Centre Approves Rs 4,250 Cr Development Package for Assam & Tripura

The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved four new components under the existing Central Sector Scheme of Special Development Packages (SDPs) aimed at accelerating development and peace-building in Assam and Tripura. The total financial outlay for these components amounts to Rs 4,250 crore.

The package includes Rs 500 crore dedicated to improving infrastructure in Adivasi-inhabited villages in Assam, as per the Memorandum of Settlement (MoS) signed between the Government of India, Government of Assam, and Adivasi groups. Another Rs 500 crore will be allocated for infrastructure development in the North Cachar Hills Autonomous Council (NCHAC) region, inhabited by groups associated with the Dimasa National Liberation Army (DNLA) and the Dimasa People’s Supreme Council (DPSC).

A major portion of the package, Rs 3,000 crore, has been earmarked for infrastructure development across Assam, based on the MoS with the United Liberation Front of Assam (ULFA) groups. Additionally, Rs 250 crore will be allocated for tribal development in Tripura under agreements signed with the National Liberation Front of Twipra (NLFT) and the All Tripura Tiger Force (ATTF).

Financial Implication

The overall financial implication for these new components stands at Rs 7,250 crore. Of this, Rs 4,250 crore will be provided by the central government under the existing SDP scheme, Rs 4,000 crore for Assam and Rs 250 crore for Tripura. The remaining Rs 3,000 crore will be contributed by the Assam state government from its own resources.

The Rs 4,000 crore outlay for Assam is planned over five financial years from 2025-26 to 2029-30, while the Rs 250 crore allocation for Tripura will be spread over four years from 2025-26 to 2028-29.

These packages aim to boost socio-economic development, focusing on vulnerable and marginalized communities that have historically been underrepresented in government schemes. The development plans include infrastructure projects, livelihood initiatives, skill development programs, and promotion of local entrepreneurship targeting youth and women.

Officials expect the scheme to generate significant employment opportunities, improve health and education services, and help bring stability by mainstreaming affected communities. The initiative is also anticipated to attract more tourists to the North Eastern region, further creating income and employment opportunities.

This new package builds on the success of earlier SDP components implemented for Bodo and Karbi groups in Assam, which reportedly contributed to peace-building and developmental progress.

Through these initiatives, lakhs of people from Adivasi, Dimasa, and various tribal communities in Assam and Tripura are expected to benefit widely, marking a continued commitment by the central and state governments toward inclusive growth and regional stability.

ALSO READ: Union Cabinet Approves Multi-Crore Railway Projects in Maharashtra & Madhya Pradesh