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Direct Benefit Transfer (DBT) UPSC NOTE

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  Why in news The BJP plans to respond to AAP’s subsidized services (like electricity, water, and bus rides for women) by promoting direct ...

 Why in news

  • The BJP plans to respond to AAP’s subsidized services (like electricity, water, and bus rides for women) by promoting direct benefit transfer (DBT) schemes

  • The upcoming DBT schemes will target support for economically weaker groups, including women

  • The BJP is unlikely to announce a specific candidate for Chief Minister, despite internal pressures to do so

Direct Benefit Transfer (DBT)

  • A government initiative to transfer benefits directly to beneficiaries to streamline processes and reduce fraud.

  • Started on January 1, 2013, as part of efforts to reform the government delivery system.

  • It is under Department of Expenditure, Ministry of Finance

  • Uses Central Plan Scheme Monitoring System (CPSMS) to route funds, which is now part of the Public Financial Management System (PFMS)


  • Key Components:

  • Beneficiary Account Validation: Ensures that payments go to the right individuals.

  • Integrated with the Reserve Bank of India (RBI), National Payments Corporation of India (NPCI), and various banks for efficient transactions.

  • Over 310 schemes from 53 ministries are included under DBT.

  • Notable Schemes:

    • Pradhan Mantri Fasal Bima Yojana (crop insurance)

    • National Food Security Mission

  • PM KISAN (income support for farmers)

  • Atal Pension Yojana

  • Swachh Bharat Mission Gramin 

  • While Aadhaar is preferred for unique identification, it is not mandatory for all DBT schemes

  • Beneficiaries are encouraged to have Aadhaar for better targeting.

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Learnerz IAS | Concept oriented UPSC Classes in Malayalam: Direct Benefit Transfer (DBT) UPSC NOTE
Direct Benefit Transfer (DBT) UPSC NOTE
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Learnerz IAS | Concept oriented UPSC Classes in Malayalam
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