The Cabinet on Friday approved the extension of the Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) scheme for five years through FY31. This would require a budget outlay of Rs 3.15 lakh crore.
Under this central sector scheme, an annual sum of Rs 6000 is transferred to 100 million land-holding farmers, mostly smallholders, in three equal installments through the Direct Benefit Transfer (DBT) mechanism. The scheme started in 2019.
After the release of the 23rd installments of PM Kisan in June 2026, the total disbursement under the scheme so far has exceeded Rs 4.47 lakh crore.
The direct cash benefit transfer to farmers remained at the same level in nominal terms since the scheme launched seven years ago. Annually, a flat sum of Rs 60,000 crore has been allocated for the scheme since FY24. Prior to that, the outlay was in the range of Rs 65,000-68,000 crore.
The scheme has enabled farmers to make timely investments in seeds, fertilisers, irrigation, agricultural machinery and other agricultural requirements. Officials say the direct financial assistance also helped reduce farmers’ reliance on informal credit sources, enhanced risk-taking capacity and supported agricultural production.
Under the scheme, beneficiary farmers are identified through Aadhaar-based authentication and digitised land records, ensuring transparent and efficient direct benefit transfer to verified beneficiaries.
“The extension of the scheme will enhance farmers’ capacity to invest in agriculture, improve productivity, help reduce agricultural risks and strengthen the rural economy,” according to an official statement.
According to the evaluation conducted by Niti Aayog on the impact of PM Kisan, more than 92% of beneficiaries reported that they utilised the assistance amount for agricultural activities and investment. Around 85% of beneficiaries confirmed an improvement in agricultural income and a reduction in dependence on informal credit.
“Women farmers have received more than Rs 1.06 lakh crore under PM-KISAN, and nearly one out of every four beneficiaries is a woman farmer,” the statement said.
State Governments play a central role in implementing PM Kisan by identifying eligible farmer households and developing a comprehensive beneficiary database.
This database includes key details such as name, age, category, Aadhaar number, bank account information, and mobile number. States are responsible for ensuring the accuracy of these records, preventing duplicate payments, and promptly addressing bank account issues.