Direct Benefit Transfer (DBT) was introduced by the Government of India to improve transparency, eliminate middlemen, and ensure that subsidies and welfare benefits reach the intended beneficiaries directly into their bank accounts.
Key Insights from RBI's Currency and Finance Report:
1) Savings of ₹3.4 lakh crore have been achieved due to reduced leakages and better targeting of welfare benefits.
2) DBT covers multiple schemes, including:
• LPG subsidy (PAHAL)
• MGNREGA wage payments
• Scholarships
• Fertilizer and food subsidies
3) The JAM Trinity (Jan Dhan, Aadhaar, Mobile) played a crucial role in DBT implementation, ensuring financial inclusion and direct cash transfers.
4) More than ₹30 lakh crore has been transferred through DBT since its inception, benefiting over 90 crore people in India.
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