The Central Government of India has approved an allocation of Rs 69,515 crore to promote and develop the Pradhan Mantri Fasal Bima Yojana (PMFBY), a crop insurance scheme aimed at supporting farmers. This decision was made in a meeting of the Union Cabinet on January 1, 2025.

Key aspects of this approval include:

• Rs 800 crore for innovation and technology: This fund will support the development of advanced technologies and innovations such as Yes-Tech and WINDS, which aim to enhance the technical efficiency and transparency of claim settlements.
• Focus on the Northeast: The government has decided to give priority to the northeastern states, offering farmers in these regions a 90% subsidy on the insurance premium. Additionally, there will be flexibility in the allocation of funds to ensure that unspent money is used for other regional schemes.
• Enhanced coverage for farmers: The increased funding aims to provide ongoing insurance cover to farmers against crop damage caused by natural disasters, ensuring financial security for them.

This move is expected to improve the resilience of the farming community and strengthen the agricultural insurance framework across the country, particularly in the Northeast.