
The Union Cabinet chaired by the Prime Minister Shri Narendra Modi today has approved to release an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.07.2026 representing an increase of 3% over the existing rates of 60% of the Basic Pay/Pension, to compensate against price rise.
The combined impact on the exchequer on account of increase in both Dearness Allowance and Dearness Relief would be Rs.10,016.10 crore per annum. This will benefit about 48.54 lakh Central Government employees and 68.71 lakh pensioners.
This increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission.
This report is based on the official release by the Cabinet, issued through the Press Information Bureau, Government of India (28 OCT 2026 3:50PM by PIB Delhi). Read the original: Cabinet approves Dearness Allowance to Central Government employees and Dearness Relief to Pensioners.
How we verified this
VerifiedEvery fact, figure and quotation is taken from the official PIB release (Release ID 2329484) issued by the Cabinet on 28 OCT 2026 3:50PM by PIB Delhi; checked against the source on 28 Oct 2026. Headline and summary written by BDT from that release.
Sources
- 1.Cabinet approves Dearness Allowance to Central Government employees and Dearness Relief to Pensioners — Press Information Bureau, Government of India



