Central servants and pensioners are expecting an increase in the Dearness Allowance (DA) and Dearness Relief (DR) from July 2026. Since Diwali is celebrated on November 8th, there is hope for the allowance to be increased before the festival, which could lead to an increase in monthly salaries for employees and pensions for pensioners.
In this regard, there is discussion about whether the central government will announce an increase in DA for 2026 before Diwali. Currently, there is no official announcement date.
To ease the burden of inflation for central servants and pensioners, the government usually revises the Dearness Allowance and Dearness Relief twice a year. The first revision is considered effective from January, and the second from July. Currently, an announcement of changes from July 2026 is expected, and employees hope the government will do so before Diwali.
However, a final announcement before Diwali is not guaranteed, as the government has previously announced the Dearness Allowance even after the festival. Nevertheless, in most cases, announcements of bonuses and allowances have occurred during Diwali.
Analysis of inflation data from previous months shows that a 3 percent increase in the Dearness Allowance is expected from July. In that case, the Dearness Allowance could reach 63 percent. Similarly, an increase in DR is possible.
If the Dearness Allowance is increased in October before Diwali, the allowance will be paid for all four months starting from July. This amount will be added to the October salary. For example, if the basic salary is 18000 rupees, the current DA is 10800 rupees. After a 3 percent increase in DA, it will increase by 500 rupees to 11340 rupees. Thus, 2000 rupees will be added to the salary above the DA amount for 4 months.