Bhopal: The Madhya Pradesh Cabinet, chaired by Chief Minister Dr. Mohan Yadav, approved a series of major development and public welfare proposals worth ₹10,800 crore during its meeting held at the Mantralaya in Bhopal on Tuesday, July 14, 2026.
The decisions focus on strengthening the state’s infrastructure, improving irrigation facilities, supporting farmers, enhancing urban development, streamlining nutrition programmes, and ensuring smooth functioning of government departments.
Among the key approvals, the Cabinet sanctioned ₹8,445 crore for urban infrastructure development, ₹245.45 crore for the continuation of the Kundaliya Major Irrigation Project, and ₹1,587 crore in free government guarantees for moong procurement.
₹245.45 Crore Approved for Continuation of Kundaliya Major Irrigation Project
The Madhya Pradesh Cabinet approved ₹245 crore 45 lakh for the continued operation of the Kundaliya Major Irrigation Project in Rajgarh district during the period of the 16th Central Finance Commission from April 1, 2026, to March 31, 2031.
The project, developed by the Water Resources Department, is one of the state’s major irrigation initiatives. Its primary objective is to create irrigation potential through dam construction and micro-irrigation systems.
The project aims to provide irrigation facilities across approximately 1,39,600 hectares of agricultural land in Rajgarh and Agar-Malwa districts.
The continuation of the project is expected to strengthen agricultural productivity and improve water availability for farmers in the region.
₹1,587 Crore Government Guarantee Approved for Moong Procurement
In a major decision benefiting farmers, the Cabinet approved a ₹1,587 crore free government guarantee for the procurement of moong under the Price Support Scheme (PSS) of the Government of India.
The approval relates to excess moong procurement carried out during the Rabi Marketing Year 2024-25 (Rabi Season 2023-24) beyond the prescribed target.
According to the decision:
- A government guarantee of ₹396 crore will be provided for the remaining credit limit taken from Punjab National Bank for a period of six months, from July 19, 2026, to January 18, 2027.
- A government guarantee of ₹1,191 crore will be provided for the remaining credit limit taken from the State Bank of India for one year, from July 3, 2026, to July 2, 2027.
The move is aimed at ensuring smooth payment and procurement operations for farmers.
₹8,445 Crore Approved for Urban Infrastructure Development in Madhya Pradesh
The Cabinet approved ₹8,445 crore for continuing the urban infrastructure development scheme for the next five years.
The funding will come through the transfer of revenue collected from additional charges on registration and stamp duty under the Municipal Act by the Commercial Tax Department.
Under the scheme, the additional fees collected along with stamp duty in municipal corporations, municipalities, and municipal councils are transferred to the Urban Development Department.
The funds will be used for:
- Development of infrastructure projects in urban areas
- Improvement of civic facilities
- Implementation of development works by municipal bodies
- Repayment of loans taken by urban local bodies for infrastructure projects
The decision is expected to support the transformation and modernization of cities across Madhya Pradesh.
Take-Home Ration System Transferred to Women and Child Development Department
The Cabinet decided to transfer the responsibility for the production and supply of Take-Home Ration (THR) from the Madhya Pradesh State Livelihood Forum back to the Women and Child Development Department.
As an immediate interim arrangement, the department has been authorized to provide supplementary nutrition through Self-Help Groups (SHGs).
The Cabinet also approved that until the Government of India issues new guidelines and a permanent system is established, the department can arrange Take-Home Ration supplies through short-term tenders.
Once the new central government guidelines are issued, the Women and Child Development Department will establish a permanent mechanism for THR production and distribution.
₹521.04 Crore Approved for Commercial Tax Department Operations
The Madhya Pradesh Cabinet approved ₹521 crore 4 lakh for the continued operation of three establishment schemes under the Commercial Tax Department for five years, from the financial year 2026-27 to 2030-31.
The approved allocation includes:
- ₹60.81 crore for headquarters operations
- ₹434.81 crore for district office operations
- ₹25.42 crore for regional office operations
These funds will support:
- Employee salaries and allowances
- Office expenses
- Payment for professional services
- Maintenance of machinery, furniture, and vehicles
The approval will ensure uninterrupted functioning of the Commercial Tax Department across the state.
Madhya Pradesh Government Focuses on Long-Term Growth and Public Welfare
The latest Cabinet decisions highlight the Madhya Pradesh government’s focus on infrastructure expansion, agricultural support, urban development, and welfare programme management.
With approvals totaling ₹10,800 crore, the government aims to accelerate development activities, strengthen public services, and improve economic opportunities across the state.
