Home >Politics >Policy >Govt to launch direct benefit transfer portal by July-end
Cabinet secretary P.K. Sinha urged states to adopt the DBT platform by March 2017. Photo: Mint
Cabinet secretary P.K. Sinha urged states to adopt the DBT platform by March 2017. Photo: Mint

Govt to launch direct benefit transfer portal by July-end

Cabinet secretary P.K. Sinha promised states that the savings from DBT will be shared with the states

New Delhi: The government will launch a National Direct Benefit Transfer (DBT) portal that will act as an aggregator of all welfare schemes by the end of this month, cabinet secretary P.K. Sinha said on Friday, urging states and all central government departments to move towards a DBT platform at the earliest.

As of now, around 74 government schemes are under DBT, with more than 1.2 trillion disbursed to 300 million beneficiaries.

The government estimates that the combined savings of the central and state governments over the last two years has been more than 36,500 crore on account of the DBT scheme.

Under DBT, the subsidy amount gets directly credited to the beneficiaries’ bank accounts, thereby plugging leakages, weeding out duplicate beneficiaries and bringing down service delivery costs.

Sinha promised that states that the savings from DBT will be shared with them. “It will have a live MIS (management information system) that will be integrated with the DBT portal. It will track all transactions on a real time basis," he said at a national workshop on DBT in New Delhi.

An MIS system helps in updating data on a real time basis.

The portal will help beneficiaries know their entitlements and provide the government a ready database which could help in better targeting of beneficiaries.

It will also eventually build in a feedback and grievance redressal mechanism. Sinha also urged states to adopt the DBT platform by March 2017.

Many states and central government departments have set up DBT cells to ensure a smooth transition.

Ravi Shankar Prasad, minister for information technology and law and justice, said at the workshop that the challenge is to ensure every rupee disbursed by the central government reaches the end-beneficiary in its entirety. He also asked state-level bureaucrats to take the message of the benefits of DBT to their “political bosses".

“We have missed out on the industrial revolution but we do not want to miss out on the digital revolution," he said.

Krishnan Dharmarajan, executive director at the Centre for Digital Financial Inclusion, said a common portal will offer many advantages. “It will be a one-stop place where you can monitor all transactions. It will also help citizens to know what all benefits that you have got. Eventually, beneficiaries will also get to know what schemes they are entitled to," he said.

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