The Odisha government will give Rs 1,000 as one-time livelihood assistance to nearly 95.9 lakh families under the Public Distribution System ahead of the Lok Sabha and Assembly polls.

It has also approved a scheme to give interest-free loans to youths and provide scholarships to students of general degrees and postgraduate courses under the Nutana Unnata Abhilasha, Odisha (NUA-O) scheme.

The principal Opposition BJP and the Congress have accused the state government of trying to fool the voters ahead of the election.

The Odisha cabinet chaired by chief minister Naveen Patnaik on Monday approved all these schemes. The state will incur a budgetary expenditure of Rs 959.05 crores to provide one-time livelihood assistance. Besides, the state will also give two jute carry bags to each beneficiary. The state will spend a total of Rs 278.69 crores on this account.

Food supplies and consumer welfare minister Atanu Sabyasachi Nayak said: “The one-time assistance of Rs 1,000 will be given to the beneficiary to ensure that they don’t face any hardship for purchasing essential commodities due to inflation. We are giving carry bags so that these families will not find it difficult to carry foodgrain under the PDS.”

The state government has also decided to launch a scheme called “Swatantra Yuba Udyami...Swayam” to provide Rs 1 lakh interest-free bank loans to youths to enable them to start various startups.

The youths in the age group of 18 to 35 will be covered under the scheme. The plan will cover one lakh youths. There will be no collateral or processing fee for the loan.

Those who earn less than Rs 2 lakh per annum will be covered under the scheme.

The youths of the ST and SC category up to the age of 40 can be covered under the scheme. The state plans to spend Rs 448 crores under the scheme. Those who are defaulters under various schemes and failed to repay their dues will not be included.

Under the scholarship scheme, the male students enrolled in the Plus Three degree and PG Course will get a minimum scholarship of Rs 9,000 and the girls will get Rs 10,000 per annum. However, students belonging to SC and ST and Nirmal Shramik families will avail another Rs 1,000 extra.

However, the BJP questioned the intention of the government. “The Centre is giving the free rice and the state is only distributing it. Fearing defeat in the election, the state government has tactfully planned to distribute the bags along with the Rs 1,000 in the name of livelihood assistance. Instead of giving it just for a month, the state should announce that Rs 1,000 cash would be given every month to the beneficiary,” said BJP leader Mukesh Mahalinga.

The Odisha government on Tuesday announced to hike the assistance given to pregnant women and lactating mothers under the Mamata scheme by Rs 5,000.