tribe areas, effective from 2026-27 to 2030-31. The Women and Child Development Department will also receive Rs 3,773 crores for various schemes over the same period.

Support for MSME Initiatives

The Cabinet finalized an allocation of Rs 11,361 crores aimed at the continuation of programs within the Micro, Small, and Medium Enterprises (MSME) Department. This includes funding for both the Business Investment Promotion and Facilitation Scheme and the Startup Policy Implementation Scheme for the upcoming five years.

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