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Delhi government reduces local area fund for MLAs from ₹15 crore to ₹5 crore

In the previous AAP regime, 4 crore was provided to each MLA in 2021-22 and 2022-23, which was enhanced to 7 crore in 2023-24.

Updated on: May 20, 2025, 09:37:37 IST
PTI
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The BJP-led Delhi government has reduced the annual MLA Local Area Development (LAD) Fund from 15 crore to 5 crore, officials have said.

The Council of Ministers has directed that this will be an untied fund, said the order passed by Rekha Gupta-led Delhi Government (File/PTI)
The Council of Ministers has directed that this will be an untied fund, said the order passed by Rekha Gupta-led Delhi Government (File/PTI)

In October last year, the previous AAP government in Delhi enhanced the MLA LAD Fund from 10 crore to 15 crore, months ahead of the assembly polls. The AAP was defeated by the BJP in the polls held in February this year.

According to a recent order issued by Urban Development Department of the Delhi government, the MLA LAD Fund as per a cabinet decision on May 2, has been kept at 5 crore per assembly constituency per year.

"In pursuance of Cabinet Decision No. 3187 dated 02.05.2025, the allocation of fund under MLALAD Scheme has been kept at 5 crore per assembly constituency per year from financial year 2025-26 onwards," said the order.

Further, the Council of Ministers has directed that this will be an untied fund and could be spent for the approved works of capital nature as well as repairs and maintenance of the assets without a ceiling, added the order.

A BJP MLA said that the government set aside 350 crore under the MLA LAD Fund that was divided into 5 crore each among the 70 legislators in Delhi.

In the previous AAP regime, 4 crore was provided to each MLA in 2021-22 and 2022-23, which was enhanced to 7 crore in 2023-24.

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