Patna: The Bihar government has approved a series of major economic, technological and environmental measures for the 2026-27 financial year, including borrowings worth Rs 72,901.30 crore, a rise in dearness allowance for government employees and new initiatives linked to electric vehicles and artificial intelligence.
The decisions were approved during a state cabinet meeting held on Wednesday under the chairmanship of chief minister Samrat Choudhary. Officials said a total of 19 proposals were cleared during the meeting.
Dearness Allowance Increased By 2%
The Bihar government approved a 2% increase in Dearness Allowance (DA) for state government employees, pensioners and family pensioners with effect from January 1, 2026.
Under the revised structure:
- employees and pensioners under the 7th Pay Commission will receive 60% DA instead of 58%
- employees under the 6th Pay Commission will receive 262% DA instead of 257%
- those under the 5th Pay Commission will receive 483% DA instead of 474%
Officials said the move would provide financial relief to lakhs of serving and retired government employees across the state.
Bihar Approves Borrowing Of Rs 72,901 Crore
After the cabinet meeting, Cabinet Secretariat Department’s additional chief secretary Arvind Chaudhary said the government had approved total borrowings of Rs 72,901.3097 crore for the 2026-27 financial year.
Of this:
- Rs 64,141.2820 crore will be raised through market borrowings
The government said the funds would be used for:
- infrastructure projects
- development schemes
- public welfare programmes
Push For Electric Vehicles And Green Mobility
The cabinet also approved the:
Mukhyamantri Bihar Paryavaran Anukul Parivahan Rojgar Yojana
(Chief Minister’s Bihar Environment-Friendly Transport Employment Scheme)
The scheme aims to:
- reduce vehicular pollution
- ensure EVs account for at least 30% of new vehicle sales by 2030
- support the global EV30@30 campaign
Officials said electric vehicles would be promoted in both urban and rural transport sectors.
The government also approved amendments to the Bihar Electric Vehicle Policy 2023.
Under the revised policy:
- incentives will be offered for commercial electric cargo three-wheelers
- incentives will also cover electric two-wheelers and non-commercial four-wheelers purchased by women
- subsidy payments will be transferred directly through DBT
The government said the scheme would:
- encourage women’s mobility and financial independence
- generate employment through electric cargo transport services
Charging Infrastructure To Be Expanded
The state also announced plans to strengthen EV charging infrastructure.
Officials said:
- higher incentives would be provided for larger charging networks
- public charging stations would receive support under the Union government’s PM e-Drive Scheme
The government said the initiative was aimed at accelerating EV adoption across Bihar.
Bihar Launches New AI Push
The cabinet also approved major steps under the:
Bihar Artificial Intelligence Mission
The Singapore-based Global Finance and Technology Network has been selected as a strategic partner for the initiative.
According to the government, the organisation will help strengthen:
- Bihar’s AI ecosystem
- innovation and startup support
- skill development programmes
In collaboration with:
- National University of Singapore’s Asian Institute of Digital Finance
- Linux Foundation
the programme will conduct a five-month advanced AI certification course.
Officials said:
- 7,000 students from STEM disciplines would be trained over five years
- both undergraduate and postgraduate students would be included
‘Aryabhatta Technology Observatory’ Planned
The government also announced plans for an AI and quantum technology-driven digital platform called the:
Aryabhatta Technology Observatory
Officials said the platform would support more than 100 startups by providing:
- AI and machine-learning resources
- cloud-based development tools
- data pipelines
- large language model gateways
The government added that Bihar would also be showcased before global investors and technology leaders through 12 international forums organised by the Global Finance and Technology Network.
These include:
- Singapore FinTech Festival
- Point Zero Forum
- Black Swan Conference
- Bangkok Digital Finance Forum
