Question 18GS2GS2
Examine the impact of Direct Benefit Transfer (DBT) on the effectiveness and transparency of welfare schemes for the vulnerable sections in India (Answer in 250 words)
Main Body
World Bank has termed India's Direct Benefit Transfer Scheme as 'Logistic marvel' for its wool and impact. DBT Scheme - JAM TrinityJai Dhan (Zero frills account) & Aadhar (97% + reach) & Mobile (110 crore + mobile user) Impact of DBT in India I Effectiveness: Earlier only 15 paise reached of 1 rupee sent from Delhi (Rajiv Xanthar statement)
i DBT Ensured full amount to reach beneficiaries ii Eliminated corruption and delay in culture iii More than 25 lakh crore were transferred through DBT under different schemes iv Reduction in poverty and other social indicators v Role during Covid-19 crisis directly reaching vulnerabledirectly teaching vulnerable (2) Transparency in process: vi Creates a digital trail of transaction vii Reduces chances of fraudUse of Aadhar biometric in e-Unawak portal fulfillment Challenges with DBT in India:Subsidy cultureDigital & e-financial literacy Misuse:Recent BOI digital profiling of employees fraud from JAM accountsShanto Kumar Committee Recommendation: Eliminating all subsidies quadrately and shifting to DBT fully in It is DBT transfer that have fuelled UPI and banking revolution in India
Challenges with DBT & e-financial literacy:VIII Facilitates financial inclusion and ease of living for citizen IX DBT reduces distortion in prices caused by subsidy Challenges with DBT in India: Misuse:Recent BOI Digital profiling of employees fraud from JAM accountsShanto Kumar Committee Recommendation: Eliminating all subsidies quadratically and shifting to DBT fully It is DBT transfer that have fuelled UPI and banking revolution in India
257 words1 paragraphs
Conclusion
DBT has been instrumental in transforming India's welfare delivery system, ensuring efficiency and transparency while reducing corruption. However, addressing digital literacy challenges and preventing misuse are critical for optimal results.
30 words
Topper
Pakshal Secretary
AIR 82090secretry
Subject & Paper
GS2GS2
Topic
Government Policies and Interventions - Design, Implementation and Issues
Government Schemes and Policies
Direct Benefit Transfer and welfare scheme effectiveness
Writing Stats
287
Total words
1
Paragraphs