Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) scheme is the world’s largest Direct Benefit Transfer scheme.

Central government’s focus this year will be more towards youth, women, rural areas and farmers. And considering this, it is expected that the ruling government will increase the budget for PM Kisan Samman Nidhi by 30% i.e. from Rs. 56,000 Crore to Rs. 80,000 Crore.

During the interim budget, the proposed hike was Rs. 60,000 Crore. The current program allocation is Rs. 6,000 per family. And this amount could rise to Rs. 8,000 as demanded by the body representing farmers i.e. Bhartiya Kisan Union.

However, in India, pre-budget consultations take place. And this year too, the consultations have happened and it was requested the amount further from Rs. 60,000 Crore. High revenue collections and dividends provide a cushion to this potential growth.

Note that, during the interim budget in Feb’24; Ministry of Finance had made projections of increase in income from direct and indirect taxes. And this projection was made because of the income and consumption. While the central government is expecting higher collection from both these taxes i.e. Rs. 21,99 Lakh Crore and Rs. 16.31 Lakh Crore respectively. But these numbers are expected to increase further.

Impact of this Increase

While there are discussions that government expenditures will increase because of this spend; but the proposed hike is not expected to fiscal shortfall. This is because revenue collected by the government has gone up and has benefitted RBI also.

What is PM Kisan Scheme?

It is a central government scheme launched by India’s honorable Prime Minister Shri Narendra Modi in February 2019. The primary objective of this scheme is to assist small and marginal farmers having land up to 2 hectares, in meeting their financial needs. The scheme provides Rs. 6,000 to the farmer and this sum is given in 3 installments of Rs. 2000 each.

Documents Required for Registration in PM Kisan Samman Nidhi?

• Aadhaar Card
• Indian citizenship proof
• Land ownership document
• Bank account details

Note that, as soon as PM Modi became the Prime Minister for the third time, he took the first decision in the interest of the farmers by releasing the 17th installment of ‘Pradhan Mantri Kisan Samman Nidhi Yojana’.

Hi, I am Nikesh Mehta, owner and writer of this site. I’m an analytics professional and also love writing on finance and related industry. I’ve done online course in Financial Markets and Investment Strategy from Indian School of Business. I can be reached at nikeshmehta@allonmoney.com.