Andhra Cabinet approves Rs 1,000 monthly allowance to unemployed youths

The Chandrababu Naidu-led Andhra Pradesh Cabinet has approved a scheme that provides monthly allowance of Rs 1,000 to all the unemployed youth of the state. During its meeting on Thursday, the state Cabinet gave its nod to the Mukhyamantri Yuva Nestam Scheme, which promises unemployment allowances to unemployed degree or diploma holders between the age of 22 years and 35 years.

After the meeting, Cabinet Minister Nara Lokesh told reporters that the registrations for the scheme will begin from third or fourth week of this month. The registration will be up and running before the end of August. Disbursement of allowances will begin after 15 days of the registration, and the amount will be directly sent to the beneficiaries' bank accounts. Lokesh also added that the unemployment allowance will be given irrespective of the number of unemployed family members in a particular family.

According to the Andhra Pradesh government, around 12 lakh youths will benefit from this new scheme. The government has also set an aim to fill 20,000 job vacancies, 9,000 teacher vacancies and other vacant posts.

This new scheme floated by the Andhra government will put an additional burden of Rs 8,000 crore to the state exchequer. After the decision to implement this allowance scheme, Andhra Pradesh will be hard pressed to manage its finances, with a wide fiscal deficit. The Chandrababu Naidu-led Telugu Desham Party exited the BJP-led National Democratic Alliance (NDA) over the demand of special category status to Andhra Pradesh.

Edited by Vivek Punj with agencies' input