The Odisha cabinet on Saturday (August 1) approved a Rs 2,995-crore livelihood mission for tribal communities and cleared a bill to create ‘Economic Region Development Authorities’ (ERDAs) for planned urban growth across the state. The decisions were among 11 proposals approved at a meeting chaired by Chief Minister Mohan Charan Majhi.

Chief Secretary Anu Garg said the cabinet cleared a bill to amend the Odisha Development Authority (ODA) Act, 1982, paving the way for the establishment of ERDAs in the state. She added that the move is intended to support urbanisation as a major engine of economic growth through planned development of city agglomerations as integrated economic corridors with modern infrastructure, employment hubs, efficient mobility and coordinated service delivery.

“Urbanisation is a major engine of economic growth and provides for the planned development of city agglomerations as integrated economic corridors with modern infrastructure, employment hubs, efficient mobility and coordinated service delivery,” Garg told reporters after the meeting.

She said Odisha has already envisioned several such urban clusters, including the following:

  • Bhubaneswar-Cuttack-Puri-Paradeep Economic Region (BKPPER)
  • Bargarh-Jharsuguda-Sambalpur corridor
  • Berhampur-Chhattrapur-Gopalpur agglomeration
  • Jeypore-Koraput-Sunabeda region

An economic plan has already been developed for BKPPER as a pilot project in collaboration with the National Institution for Transforming India (NITI) Aayog.

Garg said preparing region-specific economic plans would allow planning beyond municipal boundaries, help use the complementary strengths of nearby urban centres, attract investment, create employment and improve housing, mobility, public services and overall quality of life.

Rs 2,995-crore tribal mission in Odisha

In another major decision, the cabinet approved the implementation of Mukhya Mantri Janajati Jeevika Mission (MMJJM) 2.0, a livelihood initiative aimed at improving the socio-economic condition of eight lakh tribal and Particularly Vulnerable Tribal Group (PVTG) households across Odisha.

Garg said the mission will run for five years, from 2026-27 to 2030-31, with a total outlay of Rs 2,995 crore, fully funded by the state government. The first phase of the programme will be rolled out in 13 districts and will cover about 1.5 lakh tribal households.

The scheme is designed to raise incomes and improve the overall well-being of tribal and PVTG families by promoting sustainable farm, off-farm and non-farm livelihood activities through production clusters. The government’s focus, officials said, is on building durable income streams rather than short-term support.

Four growth engines, one vision: Odisha approves ERDA framework for regional development

Garg said the Union Budget 2026-27 had recognised four city economic regions in the country as engines of economic growth, including BKPPER, along with Varanasi in Uttar Pradesh, Surat in Gujarat and Visakhapatnam in Andhra Pradesh. She said Odisha now needs proper administrative mechanisms to manage such city economic regions, which is why ERDAs are being proposed.

The Odisha Development Authorities (Amendment) Bill, 2026, will provide a statutory framework for the constitution, powers and functioning of ERDAs, with the aim of enabling coordinated and integrated development of economic regions across the state. The cabinet also approved six proposals from the Water Resources Department aimed at strengthening Odisha’s agricultural sector by expanding irrigation coverage and improving administrative justice.