The Union cabinet is learnt to have cleared the proposal of 4 per cent hike in dearness allowance (DA) of the central government employees and pensioners, in what may come as a Diwali gift for them.
The cabinet, which met earlier in the day, is learnt to have cleared the decision, sources said.
The last hike in DA was effected in March 2023.
The cabinet is also learnt to have cleared the proposal of hiking the minimum support price (MSP) for six Rabi crops, including wheat and Red Lentil (Masur) by up to 7 per cent, sources informed further.
Further details were awaited.