DA Rate from January 2020

Rate of DA for Central Government Employees and DR for Pensioners will be 20% from 1st January 2020 as AICPIN for December 2019 will not have any impact on it.

As AICPIN for November 2019 increased by 3 Points and pegged at 328, remaining one month CPI for Industrial Workers to calculate Dearness Allowance from 1.1.2020 will not have that much impact.

Let us find, Does AICPIN for December 2019 CPI have any impact on DA rate from January 2020.

If December 2019 AICPIN Points increased by 1 to 8 Points the Rate of DA will be as follows

Upto 7 Points increase in December 2019 AICPIN Points is not having any impact on DA from January 2020.

If the rate of DA has to reach 21% level, it requires 8 points increase in AICPIN. As per the CPI Data, it increased by 10 points in July 2018 from 291 to 301. After that there is no considerable increase in AICPIN Points.

Hence, there is fair good chances of getting 20% DA from January 2020 even though the AICPIN for December 2019 remain unchanged.