The decision in this regard was taken at a cabinet meeting presided over by Chief Minister Nitish Kumar, said the Principal Secretary (Cabinet Coordination and Secretariat) Brajesh Mehrotra.
With the latest hike, the DA of the state government employees and pensioners jumped to 125 per cent, he said.
The DA hike will put an additional burden of Rs 842 crore on the state exchequer, Mehrotra said.
Among other decisions, the state government approved a proposal to strengthen Excise Intelligence Bureau in order to effectively enforce total prohibition in Bihar which had come in place with effect from April 5 last, he said.