Haryana Cabinet raises Lado Lakshmi scheme income limit to Rs 1.80 lakh

The Haryana Cabinet, chaired by Chief Minister Nayab Singh Saini, on Saturday raised the annual family income eligibility limit under the Deen Dayal Lado Lakshmi Yojana from Rs 1 lakh to Rs 1.80 lakh, with the revised limit taking effect from November 1, 2026. It also approved the continuation of the Sixth State Finance Commission’s fund allocation recommendations for rural and urban local bodies from 2026-27 until the next commission submits its report.

The decision on local body funding was taken as the state government had not yet received the Seventh State Finance Commission’s report. Under the approved arrangement, 7 per cent of the state’s own tax revenue will be allocated to local bodies.

Gram panchayats and urban local bodies will receive funds based on population and geographical area, with weightages of 80 per cent and 20 per cent, respectively. Population figures available on the Parivar Pehchan Patra portal by December 31 each year will be used for the calculations.

The allocation among gram panchayats, panchayat samitis and district councils will follow a ratio of 75:15:10. Local bodies will be permitted to spend up to 30 per cent of their allocated funds on paving streets.

The approved framework also requires urban local bodies to maintain actual revenue at a minimum of 85 per cent of the budgeted revenue recorded in the previous year’s audited accounts. Those failing to meet the condition will face a 20 per cent reduction in their recommended share of State Finance Commission grants for the current year.

In a separate decision, the Cabinet approved amendments to the Deen Dayal Lado Lakshmi Yojana to expand eligibility and simplify its implementation. The revised annual family income ceiling of Rs 1.80 lakh will apply from November 1, 2026.

The Cabinet also removed the provision allowing beneficiaries to opt for a lower monthly assistance amount. All eligible beneficiaries will receive Rs 2,100 per month under the revised arrangement. According to the government, more than 10 lakh women were already benefiting from the scheme.

Under the revised payment mechanism, new beneficiaries will receive their first instalment entirely in their savings bank accounts. From the second month, Rs 1,100 will be transferred directly to their savings accounts, while the remaining Rs 1,000 will be deposited into a government-operated recurring deposit or fixed deposit account in accordance with the scheme’s provisions.

The Cabinet also approved quarterly facial authentication through the Lado Lakshmi app, replacing the earlier monthly liveness verification requirement. Beneficiaries will have to complete the verification once every three months to continue receiving financial assistance.