The Union Cabinet on 10 October 2026 approved a five‑year outlay of ₹53,428 crore for the continuation of the National Social Assistance Programme (NSAP) from FY 2026‑27 to FY 2030‑31. The same decision renamed the three pension components, dropping the “Indira Gandhi” prefix.
Key Developments
- Five‑year budget of ₹53,428 crore locked for NSAP (2026‑31).
- Scheme renamed as Pradhan Mantri Samajik Sahayata Yojana (overall programme).
- Sub‑schemes renamed: Pradhan Mantri Vridhavastha Pension Yojana (old‑age), Pradhan Mantri Vidhwa Pension Yojana (widow), and Pradhan Mantri Divyangjan Pension Yojana (disability).
- Eligibility criteria and assistance rates for disability pension revised.
- Beneficiary ceiling remains at 3.09 crore for central pensions; states cover an additional 5.86 crore beneficiaries (total 8.95 crore).
Important Facts
The scheme continues to provide 100 % assistance to eligible beneficiaries, but the fixed ceiling is not linked to the SECC data. Critics argue that the ceiling of 3.09 crore is arbitrary and does not reflect the actual number of eligible rights‑holders.
Experts warn that the outlay does not keep pace with demographic changes and inflation. Using a 5 % inflation assumption, the required budget for the existing beneficiary base alone would be about ₹55,698 crore, higher than the approved amount.
The Economic Survey 2024‑25 notes that states have independently expanded pension coverage, adding 5.86 crore beneficiaries to the central pool.
Exam Relevance
Understanding NSAP is essential for GS III (Economy) and GS II (Polity) because it illustrates central‑state coordination in social welfare, the use of data‑driven targeting, and fiscal implications of ageing populations. The renaming of schemes reflects the government's branding strategy, a recurring theme in polity and governance questions.
Way Forward
For a robust safety net, the government may need to:
- Link beneficiary ceilings to updated demographic and SECC data.
- Periodically revise assistance rates to match inflation.
- Encourage greater state‑center convergence to avoid duplication.
- Strengthen monitoring mechanisms to ensure that eligibility translates into real entitlement.
These steps would align the programme with the evolving socio‑economic realities of India and improve its effectiveness as a poverty‑alleviation tool.