The Uttarakhand State Government has approved financial and administrative sanctions amounting to approx $495 crore for a host of infrastructure, urban development and public welfare projects across the state, with funds also allocated for preparations for the 2027 Kumbh Mela and review of dearness allowance for employees under the 5th and 6th Central Pay Commission pay scales.

The approvals were approved by Chief Minister Pushkar Singh Dhami and cover road construction and improvement works, grants to urban local bodies, district panchayat funding, tourism infrastructure, religious sites, public facilities and administrative projects in several districts.
Roads, civil infrastructure and Kumbh preparations get major allocations
A major portion of the approved amount has been allocated for strengthening roads and civil infrastructure across Uttarakhand. The government punished $3.08 lakh crore for reconstruction and improvement of Bharpur-Ponth Expressway stretch in Narendra Nagar Assembly constituency under the state plan.
Among other projects approved by the government $3.72 lakh crore for improving the Maharajpur-Jangdaspur road in Laksar, while several road reconstruction works were cleared in Sitarganj Assembly constituency in Udham Singh Nagar district, including roads connecting Govind Nagar, Rajni Nagar, Gau Ghat and Kardaria village.
In Pithoragarh district, approvals include funds for construction of a road linking Jumma Mala Jewar to Chipla Sarovar and $4.62 lakh crore for the fourth phase of Gunji Village Comprehensive Development Plan.
The government also imposed sanctions $43.87 lakh crore for power infrastructure works associated with Kumbh Mela 2027 $Rs 17.55 crore has been released as down payment to ensure reliable and uninterrupted electricity supply during the religious gathering.
Urban infrastructure projects include approval of $38.58 crore to construct a multi-level car park on a vacant land in the old tehsil building in Ramnagar, while $Rs 3.05 crore has been sanctioned for the development of adventure park in Champawat. Funds have also been approved for construction work on the Regional Transport Office building in Dehradun.
LGU Grants, Revised Employee Agenda
The government approved a dedicated financial aid of $328.28 crore to urban local bodies for the second quarter of the financial year 2026-27, based on the recommendations of the 5th State Finance Commission until the recommendations of the 6th State Finance Commission are implemented. Panchayats have also been allocated in the area $82.21 crores for the same period.
Approvals have also been issued for development and beautification works at the Shiv temple at Bhikiyasen in Almora district, construction of a women’s technology park in Champawat, construction of a bathing ghat at the Rampaduka temple in Dwarahat, and construction of a childcare facility at the Civil Magistrate’s Court in Didihat.
The Prime Minister also approved construction of RTC facilities and barracks for 31 PAC Battalion in Rudrapur.
Separately, the state government has approved an increase in dearness allowance for employees and employees of autonomous bodies drawing salaries under the 5th and 6th Central Pay Commission structures. Effective January 1, 2026, dearness allowance under the Fifth Pay Commission has been increased from 474% to 483%, while employees under the Sixth Pay Commission will receive an increase from 257% to 262%.
The government also approved the renaming of two roads in Ranikhet Assembly constituency in Almora district. The Bidura-Chevi Bachahi-Dumkheda road will be renamed as Sahibzad Fateh Singh Road, while the Soni-Daudakhal-Tipola highway will be named after late state activist Puran Singh Dhangoal.

