The Rajasthan government on Thursday announced a 2 per cent reduction in VAT on petrol and diesel and a 4 per cent hike in dearness allowance of employees and pensioners ahead of the general elections.
The decisions will become effective from Friday morning.
The government announced a 4 percentage point hike in dearness allowance of employees and pensioners on the lines of the Centre.
The decisions were taken in the state cabinet meeting held here on Thursday evening.