The Union Cabinet has recommended imposition of President's rule in Andhra Pradesh. The decision was taken at the Cabinet meeting chaired by Prime Minister Dr Manmohan Singh in New Delhi today. The state has been without a Chief Minister after Kiran Kumar Reddy resigned from the post and Congress party to protest against the passage of Andhra Pradesh Reorganisation Bill, 2013 which paved the way for Telangana's creation.

The Cabinet has also approved additional dearness allowance, DA, of ten per cent. With this hike, DA will go upto 100 per cent. The hike in DA would be effective from 1st of January this year. It would benefit 50 lakh Central government employees and 30 lakh pensioners.

The Union Cabinet has approved minimum pension of one thousand rupees per month under the Employees Provident Fund Organisation, EPFO. The decision will benefit 28 lakh pensioners covered under the EPFO.

The Cabinet also hiked poll expenditure ceiling from the present 40 lakh to 70 lakh rupees for candidates in the Lok Sabha elections.