As Bihar gears up for the 2025 Assembly Elections, the ruling NDA coalition—led by Chief Minister Nitish Kumar—is banking heavily on a series of cash transfer welfare schemes to secure another term in power. Internal assessments within the NDA project a 4–5% increase in its overall vote share, driven primarily by women voters who have benefited from the recently launched Chief Minister’s Women Employment Honour Scheme (Mukhyamantri Mahila Rozgar Samman Yojana).
Women’s Cash Transfer Scheme Turns the Tide
In the 2020 Assembly elections, the NDA secured 35.5% of the total vote share. However, with over 1.3 crore women set to receive direct cash transfers just weeks before polling, the alliance expects a major political windfall.
The ₹13,000-crore scheme targets women between 18 and 60 years of age, with each beneficiary receiving up to ₹10,000 in her account. Officials estimate that nearly half of Bihar’s 3.5 crore women voters have already benefited or will soon receive funds.
A senior bureaucrat involved in designing the scheme told The Economic Times, “If even 75–80% of these women voters support the ruling coalition, it will significantly boost the NDA’s vote share beyond 2020 levels.”
Administrative and Fiscal Balancing Act
The plan was shaped after detailed administrative brainstorming sessions, benchmarking against pre-election welfare strategies in other states. While states like Maharashtra, Karnataka, and Madhya Pradesh opted for monthly cash transfers, Bihar modeled its program after Assam, favoring a one-time lump sum payment for greater impact.
The total election-oriented welfare package in Bihar is estimated at ₹15,000 crore, including provisions for ₹2 lakh in total assistance to women over time.
Social Security Pension Boost
The second major welfare push involves an increase in social security pensions for nearly 1.2 crore beneficiaries, with payments raised from ₹400 to ₹1,100 per month — a 2.5-fold increase. Officials project that three-fourths of these beneficiaries are likely to vote for the ruling coalition.
Free Electricity Scheme Adds to Popular Appeal
On August 1, 2025, the state government rolled out a 125-unit free electricity plan for all domestic consumers. This move is expected to add an additional ₹5,000 crore to the fiscal burden, while other smaller initiatives for unemployed graduates and youth will cost another ₹3,000–₹4,000 crore.
The Political Calculus
While critics argue that these schemes are election-driven populist moves, the NDA leadership is confident that targeted financial inclusion of women and pensioners will not only offset anti-incumbency but also widen the NDA’s social coalition.
With the state’s treasury stretched and the opposition calling these “cash-for-votes schemes,” the 2025 Bihar elections are shaping up as a referendum on Nitish Kumar’s welfare politics — a test of whether cash transfers can indeed buy political stability.
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