Festival-Linked Public Welfare Schemes in India

Across India, festivals often become a window for public welfare, with state governments using the occasion to deliver cash support, food kits, special allowances and travel assistance. These measures are not just ceremonial; they reflect broader welfare priorities, help vulnerable households meet seasonal expenses, and widen participation in major cultural celebrations.

Orunodoi Scheme: Assam’s Flagship Initiative

Orunodoi is Assam’s flagship direct benefit transfer scheme, launched in 2020. It provides monthly financial assistance to women from economically weaker households, combining poverty alleviation with household support. Under Orunodoi 3.0, the regular monthly assistance is ₹1,250, and the scheme aims to cover about 25 lakh eligible women across all 35 districts of Assam. The scheme has also become closely linked with festival-based assistance. In February 2026, beneficiaries received an advance Bohag Bihu package of ₹8,000, which included ₹5,000 for the January-April allowance and ₹3,000 as a special Bihu gift. In July 2026, beneficiaries in flood-affected districts such as Sivasagar, Charaideo, Jorhat and Golaghat received enhanced assistance of ₹2,500. Assam is one of the clearest examples of how a large state-level cash transfer programme can be adapted to both festive and emergency needs.

Festival Kits and Cash Transfers in Southern States

Several southern states use festival-linked welfare measures to support ration cardholders and low-income families during major harvest festivals.

• Tamil Nadu’s Pongal gift package: An annual initiative for ration cardholders during Pongal. In 2026, the state distributed ₹3,000 cash along with a gift hamper to over 2.22 crore rice ration cardholders, including eligible Sri Lankan Tamil families. The hamper typically includes 1 kg raw rice, 1 kg sugar and one whole sugarcane. The estimated expenditure in 2026 was ₹6,936 crore.
• Kerala’s Onam Kit Scheme: Kerala annually distributes free Onam kits to help eligible families prepare for Onam. In 2026, the state approved ₹53 crore for this initiative. More than 6 lakh Antyodaya Anna Yojana (AAY) ration cardholders and inmates of welfare institutions received kits valued at about ₹854 each. Each kit contained 16 essential items packed in a cloth bag for making a traditional Onasadya.
• Kerala’s festival food support: Non-priority (Blue Card) holders also received subsidised allocations of 3 kg rice at ₹10.90 per kg and 2 kg wheat at ₹8.70 per kg.
• Andhra Pradesh’s Sankranti gift: The state has historically distributed festival gift packs of essential commodities to BPL families holding white ration cards during Sankranti and similar festivals. These packs typically included items such as bengal gram, palm oil, channa, jaggery, wheat flour and ghee.

Festival Bonuses for Government Employees

Festival-linked benefits are also extended to government employees, especially around Diwali and other major celebrations.

• Central Government Diwali bonus: The Ministry of Finance annually announces a non-productivity linked bonus, also called an ad hoc bonus, for Group C and non-gazetted Group B employees, along with eligible personnel from the Central Para Military Forces and Armed Forces.
• Bonus structure: In 2023, the amount was equivalent to 30 days’ basic salary, with a maximum cap of ₹7,000.
• Eligibility: Eligibility generally depends on being in service on a specified date and completing at least six months of uninterrupted service. Casual labourers may also qualify if they meet prescribed work-duration conditions.
• Productivity-Linked Bonus (PLB): Certain central departments, including postal services, also pay PLB. For 2024–25, the Department of Posts granted a PLB equal to 60 days’ wages to eligible employees.
• Department of Posts coverage: This includes Group ‘C’ and non-gazetted Group ‘B’ employees, Gramin Dak Sevaks (GDS) receiving an ex-gratia bonus, and full-time casual labourers receiving an ad hoc bonus.

Specific Welfare Schemes in Union Territories

Union Territories also use festival-linked schemes to assist specific worker groups and vulnerable beneficiaries.

• Puducherry’s Diwali Gift Benefit Scheme: Administered by the Puducherry Building and Other Construction Workers Welfare Board, the scheme provides ₹2,000 annually to each registered beneficiary.
• DBT route: The amount is credited directly into bank accounts through Direct Benefit Transfer (DBT) to help construction workers celebrate Diwali.
• Eligibility: Beneficiaries must have at least six months of registration with the Board and an active contribution to its fund.

Facilitating Festival Travel and Cultural Participation

Apart from cash and kits, governments also support festival participation through transport and pilgrimage assistance.

• Indian Railways special trains: To handle heavy passenger rush during festivals such as Durga Puja, Diwali and Chhath, Indian Railways operates special services. For the 61-day festive period from October 1 to November 30, 2026, North Central Railway announced 1,053 special train trips or Trains on Demand (TODs).
• Mukh Mantri Tirath Yatra Scheme, Punjab: Launched on November 9, 2025, this scheme facilitates pilgrimage for elderly residents (50 years and above) to religious destinations.
• Benefits under the Punjab scheme: It provides free AC sleeper bus travel, accommodation and food.
• Expanded destinations: In August 2026, the scheme was expanded to include Shri Khatu Shyam-Salasar Balaji Dham, Haridwar-Rishikesh and Mathura-Vrindavan.

Key Prelims Takeaways

• Orunodoi Scheme: Assam’s flagship DBT scheme, launched in 2020; monthly assistance of ₹1,250 under Orunodoi 3.0.
• Coverage under Orunodoi 3.0: Around 25 lakh women across all 35 districts of Assam.
• Festival linkage in Assam: Special support has been linked to Bohag Bihu and Durga Puja.
• Tamil Nadu Pongal package: Annual cash plus hamper scheme for ration cardholders; in 2026, ₹3,000 cash and gift items were distributed.
• Kerala Onam kit: Free kits for AAY cardholders and welfare institution inmates; each kit had 16 items and was valued at about ₹854.
• Central Diwali bonus: Non-productivity linked bonus for eligible central employees, with a 2023 cap of ₹7,000.
• Puducherry and Punjab examples: Puducherry offers a ₹2,000 DBT Diwali gift to construction workers, while Punjab’s Tirath Yatra scheme supports elderly pilgrimage travel.

Recent Context

Assam Cabinet approved a special one-time increase in Orunodoi assistance to ₹1,500 for October 2026 as a Durga Puja gift under the state’s DBT programme. Around 40 lakh beneficiaries are expected to receive the enhanced amount. The move underlines Orunodoi’s role in combining welfare delivery with festival-time support.