Assam Cabinet Approves Major Development and Welfare Measures
Guwahati, June 5, 2026: The Assam Cabinet, chaired by Chief Minister Himanta Biswa Sarma, approved a series of significant decisions aimed at boosting infrastructure development, strengthening local governance, and providing relief to government employees and pensioners.
State Capital Region to be Established in Dibrugarh
The Cabinet approved the creation of the State Capital Region (SCR) – Dibrugarh along with the State Capital Region Development Authority – Dibrugarh to facilitate the planned and sustainable growth of the city as Assam’s second capital.
The proposed region will cover a 20-kilometre radius around the Dibrugarh Capital Complex within Dibrugarh district. An allocation of ₹500 crore over five years has been earmarked for infrastructure development in the region, in addition to existing projects. The MLA of Dibrugarh will serve as the ex-officio chairman of the authority and will hold Cabinet rank.


MLALAD Fund Enhanced
To ensure balanced development across all constituencies, the Cabinet approved an increase in the MLA Local Area Development (MLALAD) Fund. The allocation per MLA will be raised to ₹1.5 crore annually for the financial year 2026-27 and further increased to ₹2 crore per annum from 2027-28 onwards.
Dearness Allowance and Relief Increased
In a major relief for state government employees and pensioners, the Cabinet approved an increase in Dearness Allowance (DA) and Dearness Relief (DR) from 58% to 60%. The enhanced DA and DR will be released with the salary and pension for June 2026, payable in July 2026.
Promotion Pathway for Grade IV Employees
The Cabinet also approved amendments to the Assam Secondary Education (Provincialised Schools) Service (Amendment) Rules, 2026, paving the way for the promotion of serving Grade IV employees to Grade III positions in provincialised schools. The move is expected to create better career advancement opportunities for employees in the education sector.
The decisions reflect the Assam government’s focus on regional development, employee welfare, and administrative reforms aimed at accelerating the state’s growth trajectory.


