Dearness Allowance to all categories  of Central Government employees is being sanctioned by the Government  twice in a year, on 1st January and 1st July based on the increase in  the average monthly All India consumer Price Index and it is granted to  compensate the price hike above 115.76 Points (Base Year 2001=100). The  average increase is calculated up to December for grant of D.A  from 1st January and up to June for grant of DA from 1st July. The  average price index stood at 191.5 points by the end of December 2011. Thus, the D.A hike arrived  is 7% from 58% to 65% from 1st January 2012. Usually, Central Government announces the 1st January DA hike in the month of March.
(Base 2001=100)
Item  |    January 2011  |    February 2011  |    March 2011  |    April 2011  |    May 2011  |    June 2011  |    |||||||
General   Index  |    188  |    185  |    185  |    186  |    187  |    189  |    
Item  |    July 2011  |    August 2011  |    September 2011  |    Oct 2011  |    Nov 2011  |    Dec 2011  |    Average  |    ||||
General   Index  |    193  |    194  |    197  |    198  |    199  |    197  |    191.5  |    

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