The committee, inter alia, will figure out whether the pilgrims can travel to Saudi Arabia paying less in the absence of such subsidy, they added.
"Minister of State for Minority Affairs (Independent Charge) Mukhtar Abbas Naqvi has already formed a high-level committee to look into the Haj subsidy issue. The committee will look into whether giving subsidy has benefits or can pilgrims travel paying less if there no subsidy is offered," a source said.
The sources said that official announcement regarding formation of the panel is expected in the next few days.
In the biggest hike in nearly three decades, Saudi Arabia had yesterday increased India's annual Haj quota by 34,500, a move welcomed by the NDA government as a "matter of pleasure".
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Naqvi and Saudi Arabia's Haj and Umrah Minister Mohammad Saleh bin Taher Benten inked an agreement in this regard in Jeddah yesterday, increasing the size of India's Haj quota from 1,36,020 to 1,70,520.
The Supreme Court had in 2012 directed the Union government to gradually reduce and abolish Haj subsidy by 2022.
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