In its first meeting of the new term on Friday evening, Prime Minister Narendra Modi’s cabinet, decided to extend PM-KISAN scheme to all 14.5 crore farmers in the country costing Rs 87,000 crore a year and also announced over Rs 10,000 crore pension scheme for 5 crore farmers, thereby fulfilling the BJP’s poll promise.
The Modi government in a major push to boost rural consumption extended ambit of Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) to all land holding eligible farmer families who will avail benefits under the scheme (but subject to existing exclusion factor).
It was announced in the interim Budget for the year 2019-2020 and launched on 24th February 2019 in Gorakhpur, Uttar Pradesh where the first rounds of instalments was paid to several farmers. In the Rs 75,000-crore Pradhan Mantri Kisan Samman Siddhi (PMKSS)scheme, it was decided to provide Rs 6,000 per year (in three equal instalments) to an estimated 12.5 crore small and marginal farmers holding land up to 2 hectares. The government so far distributed first instalment to 3.11 crore beneficiaries and second instalment to 2.66 crore beneficiaries into their bank accounts through Direct Benefit Transfer mode.
The revised Scheme is expected to cover around 2 crore more farmers, increasing the coverage of PM-KISAN to around 14.5 crore beneficiaries, with an estimated expenditure by Central Government of Rs 87,217.50 crores for year 2019-20.