Shimla: The Sukhvinder Singh Sukhu-led government in Himachal Pradesh has given a New Year gift to lakhs of employees and pensioners by deciding to credit their salaries and pensions together on the first day of 2025.
By this afternoon, a message of financial relief is expected to reach the bank accounts of all beneficiaries, bringing much-needed cheer to government workers and retirees.
₹500 crore advance loan secured
The state government had earlier structured its payment schedule based on funds transferred by the Central Government, prioritising salaries first and pensions later.
However, for the New Year, the government has decided to process both payments simultaneously.
To ensure this, an advance loan of Rs 500 crore was secured during the winter session of the Vidhan Sabha. The funds have enabled a unified disbursement of salaries and pensions.
Chief Secretary Prabodh Saxena has completed all the necessary procedures to execute the payments.
Loan limit exhausted in December
Himachal Pradesh had exhausted its borrowing limit in December. With the final quarter’s loan cap to be announced by mid-January, the state was compelled to take an advance loan to facilitate the January 1 payouts.
Moving forward, the payment schedule may be revised to align with funds transferred by the Central Government. Chief Secretary Saxena has directed the Finance Department to initiate the required processes to update the schedule accordingly.
State’s monthly financial commitment
Himachal Pradesh requires approximately Rs 2,000 crore monthly to meet its salary and pension obligations. Of this, Rs 1,200 crore is spent on salaries for government employees, while Rs 800 crore is allocated for pension payments.
With the advance loan cushioning the immediate financial requirement, the state government has ensured a smooth start to the New Year for its employees and pensioners.
This timely move is expected to garner appreciation from beneficiaries while also highlighting the government’s proactive financial management amidst tight borrowing constraints.
