Cabinet meeting, chaired by Chief Minister Dr Mohan Yadav at Mantralaya on Tuesday, approved development proposals worth Rs 10,800 crore focused on State infrastructure and public welfare schemes. The decisions include major financial allocations for agricultural procurement, urban development, and administrative restructuring. Rs 1,587 crore interest-free guarantee approved for moong procurement The Cabinet approved an interest-free Government guarantee of Rs 1,587 crore for the procurement of moong exceeding the Government of India’s target under the Price Support Scheme for the Rabi Marketing Season 2024-25 (Rabi Year 2023-24). Under this decision, the State Government will provide an interest-free government guarantee of Rs 396 crore for the outstanding credit limit availed from Punjab National Bank for a period of six months, from July 19, 2026, to January 18, 2027. Additionally, an interest-free government guarantee of Rs 1,191 crore has been approved for the outstanding credit limit availed from the State Bank of India for a period of one year, from July 3, 2026, to July 2, 2027. Rs 8,445 cr allocated for urban infrastructure development Cabinet approved Rs 8,445 crore for urban infrastructure development, continuing the scheme for the next five years. This funding model transfers the funds generated through the surcharge on registration and stamp duty levied under the Municipal Acts.

 

The additional surcharge collected along with stamp duty by municipal corporations and other urban local bodies in Madhya Pradesh is transferred to the Urban Development and Housing Department. These funds are utilised by urban local bodies for executing infrastructure projects and repaying loans raised for such works. Rs 245.45 crore sanctioned to continue Kundaliya Irrigation Project till 2031 Cabinet approved Rs 245.45 crore for the continued implementation of the Water Resources Department’s Kundaliya Major Irrigation Project in Rajgarh district. The funding will cover the period of the 16th Central Finance Commission, from April 1, 2026, to March 31, 2031. The project aims to develop irrigation potential over 1,39,600 hectares in Rajgarh and Agar-Malwa districts through dam construction and a micro-irrigation system. Rs 521.04 crore approved for Commercial Tax Department operations The Cabinet approved Rs 521.04 crore for the continued operation of three establishment schemes under the Commercial Tax Department for the next five financial years, from 2026-27 to 2030-31. The total approved allocation includes Rs 60.81 crore for the Headquarters, Rs 434.81 crore for District Offices, and Rs 25.42 crore for Regional Offices. The funds will be utilised for the payment of employees’ salaries and allowances, office expenses, professional services, and the maintenance of machinery, furniture, and vehicles.