The Union Cabinet approved continuation of the PM-Kisan Samman Nidhi scheme beyond its current phase, extending the ₹6,000 annual direct income support to eligible farmer families. The scheme, launched in February 2019, transfers ₹2,000 in three equal instalments directly into farmers' bank accounts via DBT. The extension ensures uninterrupted income support to small and marginal landholding farmers, reinforcing the government's commitment to agricultural welfare and financial security for the farming community across India.

PM-KISAN (Pradhan Mantri Kisan Samman Nidhi) is a Direct Income Support scheme — a policy instrument distinct from price support (MSP) or input subsidies. Instead of subsidising inputs or guaranteeing output prices, it transfers cash directly to farmers, allowing them to use it for any agricultural or household need. This design reflects the shift in Indian agricultural policy from indirect price interventions toward direct demand-side support.

The scheme addresses a structural problem: small and marginal farmers in India often lack access to formal credit and are vulnerable to distress between harvest cycles. The ₹6,000 annual transfer, though modest, provides a predictable income floor. By routing it through DBT and Aadhaar-linked accounts, the scheme reduces leakage and intermediary capture — both key concerns in welfare delivery.

For RBI aspirants: PM-KISAN beneficiaries are eligible for the Kisan Credit Card (KCC), which links income support to formal credit access — a critical financial inclusion chain. NABARD aspirants must note that PM-KISAN complements rural credit by improving repayment capacity of small farmers. UPSC aspirants should frame it within the JAM (Jan Dhan–Aadhaar–Mobile) trinity as a governance delivery mechanism.

The Cabinet's continuation decision signals that income-support architecture for agriculture will remain a policy priority regardless of fiscal pressures, making the scheme's parameters, delivery architecture, and coverage scope perennially exam-relevant.