Maharashtra govt nod for 29% DA

The state government today issued a notification approving 29 per cent dearness allowance (DA) of the basic salary on the lines of central government for its employee on Wednesday.

The hike in the DA will be applicable from September and it will put a burden of around Rs 80 crore on the state government exchequer.

Ever since the Centre announced an increase in the DA to 29 per cent of the basic from 24 per cent in July this year, there was tremendous pressure on the state government by the employees.

Meanwhile, the state cabinet has given its nod to extend the deadline for giving interest on farmers' deposits with the Cotton Monopoly Purchase Corporation (CMPC) till March 31.

After the state decided to wind up CMPC last year, it announced to return the deposits of farmers with the corporation and pay interest up to March 31, 2004, on these deposits. The fresh decision will put a burden of nearly Rs 107.52 crore on the state treasury.

The state cabinet also approved the proposal to set up a separate statutory development board for northern Maharashtra.