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Tamil Nadu Govt Announces ₹3,000 Cash for All Ration Card Holders as Pongal Gift

Written by: Team Angel OneUpdated on: 5 Jan 2026, 5:01 pm IST
Tamil Nadu will provide ₹3,000 in cash along with Pongal gift hampers to over 2.22 crore rice ration card-holders, with total spending of ₹6,936 crore.
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The Tamil Nadu government has unveiled a large-scale welfare measure for Pongal this year, combining direct cash support with traditional festival gift hampers for eligible households across the state, as per news reports. 

Cash Support and Coverage 

Acting on the directions of CM M K Stalin, the Tamil Nadu government announced that ₹3,000 in cash will be distributed to more than 2.22 crore rice ration card-holders. Families residing in Sri Lankan Tamil rehabilitation camps will also receive the cash component as part of the Pongal gift package.  

As of December 21, last year, the total number of beneficiaries stood at 2,22,91,710. The state has earmarked ₹6,936 crore towards the distribution of gift hampers along with the cash assistance, and arrangements have also been made for the supply of free dhotis and saris. 

Distribution Plan and Gift Hamper Details 

Officials are finalising the date for the launch of distribution, which is expected to coincide with the Chief Minister’s proposed visit to southern districts this week. Tokens are already being issued to eligible ration card-holders to streamline the process.  

Last month, the government announced the contents of the Pongal gift hamper, which include 1 kg of rice, 1 kg of sugar and a sugar cane.  

A government order issued by the Co-operation, Food, and Consumer Protection Department sanctioned ₹248 crore for these hampers. 

Past Trends and Employee Benefits 

The cash component for Pongal gifts has varied over the years. There was no cash assistance in 2022, while beneficiaries received ₹1,000 each in 2023 and 2024. During 2021, the cash component stood at ₹2,500.  

Separately, on New Year’s Day, the state announced bonuses for 2024–25 and Pongal gifts for more than 9.90 lakh government employees, with the exchequer bearing an expenditure of ₹183.86 crore. 

Read More: Centre Proposes 90-Day Rule for Gig Workers’ Social Security Eligibility! 

Conclusion 

With the enhanced ₹3,000 cash support and comprehensive Pongal gift distribution, the Tamil Nadu government has expanded the scale of its festive welfare programme, covering over 2.22 crore families and allocating significant public expenditure for festival-related assistance. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.  

Investments in the securities market are subject to market risks, read all the related documents carefully before investing. 

Published on: Jan 5, 2026, 11:30 AM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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