New Delhi: The government on Wednesday approved a hike in dearness allowance for its employees, increased the minimum support price for key crops, and okayed a mission to boost pulses output in the country, in decisions that will cost the Centre ₹ 1.2 trillion.

In a festival-season bonanza, the Union cabinet approved a 3% increase in the dearness allowance (DA) and dearness relief (DR) for central government employees and pensioners.

This move comes as another demand-boosting measure by the government ahead of Diwali. Earlier, the government rationalized the GST regime into a mainly two-rate structure - 5% and 18% - by abolishing the 12% and 28% rates, in a consumption stimulus estimated at ₹ 2 trillion. The new GST regime came into effect on 22 September. Also Read | India-US

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