Objectives of the Direct Benefit Transmission Scheme
The program’s goal is to transfer subsidies and cash benefits to individuals directly through their Aadhaar-seed bank accounts in the hopes that doing so would significantly reduce leakages and the associated delays caused by the flow of money through multiple administrative offices before it reaches the intended recipient.
- Reducing theft and duplication.
- Targeting the beneficiary with precision.
- Lessening of payment delays.
- Electronic benefit transfers that reduce the number of layers engaged in benefit flow
Direct Benefit Transfer
The Direct Benefit Transmission (DBT) scheme was implemented by the Indian government on January 1, 2013, to simplify the transfer of government-provided subsidies in India. With the intention of enhancing the delivery system and reforming the current welfare plan processes, the government introduced the program. DBT intends to deposit subsidy payments from different Indian welfare schemes directly into the bank accounts of the recipients. Beneficiaries must link their bank account to their Aadhaar number in order to receive the DBT benefits. The DBT Mission was initially created at the Planning Commission to serve as the focal point for carrying out the DBT programs. The DBT mission was, however, taken up by the Department of Expenditure from July 2013 to September 14, 2015. As of September 14, 2015, the Coordination & PG Secretary in the Cabinet Secretariat is now responsible for matters pertaining to the DBT Mission. The DBT scheme helps the government in making direct deposits of subsidies into the accounts of recipients. Previously, the benefits were given to an administrative entity first, which would subsequently give them to the beneficiaries. The DBT practice does away with the intermediary, though. The government makes the payment directly to the beneficiary. These transfers include, for example, grants and sponsorship. People who use the DBT scheme can get benefits by using a savings account. So money can be protected in a savings account while still collecting interest. The DBT Bharat Portal now hosts 313 Central Sector (CS) and Centrally Sponsored Schemes (CSS) from 53 Ministries.