Finance
The Union Cabinet on Friday approved the extension of the Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) scheme for another five years, from 2026-27 to 2030-31, with a financial outlay of Rs 3.15 lakh crore, reaffirming the Centre’s commitment to providing direct income support to farmers throughout the country.
The decision was made during a Cabinet meeting chaired by Prime Minister Narendra Modi. The Ministry of Agriculture and Farmers Welfare stated that the extension would provide ongoing financial assistance to eligible farmer families while increasing agricultural investment and enhancing rural livelihoods.
The PM-KISAN plan, launched in February 2019, offers qualified landholding farmer households with Rs 6,000 per year in three equal installments via the Direct Benefit Transfer (DBT) method. The ministry stated that Aadhaar-based authentication, digital verification, and the DBT platform have enabled the transparent and efficient transfer of benefits straight into beneficiaries’ bank accounts.
According to the ministry, around Rs 4.47 lakh crore has been disbursed to farmers in 23 instalments since the scheme’s inception. More than 9.49 lakh farmers received around Rs 18,984 crore in the 23rd instalment. During the COVID-19 epidemic, the initiative distributed more over Rs 1.71 lakh crore to the farming community.
The government also stated that women farmers had received more than Rs 1.06 lakh crore through the initiative, with roughly one out of every four beneficiaries being female farmers.
Officials stated that the financial assistance has enabled farmers to make timely investments in seeds, fertilizers, irrigation systems, agricultural machinery, and other farming inputs, lowering reliance on informal lending sources and enhancing rural households’ financial stability.
The government cited an evaluation by NITI Aayog’s Development Monitoring and Evaluation Office (DMEO), which concluded that more than 92% of beneficiaries used the aid for agricultural activities and investments. Approximately 85% reported increased farm revenue and reduced dependency on informal borrowing.
The ministry also stated that between 2020-21 and 2025-26, the area under cultivation increased by approximately 9.65 percent, agricultural productivity increased by about 10.53 percent, and total foodgrain production increased by approximately 21.18 percent, owing to ongoing support measures such as PM-KISAN.
The ministry described the initiative as a major example of Digital India’s governance paradigm, stating that Aadhaar-enabled identification and digital beneficiary verification ensured transparent benefit delivery while increasing farmers’ confidence and capacity to engage in agriculture.
It added that the extension of PM-KISAN is projected to further increase agricultural productivity, minimize farming risks, and contribute to the growth of the rural economy, while retaining a key component of the government’s goal to empower farmers and support the vision of a developed India.
