The Union Cabinet, chaired by Prime Minister Narendra Modi, on Wednesday approved a series of major decisions spanning cultural heritage, agriculture and entrepreneurship, including the development of the Yuge Yugeen Bharat National Museum at historic North & South Blocks with an estimated cost of Rs 3,230 crore, a Rs 62,370 crore fertiliser subsidy for the Rabi season 2026-27 and the extension of combined credit guarantee support of over Rs 9,000 crore under the Pradhan Mantri Mudra Yojana (PMMY) and Stand-Up India scheme until March 31, 2031.
Announcing the decisions after the Cabinet meeting, Union Information & Broadcasting Minister Ashwini Vaishnaw said the proposed Yuge Yugeen Bharat Museum would be one of the world’s largest museums, with a total area exceeding one lakh square metres and the capacity to accommodate nearly 30,000 visitors daily.
The museum will be developed by the Ministry of Culture through the adaptive reuse of the historic North and South Block buildings in the national capital. The project aims to transform the iconic government buildings into a major cultural institution showcasing India’s civilisational journey, heritage, diversity and historical continuity.
First announced by Prime Minister Modi at the International Museum Expo in May 2023, the ambitious project was subsequently highlighted during the inauguration of Bharat Mandapam in July 2023.
Envisioned as a celebration of India’s civilisational history, the museum will bring together the country’s rich cultural traditions and historical legacy under one roof.
“The project will be developed in collaboration with France, drawing on its experience in converting historic buildings into major cultural institutions. The transformation of the Louvre from a former royal palace and government building into a globally renowned museum will serve as an important inspiration,” a senior official said, adding that other French examples include the Grand Palais and Hôtel de la Marine.
“The proposed museum’s display area is expected to surpass that of several internationally renowned institutions, including the Louvre in Paris, which has approximately 73,000 square metres of display space, the British Museum with around 70,000 square metres and the Hermitage Museum with nearly 66,800 square metres,” Vaishnaw said.
In another major decision aimed at protecting farmers from rising global input costs, the Cabinet also approved Rs 62,370 crore in Nutrient Based Subsidy (NBS) for phosphatic and potassic (P&K) fertilisers for the Rabi season 2026-27, covering the period from October 2026 to March 31, 2027.
Vaishnaw said, “Fertiliser prices had risen sharply due to geopolitical developments, particularly the West Asia crisis and the Russia-Ukraine war. But, the government has decided to absorb a substantial part of the cost burden through subsidies to ensure farmers continue to receive fertilisers at affordable prices.”
He also confirmed that the retail price of di-ammonium phosphate (DAP) would remain unchanged at Rs 1,350 per 50-kg bag. The subsidy will cover DAP and various NPKS (Nitrogen, Phosphorus, Potash and Sulphur) grades, ensuring their smooth availability during the crucial sowing season.
Meanwhile, the Cabinet also approved a combined allocation of over Rs 9,000 crore for continuing credit guarantee support under the Pradhan Mantri Mudra Yojana and Stand-Up India scheme for another five years, until March 31, 2031.
Under the revised Mudra framework, the government has approved a corpus of Rs 5,000 crore for the Credit Guarantee Fund for Micro Units (CGFMU). The annual guarantee fee has also been reduced from 1 percent to 0.75 percent. The government expects the extended facility to facilitate loans worth approximately Rs 12.6 lakh crore over the next five years.
Established in January 2016, the CGFMU provides credit protection to lending institutions against defaults on loans extended to eligible borrowers. According to the government, more than 60.36 crore loans amounting to Rs 43.34 lakh crore had been sanctioned under Mudra as of September 2026.
The extended credit guarantee framework will cover loans of up to Rs 20 lakh to eligible micro enterprises, overdrafts of up to Rs 10,000 under Pradhan Mantri Jan Dhan Yojana accounts and eligible loans to self-help groups. The revised mechanism also seeks to align guarantee coverage with lenders’ actual financial exposure.
Separately, the Cabinet also approved Rs 4,111 crore for continuing the Stand-Up India scheme until March 31, 2031. The programme aims to support an additional 2.5 lakh entrepreneurs belonging to women, Scheduled Caste and Scheduled Tribe communities over the next five years.
Launched in April 2016, Stand-Up India has facilitated loans to more than 2.75 lakh women and SC/ST entrepreneurs.
Under the scheme, eligible borrowers can access loans ranging from above Rs 10 lakh to Rs 1 crore to establish greenfield enterprises in manufacturing, services, trading and agriculture-related activities.
The loans can cover up to 85 percent of the project cost, with credit guarantee coverage set at 85 percent of the loan amount. The guarantee fee under the extended scheme has been standardised at 0.50 per cent.
