Assam Cabinet Approves Dibrugarh Capital Expansion and Employee Pay Hikes

Photo Courtesy: nenews

Guwahati: The Assam Cabinet has officially designated Dibrugarh as the state's second capital region, marking a major shift in infrastructure planning. During a meeting at Lok Sewa Bhawan in Guwahati, Chief Minister Himanta Biswa Sarma announced the creation of the State Capital Region Development Authority to oversee the area, which will span a 20-kilometre radius around the Dibrugarh Capital Complex.

To support this expansion, the government has earmarked Rs 500 crore over the next five years for development projects. The local MLA will serve as the ex-officio chairman of the development authority and will hold Cabinet rank. According to CM Sarma, the initiative aims to facilitate the planned and sustainable development of Dibrugarh as Assam's second capital.

State employees and pensioners will also see financial gains, as the Cabinet approved a two-percentage-point increase in Dearness Allowance and Dearness Relief, raising both from 58 per cent to 60 per cent. This change impacts over eight lakh beneficiaries, with the enhanced rates set to be disbursed with June 2026 salaries and pensions in July.

Legislators across the state will receive a boost in the MLA Local Area Development Fund, which will rise to Rs 1.5 crore for the 2026-27 financial year and reach Rs 2 crore annually starting in 2027-28. New guidelines also allow MLAs to spend 10 per cent of their allocation on purchasing equipment for community, sports, and disability support.

Additionally, the cabinet amended the Assam Secondary Education Service Rules, 2026, to create a structured path for promoting Grade IV staff to Grade III positions in provincialised secondary schools.

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