The Madhya Pradesh Cabinet, chaired by Chief Minister Mohan Yadav, on Tuesday, 27 October 2026, approved a package of development schemes and financial proposals worth more than ₹8,225 crore, prioritising agricultural expansion, water resource management, environmental conservation, and public health infrastructure. The decisions were taken at a meeting held at the Mantralaya in Bhopal.

Major Irrigation Projects Worth ₹3,378 Crore

The single largest allocation — ₹3,378.69 crore — was sanctioned for major irrigation projects spread across Chhindwara, Seoni, Morena, Sagar, and Damoh districts, to be executed between 2026-27 and 2030-31. Of this, ₹2,611.13 crore has been earmarked for the Chhindwara Irrigation Complex, which will deliver water through micro-irrigation systems — drip and sprinkler — across 1,90,500 hectares.

An additional ₹197 crore was cleared for the Pench Diversion (Major) Project to create irrigation capacity over 1,26,647 hectares in Chhindwara and Seoni districts. The Chentikheda Major Irrigation Project in Morena received ₹531.15 crore for works covering 15,300 hectares, while ₹39.41 crore was approved for the Panchamnagar Irrigation Complex in Sagar and Damoh, which will irrigate 25,000 hectares via pipeline networks drawing from the Pagra Dam.

₹2,050 Crore for Forest Conservation and River Rejuvenation

In a significant push for environmental conservation, the Cabinet approved utilising ₹2,050.03 crore from the Compensatory Afforestation Fund (CAMPA) for the 2026-27 Annual Action Plan. The funds will support compensatory afforestation, restoration of degraded forests, river rejuvenation through catchment-area plantations, soil and water conservation, and village-adjacent plantations aimed at bolstering rural livelihoods.

The CAMPA allocation also covers voluntary relocation of villages from protected areas, habitat development, urban forests (Nagar Van), and the strengthening of forest and wildlife infrastructure. This comes amid growing pressure on state governments to demonstrate credible compensatory afforestation outcomes before fresh diversion of forest land is approved.

Public Health and Social Welfare Allocations

To ensure uninterrupted public health services, ₹1,743.58 crore was sanctioned for schemes under the Public Health and Medical Education Department. Separately, ₹651.25 crore was approved for social justice initiatives and welfare schemes for persons with disabilities — a segment that advocates have long argued receives insufficient budgetary attention at the state level.

Administrative and Law Enforcement Measures

On the administrative front, the Cabinet cleared the establishment of District Education Officer offices in four newly formed districts — Niwari, Mauganj, Pandhurna, and Maihar — involving the creation of 68 new posts and the engagement of 32 personnel through outsourcing. This reflects the Centre's ongoing reorganisation of district-level governance across several states.

The Cabinet also sanctioned ₹345.52 crore for schemes related to the Economic Offences Wing and ₹40 crore for maintenance of assets under the Law and Legislative Affairs Department. With the full package now cleared, implementation timelines across departments will be closely watched, particularly for the multi-year irrigation commitments running to 2030-31.