Bihar Government To Facilitate Loans To Employees And Pensioners Through Banks To Reduce Their Dependence On Moneylenders

Patna: The Bihar government decided on Wednesday to provide loans and advances through banks and financial institutions to its employees and pensioners in a bid to save them from moneylenders and loan sharks. It will also train the legislators, officers and employees in artificial intelligence (AI).

The decisions were taken at a cabinet meeting chaired by Chief Minister Samrat Choudhary. Deputy chief ministers Vijay Kumar Choudhary and Bijendra Prasad Yadav were also present on the occasion. It was the last meeting of the three-member cabinet ahead of its expansion on Thursday.

It approved a proposal by the general administration department to provide loans and advances through banks and financial institutions to serving and retired government employees against their salary or pension in times of need. It aims to reduce their dependence on irregular and exploitative moneylenders or loan sharks.

The loans and advances could be availed for any sudden eventuality, short-term requirements, as well as, to fulfil long-term financial needs in an easy and transparent manner. The decision would be notified soon.

In another major decision, the state government will train the MLAs, MLCs, officers, and employees in artificial intelligence (AI) with the help of leading educational institutions, including the National University of Singapore, Centre for Development of Advanced Computing (C-DAC), IIT Patna, National Institute of Electronics and Information Technology (NIELIT), and Chandragupt Institute of Management Patna (CIMP).

"Training in AI could be used to develop an understanding in AI-enabled systems to bring effective result in the development of administrative set-up, financial management, human resource utilisation, creating of basic infrastructure, agriculture and allied sectors, social welfare, as well as, art, culture and tourism. It will help bring transparency to governance and service and base them on data," stated a cabinet note by information technology department secretary Abhay Kumar Singh.

With this Bihar will follow in the footsteps of Uttar Pradesh, which initiated AI training for its legislators in 2025. The cabinet also gave its nod to a proposal to take 500 million dollars (around Rs 4726 crore) from the World Bank to implement the Bihar Urban Transformation Programme (BUTP), under which integrated urban economic areas or zones would be developed, financially strengthened and turned into productive centres.

The loan would be used to ensure planned development of cities, creation of infrastructure, and promote urbanisation that would be sensitive to environment and ecology.

The cabinet meeting discussed and approved 20 agendas, among which another important one was the approval of Rs 15,968 crore for the implementation of ‘long-term output – performance-based asset maintenance contract’ under which over 19,305 km length of roads would be inspected, monitored and maintained in the state. The work would be segregated and performed under 100 packages.

Apart from the maintenance of roads, the road construction department has also decided to collect ‘road user fees’ or ‘toll’ at state highways, important bridges and roads. The Bihar Road User Fees (Determination of Rates and Collection) Rules, 2026 are being framed for the purpose and it would get the nod from competent authority within a month.

Toll collection on state roads and bridges would begin within three months of the notification of the rules. The cabinet also gave its consent to transfer 1.85 acres of land belonging to the Bihar Industrial Area Development Authority (BIADA) and located near the Patna airport, free of cost to the Airports Authority of India (AAI). It would be used to develop basic infrastructure at the airport and other purposes.

In another decision, the cabinet approved a proposal to spend Rs 31 lakh to rope-in C-DAC, Hyderabad, to implement and provide e-voting facility for senior citizens, differently abled, and patients afflicted by uncurable diseases in the forthcoming municipal elections in the state.