Cabinet Decision-18.10.2012

18.10.2012 PIB Release  Cabinet Decision Increase in rate of pension from Rs. 200/- to Rs. 300/- per month under the ongoing Indira Gandhi National Widow Pension Scheme and Indira Gandhi National Disability Pension Scheme as well as increase in grant from Rs. 10,000/- to Rs.20,000/- under the National Family Benefit Scheme The Union Cabinet today revised the norms and enhanced rates of pension for widows and persons with disabilities. This is in fulfilment of the announcement made by the Finance Minister while presenting the Union Budget 2012-13 in the Parliament on 16th March 2012. In view of the above decision, 76 lakh Below Poverty Line (BPL) widows and 11 lakh below poverty line persons with severe or multiple disability would get enhanced amount of central assistance @ Rs. 300 p.m. This would be in addition to the contribution by the States. Further, 3.56 lakh BPL families will receive one time lump sum enhanced grant @ Rs. 20000/- in the event of death of the primary breadwinner in the family. The following are the details:- (i) To increase the rate of pension under the ongoing Indira Gandhi National Widow Pension Scheme (IGNWPS) from Rs. 200/- to Rs.300/- per month per beneficiary and to revise the eligibility criteria from 40-59 years to 40-79 years. (ii) To increase the rate of pension under Indira Gandhi National Disability Pension Scheme (IGNDPS) from Rs. 200/- to Rs. 300/- per month per beneficiary and to revise the eligibility criteria from 18-59 years to 18-79 years. (iii) To increase the lump sum grant under National Family Benefit Scheme (NFBS) from Rs. 10000/- to Rs. 20000/-and also to revise the eligibility criteria from 18-64 years to 18-59 years. (iv) To make the requirement of "at least an equal contribution under all the pension schemes as well as under NFBS by State Governments/Union Territory Administrations" recommendatory. (v) To implement the revised norms under IGNWPS and IGNDPS with effect from 1st October, 2012. (vi) To implement the revised norms under NFBS from the date of approval of the Cabinet. (vii) To continue implementation of the NSAP during the 12lh Five Year Plan and to provide 3 per cent administrative charges on approved items. The total requirement of funds tor the current proposal comes to Rs. 3861.09 crore per annum. However, after taking into account the existing rate of assistance and number of beneficiaries, the net additional requirement for implementing the announcement comes to Rs. 1325.10 crore per annum.