Assam Budget 2026: DMF Accumulates ₹336 Cr, ₹102 Cr Spent
Synopsis
The Chief Minister's Office of Assam revealed in Assam Budget 2026 highlights that the District Mineral Foundation has built a ₹336 crore corpus, deploying ₹102 crore under PMKKKY to fund welfare projects in mining-affected communities across the state.
Key Takeaways
The District Mineral Foundation (DMF) in Assam has accumulated a total corpus of ₹336 crore . ₹102 crore has been utilised under the Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY) for development in mining-affected areas.
DMF was established under the MMDR Amendment Act, 2015 , funded by royalty contributions from mining lease holders.
PMKKKY guidelines mandate at least 60 percent of DMF funds go toward high-priority sectors such as health, education and drinking water.
Approximately ₹234 crore remains in the DMF corpus, indicating further welfare spending capacity.
The disclosure was part of official Assam Budget 2026 highlights released by the Chief Minister's Office.
The Chief Minister's Office of Assam, in a series of highlights from the Assam Budget 2026, announced on Friday, 10 July 2026 that the state's District Mineral Foundation (DMF) has accumulated a corpus of ₹336 crore, of which ₹102 crore has been utilised under the Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY) for development in mining-affected areas.
Context
The disclosure came as part of the official budget highlights shared by the CMO Assam on social media, flagged under the hashtag #AssamBudget2026. The figures point to a significant build-up of mineral welfare funds in a state that holds deposits of coal, limestone and other minerals across its districts. The DMF corpus represents royalty contributions collected from mining lease holders and earmarked exclusively for the benefit of communities in mining-impacted zones.
Policy Backdrop
The District Mineral Foundation was established as a statutory body under the Mines and Minerals (Development and Regulation) Amendment Act, 2015, which mandated mining lease holders to contribute a share of royalties into district-level funds. The accompanying PMKKKY guidelines, issued in September 2015 by the Ministry of Mines, require that at least 60 percent of DMF funds be directed toward high-priority sectors — including health, education, and drinking water — in mining-affected villages. Assam is one of several mineral-rich states that have built up DMF corpora over the decade since the amendments came into force, with implementation flexibility resting with state and district authorities.
Stakeholders and Impact
The primary beneficiaries of DMF and PMKKKY spending are communities living in and around active mining zones — populations that often bear the environmental and social costs of extraction without proportionate economic gains. The ₹102 crore already deployed under PMKKKY represents targeted welfare investment in sectors such as health infrastructure, potable water supply, and education in these districts. District administrations in Assam oversee project selection and execution, with central guidelines setting the broad sectoral priorities. The remaining undeployed balance of approximately ₹234 crore within the DMF corpus signals further scope for welfare spending in the pipeline.
What's Next
Attention will now turn to the pace and sectoral spread of the remaining DMF deployments, particularly whether Assam meets the 60-percent high-priority-sector threshold mandated under PMKKKY guidelines. The Ministry of Mines periodically reviews state-level DMF utilisation reports, and any fresh central directives on fund allocation percentages could shape how Assam deploys the balance. Budget watchers and civil society groups working in mining-affected communities are expected to track district-level project rollouts as the fiscal year progresses.
Point of View
The figures simultaneously project fiscal prudence and invite scrutiny over the pace of on-ground delivery. Nationally, DMF utilisation rates have been a consistent flashpoint between central monitors and state administrations, and Assam's disclosure will be measured against that benchmark. The move also signals an intent to align state messaging with the Centre's mineral-welfare narrative ahead of any future policy reviews.
NationPress
10 Jul 2026
Frequently Asked Questions
What is the District Mineral Foundation in Assam?
The District Mineral Foundation (DMF) is a statutory body set up in each mining district of Assam under the MMDR Amendment Act, 2015. It collects a share of royalties from mining lease holders and uses the funds for the welfare of communities affected by mining activities.
What is PMKKKY and how does it use DMF funds?
The Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY) is a central government scheme launched in 2015 that directs DMF funds toward priority sectors such as health, education and drinking water in mining-affected villages. At least 60 percent of DMF money must go to these high-priority areas under the scheme's guidelines.
How much has Assam's DMF collected and spent as per Budget 2026?
As per the Assam Budget 2026 highlights released by the Chief Minister's Office, the DMF has accumulated ₹336 crore in total, of which ₹102 crore has been utilised under PMKKKY for development in mining-affected areas.
Who benefits from DMF spending in Assam?
Communities living in and around active mining zones in Assam are the primary beneficiaries. Funds are directed toward local infrastructure, health facilities, schools and drinking water supply in mining-affected villages, with district administrations overseeing project implementation.
Which ministry oversees PMKKKY and DMF utilisation?
The Ministry of Mines, Government of India, is responsible for framing PMKKKY guidelines and monitoring how states utilise their DMF corpora. States retain flexibility in selecting and executing specific projects within the central framework.
